Security market boom a precursor to standardization

Security market boom a precursor to standardization

Rudijanto, Contributor, Jakarta

For major companies, no matter whether they are involved in
hospitality, manufacturing or mining, the security of their
assets and employees should be their first priority.

With the continued uncertainty in the country's security
situation, relying on their own security staff is often not
enough.

This might be why many companies have turned to professional
security management companies to manage their security affairs.
The high demand for the service has, in turn, resulted in the
mushrooming of private security companies.

The rapid growth in the number of private security companies
in Indonesia, according to Technical Advisor Martin Hughes of PT
ROH-Control Risk Group (CRG), is triggered more by the increasing
need for heightened, professional protection rather than by the
poor image of the national police force.

Although harsh criticisms have been leveled against the
National Police over alleged, widespread internal corruption,
Hughes believes that the existing police force is far from
sufficient in number to provide security for all companies and
individuals.

"That is why big companies usually seek protection from ...
private security companies," he said.

President Director Nick Duder of security consultancy Hill &
Associates (Hill) said it would be unfair for the police to
shoulder all responsibility for security in the country.

The protection of offices and commercial premises in any
country has not necessarily been relegated to the police. This
underlines the need for companies to have their own effective
security personnel, he said.

More than 800 private security companies operate throughout
Indonesia, of which around 200 are competing tooth and nail in
offering security in the Greater Jakarta area -- Jakarta, Bogor,
Tangerang and Bekasi.

Aside from private security providers such as PT Securicor
Indonesia (Securicor), PT Secom Indopratama (Secom), PT Teknodev
Inti Utama (Teknodev), 911 Bravo and Sentinel Garda Semesta
(Sentinel), there are also security consultants such as Hill and
CRG.

Unlike private security companies, security consultancies
focus on providing analytical and strategic assessments. For
instance, CRG specializes in providing political and security
risk analysis, confidential investigations, crisis management and
response and information security.

On the other hand, private security companies provide either
security personnel or security equipment such as closed circuit
televisions (CCTVs). Some companies even provide both services,
and each security company has its own specialized services.

For instance, Secom is known for high-tech security equipment
such as CCTVs, alarms, detection systems and access control, all
of which are manufactured by its parent company, Japan-based
Secom Co Ltd.

"We don't want to take the risk of using equipment
manufactured by other companies," Secom President Director S.
Rahardja said.

The company also has well-trained security guards to
complement the electronic systems, and the company calls this
combined security system of human guards and electronic security
the Man Machine System.

Sentinel, another private security provider, relies more on
its well-trained security guards who are deployed to residential
and commercial areas such as factories, warehouses, mines,
offices and hotels.

"We operate in Jakarta, Surabaya, Bandung and Bangka. We have
about 600 security guards, all of whom have undergone police
training. We also provide our Close Personal Protection service,
namely bodyguards," Sentinel President Director Ninik
Aviariananto said.

Established in 1994 in Indonesia, Securicor is part of
Securicor Asia, which is wholly owned by Securicor Plc, one of
the world's largest United Kingdom-based security companies.

Securicor specializes in cash transportation, cash management
and processing and ATM management at the highest
international operating standards.

With over 2000 employees in Indonesia, Securicor operates in
Jakarta, Surabaya, Medan, Bandung, Bali, Batam, Semarang, Papua,
Balikpapan, Banjarmasin, Makassar and Manado.

The mushrooming of private security companies in the country
has, however, raised questions as to standards and qualities.

"There is a need to standardize the services and qualities of
personnel of these companies. We do need a government regulation
that regulates, for instance, professional criteria for security
guard applicants, as well as basic training and equipment
training," Secom's Rahardja said.

Private security companies and security consultancies have a
huge market to share among themselves, as Indonesia enters a new
phase in its transition to democracy.

The approaching elections and the ever-present global threat
of terrorism will certainly provide a strong impetus for the
development of the country's security market. However, as many
security consultancies and providers admit, strengthening
security forces alone is not adequate.

Indeed, the key to better security for businesses and assets
is for companies to establish and nurture a good relationship
with local residents in the area of their operation. Once the
people accept the companies, their executives may gain true peace
of mind.