Volume 90 | February 3, 2025
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Welcome to Brief 90! During my recent trip to Lancaster, Pennsylvania, I visited PDQ Industries, LLC - a company that sparked immediate interest when I announced my plans. This compelling story showcases PDQ's rich history, current operations, and future direction. While the final chapter remains unwritten, I'm excited to share their remarkable journey with you. I hope you enjoy it as much as I did telling it.
But before we get into it, I wanted to share three updates:
The Security Breakdown: We're thrilled with the incredible response to The Security Breakdown, our free weekly newsletter transforming how professionals stay informed about the global security industry. Built by members and for the community, this comprehensive resource delivers concise, no-fluff insights on video surveillance, perimeter security, intrusion detection, security operations, and global industry trends, all curated by leading experts and practitioners. As a dedicated space for learning, sharing, and networking, we provide both broad and deep insights, offering opportunities for connection, whether online or in-person, locally or globally. Please share the sign up link with your network!
The AC/MA Summit, scheduled for March 4th at Houlihan Lokey's office in NY, is a groundbreaking half-day event focusing on the global access control and financial industry. This first-of-its-kind summit brings together professionals from banking, corporate development, private equity, and venture capital for networking, keynotes, and panel discussions. The impressive speaker lineup includes financial market presentations from Michael Morabito and Justin Abelow of Houlihan Lokey, a corporate development panel featuring executives from HID, Salto, and Chamberlain, and a private equity panel with representatives from LLR Partners, Triton Partners, and Ulysses Management. The event also includes a venture capital discussion led by Annie Lan from Egis Capital Partners and a panel of companies sharing their capital-raising experiences, featuring CEOs from Kisi, Brivo, and SwiftConnect.
The Security Event (Birmingham UK): If you are a manufacturer or service provider serving the European market, The Security Event (as it's lovingly known) is the perfect show to showcase your offerings. We've partnered with the show producer, The Nineteen Group, to present the XForum—a thought leadership stage featuring over 60 talks, discussions, and presentations across three days. Surrounding the XForum are 12 "pods," which offer an excellent way to enter the show or establish a local presence if you already have a booth. The pods cost £8,000 and are transacted directly with The Nineteen Group (for clarity: we don't receive any money from pod sales; we're paid separately to activate the XForum, regardless of pod sales). We'll support you with social media and coordination efforts upon signing up. We're currently 50% sold, and I'm eager to fill the remaining pods. As a bonus incentive, any company that secures a pod will receive a complimentary 1:1 long-form podcast with their executive team, which we'll produce at no cost.
Thank you for all your support, partnership, and friendship.
PS: I am sure some of you may forward this, but please do so sparingly and encourage others to sign up here. Thank you!
My Visit to PDQ Industries
I've had a long-standing relationship with PDQ Industries, LLC (PDQ). During my time at Group337, when Bill Tell (may he rest in peace) was at the helm, I was brought in as a strategic consultant. Like many companies facing challenges then, their needs exceeded what any single consultant could provide. They truly needed – and eventually received – a new ownership group that could recognize and unleash the potential of their talented team, quality products, and market opportunities.
My first visit to Lancaster five years ago revealed PDQ's unique position to serve an evolving market. The industry was experiencing a decline in American-made locks, fewer growth-focused traditional manufacturers, and major players becoming less responsive to market demands. Beyond technical capabilities, PDQ saw an opportunity to differentiate through speed, value, and ease of doing business – themes that would become central to their transformation. This is a story of a company that nearly missed its potential, not due to lack of capability but due to constraints. Today, they're finally realizing that potential.
And it's exciting to see.
PDQ Background
PDQ Industries, LLC, founded in 1983, manufactures commercial-grade door hardware, including locks, deadbolts, door closers, exit devices, and electronic solutions. Based in Lancaster, Pennsylvania, the company has built its reputation on delivering high-quality, reliable products for hospitality, multifamily housing, education, government, commercial, and healthcare facilities.
In March 2023, PDQ partnered with CID Capital, an Indianapolis-based private equity firm. This partnership introduced Phil Bradney, an industry veteran and former dormakaba executive, as the new CEO. Phil—who will join me for a one-on-one discussion on stage at ACS25—joined with genuine enthusiasm for the company's commitment to quality products and customer experience. This enthusiasm remains evident from my recent visit.
PDQ distinguishes itself from other large lock manufacturers by focusing on American manufacturing in the US and Middle East, exceptional customer service, specialized core product categories, and competitive pricing. This makes PDQ an attractive choice for those seeking reliable door hardware without the complexities of global corporate bureaucracy.
My Trip and Their Facility
Lancaster, PA, is a historic city in southeastern Pennsylvania known for its rich agricultural heritage and position as the heart of Pennsylvania Dutch Country. The city blends traditional charm with modern development, featuring a vibrant downtown filled with shops, restaurants, and cultural attractions. With its strong manufacturing presence, Lancaster is an important regional economic hub. The city is also renowned for its surrounding Amish communities and farmlands, which have shaped its unique cultural identity.
Lancaster lies about two hours north of my home in Bethesda, MD. Since train service is impractical, driving is the only viable option. (If you're reading this from outside North America, congratulations on your train service—I wish we had it.) Lancaster embodies classic Americana: American flags everywhere, a fever for NFL football (at its peak now with the Eagles in the Super Bowl), neighborhood-worn charm, and a vibrant immigrant community where the American Dream thrives. Case in point: I enjoyed excellent Burmese food for lunch. It makes perfect sense—Lancaster is an affordable city with good people and a welcoming community that embraces those contributing to its fabric.
Lancaster is a perfect place for PDQ.
I arrived at 8 AM to receive a warm welcome from Phil and Zachary Klares, the young and brilliantly sharp VP of Electronics who also lives near me in the DC area. We got straight to business, as Phil had an early afternoon flight, and Zach and I wanted to beat the Baltimore and DC rush hour.
While some things remain unchanged—like the well-merchandised front entrance with its beige interior and mixed open-closed floor plan—there are notable, obvious, and subtle changes. The entrance now features a plaque displaying company values. Previously, these values were Bill's—more commanded than understood. Do what was asked, and everything will be fine. Bill maintained firm control of the company. Though he showed me his gentler side—warm, fatherly, always asking about my family—I witnessed his other side during team disagreements. It was Bill's company, emphasized by his corner office with its imposingly tall desk. That approach worked—until it didn't. Now, Phil has added a glass door to his office, bringing in light and transparency. The imposing desk and couches are replaced by minimal furniture, prioritizing function over authority. Phil seems almost uncomfortable with the spacious office—it's unnecessarily large, but he's clearly focused on more important matters. The warehouse shows a similar evolution. While it's always clean, it's now optimized.
Revamped manufacturing lines and improved inventory management have boosted production by 30% without additional staffing. Communication has transformed too. Three daily standups share visible metrics on deliverables and reflect on previous work. Monthly and quarterly company-wide meetings enable departments to share their goals and progress. Phil's team maintains remarkable transparency—when I asked about sharing information publicly, his refreshing response was simply, "Share whatever." This isn't just culture-building; they genuinely have nothing to hide. They're growing and proud of it. PDQ chooses transparency first, unlike competitors whose legal and communication departments control messaging with a "less is more" approach. Yes, being smaller and private allows this flexibility, but that's just an excuse larger companies use. PDQ has learned that achieving its goals requires zigging where others zag, which means embracing open communication.
After our conference room discussion, we toured the facility. As noted, they've reimagined the entire space. They've also relocated their InstaKey manufacturing to Lancaster, keeping only operations in Colorado. Their ambitious plans suggest continued heavy investment in Lancaster's capabilities.
And beyond. More on that below.
Speed, Value, and Ease
I repeatedly heard "Speed, Value, and Ease" from nearly everyone I met. More than just words on a plaque, Phil sees this as their key differentiator. It extends far beyond product and technical aspects. For example, they've reimagined their packaging from a stacked approach to a "pizza box" style, so installers don't need to unpack everything to access a single part. But the real advantage shows up on the business side: simplified price multipliers (just one tier instead of complicated levels), quotes turned around within hours, and an expeditor's office right on the shop floor with one clear mission—"get the order in and out without impacting daily deliverables." Speed, value, and ease. I love it. It's simple yet powerful, targeting the soft underbelly of many large players, and it's precisely what makes channel partners, distributors, and end users happy. What begins as "just one order to help me out" naturally evolves into a steady business relationship.
PACs and More OEM
I'm sure physical access control system providers (PACs) and distributors will soon offer branded locks. In fact, I would bet my house. While they'll continue supporting third-party locks when specified, they won't simply distribute others' products without developing their own brands that offer unique experiences and higher margins. Most customers won't mind this shift—except in the $10 billion high-security market. There's a growing demand for solutions that balance safety with operational efficiency and revenue generation for mainstream markets serving small to medium businesses, multifamily housing, and enterprise customers. As customers become more educated and rely on digital platforms for discovery, the opportunity to serve these markets differently than in the past 30 years becomes clear. The expanding addressable market creates new possibilities for different service models.
The need for native integration at the board level—or even custom boards within locks—is here. Its adoption is inevitable, and PDQ appears to have prioritized this.
The question isn't "Will it happen?" but "When will it happen, and what impact will it have?"
SaaS Tool
What caught my attention wasn't the InstaKey business itself but their securityrecords.com platform. The digital management portal for physical and digital keys is impressive. I'm particularly excited about its potential for private labeling, digital key cutting, shipping, etc. The opportunities are endless.
Middle East
The Middle East emerged as a surprising but logical focus of our conversation. Phil's flight, which I mentioned above, was to Saudi Arabia and aligned with my recent observations from Intersec Dubai (more on that in an upcoming brief). The Saudi market has become a powerhouse not only regionally but globally. While this may not surprise those familiar with the region, it's less evident to those who haven't spent time in the Middle East. At Intersec Dubai, Saudi Arabia dominated discussions. The scale of current and planned construction there rivals the Miami and Las Vegas condominium and casino boom of the early 2000s—but vastly larger and all at the same time. Driven by the upcoming World Cup and regional competition for the - est - "biggest," "tallest," "fastest," "nicest," and "newest," Saudi Arabia's investment climate is transforming rapidly.
However, success in this market requires dedication. Companies that invested time, patience, and resources early are now reaping the benefits. Interestingly, in the Gulf region, your domestic market position matters less than your commitment to understanding and respecting local culture. American, Canadian, British, German, and other Western brands are valued—particularly when they demonstrate cultural awareness and regional investment. For American brands specifically, Saudi Arabia's "if it's good for UL, it's good for us" mindset creates unique opportunities for early movers. PDQ has capitalized on this, with Phil heading to attend their new in-country manufacturing plant's grand opening to serve local demand. His optimism makes sense, echoing an industry executive who recently told me, "I'm considering directing 50% of my domestic resources toward the Middle East. The speed and scale of ROI could be my smartest business move."
But will it all work?
That's the real question. My honest assessment is that even if the grand strategy doesn't reach the scale Phil and his team envision, what they've accomplished in just two years has positioned them in an incredibly healthy space for a great outcome. Many larger strategic buyers would eagerly acquire them, and numerous PE firms would line up to invest capital. This means the story can't really have a bad ending—it's just a question of "how big can it be?" The Middle East strategy, combined with maintaining their focus on Speed, Value, and Ease, the PACs' shift toward branded locks, the team's ability to attract talent at their desired growth pace, and the industry's ongoing changes—it's a lot to manage. It's like playing multi-dimensional chess. Doable? Yes.
But complex.
This isn't your typical case of missing desire or incentives that I often discuss. Both are firmly in place. It's all about executing while building on the fly.
I walked away bullish and found myself rooting for them. Here's this small but mighty manufacturer from Lancaster, PA, built on Bill Tell's foundation. Many veterans are still there alongside those who've come and gone, now led by fresh faces with deep experience, fighting the good fight.
Aren't these precisely the stories we should be cheering for?
I look forward to seeing how this plays out.
Interested in Attending AC/MA?
Here are the confirmed speakers:
