Saturday, 15 June 2024

for Business Owners

Private Security Industry Growth in South Africa

The Private Security industry in South Africa is growing, as the need for protecting business and personal assets in the country is on the increase. The South African Private Security industry mainly provides guarding, monitoring, armed reaction, escorting, investigating and other security-related services to private individuals and companies. 


The private security industry in South Africa is among the largest in the world, with over 9,000 registered companies, 450,000 registered active private security guards and a further 1.5 million qualified guards (inactive). 


Growth in South Africa's private security industry is due to the country's relatively high crime rates, lack of parliamentary public funding for South African Police Services (SAPS), or an increasing trend towards government outsourcing of specific security. Others suggest that the number of wealthy people in South Africa has grown the industry compared to other parts of South Africa. There are diverse views on the growth, but it is event the private security industry in South Africa is growing.


According to the Private Security Industry Regulatory Authority (PSIRA) Annual Report 2020/2021, a total of 83 641 security officers and 1 884 security businesses were registered during the period under review. In addition, a total of 588 368 certificates for security officers were issued, and 9 398 certificates of renewal were issued to businesses during the financial year. There was a 2% increase in the number of registered active security officers and an 11% increase in the number of registered active security businesses demonstrating the continuous demand for private security services in South Africa.


PSIRA reported that over the last eight years, there has been a 14% increase in registered active security officers and 33% increase in the number of registered active security businesses in the industry. It is also encouraging to note that the number of females security officers within our industry continues to increase, though this year marked a marginal growth of 2% compared to the previous financial year.


Globally, as is in South Africa, many businesses and residential complexes are adopting private security services with growing concerns about terrorism and crime. The population explosion in modern cities has exposed these cities to the threat of crime and terrorism. Hence, businesses, as well as commercial and residential complexes, are employing integrated security solutions, which involve manned guarding with advanced electronic security systems, to improve the safety of their premises. 


According to Research and Markets Inc, the growing concern about crime and terrorism will drive the expansion of the global private security services market at a CAGR of over 5% during the forecast period. 


Sudden outbreak of the COVID-19 pandemic had led to the implementation of stringent lockdown regulations across several nations resulting in disruptions in import and export activities of Private and Personal Security Services. This created demand for security services in many countries, including South Africa, as business owners and home owners because more careful of their assets and interests.


The growth of the industry in South Africa has seen the rise of new entrants, owned by ex-police and security forces officers, that met the requirements for the Private Security industry, and possess vast experience. 


One such company is Gwala Group Holdings (Pty) Ltd, based in the Western Cape in South Africa. Gwala Group Holdings (Pty) Ltd is an Integrated Facilities Management Services investment company. The company is registered and accredited across multiple sectors that specializes in Security, Facilities Management, Cleansing and Hygiene, and Pest Control. 


Across all of its sectors of registration, the Gwala Group takes a tailored approach in providing bespoke solutions. Gwala Group Holdings prides itself on extensive experience in Law Enforcement (SAPS) and Security Management, affording the company and its officers an intricate understanding of our clients’ needs, their pain points and challenges with facilities management. The company has a 24h-hour intelligence centre that provides integrated security services built on proven successes.


It was founded by Sbusiso Gwala, a seasoned security and facilities management entrepreneur. Gwala Group Holdings (Pty) Ltd was founded by Sbusiso Mvikeli Gwala. A security and facilities management entrepreneur with over 16 years of experience in South African Police Services (SAPS) in Cape Town, and a Security Management graduate (UNISA), and currently pursuing a Bachelor of Arts in Forensic Science and Technology (UNISA). Sbusiso Gwala has accumulated a wealth of knowledge and expertise of 16 years in safety and security/law enforcement fraternity, wherein he served in the well-known notorious Khayelitsha cluster (Cape Town) South African Police Service (SAPS) from 2004 until 2010, moving to on to Transnet. 


Such is the foundational base of Gwala Group Holdings (Pty) Ltd, who currently service a local Shopping complex, Ilitha Mall, in Khayelitsha, Western Cape. With their motto “Your future is secured with Us”, CEO Sbusiso Gwala said their mission is to "provide a stress-free and secure business experience through the provision of superior services that cater for clients’ specific needs. Our company is committed to continual improvement, whilst endeavouring to administer a level of excellence that exceed clients’ expectations". 


With the advent of innovative digital video systems and security camera products, surveillance electronic security systems have become more efficient and reliable. A virtual security system consists of surveillance cameras connected to a network via the Internet. These are remote digital surveillance systems that are widely used in government agencies, parking lots, retail stores, hotels, construction and many other facilities. 


Increasing costs of manned surveillance will further increase the demand for virtual security systems, especially for small businesses to stop and reduce criminal activity. They are cheap and their introduction is expected to have a positive impact on overall market growth.


Whilst there are concerns over SAPS being overwhelmed to serve a population of 59 million, South African neighbourhoods, shopping complexes, office buildings, and factories are becoming more secure because of the dedication and service delivery provided by the Private Security Industry players. Hence, there is scope for growth in this industry. 


Sources: PSIRA, Africa News, Wiki, R&M