Seems to me that the two have not yet made the connection. Alarm companies
view the electricians as competitors with some advantage, because alarm
licenses are usually restricted to low voltage. Electrical Contractors view
the alarm industry as small potatoes and not worth their time, and
electrical contractors are not trained as security professionals.
But I think both industries are missing the advantages of closer relations.
Consider that electrical contractors are required in 100% of residential
and commercial structures. The alarm industry does not come close to that
percentage, especially in residential structures.
Alarm companies know that they must rely on the electricians to complete
the fire alarm hook ups and other services. So what does an electrical
contractor need an alarm company for? Most alarm state licenses, and most
states now have some form of license, exclude licensed electricians, or
permit the electrician to qualify for the alarm license. Alarm licenses are
usually state wide, while electrical licenses are typically local, not
state wide. So a licensed electrician would qualify to install alarm
systems only in the limited area where he is licensed as an electrician,
unless he obtains the alarm license.
Alarms and security has evolved to far more than a perimeter closed loop.
Electricians may not want to take the time to be properly trained in
security, or the time to keep up with the ever changing systems that become
available almost weekly. In fact if the electrician set out to become an
alarm professional just a year or so ago he may already be out of date,
because alarm professionals have moved on to become security professionals
and now system integrators. I suspect that some "system integrator" work
requires an electrician, if nothing more than to put a few outlets in where
the TV is going to go and the electrical outlet for the electric drapes to
close off the room.
Electrical Contractors may think the security industry is not worth their
time. After all, they have their hands full just installing the electrical
service. They are wrong. Electrical Contractors have not yet discovered the
business model of recurring revenue. Missing that costs them continuing
relations with their customers, lost revenue on a regular basis, and of
course they have no equity build up, no recurring contracts, to sell.
The two businesses have just too much in common to ignore each other, or
fear each other. The analogy that comes to mind is a grill owner who sells
hamburgers and decides not to sell hot dogs.
Now I know that the alarm industry guys are wondering, why encourage
Electrical Contractors to go into the alarm business, and how can that
increased competition benefit the existing alarm industry? Alarm
professionals who work with electrical contractors can benefit in several
ways. First, electrical contractors are in every building, not so for the
alarm professional. Electrical contractors will be installing wiring before
the alarm professional, and there is no reason they can't install the
wiring for the "system integration." The electrical contractors will not
want to properly train for system integration and I predict they will be
more than content to leave that to the alarm professionals, but will
recognize that joint venturing will be mutually beneficial.
Electrical Contractors may also have a problem with their insurance
coverage. The completed operations carried by electrical contractors may
exclude alarm systems. Electrical contractors do not understand the
difference in exposure that an alarm / security company faces [which is not
to say that electricians don't have serious exposure for what they do]. The
insurance problem is handled by the Electrical Contractor setting up a
separate corporation for the alarm division, which should be done anyway,
and carrying Alarm Insurance with errors and omissions.