Innovative Financial Advisor pvt.Ltd. believes the dynamic trend of Private sector in India is evident from being traditionally unorganised workforce to a well-managed manpower. The augmenting growth of the Indian economy over the last two decades, has led to the need for security arrangements of industrial complexes, offices, and other public infrastructures such as metro stations, shopping malls, airports and public utilities. There are around 6-6.5 million private security cadre employed across the country, which is expected to continue to grow in the future. Despite the economic slowdown, the sector is growing at a rapid pace showcasing an upward trend.
The Exponential growth in the private sector has led to a rapid propagation in the number of companies operating in this sector and has attracted a huge investment. The Government of India has enacted .All private security agencies in the state have to be licensed under this act. Central Association of Private Industry (CAPSI) plays a significant role in getting this enactment which broadly covers, issues relating to the controlling authority by states, licensing of companies and training to be undergone by security guards before deployment. Security Knowledge and Skill Development Council (SKSDC) is the lead provided by CAPSI with the aim to transform it from an unorganised sector to an organised one. Some of the key players of this sector are: DSS Securitech Pvt. Ltd, Black Horse Security Services Private Limited, G4S Security Services etc.
Innovative Financial Advisor pvt.Ltd. Even though there is plethora of opportunities in this sector, Fiinovation understands the sector has its own challenges. With an augmenting growth in the private sector, it has led to the entry of various dubious operators who account for over 30% of the market. Barring the larger players, who have their own training facilities; many refrain from use of technology payable to the higher investment needs for gadgets and other training modules. Another problem faced by this sector is the non issuance of the weapons to their employees and security guards as stated by the Arms Act 1959. A proposal to allow Private Security agencies registered under the Private Security Agencies (Regulation) Act, 2005 to possess arms is under consideration.
Apart from all the challenges faced by this sector the Private Security Agencies (Regulation) Act, 2005 has regulated well and supported in organizing the Private Security Sector to make it more effectual and productive. This sector plays an important role in our growing economy and has a major contribution in the GDP and the employment opportunities generated by it. The Private Security sector in India is set to expand significantly over the coming years, reflecting the growth direction of the Indian economy.