Here is a presentation of a white paper I created in 2019 (prior to the pandemic) on the "Rise of the Private Police”. I was asked to present in Beijing, China just when the COVID19 began to impact its major metropolitan cities, but it had to be cancelled.
I cannot find any better time more appropriate than today, when we are watching a large movement of distrust of the police forces, which may provide an opportunity for the private security industry. Accountability and transparency are at the forefront of today’s need for a police force capable of responding to a void that is opening due to the militarization and perceived systemic racism which plagues our police forces. The Private Security industry have set the pace for filling that void and some of our cities may require private security to augment their police functions, when and if it should fail.
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Rise of the Private Police
1. PRESENTATION
on the
RISE OF THE PRIVATE POLICE
Trends in the Private Security Industry
Presenter: David Ramirez, President
WHITE PAPER
2. My History
• In 1990, I left the US Marine Corps and started my career in the
security and investigation’s industry. I worked for Wackenhut and
Pinkerton
• In 1995, I started my own private investigation company called
Business Risks International, Inc.
• In 2001, started Security Alliance
• Small-sized security company with a philosophy of investing in our
employees
• Company grew from 5 employees to over 1100 in offices located in 4
countries
• Revenue growth up to $20 million
• In 2008, awarded first Department of State (US Embassy) contract
• In 2010, awarded DOS, Small Business Prime Contractor of the Year
• Sold my interest in the company in 2013 and subsequently retired
• I am the former chairman of the Miami Chapter of ASIS International
(largest trade organization)
• I am also the former chairman for the Military Liaison Council of
ASIS International.
• In May 2018 started SPERE.
• In 2019, awarded $1.5 million school security guard contract with
Palm Beach County School District Police.
3. Disclaimer
• Most of the information contained in this
presentation represents standards, guidelines
and laws governing the security industry
within the United States.
• I do not make any representation of any laws
and you should take any information derived
from this representation and apply within the
standards, guidelines and laws of the
security industry.
5. Industry Trends
• In 2017, the global security services industry, which includes
security guards, had an approximate value of USD $116 billion.
(Statista)
• The largest share of the global security services industry is
located in Europe, which held a 26% market share in 2017. North
America’s share of this industry was 24%. (Statista)
• U.S. spending on security guard services was expected to reach
$68 billion in 2019, which would be a 5% increase over 2018
figures released by the industry. (Freedonia Group)
• A study by Grand View Research, Inc, stated that the global
physical security industry is expected to reach USD $290.7
billion by 2025.
• Private security guards outnumber police officers in most of
the countries around the world today. An estimated 20 million
private security workers are employed globally. (Forbes)
• In India, there are an estimated 7 million private security
workers employed, compared to just 1.4 million police officers.
In China, there are 5 million security guards and 2.7 million
police officers. Even in the United States, security guards
outnumber police officers at a 2:1 ratio. (Forbes)
6. Business Outlook
• Crime has become a more frequent occurrence and it only
continues to increase. So does the demand for protection of
life and infrastructure and more than likely this becomes too
difficult for law enforcement and it becomes necessary to
implement measures to utilize private security.
• The demand of security has become a necessity to which the
industry has grown exponentially. However due to the
incremental growth of security companies, much of the standards
in training and quality of the security officer, has been
diluted.
• The need for high quality and highly-trained security officers
will become a standard necessary to thwart potential threats
and to reduce risks.
• The cost of utilizing law enforcement as a protection mechanism
is unsustainable, which opens the arena for the need for
private security
• The security industry is a continuously growing enterprise
which fares very well in a depressed economy but can still have
steady and incremental growth when economies are flourishing.
• We expect that budgets for physical security will increase but
will be demanding a higher level of service and integration
with some form of technology to complement security functions.
7. What is Private Security?
• Private security is a business corporation, which provides armed
and unarmed security services and expertise to private and
public clients.
• Private security companies are defined as companies primarily
engaged in providing guard and patrol services, such as
bodyguard, guard dog, parking security and security
guard services.
• Examples of services provided by these companies include the
prevention of unauthorized activity or entry, traffic
regulation, access control, and fire and theft prevention and
detection.
• These services can be broadly described as the protection of
personnel and/or assets. Protection of life and property.
• Private security guards outnumber police officers in most of the
countries around the world today. An estimated 20 million
private security workers are employed globally. (Forbes)
• In India, there are an estimated 7 million private security
workers employed, compared to just 1.4 million police officers.
In China, there are 5 million security guards and 2.7 million
police officers. Even in the United States, security guards
outnumber police officers at a 2:1 ratio. (Forbes)
• The primary challenge to the security guard industry today is
automation and remote monitoring. As technology is able to
proactively monitor property and people in more places and with
8. Police and Law Enforcement
• Law enforcement has always been at the forefront in
establishing confidence in their efforts in
protecting our communities. The purpose of the
police is to protect and serve our communities and
to deliver criminals into the hands of the legal
system that will judge them. Police are responsible
for catching criminals who threaten the livelihood,
property and peace of other citizens.
• Unfortunately, police have recently become the
subject of much criticism and an outcry from the
voices in the public watchdogs, that have observed
the militarization of the public servants and the
excessive force used in the apprehension of suspects
who have committed crimes.
• Law enforcement in the 21st century is evolving
rapidly, as police face new threats and challenges
along with increased scrutiny from the public and
the media. The law enforcement profession is
responding with significant changes in the areas of
leadership, structure, culture, policy and
technology.
9. Private Security vs. Police
• Private security have more authority on private property than police.
• Police cannot stop anyone unless they have reasonable suspicion or
probable cause, whereas private security can interact with anyone at any
time because they represent a private party.
• Police are sensitive to legal ramifications due to claims made against
them.
• Off-duty police is not cost effective.
• Police work in the “criminal realm” and are not permitted to become
involved in civil matters. Private security can conduct operations in
both civil and criminal matters.
• Private security generally have “detention” powers but in certain
circumstances can be given power of arrest, but police have “arrest”
power.
• Police standards for fitness are protected by a unionized membership.
Private security can be forced to adhere to strict fitness and
performance guidelines
• Private security can be trained to specialize in key aspects of
protection of life and property, but police have general knowledge of
all aspects of protection of life and property.
• Off-duty police may not have full coverage of general liability
insurance, but private security would have to maintain specific
coverages.
• Police are not trained for private property protection and are taught
law enforcement procedures which differs from private security training.
Properly qualified, equipped and supervised security is always a better
and more cost effective option.
10. The Difference
• Police (law enforcement) officers represent the government (local, county,
state, or federal). Security officers represent private businesses and
individuals. Police officers enforce laws. Security officers enforce policies
and respond to criminal activity on their assigned property. Security can
detain individuals suspected of crimes on the private property where they
work.
• Police powers are limited only by law and jurisdiction. Security officer
powers are limited to specific private property, which may or may not be open
to the public. Security officers have no more authority than a private
citizen on public property, even if that public property is immediately
adjacent to the private property to which the security officer is assigned.
• In most jurisdictions, private security can lawfully detain an individual if
he or she has probable cause to believe that the detainee has committed a
crime (i.e., shoplifting, burglary, etc.) On the other hand, private security
cannot lawfully detain an individual for a simple violation nor do they have
powers of arrest.
• Police do not have to waste their time with minor routine security issues
when they’ve got more important things to deal with. Security officers serve
as a second set of eyes and ears for the police, spread throughout the
community. That extra security presence helps reduce crime, but the police
are still necessary when crimes do occur. So police and security officers
work together to accommodate the various security needs of businesses and
citizens in a community.
• Because of open records laws, law enforcement agencies are compelled to
release incident and arrest reports to the public, a requirement that becomes
important in cases of alleged police excess. But many private police
companies have insisted that as private entities, they do not have to comply
with open record laws.
11. Collaboration
• Webster’s dictionary defines liaison as the "communication for
establishing and maintaining mutual understanding and cooperation
(as between parts of an armed force)." As defined, a liaison
program enables communication to travel as a constant between
police, private security and other business entities. Respect and
trust will come along with information sharing, cooperation, and
consistency. While a liaison program is beneficial to both parties,
normally the smaller, less powerful department will start it. The
only exception to this is when the larger department uses the
"locking the barn door after the horse has left" approach, which is
reaction instead of prevention.
• In addition, police typically held private security officers to a
lower standard because of their limited powers, whereas security
directors believed police were uninterested or incapable of
handling their crime; especially computer, white-collar, and in the
extreme, terrorism offenses. The trend of these relationships in
recent years, however, has been toward partnership and liaison. For
example, in the 1980's, only a handful of private security and law
enforcement liaison programs existed, while today there are over 60
liaison programs in operation.
• Based on these liaison programs, it is noticeable that public and
private partnerships exist in many forms and suit the needs of many
entities.
• Although liaisons and partnerships vary from program to program,
they share similar characteristics. The following identifies common
characteristics between liaison programs:
12. Liaison Tools
• 1) Networking:
– Social gatherings designed to discuss common problems and aid each entity in understanding others in the
program.
– Lectures by security professionals at police training and vice versus.
– Directories of police and security contacts.
• 2) Information Sharing
– Exchange of information on crimes and criminal convictions between law enforcement agencies and the
private security industry.
– Exchange of business crime in the same manner.
• 3) Crime Prevention
– Joint participation in business safety and security programs.
– Community policing.
– Addressing issues of local concern as it relates to police and security.
– Joint public-private support of neighborhood watch programs.
• 4) Training
– Establishing training sessions on topics of interest and need (specifically terrorism and crime trends.)
– Exchange of training and expertise where the other entity lacks.
– Police training of security and vice versus.
• 5) Legislation
– Joint supporting of laws and ordinances regarding security officer standards and licensing.
• 6) Operations
– Investigations
– Incident planning and/or safety committees.
– Joint sting operations and special weapons and tactics (SWAT) teams
• 7) Research
– Review and distribution of recent publications regarding current issues and technology within the public-
private sectors.
• Despite their differences, law enforcement agencies and private security organizations have
increasingly come together to prevent and deter crime. Formality may differ, but all partnerships
work to protect life and property. Thus far, the history of police and security relationships has
been analyzed, various liaison programs have been presented and the ways that partnerships vary has
been displayed.
13. The Need
• The law enforcement-private security (LE-PS) partnerships are
formed or expanded to address a range of critical needs: to
avert or respond to a terrorist attack, support urban downtown
revitalization, marshal resources to combat crimes, compensate
for law enforcement budget cuts, improve safety at special
events, improve security for the nation’s infrastructure, and
bring community policing approaches and new resources to bear
on crimes against residents and businesses.
• Many of the partnerships have been able to measure success not
only by meetings and exchanges of information but also by
crimes prevented and solved.
• Collaboration by its definition extends the concept of
cooperation to emphasize benefits for all parties and, in the
case of LE-PS partnerships, the public as well.
• Partnership benefits begin when individuals in both private
security and law enforcement find they can do their jobs more
efficiently or effectively because of the professional contacts
they have made.
• The advantages multiply when the partnership as a group builds
trust, takes on specific objectives, and experiences success as
a result of joint efforts.
14. Forging Partnerships
Public-private partnerships, have the potential
to significantly boost security and emergency
management programs. Cultivating relationships
has been instrumental in developing these
partnerships while producing the results of
reducing crime.
15. • As the global economy continues to weaken, it will naturally form a
backdrop to where crime becomes the means of survival for some
opportunists. Inevitably, we will begin to find an increase in
crime that will force government, businesses and communities to
seek a higher level of protection. Because law enforcement is
unable to provide dedicated services that may address these needs
and the unsustainable cost of hiring off duty police officers,
businesses and communities will seek the assistance from a
privatized police force.
• Funding would be cost effective for a private police force.
• Taxation is the payment method of the public sector police, where
budgets balloon and collectivism is the constant bailout for those
who fail to properly manage their department. The public option of
policing is paid before you receive any good or service, and still
taken if you refuse or fail to use such service.
• The public sector policing has difficulty managing their growth,
budget and needs of the consumer. Their budgets, power, and
influence grow without the checks and balances of those who operate
private businesses.
• In the private sector, the private police must consider costs,
training, trends, customer service and accountability in order to
maintain proficiency in the market.
• Cost and available resources becomes major factors in the need for
a privatized police force.
Rise of the Private Police
16. First Examples
• Some jurisdictions in the US have
already developed various early
stage models of private policing
capacity, usually called “Special
Police,” including:
– Massachusetts
– North Carolina
– Virginia
– California
– New Orleans, Louisiana
– Washington, DC
17. Massachusetts, USA
In Massachusetts, Special Police Officers are either similar to
reserve or part-time police officers and part of a regular police
department or they are Special State Police Officers and are
part of a college or university police force. Special Police
Officers attend and graduate from the MA Municipal Police
Training Council Reserve & Intermittent Police Officers
Academy. There are also a plethora of special police officers
who work in the city of Boston; these officers either work
directly for the city (school police, municipal protective
service, health commission police, housing police, or BFD
arson investigators) or for private security companies. The
city of Boston requires these agencies to attend a Boston
Police approved academy, that is 160 hours. The state requires
all reserve/intermittent officers to complete 372.5 hours of
training, with an additional 20 hours for those carrying a
weapon.
18. North Carolina, USA
In North Carolina, some private companies have their
own special police forces. These include hospitals, hotels,
race tracks, and shopping malls and are more properly
referred to as "Company Police". There are also
companies that offer contract special police services for
a fee to anyone who has property they wish to protect.
In the state of North Carolina, special police differ greatly
from security companies. North Carolina Special police
officers have full arrest powers on any property they are
hired to protect within the state as granted by the North
Carolina Attorney General. Special police officers must
also attend and pass the Basic Law Enforcement Training
program like all other police officers.
19. Virginia, USA
Virginia possesses special police officers employed, typically, in the
private police field. These officers are regulated by the Virginia
Department of Criminal Justice Services and are termed Special
Conservators of the Peace aka SCOP. These officers must meet specific
training requirements and be sworn in by the District Court
Judge/Magistrate in the area where they request a commission. These
officers, when so sworn and certified, are permitted to utilize the term
'police' and are permitted to operate emergency vehicles equipped
with red flashing/strobing lights (municipal law enforcement operates
either blue or combinations of blue and red).
This class of officer should not be confused with Armed Security
Officers in Virginia who also possess arrest authority on property they
are employed to protect. However, Armed Security officers do not
have fresh pursuit authority (off of their grounds/property) whereas
SCOP officers do.
20. California, USA
The San Francisco Patrol Special Police is a neighborhood
police force authorized in the City Charter, with officers
appointed and regulated by the Police Commission after
an initial security review by the San Francisco Police
Department. Hourly rates for service are principally paid
by private clients, with some cost to the City for general
program administration concerning standards of
professional performance, but not concerning day-to-day
operations. Thus, the nature of this special police force is
both quasi-private and quasi-public. The force has been
in operation in the United States, city of San Francisco for
over 162 years. By current City Code the force provides
patrols on the streets of San Francisco as well as at fixed
locations, and also provides a range of other safety
services as requested by private clients.
21. New Orleans, Louisiana, USA
The City of New Orleans Department of Police in accordance with New Orleans Home
Rule Charter section 4-502 (2) (a) (b) and New Orleans Municipal Code 17-271 MCS
90-86, deputizes armed Security Officers, Private Investigators, College Campus
Police, City, State, and Federal agencies, within the city limits, with limited Police
Power as New Orleans Police Special Officers. New Orleans Municipal Code 17-271
MCS 30-1122 states It shall be unlawful for any person to act as an armed guard unless
he is a Peace Officer. Louisiana R.S. 40:1379.1 (b) states the Special Officer, when
performing those tasks requiring a Special Officer's commission, shall have the same
powers and duties as a Peace Officer. Special Officers may make arrest for felony or
misdemeanor offenses on the property or area they are to protect, patrol, or in
relation to their direct assignment. The Special Officer when making an arrest may
pat down the arrested subject for weapons. Special Officers are to turn over arrested
subjects and pertaining evidence to a New Orleans Police Officer. Special Officers are
to honor all subpoenas on arrests made and appear in court to testify. Special Officers
when not on a particular assignment are regarded as private citizens and have no
Police Power. However, Special Officers still may make an arrest for a felony, whether
in or out of his presence, while not on a particular assignment, under Louisiana Law
CCRP art.214 Arrest by private person; when lawful.
22. Washington, DC, USA
Washington DC utilizes special police in both the
public and private security sectors. Most work
for private security companies although many
security officers in the Washington DC area also
have special police status. Special police are
required to be licensed and are appointed by
the Mayor.
23. Program Design
• Identify threats
• Create capabilities to respond to threats
• Identify resources available to implement
program
• Initiate new security officer program
• Recruit candidates who meet or exceed
physical fitness and mental acuity
• Offer pay program (including bonuses) about
30% more than the industry standards
• Train officers to address threats and to
create competency in skill sets
• Meet with clients and prospects to introduce
concept of a new security officer program
• Liaise with law enforcement to complement
each other’s efforts and to institute a plan
for collaboration
24. Program Implementation
• To be successful, companies
must develop methods of conveying the
value of their services to their
customers. In many cases they can
accomplish this through the use of
metrics.
• Metrics help companies focus their
people and resources on the things
that their clients value most.
• Focusing on those things then leads to
service that their clients would
consider high quality.
• For companies that provide security
guard service those metrics can come
in many flavors.
25. Implementation (continued)
• The top five categories for
which they used metrics were:
– 1) Security Incidents,
– 2) Criminal Incidents and
Investigations,
– 3) Cost against budget,
– 4) Security training and
education, and
– 5) Guarding
performance (turnover,
inspections, etc.)
26. Elevating Standards
• It is clear that traditional security standards must be
elevated to ensure that capabilities and training are
exploited.
• Typical watchmen or security guards will always have
some participation in a value-based contractual
relationship.
• We have reached a critical time when highly skilled,
experienced and properly trained security professionals
are necessary to counter new threats in our world.
• These professionals must be able to thwart threats and
reduce risks by their ability to be proactive and
capable of responding to real world scenarios.
• We can no longer rely on the traditional approach of
providing security, when it has become necessary to
have front—line operators who are capable of responding
to any incident.
• To develop this highly trained front-line operator, a
private security company needs to identify and recruit
individuals who meet a basic requirement (education,
prior training, experience). This will require
searching for recruits in the security, military,
academia and law enforcement communities.
27. Training Methodology
• To create a privatized police force, there must
be a strong impact in the levels of training
provided of this new security force.
• Candidates should be pre-screened for criminal
history, work ethics, license validation,
experience, past training, psychological
screening, drug testing and physical fitness.
• Training of these candidates should include
life saving techniques, weapon’s retention,
baton/ASP training, hand-to-hand combat,
escalation of force doctrine, advanced firearms
training and de-escalation techniques.
• Strict guidelines for graduating must be met,
to ensure the standards are not diluted.
• Depending on the training curriculum, there can
be multiple levels of training to provide
continuing training to advance an officer’s
ability to hone the skills they have learned.
28. Comprehensive Training
To raise the standards, it is necessary to establish training
requirements that simulate real world environments.
29. Application
• Adopting a program to bring a highly trained
security officer into the market is not a new
concept.
• In this day, with the rise of violence in the
world, and the inability to rely on the public
sector police to combat this tide, is ambitious
but hopeless.
• Government, business and communities will become
more dependent on securing lives and property and
relying on a security standard that cannot meet
today’s threats, becomes ineffective.
• A new paradigm is necessary to bridge the gap
between police and the private security.
• The standard for this new guard force must be
elevated and tailored to exceed the standards of
our industry.
• There must be a commitment to ensure that the
program is supported at all levels to guarantee
nothing is diluted.
30. Transition
• Public and private schools and universities have
lowered costs by implementing a private police
force program
• Prisons & Detention Centers in 18 states have been
privatized many Federal and State institutions
• Community Policing in neighborhoods, condominium
and residential areas has become a cost-effective
means of policing. In North Carolina, private
police are certified company police agencies
governed by the North Carolina Department of
Justice chapter 74E of the Company Police Act.
Under 74E Company Police in North Carolina can,
and do make arrests, and write citations for
violations of the law the same as any municipal
police officer.
• Hospitals seek partnerships to institute “special”
police officer and peace officer programs.
• Public transportation run by public funds create
privatized Transit Police functions to halt crime.
31. Target Market
• Embassies, consulates and
diplomatic missions
• Schools and universities
• Critical infrastructure
(transportation, hospital,
utility facilities, etc.)
• Construction sites
• Government facilities
• Businesses
• Commercial properties
• Communities
32. Market Analysis & Overview
Demographics and Segmentation
• School, Government, Residential and Commercial security contracts in
Target Market
• High-end Clients that are seeking top-tier security to protect assets.
• Schools and universities (Public and Private)
• Government facilities
• Critical infrastructure
• Diplomatic missions
Market Need
• The security market is full of companies that are providing limited security with
poorly trained staff, a lack of leadership and troop welfare. It becomes necessary
to fill a void with professionally trained security staff that can respond to
today's threats and be a force multiplier for law enforcement. Also, it is
necessary to bring quality leadership and provide a company led by its employees
with better pay, training and potential benefits.
Competition
• The industry is led by big fortune 500 companies that are profit-driven only and
not client driven. Allied Universal is the largest company in the world followed
by G4S. These companies have trouble staffing contracts with quality personnel and
lack line supervision for staff on the ground. Many small-large security companies
cannot train and prepare staff properly since they low bid contracts, this results
in high turnover and lessens the ability to make a commitment to training.
Barriers to Entry
• Investment
• Technology
• Brand (the huge marketing costs required to get to a certain level of recognition)
• Regulation (licenses and compliance)
• Access to resources
Regulation
• Regulating agency for security companies and officers.
33. Sales and Marketing
• Business Development
• Website
• Social Media Platforms
• Proposed marketing strategy
• Proposed advertising strategy
• Email and telephone soliciting
• Trade organizations
• Reputation development
• Branding (logo, tag line, etc.)
34. CONCLUSION
• The conventional ways of providing protection will be incapable of
surviving in an age where violence has reached epic proportions.
• The need for a high quality and highly-trained security officers is
necessary to act as a first responder to incidences that require a
more comprehensive response.
• Tailoring a unique program to train security officers and to
provide them with the tools necessary to counter threats will
become the standard for an industry in need of drastic change.
• Establishing partnerships with local and state police and federal
agencies is warranted to ensure commitment and a collective
response to issues where cooperation and collaboration can
contribute to resolving manpower and budget costs by relying on
private police services.
• No longer can people, businesses, communities, schools and
government facilities allow themselves to become a soft target when
lives are at stake. This is the time, when we can raise the bar
and establish a new standard for the security industry.
• Public sector police are over-burdened by crime, retention of
officers due to public scrutiny and cost-saving measures to reduce
their budget. This provides a great opportunity to create a private
police force that is capable of responding to the call for an
augmentation force and gives rise to the private police.
West Midlands, England, Chief Constable, Chris Sims, says his force is a good testing ground for fundamental change; by expanding the role of private police, Sims saves his agency £126 million (approximately 2.3 million USD) each year.17 Other UK forces—Thames Valley, West Mercia, Warwickshire, Staffordshire, Gloucestershire, Wiltshire, and Hampshire—have outsourced 30 custody suites and 600 cells to G4S, a private policing organization