Nortek Security CEO Out, Company Pivoting

By: Dan Gelinas, John Honovich, and Brian Rhodes, Published on May 28, 2019

Nortek Security's CEO, Michael O'Neal is out, after 8 years leading the company, in what Nortek described to IPVM as them having 'pivoted strongly from [their] factory roots'.

However, as their owner admitted, Nortek Security's "business endured a difficult year in 2018'.

****** **** ****, ** examine:

  • ******'* *********** *** *'****'* departure
  • ****** *********'* ************ ** difficulties
  • *** *** ******* ** moving ********** *** ** China
  • ******* ********** ********
  • *** **** ******** ******* illustrate ********

Company *********

****** **** **** **** removing *'**** *** **** of ** ****** ** "pivot" **** ******* ***** to * **** *************** innovative *******:

** ** **** ******* strongly **** *** ******* roots ** *** ********** innovator ** *** ********, the ********* **** **** a ****** ** ********** was ******. *** ** us ** ****** ******** & ******* ***** **** for *** ********** **** the **** *+ *****. Mike ********* *** **** through ************, ******* *** many ****** **********. *** presence *** ****** ******* style **** ** ****** and ** **** *** the **** ****.

Difficult ****

** **** * ** their**** ****** ************ ******* ******* **********, which ****** ****** ** 2016, ***** "*************** **********" as *** ** *** problems **** ****** ** improve:

*** ********** **** ********** from ***************, * **** in *****, *** ******* in ******** ******** **********. We *** ********** ****** brands *** ******** ****** each ** *** ****** businesses, *** **** ********** operations ***underperforming **********, and we saw opportunities for significant improvement. [Emphasis added]

****** **** ****** **** a '********* ****' ****** headwinds:

*** ******** ******* * difficult **** ** ****. Whilst ****** ************ ***************, it ********* *** **** to *** *** ************ in **********, ************* ************* and ****-****** ********* ** well ** ************* ********* its ******** *** *********** capabilities.

************, *** ****** ****** notes ** **** **, that *** ****** "*** declined" *** *** ******* faces ********* ***********:

***’* **** ** *********** security ****** *** ******** in **** *** *** become **** ***********.

*************

*** ****** ****** **** notes ********** ******** ****************** ********* *** *******'* product *****, ** **** in *** ********* ***** from **** **:

**** *** ******* ******** through *** *********** ** IntelliVision, * ********** ****** in ********** ************, ***** cameras, *** ****-********-***** ***** analytics ******** ***** ***** the ******** *** **** Smart ************ ****** *** product *****.

*******, ************* *** ************ been * ****** **** analytics ******** *** ** have **** ********** ***** the ***** *** **** they **** ******* ******.

Move **** **** *****

******* **** ********* *** ongoing **** ** ********** away **** ***** ** escape *******, ** **** on **** **:

*** ******** **moving ********** **** **** ***** in response to the onset of higher tariffs, which will also reduce inventory requirements and increase supply chain flexibility. [emphasis added]

Product ********** ********

****** ** ******'* ******** are ********, ****, *** poor ******* ********** ** its *** ********* ** companies.

**** **** *** ******* of ******* ********** '*-******' ******* ****,********** * ******** ****** security **** ********* **** four ***** ********* *********** ********* ******** sensors, ******/**** ******** ******* have **** ****, **** even ******* ******** ******* taking ***** ****** *******.

** ******** ** ******* ********* ********, ** *** '*****-**********' GC3 *****, *** ******** internal ********* ****** *** still ********/ ******, *** improvements **** ****** ************ and * ********* ****** only ****** ********* ***** after *******.

**** **** *** ***** launches *** *******, *********** has ***** ********. *** example, ******** *** **** / Motion ******** ******, ****** ************ ** a **** *** *** many ***** ** ****** firearms **** ****** **** dangerous *** ********** ** negligent **********.

*** *****'* ********** ********************** ** **** **** was * ****** *******. The **** *** ******* been************, ******* ******** *** brand's *** *** ******** in *** *********** ****** market.

Poor ******** *******

******* ** ********* ***** an *********** ********* ********** ** ****** with *** ******** ** 117 ******* ********* **** 1 **** *** ******* trend ***** *** ** decline ***** ****, ** seen *****:

********** ******* ******* *** issues **** ******* ****-** **** ************, ** **** *****:

* **** **** ******* at ****** ******** & Control ****-**** *** **** than * *****. *** old **** *** *****, management *** ****** **** good. *** **** * years **** * ******** spiral ** ******* **** H1B ************.

**** **** **** *** executives ** ****** *** "no ****" *** **** anyone *** ***** ***** employees *** ******* ****, as **** ** *** review *****:

********** ** ****** **** no **** **** ** really *********, ******* ***'* (3 ** **** *** 1 ******* ** ****), all *** ****** ********** that ***** ***** ***** the ****** ******* ** NSC *** ****.

****** ********** **** ** prepping ****** *** ******** sale, *** ******* *** laying *** *********** ********* to **** *** "****** line **** ****":

***** ******** ** *** sale, ** ****** *** bottom **** **** **** by ****** *** *********** employees.

***** ****** ******* *** the **** ** ********* success ** ******** *** to **** ******* ********** and *************, ******* ** a ******* ** ******** morale:

** ****** ***-******* ******** have **** *********** ********** when ******** ********** *** to *** ********* ** understand *** *******, ************** project ********** ********* **** an ******** ** *************** and ********** ********* ** schedules ** ***** *******, and ** ******* **********. Employee ****** ********* ** decline ** ************* ****** of **********.

Employee ***** ****

****** ********'* ******** ***** dropped *% ** *** last * ******,********* ** ********, ** **** ** the ***** *****:

*******

****** ***** * ****** of ******** **** ******* management, **********, *** ******** of ********** *** **********.

* *** *****, *** GCNext, ** ********* *** later **** *******. ** it ********, ** *** help *** ******* ******* against ******' **** ********* offerings *** ******'* ********** challenges ******** **********.

******* ******* *** ******** to **** ********** ******* and ******* ****** ** Nortek ******* ** ** seen.

Comments (4)

*** ******* ** *** of **** * *** Independent ******** ************ **** in *** *.*. *** helped ***** *** ****** of **** **** ******* and **** ******* ** Companies ****** *** ***** 1990s ** ****** *** 2010 **** *****. * few ** *** ****** many **** ******** ** Channel ****, **** *****, Caddx, ***, *&* *******, and ** **** ***** top ******* ****** **** period. ***** ***** ********* were ********** ******* *** new *** ******** ******** at ****** *****.***** **** also **** ** *** brands **** *** *********** Distributors ****** ** *** on * ***** ******* field **** *** ***/****** and ******* **** *** Box ************. ** **** customers **** ***** * choice ***** ***** ** spend ***** *****. 

************* **** ******/******,  ** & ****** ******* ********, dismantled *** ***** ********** overseas *** ***** ***** American *********. ***** ********** U.S. ********* ***** **** thousands ** ******** **** were ****** ****** *** ink *** *** ** the *********. **** ** their ***** *** ***** around *** **** *** sadly ******** *** *** junk ****.

*********** ************ ****** **** the ********* ** ******** personal ************* **** ***** customers ******* *** *** leaders ** ***, ******* and *** **** **** no **** *** ***** customers *** *** ******** have ***** *** ***. The **** ** **** flow, *** ********** ****** is ***** ******** ************. 

*** *** **** ** the ********* ********** ** not **** * *** lessons **** ***** ********* about *** ** **** care ********.

**+ ***** & *******

* **** **** ************* a ********* ** **** with *****.  **** ** great ****** *** ***** care *** **** ** do **** ****, ***** in ********* *** ****, earning *******, **** ***** calls ** * ******* land *** *********** ********.  No *** ***** ** wait *** *** ****** anymore.  **** ******** **** to ** *** **** occasional ******, *** ** spend * ***** **** of **** ******* ********, figuring *** *** ******* really ***** *** *** legs *** ****** ** still ** **********.  *** alone ******* ***** **** can ****** * *** page ********* ******, **** cable *** ** * network ****** ** *** same ****.  ********* **** complicated **** ******** *** become.   * *** a ***** ***** ***** that *** **** ** entry ** *** *********** business *** ** ** massive **** **** ***'* undertake *** ******** ** the ****.  ***** *** those ******* ** *** space, *** *** ********** and *** *************** ******.  There ****** ** ** fewer *** ***** ******* out ***** **** *** move ****, ******* ** the ********* *** ***** a *** ******* *******.  Most ****** ****** **** become *********, *********** *** software ***** **** ********** relegated ** * ******* job ****, **** **** questionable ******* *** ******.  You ***'* **** ** the ****, *** * truly **** *** **** of ***, ***, *****, Linear, ************, *****, *******, Sentrol *** *** ***** privately ***** ********** **** did ***** **** ** their ***.  ** *** a ****** *** *** could *** ** ******** on *** ***** ** figure ****** *** ***********.  Now ** ***'* **** who **** *** *****, leave ** ****** *** tomorrow.  *** *** *** business **** **** **** much ***********?

** ***** *** *** BOX ************ **** *** sites **** ******** ****, put ** ********* ***** shows *** **** **** tech ******* / *******. I ***'* *** **** there ** **** ** a ********** ** ** market ******* *** ******** and ******** ************ ********* relationships. 

***** *** **** ** stop ******* *** *********** and ******* **** *****?

**'** ****** * *** of ******* *** ** the ****** ***** ***** products *** ***** ** disappointed ** *** **** fail.  ** *** ** unfair ** ****** *** it ***** **** * case ** ******* ****** a ***** ******* *** being ****** ****** * bicycle *** ******** **** the **** *** ***** do **** ***** ****** a ****** ***.  ****** soon ******* ** **** holding ** ***** *****. 

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