IASG to close PSI call center

Thursday, January 8, 2004

January 8 , 2004

ALBUQUERQUE, N.M. - Integrated Alarm Services Group has reportedly notified employees at Protection Service Industries’ office here that the company’s call center will be closed by March.

IASG purchased Rancho Cucamonga, Calif.-based PSI and its parent company, Lane Security Inc., last month.

IASG officials did not return calls seeking comment by the Newswire deadline, but Joseph Reinhart, the company’s director of investor relations, told the Associated Press that the decision to close the center was made to “gain the efficiencies of the acquisition” and that “much of the functions in Albuquerque lent themselves to be merged into other operations of IASG.”

Bill Romano, PSI’s director of sales and marketing, said because post-acquisition consolidation of services is in the discussion phase, he could not confirm reports that the call center operations would cease. He added that some of PSI’s operations would likely be consolidated into IASG’s in the future.

“Will there be consolidation of certain positions and departments? It would be very naïve to think there wouldn’t be,” he said. “It’s still unclear what will happen with the central station aspect of the business, but I know that as the first quarter goes on, information will become clearer.”

Because of IASG’s strength in central station operations, Romano said, some changes are bound to occur within PSI.

“Will they maintain the central station in Albuquerque? I can’t imagine they would keep it the same because that is their business,” he added. “If they’re going to leverage efficiencies and drive profit, that would be the very first place to look, simply because that is what they do.”

Romano did say that PSI’s other operations in Albuquerque should go unchanged.

“As far as sales, service, installations and commercial growth, it would make sense and it’s probably safe to say that that will stay the same there with PSI,” he said. “All service and operations personnel, regardless of what happens to the central station, would still remain. We would still maintain the service presence.”

PSI opened the Albuquerque center in the mid-1990s. According to the AP, about 90 people are employed in the call center.

For more on this story, see the February issue of Security Systems News.