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ASIS 2013: AS&E likes to offer ‘turnkey services’ packages
If you ask Charles (“Chuck”) Dougherty, the president and CEO at American Science & Engineering since April 2013, “What’s new with your product line?,” he is more than likely to turn the conversation to “turnkey services,” rather than focus on his array of detection and screening systems.
That’s because Dougherty for decades has seen the services business as a reliable way to earn impressive profits. “A disproportionate part of our profits are for services,” he told Government Security News, during an interview in the AS&E booth at ASIS on September 24.
AS&E, which has landed customers around the world -- and is particularly active in Central and South America -- has grown accustomed to offering complete “turnkey packages” to its clients, rather than simply delivering the purchased hardware and walking away. Based on leadership positions he has held at Tyco, Harris and Motorola business units, and elsewhere, Dougherty prefers the idea of offering integration, technical and software services, and occasionally operations personnel as well. Such offers are usually welcomed by AS&E’s prospective customers, who often don’t have the money to make large upfront capital outlays and generally don’t have the technical personnel necessary to implement complex programs, Dougherty told GSN.
This phenomenon is particularly true at seaports, he added, where the shippers are often expected to cover a portion of the costs to pay for the integrated package of services deployed at the port.
AS&E is currently undertaking such a “third-party integration” project at the huge Khalifa Port in Abu Dhabi, where the American company is responsible for the program management and the integration of the X-ray scanning, software and other detection devices, said Dougherty.
About 40 percent of AS&E’s revenues currently are derived from “services” -- including what Dougherty calls “break-fix” services -- and he expects that percentage to continue to grow.