Controlling Your Security Budget and Your Client
Budgeting is a subject that every security business has had to confront at one time or another. Your clients are in business to make money, and honestly, so are you. So, when your client calls you in for a meeting, you better have your speech of understanding and provide sound reasons for the security to remain.
I am fairly positive that I can say we all have been through a budget reduction and it’s process. The difficulties we face are actually basic; the client needs to reduce overhead and the two areas the client addresses first are, janitorial and security.
Whenever I was challenged with the need to reduce staff and hours, I always approached it with the understanding that the product I’m selling is something the client can’t see it, touch, or truly understand our purpose. You will probably need to reduce staff, and it’s never easy, but it doesn’t need to be a complete loss.
Use this experience to learn and continue to grow.
You should know the initial meeting on a budget reduction is not the last meeting or a done deal. You have been given an opportunity to address the proposed budget. This is when you clarify that there is a valuable product you provide. Explain that your staff is not just security, but a productive member of their community.
Help the client understand how important it is not not save money by cuts.
If your client feels that since incidents are down, they might justify not needing as many guards, thus, saving them money. Counter that belief, by using their own reasons to your benefit. Tell them yes, incidents are down, but due to the excellent training of the security staff and how effective they now are in their positions. Remind the client of incidents where security was called and the times security was proactive in saving the client. I’m sure you have reports and the client know’s all this as well, but gentle reminders do go along way.
Sometimes, you need to take a different approach when talking to the client about budgets. Take advantage of the fact that they know the names of THEIR security staff. Mention the guard’s by name and point out how each guard is an important part of the puzzle. This will create a personal connection and put a face behind the name, helping them to not be so quick to cut.
Unfortunately, you will need to reduce hours to help the client’s security budget. It’s at this point, your staff will be informed of the changes.
Again, this is not a problem, but an opportunity for you and your staff to learn from this and move forward. The key in my experience is not to over tax your staff, adjust assignment’s and shift sizes. Your on-site supervisor will or should know what shifts can be reduced with minimal moral effect. If you are at a site that does not have multiple security officers and shifts this becomes more challenging and less flexible. In this case you may be able to promote other services you can provide such as mobile patrols, and additional security systems.
It has also been my experience that this unfortunate event is not limited to just security and janitorial services. It will usually affect the client’s own employees as well.
Hopefully, the employee(s) affected do not create additional concerns, but should additional concerns arise, it’s your responsibility to the client and remaining employees to work together to provide a safe work environment, and that you provide a detailed and comprehensive plan to prevent and respond to an event and or incident.
It has also been my experience that budget reductions come in threes. So, be sure to control your staff numbers, overtime and what expenses you don’t need to pass onto your client, such as paid training, seminars, and anything really that you can avoid billing your client for.
To sum it up, always know your budgets and how it affects your client and employees.