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Innovative Technology Drives Growth for Gallagher
Innovative technology which spans animal management electronic identification and human access control will be the key driveer for Gallagher's business growth in the United States over the next 18 months.
Renowned for their innovation in animal management and security solutions, Gallagher, a New Zealand based privately owned company, began operating in the USA in the early seventies with the introduction of the world’s first high powered electric fence to the agricultural sector. Sales of the perimeter security electric fence followed in 1990 and the access management platform was introduced fifteen years later. Although Animal Management sales currently provide the largest return on investment, security is the fastest growing business unit.
However, newly appointed Animal Management Vice-President, Dan Geller says the company’s commitment to research and development means the opportunities are applicable to all business units.
“Our goal is to provide customers with the best products, service and profitability so we’re always looking for new ideas and avenues for growth to redefine what’s possible. At Gallagher our strength is our commitment to innovation and technology. I was surprised at the amount of time, money and resource devoted to R&D – I don’t believe any of our competitors in North America make that commitment.”
Ongoing investment in the local market is through a strong research and development strategy with approximately 7% of the group’s total revenue invested in R&D per annum. The company boasts an R&D team of 100-plus staff with detailed and deep knowledge of electric fence technology, radio frequency identification, IT requirements, data encryption, high security applications, systems integration and industrial design.
Mr Geller is confident this investment is Gallagher’s plus point for the market. “We have at least 10 "major" agriculture competitors who drive their business through price alone - we don’t want to win orders that way. If we take in to account our brand recognition and product innovation we have a strong value
proposition to deliver to the customer. That’s how Gallagher builds enduring partnerships with their dealers and end users.”
EID or electronic identification and livestock weighing technology is one feature Mr Geller says the animal management team is confident they can develop in coming months.
“Canada has had positive results with our EID and weighing products however the NORTH AMERICA has never made a proactive approach towards them. That’s because of a theory that if the government didn’t mandate or subsidize that product there was no growth potential. But we know there is large potential in the certified beef market, with chute manufacturers, feedlots and state to state transactions.”
To support Gallagher’s growth in this area, the technical support team will grow with the recruitment of a full time Scales and EID (electronic identification)
“Having a dedicated resource in business development and technical support for Scales and EID is our first step in realizing the true potential of these products.”
For Gallagher’s security division, the investment in R&D, alongside a strategic partnership with Anixter, will play a key role in market growth.
The security sector is preparing for the introduction of federal information protocol standards (FIPS201), and newly appointed Vice President of Sales - Access, Scott Bryan, says Gallagher is ready to support the new federal regulations.
“We expect the commercial, industrial and educational markets to play a major role in exponential growth in credential management and integrated physical security management system solutions. “
“Gallagher is extending a record of innovation by developing a FIPS 201 and Personal Identity Verification Interoperability solution. We’re bringing the first FIPS 201 cryptographic authentication solution to market with Microsoft Windows® embedded operating system, Public Key Infrastructure (PKI) and credential validation.”
Mr Bryan says Gallagher’s best practice in system design and architecture provided a strong base to build its FIPS 201 and PIV‐I solution. “Gallagher servers and controllers have long incorporated digital certificates and infrastructure to perform device authentication, network access control and digital rights management. We’re now focussing on leveraging this same embedded system capability to deliver a solution which addresses and moves beyond the current federal requirements.”