Volume 10

Volume 10 | February 28, 2023

Hello and welcome to Volume 10 of the Access Control Executive Brief titled A New Type of Access Control and Smart Lock Consultant and Specifier. After a handful of first-hand experiences and a question about Commercial Real Estate and the Enterprise, it dawned on me: how business has been done has changed, and there is a new power dynamic. As a result, the Commercial Real Estate and Enterprise verticals have spawned a new type of specifier. Volume 10 is the first part of a two-part series. Volume 10 is about this new specifier, why, and what it means. In Volume 11, I bring three profile examples and suggestions on what to do. 

I hope you enjoy the Brief, and I am excited to get on Slack with you and discuss it.

A couple of other reminders of upcoming IRL opportunities to get together a community:

• MIPIM: If you are going to MIPIM, “the worlds largest real estate event,” please let me know. I am hosting a breakfast on March 15th with Brivo and Salto Systems and would love to have you join us. 

• ISC West: The Lounge is back - bigger (300 RSVPs so far) and better than in past years. You are all invited to use the lounge as members of the Access Control Executive Brief on March 29th and 30th. Please register here. What is the Lounge? It is an interactive networking and meeting space for you to use. We have space to meet, grab a coffee, join us for happy hours, etc. Thank you FieldHub Inc, HID, Torus, Kwikset, We The Dreamer, Moms in Security Global Outreach, PSA Security Network, Brivo, Active Witness, Soloinsight (CloudGate Platform), SS&Si Dealer Network, sesamsec GmbH, Advanced Data Risk Management , Geokey, LiftMaster, Wicket, and Geokey for sponsoring and the partnership!

• The Security Event: On April 25th and 26th I will be partnering with LenelS2, Sentry Interactive, Tapkey, and WaveLynx on the show floor and putting on The Access Control Executive Brief Theatre. We will be activating three days of thought leadership, use case presentations and discussions all centered around access control and smart locks.

• CREtech London: Along with iLOQ, Torus, ZKTECO USA, HID, SwiftConnect, and LenelS2 we are creating The Access Control Village to demonstrate what today and tomorrow looks like for the global real estate market on May 10th and 11th. Please join us and also come to CREtech to get more involved in the proptech community.

I hope to see you all in person soon! Alright, back to the Brief Volume 10!

Thank you,

PS: I am sure some of you may forward this on but please do so sparingly and encourage others to sign up here. Thank you!

A New Type of Access Control and Smart Lock Consultant and Specifier

I was recently asked, "what not-so-obvious changes or trends are you seeing in access control right now?" Typically the answer would be something product-oriented or my usual "value beyond locking and unlocking" or "letting the right people in," but after three important phone calls with ex-real estate executives telling me about their businesses, it dawned on me: the commercial real estate and enterprise have spawned a new type of access control and smart lock consultant and specifier. 

You may read on and say, "This sounds like what we have now." And on the surface, as a mentor and friend used to tell me, "you are not wrong." You are correct in the traditional sense of what our industry has done, someone specifies a product or solution, but it is not true when you look at who is doing it, how they are doing it, and where they are doing it. 

You need to look through the eyes of how the customer is approaching our industry in Commercial Real Estate and the Enterprise: someone they trust, has experience in their field, delivers them comfort, and knows how to communicate. These new players in the ecosystem are former Real Estate and Enterprise Innovation or Technology Executives with smart locks and access control on their remit. They left the Real Estate and Enterprise company they worked for, went on their own, and are now consulting and specifying solutions to large Real Estate and Enterprise customers globally. They are also involved in other work like app development, wifi, CRM, and other enterprise software consulting and specification, No security consultants. No integrators. Entirely off the grid from our industry typical watering holes and driving our market.

This is the dawn of the technology consultant and specifier for the Commercial Real Estate and Enterprise vertical.

But "why now?" 

The why now is because, as stated before, the Real Estate and Enterprise markets are looking for someone they trust, has the experience and a knowledge base in their field, looking for someone who can delivering them comfort, and that same someone knows how to communicate to them. There is also a market opportunity that has met an industry of “no” and a resulting customer base fed up and a desire for different. 

Let's talk about trust. We sometimes forget that people buy from people. People buy from people they can relate to or have a pre-existing relationship with. There is a level of trust that goes beyond technical competency that we have historically ignored. We are a technical and a technology industry that has leaned on being the most technical in the room regarding our domain. That is fine, but we also need to be a marketing and consultative sales industry that understands the customer's needs that goes way beyond our initial and singular value proposition.  

Based on that, this is why companies in the Real Estate and Enterprise verticals are happy and looking to hear from those with experience in their field and can bring in the technical experts when appropriate. 

See what has changed there? We used to be brought in at the beginning by the security department, where we were a known entity. No longer the absolute way in Real Estate and the Enterprise. They are looking to engage early in the process with subject matter experts who also understand the customer's business and are more focused on objectives like innovation, workplace optimization, and engagement, to name a few. It is one of the reasons ButterflyMX and SmartRent see success. They come from their industry and solve problems they deeply understand. This difference delivers the customers comfort that they're not only going to be taken care of but the person across the table is invested in the success because "they are one of us." Not only are "they one of us," but their network, currency, and livelihood are wrapped deeply in this community. Social influences are happening here that impact the ecosystem to do the best job. 

This leads me to the, “what is new?”

Again, you can argue that technology specifiers have always existed, and you are correct. But again, this is different. How and what impact does it have? 

Let's look first at how it is different regarding messaging. One of the most glaring differences is how they get that message across. They not only know the proper lexicon to use that is relatable, but they also know how to communicate it and where (note: they are not walking the halls of GSX or ISC West). We need to invest more in the Real Estate and Enterprise verticals as an industry. Instead, we have relied solely on our industry expertise and sat waiting for the phone to ring. I am not saying that won't continue to be the case. However, there is also new in the machine, and we could use some balance and focus on the new. 

Want a great example? When you see one of these new specifiers talk about NOI, it's different. Those not from the industry overstate, overuse, and misapply NOI. As another example, close to home, look at how people outside our industry talk about our industry and call it "key card systems" or mix credentialing and card issuance or recognition and authentication. We laugh and share pictures of it on LinkedIn. Hard fact to swallow - the Real Estate and the Enterprise industry is doing the same to us. We need to dig deeper into the verticals and “be one of them.”

The less talked about effects of this new specifier are the secondary effects. So let's look at some of those.

The first secondary effect is that new products are being specified or at least have the same shot as legacy products whereas before - they had no shot. These new specifiers do not have legacy views on the industry, where most are hardwired to stick with the devil they know versus the devil they don't know. Instead, the new specifier asks different questions and typically has a set of different expectations that usually "speaks" to companies with new ideas, approaches, and solutions. This change does not mean that all legacy companies are out. Instead, it implies that legacy companies that tell a different story have an opportunity to present themselves as more progressive and modern, matching the needs and wants of this new specifier and, subsequently, their customers. This change does, however, mean that those legacy companies of our industry are being challenged to keep up with new - new ways to do business, new feature requests, and new partnerships. If the legacy does not keep up, they are out.

The second secondary effect is the legacy being relegated to a commodity. Even if already installed. Here I am discussing more the relegation in the retrofit market versus new construction. What I have seen happen over time is a process where the owner agrees to move the existing access control product to one card and one user (also known as a commodity). They then layer on a software, work-tech, or proptech solution that becomes the front-end user interface for administrative and end-user functionality. The subsequent impact is that the integrator providing the legacy access control system is also commoditized to a break-fix role if any. The legacy access control provider would not see their business eroding as their system is still in place. Still, they are being disrupted as a value arbitrage is taking its course, and they are not being considered for new construction opportunities. This is "the soft belly of our legacy industry." 

The third secondary effect is all about external investments. Historically our industry was predictable. In and around our industry, known players (if any at all) made investments, and the goal was to build slowly with the desire for, again, known entities like ASSA ABLOY or Stanley or Lenel to be the exit. With the additional attention being given by the Real Estate and the Enterprise industry looking for solutions incorporating access control functionality, traditional real estate financial institutions outside the access control industry are making investments that are wildly impacting our industry. Two examples are Camber Creek and Fifth Wall. While some in our sector applaud and celebrate the lows of some new VC-backed entrants, we forget some that have had meaningful exits (see RISE Buildings and Stratis). Those are less visible to the traditional access control industry but have massive impacts on how our products and solutions appear on opportunities. The downstream will be a rip tide for some (Bad), while others embrace enabling these vertical-specific software first solutions (Smart).

How real is this, and what should you do about it? More on that in my next Brief, but I will leave you with three profiles to check out. These three are examples of this new specifier. I am interviewing them and will provide more of an in-depth overview then. Check out their background. What similarities do you see?

Below are historical definitions and roles of consulting and specification in the access control and smart lock (and broader security industry). This is important to include to draw differences between the new and old. 

Technology consulting advises and guides businesses and organizations on using technology to achieve their goals and needs. This can involve reviewing existing technology systems, identifying areas where technology can improve business processes, and recommending specific technology solutions.

Technology specification, conversely, is the process of defining the technical requirements and specifications for a particular technology solution. This involves identifying the features and functionality that are required for a technology system to meet the needs of a business or organization. Technology specifications can include hardware and software requirements, performance standards, security requirements, and other technical details.

Technology consulting focuses on the overall strategy and approach for using technology to meet business goals. In contrast, technology specification focuses more on the specific technical details of a solution being implemented. However, both are essential aspects of technology services and often go hand in hand in providing effective solutions for businesses and organizations.

A technology consultant and specifier typically have a background in technology, engineering, or architecture. They have a combination of technical knowledge, practical experience, and problem-solving skills to effectively design, specify, and oversee the installation of technology systems for various building types and applications.

They should also be able to communicate effectively with architects, engineers, contractors, and other stakeholders to ensure that technology systems are integrated effectively with other building systems and meet the project's needs.

Many technology consultants and specifiers have a degree in electrical engineering, computer science, or a related field. They have gained experience in technology consulting, design, or the area or vertical they work in. Some technology specifiers also have an IT (information technology) or telecommunications background and bring that experience to their role. They may have specialized in building automation systems, audiovisual systems, or telecommunications infrastructure and have expanded their expertise to cover a broader range of technology systems. A technology consultant and specifier should understand building codes, regulations, and industry standards related to technology systems. They are also knowledgeable about emerging technologies and trends in the technology industry and be able to apply that knowledge to the specific needs of their clients or projects. 

A security specifier (focusing here on physical, not digital) is typically responsible for identifying, specifying, and overseeing the implementation of security measures in various projects, such as building construction or infrastructure design. Their primary goal is to ensure that the project they are working on is designed and implemented in a way that protects people, assets, and information from security threats.

Their role is to assess the security risks associated with a particular project and provide recommendations on mitigating those risks. This may involve developing security policies, procedures, and guidelines specific to the project and specifying the technical security measures that must be implemented.

Security specifiers work closely with project managers, architects, engineers, and other stakeholders to ensure that security requirements are integrated into the project plan and are met throughout the project lifecycle. They may also oversee the installation and testing of security systems and ensure that they meet the required standards.

Security specifiers typically work within Divisions 8, 25, and 28 of the MasterFormat, a system used to organize construction documents, specifications, and other project information. This organizing and standardizing of information help architects, engineers, contractors, and other project stakeholders coordinate these critical building components' design, specification, and installation.

Division 8 in construction refers to the "Openings" division, which explicitly covers doors, entrances, and windows. The Openings division includes specifications of products related to door and window systems, including metal doors and frames, wooden doors, overhead doors, glass doors, door hardware, automatic door operators, and curtain walls, among others. It also covers various types of windows, such as aluminum, vinyl, and wood windows, as well as window hardware and accessories. Division 8 is important because it helps to ensure that the doors, entrances, and windows meet the requirements for safety, security, and accessibility. For example, the specifications for doors and hardware may include requirements for fire resistance, sound attenuation, and security features such as locks and panic hardware.

Division 28 in construction refers to "Electronic Safety and Security," specifically covering the design, installation, and maintenance of electronic safety and security systems in buildings and other structures. The Electronic Safety and Security division includes specifications of products related to safety and security systems, including fire alarm systems, burglar alarm systems, access control systems, IP and closed-circuit television systems, intercom and public address systems, and other related systems. It also covers the design, installation, and integration of these systems and the testing, training, and maintenance required to keep them operating effectively. Division 28 is important because it helps to ensure that buildings and other structures are equipped with the necessary safety and security systems to protect occupants, assets, and information. Electronic safety and security systems are critical components of modern buildings, and they must be designed and installed to meet each project's specific needs. It also helps to ensure that these systems are integrated with other building systems, such as electrical and mechanical systems, to maximize their effectiveness and efficiency.

Division 25 in construction refers to "Integrated Automation." Division 25 explicitly covers the design, installation, and maintenance of integrated building automation systems such as HVAC control systems, lighting control systems, security and access control systems, energy management systems, and other related systems. It also covers the testing, training, and maintenance required to keep them operating effectively. Division 25 helps to ensure that buildings and other structures are equipped with the necessary automation systems to operate efficiently and effectively. Building automation systems are becoming more critical components of modern buildings, and they must be designed and installed to meet each project's specific needs. The goal is to maximize effectiveness and efficiency.

A security specifier typically has a background in security, doors, locks, engineering, or architecture. Many security specifiers have a degree or certification in security management, criminology, or a related field. They have gained experience working in security consulting, management, the field, or growing up in the business. Some security specifiers have a law enforcement or military background and bring that experience to their role. They may have specialized in access control, surveillance, or fire and life safety systems and have expanded their expertise to cover a broader range of security systems. A professional security specifier has a strong understanding of building codes, regulations, industry standards, emerging technologies, and trends and can apply that knowledge to the specific needs of their clients or projects.

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