Security Products Manufacturing

Security Products Manufacturing Brief Excerpt from Industry Overview Chapter: Companies in this industry manufacture electronic security and safety communications equipment such as fire and security alarms, intercoms, and vehicle and pedestrian signaling systems. Major companies include divisions of GE, Honeywell, and United Technologies (all based in the US), as well as ASSA ABLOY (Sweden), Nippon Signal (Japan), SWARCO (Austria), and divisions of Johnson Controls (Ireland) and Siemens (Germany). COMPETITIVE LANDSCAPE Demand is driven by residential, office, and commercial construction, as well as construction spending for highway, street, and railroad infrastructure. Profitability depends on efficient manufacturing and effective marketing. Large companies compete through advantages in economies of scale and by offering a wide spectrum of products. Small companies can compete by specializing in niche products and through superior customer service. The US industry is highly concentrated: the 50 largest companies account for about 85% of industry revenue. PRODUCTS, OPERATIONS & TECHNOLOGY Major products include alarm systems (about 40% of industry revenue), and vehicle and pedestrian traffic control equipment (about 30%). Other products include carbon monoxide and smoke detectors, motion detectors, remote control units (consumer electronics, garage doors), sirens, and theft prevention signaling devices. Alarm systems include central alarm monitoring equipment, burglar and car alarms, and fire detectors

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