How Businesses Can Reduce Security Guard Costs Without Risking Safety

Security guards are a staple in various businesses, offering employees peace of mind and helping to prevent unauthorized access and theft of valuable items. However, the hidden costs associated with hiring them can be extensive. Discover how supply chain businesses can cut costs while implementing strategies that reduce security risk, protecting both facility assets and people without compromising safety.

The Hidden Costs of Traditional Guard Services

Around 42,000 commercial burglaries happened in the U.S. in 2023, resulting in hundreds of thousands of dollars’ worth of property, time and repairs. Sometimes, even with talented security personnel, traditional guard services may not be enough to keep pace with the ever-changing nature of the supply chain industry.

One inherent limitation and liability of human guards is that they have a multitude of tasks to do, so some things are easily overlooked. They inspect buildings and access points, respond to alarms, and deal with unexpected incidents. With limited staff and a growing list of responsibilities, guards on large sites can become overworked.

Large sites present significant challenges for security guards, especially when it comes to covering extensive perimeters during a break-in. Even the most vigilant personnel cannot monitor multiple areas simultaneously. This is even more challenging if a business is in a remote area. It may be difficult to find talented personnel willing to work there due to the long commutes and limited nearby amenities.

Hiring qualified guards can significantly impact budgets. Guards must be physically fit, possess the right temperament and remain vigilant throughout extended shifts. Additionally, the recruitment process involves background checks, insurance coverage, comprehensive training and managing high turnover rates — all of which contribute to escalating costs.

How to Cut Security Costs Without Sacrificing Protection

To address these challenges, some companies are turning toward perimeter-based electronic security systems instead. These systems can reduce the need for constant guard presence while maintaining effective protection. Solutions in this category may include electric fencing, alarms, lighting, and video surveillance.

Case Study Example: Electric Perimeter Fencing

AMAROK provides commercial electric fencing used in supply chain and industrial facilities as an example of this approach. Its Electric Guard Dog™ Fence demonstrates how layered security can work in practice:

• Physical barrier: A 10-foot-high fence delays or prevents break-in attempts and clearly marks property boundaries.
• Shocking deterrent: The system delivers a high-voltage, low-current shock to discourage intruders, designed to be a humane and medically safe alternative to traditional barbed wire.
• Alarms and lighting: Contact with the fence triggers audible alarms and bright LED lights, helping to alert personnel to unauthorized entry.

Video surveillance can be integrated with the fencing system, providing continuous monitoring and access to recorded evidence. This allows on-site staff to focus on other operational priorities while perimeter breaches are detected automatically.

Perimeter systems can be particularly effective in facilities with multiple entry points, storage areas, and large perimeters that are expensive to monitor with guards alone. Environmental factors, such as rain, snow, fog, or darkness, can limit human effectiveness, whereas solar-powered fencing systems can operate reliably under these conditions.

Assessing Costs and Return on Investment

Theft of goods results in significant financial losses for businesses. It can undermine future sales opportunities and harm brand image. Organizations evaluating perimeter security solutions typically compare implementation and maintenance costs with expected benefits, including:

• Reduced losses from theft or vandalism
• Lower insurance premiums
• Fewer incidents requiring personnel response
• Operational efficiency gains

Cargo theft increased to 3,625 reported incidents in 2024 and remains a primary concern to this day. A multi-layered perimeter security solution serves as a barrier between threats and valuable assets, establishing clear boundaries that deter trespassers while stopping more determined intruders.

In reported deployments across all 50 states and over 8,000 customers, AMAROK cites that facilities replacing 24/7 security guards with an electric perimeter system observed average savings of approximately $120,000 per year, with around 99% of clients experiencing no theft after installation. With the professionals handling the installation and maintenance of a customized security strategy, internal teams can devote their resources to revenue-generating tasks.

A company’s security return on investment (ROI) can be measured by determining the total implementation costs and recurring ones, including staff training and maintenance. Calculate the direct benefits, including reduced insurance premiums, risk of losses from theft or vandalism and incident report costs. Estimate the indirect benefits, including improved customer trust and operational efficiency. Calculate the net return by subtracting the total expenses from the total benefits of a security system.

Further Security Enhancements to Implement

Combining the power of a looming electric fence and 24/7 video surveillance can further reduce security guard costs. For example, AMAROK’s FORTIFEYE™ security is a fully integrated security system that can prevent unauthorized entry and theft in a facility.

Security posture may be enhanced with additional solutions, such as sentinels — stand-alone fence alarm systems designed to protect vulnerable or low-visibility areas of company property. Trusted landscaping partners may also offer vegetation control services to ensure that the perimeter remains clear and secure.

A multilevel security system may strengthen a property’s defenses and give the owners greater peace of mind. With a comprehensive, layered approach, teams can focus on core operations and remain confident that the property is well-protected against theft.

Building an Effective Security Strategy

When considering ways to reduce guard costs without compromising safety, facilities typically start with a comprehensive site assessment. This involves reviewing access points, identifying high-risk areas, and analyzing historical incident data.

Integrated approaches combining physical barriers, alarms, and surveillance offer a proactive strategy that helps prevent incidents before they occur, enabling businesses to manage security efficiently while maintaining protection for assets and personnel.