The Business of Safeguarding Families: Q&A With Ira Riklis of COPS Monitoring

What do you do in your organization?

As the CEO, I, of course, have responsibility for selection, training, and supervision of the management team. Having assembled a top-notch team, which includes a Chief Operating Officer capable of walking on water in my opinion, I am free to focus on the long-term direction of the company. The results can be assessed by the measurement of the total account base of subscribers. During my tenure the company has grown from under 20,000 subscribers to over 1.5 million subscribers. We are now the largest company of our kind in the United States.

How is business for your company these days?

We are growing at a very fast clip, all the more meaningful when you consider the high number of accounts we begin with. In the last three years we have grown respectively: 60 percent, 38 percent, and 40 percent. Percentage growth gets all the more difficult when you get to our size. Perhaps it is better viewed from an interesting statistical view. We now grow more accounts in a single month than the total number of accounts the company had when I became the CEO.

What do you consider your chief business strength?

Hopefully I have many. However, as you want me to choose a single strength, I would have to say dedication to competition. We expect to compete with other companies, and we expect to be competed with. Therefore we must be on top of our game all the time. We are never able to rest on our laurels. We must continually improve the quality of our service, maintain the commitment of our employees, focus our energies on eliminating waste, and be prepared to win our customers’ business every day by delivering what we consider the “killer combination” of a high-quality product with an ability to price aggressively.

What do you enjoy most about your job?

When I became the CEO in 1989, the company had a typical call center culture. Even though we are dealing in emergency situations, we are essentially a call center. The average employee, in order to keep labor costs low, was hired, trained, worked, and left in 3 to 4 months. This would be a turnover rate of 300 to 400 percent, not at all unusual for a call center.

We have created a culture which we believe may be unique. Our people are highly motivated as well as being caring and concerned about the welfare of our subscribers. They feel that their personal success and the company’s success are tied one to the other. Statistically, our average operator/dispatcher has been with the company for over three years. Consider how much more remarkable this statistic is when you consider the amount of new hires necessary to sustain our growth. We like to put it simply: if you take care of the company, the company can take care of you. I take tremendous personal satisfaction from the stories my employees tell me about their personal satisfaction in being a part of the COPS Monitoring family.

What are some challenges you’ve faced on the job, and how did you overcome them?

Currently our greatest challenge has to do with the speed of our growth. We are encountering brand new problems we never had before. First, we needed to recognize the problem and accept the reality. For this I have to credit the insight of my President and Chief Operating Officer, Jim McMullen. He was the first to recognize that our rate of growth was stretching our management methodologies almost to the breaking point.

What’s funny is that resources, capital, facilities, etc., are not the problems we need to correct; methodologies, statistical measures, employee motivational techniques, all these and more need to be rejiggered to keep up with our rate of growth. Now that we have acknowledged—in fact, embraced—the problems, we are setting about adapting to our new high-growth environment.

What are the most important skills that someone in your position needs to have?

I believe that the CEO needs to be able to communicate effectively with all levels of the organization. Once the CEO has set the course, he or she must get buy-in from all employees. Everyone must be working together for the good of the company and the good of the customer. I believe that a CEO who simply “barks” orders at subordinates will never win the hearts and souls of their staff. In fact, those employees may not even have a clear understanding of what is to be achieved. As the saying goes, No wind bodes fair if you know not for which port you sail.

An understanding of the company’s ethos, goals, and methods is necessary for pretty much everyone at any company. But when you consider that our product is produced each and every moment that an operator/dispatcher starts a new alarm activation, understanding of what they need to achieve is crucial to producing a successful product. Every employee of COPS Monitoring understands that, first and foremost, that they must make every effort to help our subscribers in what could perhaps be their moment of greatest need.

What do you wish you’d known on your first day?

I wouldn’t even know where to start! When I read stories of business success, I’ve often wondered if it truly was such a straight line as it appears in the article. I have found the path to be filled with obstacles, dead ends, new and changing circumstances, and more. The number of times I have had to recognize that I traveled down a dead end and needed to retrace my steps would be scary to me. I don’t even want to think about it.

Being the CEO is often about learning, not knowing. Anybody that thinks I know everything there is to know is fooling themselves. From that first day onward, it is a constant effort to learn and adapt. An important part of that learning experience is recognizing that there is something to be learned from every person around you.

What is the smartest move you made in your career so far?

To recognize that you don’t know everything and can’t do everything yourself is crucial. You need to surround yourself with talented people. And then, difficult as it may be, you need to trust those people to handle work you can’t get to, or don’t know enough about anyway. I have been particularly blessed with a president and COO who is remarkably talented. Our skill sets are complementary, and so we rarely interfere with each other. Jim originally was thinking of leaving back in 1989. Perhaps my smartest move was structuring a deal such that he couldn’t leave for at least five years. Twenty-five years later, I feel comfortable saying that only with dynamite could you get Jim out of the company—and even then you would have to kill him.

What’s your management style with your employees?

First off, I run a very collegial environment. While it is absolutely hierarchical, it is not dictatorial. In fact, I don’t issue as many as five direct orders in a year, maybe less. I believe that my executives probably have the knowledge and proximity to have a better perspective than I do when it comes to running their areas. I will discuss issues with them, and I expect them to listen to my opinion. However, there is no safety (if safety is what they are after) in them saying, “I did what you told me to do.” I didn’t tell them what to do. They remain responsible for their decision. But I do allow for failure. I tell my executives that if they don’t fail some number of times, they’re just not trying hard enough. To be sure that you don’t leave potential in the locker room, sometimes you are going to lose.

Who are some other businesspeople or leaders you admire, and why?

A careful reading of the answer directly above would give an indication. I find so many CEOs wish to be associated with George S. Patton—dynamic, blood and guts, pearl-handled revolver. I’m not Patton and have no desire to be. I have always admired General George C. Marshall. As Army Chief of Staff in World War II, Marshall, later associated with the famous Marshall Plan for the rebuilding of Europe, had the delicate task of commanding other generals. Nobody makes it to being a general without having a reasonably good-sized ego. So organizing other generals to achieve the greatest effect is truly no small trick. Military men who could achieve this trick, such as Eisenhower in Europe, Berthier in service to Napoleon, and others, have always intrigued me. I want my executives to bring the best of themselves to the effort. Therefore it is often a very delicate balance to maintain. This I admire. This I seek to emulate.

What new initiatives are you working on?

I’d have to say that other than coping with the issues of such fast growth, none.

Do you have a favorite inspirational quote?

The Sage Ben Zoma, from Pirkei Avot 4:1

Who is Wise, He Who Learns from All People

Who is Strong, He Who Can Control His Evil Impulses

Who is Rich, He Who is Content With His Portion

Who is Honored, He Who Honors Others

What advice would you give to someone hoping to get into your field?

Why would you want to come in now? The sides for dodgeball have been chosen. When I came in a quarter century ago, this field was little more than potential. Today it would be very difficult to make your mark. Look for a new field that hasn’t reached this level of maturity.

If you weren’t doing this, what would you be doing instead?

Twenty-six years ago I would have NEVER predicted that this is what I would be doing today. I studied finance, mergers and acquisitions when I was at Wharton. I figured that I would be involved in deals. Life is what happens while you make plans. You have to adapt to the cards that life deals to you.

I’d have to say that I couldn’t be more happy with the way it all turned out. I love my work and coworkers. It is very remunerative. It is exciting and satisfying at the same time. I’m a nurturing person by nature with a highly developed social conscience, and therefore, helping one-and-a-half million families and businesses be a bit safer in their lives suits me to a TEE. I’d never have achieved such personal satisfaction in the world of big time deal making. I’m not suited for the private equity world. And remember the words of Ben Zoma, the rich man is he who is content with his portion.

Follow Ira Riklis on Facebook, LinkedIn, Google+, and on Twitter @IraRiklis1. You can also visit his personal website at www.irariklis.com.

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