Subscriber Discussion

Mckinsey Says Integrators Have A Big Opportunity

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Carter Maslan
Dec 08, 2016
Camio

If you read "Video meets the Internet of Things" (http://www.mckinsey.com/industries/high-tech/our-insights/video-meets-the-internet-of-things), McKinsey paints a future where sophisticated Integrators create powerful solutions with a combination of IT/software, networking and hardware skills.

But where can you find this class of Integrator? 

IPVM seems obvious, but it would be so helpful to expand https://ipvm.com/integrators beyond basic geographic directory to enable filters for the skills behind these opportunities like:

  1. full-stack Web development with json/REST APIs
  2. workflow automation with human review (HIT tasks)
  3. data analysis and visualization dashboards
  4. etc... 
U
Undisclosed #1
Dec 08, 2016

don't most of those linked in the integrator finder have websites?

don't most websites tout the respective skills that their staff has?

Avatar
Carter Maslan
Dec 08, 2016
Camio

yes, we can read through each website as if the integrator finder were a yellow page directory.

But it seems like a great opportunity to allow basic tagging of skills to differentiate quickly between a basic equipment reseller/installer vs. IT/app integrator for example.

Avatar
Brian Rhodes
Dec 08, 2016
IPVMU Certified

Interesting.

I may be misreading this 100%, but it seems the 'upside' being examined is for analytics development, not 'integrators'.

The vast majority of integrators don't examine/train/hire for stack proficiencies. They hire people who can pass drug tests and pull cables.

I think the real beneficiary this piece identifies are software developers who are familiar with video surveillance hardware and system design. Does that sound right?

U
Undisclosed #1
Dec 08, 2016

I agree.

I was originally going to reply that I think the skill sets listed by the OP are not in line with most integrator companies that I know/see.

Sure there are a lot of non-traditional (i.e. former IT tech shops who've since added CCTV as a value add) integrators who have entered the physec space over the last few years. But that doesn't mean that if you are an integrator that doesn't have your own web developers that you are in some way limited or diminished in some manner.

Rather than pointing out that these are skills that are not obvious on the integrator finder page of IPVM, why not be upfront and just ask if any integrators seeing your words have these skills?

That way you might satisfy your own biz dev efforts without seeming to throw down a gauntlet and challenge the industry at large to see things the way you see them. Since your companies value proposition seems in line with your argument I mean.

:)

Avatar
Carter Maslan
Dec 08, 2016
Camio

I was looking for a way to find Integrators like applyvideo.com, csatlanta.com, cybermanor.com, etc...

But I now see your point Brian. I had read this section of the report as IPVM "Integrators", but this article may be using that word to describe a different category since they contrast Integrator with installer:

Integrators. Under this model, companies offer solutions across the entire IoT value chain, from solution integration to hardware, giving customers a single source for all their surveillance-technology needs. This model may give integrators a competitive edge, since most surveillance customers are not security experts and prefer end-to-end solutions that cover installation, hosting, analytics, and other tasks. In addition, many surveillance customers, such as casinos and government agencies, must meet strict regulatory requirements and want assistance in fulfilling them. Integrators often assist with these tasks by subcontracting with other providers, such as companies that install cameras.

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Brian Karas
Dec 08, 2016
IPVM

McKinsey paints a future where sophisticated Integrators create powerful solutions with a combination of IT/software, networking and hardware skills.

Most integrators I have met do not want to create bespoke solutions in this way. They want manufacturers to create solutions and software integrations which the integrator can then install/configure/support.

Integrators are rightfully worried about the support overhead associated with essentially becoming a kind of software development shop.

There is also the side where customers don't have the budget to fund customized solutions for the bulk of the market. The exception to this has been the PSIM market, which has been an outlier relative to the broader security market.

We may see more video analytics applications in the mainstream market of the future, but it will come from manufacturers creating something closer to a turn-key solution, and not from integrators becoming more sophisticated in creating these solutions on their own.

(1)
UI
Undisclosed Integrator #2
Dec 08, 2016

Unfortunately, I agree. The few companies that have attempted the model of being engineer/developer/installer have fallen woefully short on one or more of those proficiencies to the detriment of the business. I have gotten so jaded that when I see someone start to develop their own product (analytics or other custom innovation) and attempt to function as a traditional integrator / installer we instantly start a death pool. VCs may prop them up a while but I have not seen that last.

(1)
UI
Undisclosed Integrator #3
Dec 08, 2016

Brian,

That will (apparently) depend on where the integrator is located in the world.

Over the past two years my company has been working with a manufacturer that deals extensively in emerging markets. When we were trying to figure out how we were going to work together they kept telling us that North American integrators are too rigid. For example, we evaluated their product and come back to them with a number of "must haves" and some "nice to haves" for their product if it was going to succeed in the NA market and we were told that they offer an SDK and that we should implement whatever we wanted to better sell the product. When we explained that we do not do custom development work for our customers because of the liability / support reasons raised here, we were told that we are at risk of being made obsolete by a new breed of Value Added Reseller / Integrators.

Apparently in the EMEA and BRIC countries the "good" integrators are one stop shops that create and develop "solutions" themselves. These integrators purchase stock, develop custom solutions and self warranty product - all in an effort to get better margins on products. They can apparently turn on a dime and build exactly what the customer needs, and not rely on a manufacturer to build it out.

Now, this may work in those regions but I do not know of any shop in NA that could run a successful integration business with this model. Inevitably the service / installation side of the business would be propping up the development / support side. In NA the cost of labour is simply too high for this type of business model to work IMHO.

In the few business that I have seen go down this road, they put all of their eggs in one basket - i.e. a "senior" developer that can architect the software / solution. They will then hire cheaper talent (typically off-shore) to write the majority of the code. The issue then becomes when that person leaves (better money somewhere else, god complex develops, etc) the integrator is left in the lurch trying to support a piece of software he likely has little knowledge of and little to no documentation on.

I wholeheartedly agree that it is one thing for IT integrators to add another IP based widget to their network - it is quite another for a service business to start full stack development.

(1)
U
Undisclosed #4
Dec 08, 2016
IPVMU Certified

System Integrators != Security Integrators

U
Undisclosed #5
Dec 09, 2016

While I know that there is pretty widespread hatred for the "Big National" North American integrators here, there are a couple that do some pretty impressive stuff in this area already, and that are building organizations to really expand it significantly. I will leave it to others to find examples of it, but I think you'll start seeing more of this coming fairly soon as well.

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