Cabling Networking Systems September/October 2013

CNS

Cabling Networking Systems The magazine for cabling, networking and telecom professionals

September / October 2013 Publications Mail agreement #40069240

Also: Hospital security woes Fiber in the Arctic Déjà vu all over again

IP Security

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Contents SEPTEMBER / OCTOBER 2013

• Volume 15, Number 5

Cover

10

When Worlds Collide

IT and security have come together. Each side used to have its own siloed sphere of operations. Now, security platforms make heavy use of IT, including information storage, super-fast enterprise data networks and, of course, the Internet protocol (IP), today’s network lingua franca. This convergence makes for smarter and cheaper security. “The cost benefits are a big advantage,” says Nadeem Arshad, head of Honeywell Building Solutions’ digital video manager business.

He explains that convergence enables organizations to save money they’d otherwise spend on a separate network for security equipment. Modern security systems integrate with building management software, enabling security and other facilities such as lighting, HVAC and fire safety to work together.

Departments 4 Editor’s Desk 6

News Hub

19

What’s New

Columns 16 Money Management

19

17

BICSI column

18

Wireless column

22

Standards update

In the next issue: Look Ahead 2014 www.cnsmagazine.com

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editor’s desk

Transitioning to Connections+ This issue’s cover story on physical security devices and the transition to IP technology comes at a time when like the market, the magazine this article appears in is also in a state of transition.

I will get into that in a moment, but first, an observation that author Stefan Dubowski makes in the piece is telling.

He writes that “modern security systems integrate with building management software, enabling security and other Paul Barker Paul Barker facilities such as lighting, HVAC and fire safety to work together. For example, if a fire alarm sounds, the security system can automatically call up images from cameras situated in the area where the alarm went off. Then the building’s security staff can see if there’s smoke in that location. If there is no smoke, staff can make a call to the facilities management team and ask for someone to visit the location, to see if perhaps a faulty smoke sensor is to blame for the false alarm.”

David Ito, meanwhile, the product manager at security systems provider Mircom Technologies Ltd. says the move to IP means security networks are essentially limitless: they can support any number of cameras and sensors.

That reminds me of a comment made recently by Stephen Foster, director of ICT for EllisDon Corp.

“There has been a tenfold increase in the reliability of enterprise networks,” he said. “In moving devices to the enterprise network everything from cameras and card systems to computers and telephones to imaging equipment, is being treated the same.”

And then there is this from Dave Evans, the chief futurist at Cisco Systems Inc: “We have 10 billion devices connected plus or minus, by 2020, we should see 50 billion devices and it could be significantly more. We know that the number of devices on a network doubles every 5.32 years and we are able to calculate conservatively that in 2020 there will be about six to seven devices per person.”

There is a transformation happening and it is why Cabling Networking Systems will rebrand in 2014 as Connections+.

I note in the just released 2014 Media Kit that when it first launched in 1998 Cabling Systems focused solely on the structured cabling sector and while there was a telecom bent to the publication, it was from the “perspective of telecom room design and other infrastructure issues.

“As you are aware, the magazine rebranded as CNS in January 2004 and at the time I wrote this issue marks the start of an exciting next phase for Cabling Systems, a magazine launched in 1998 when the industry it covered and the world in general was a very different place.

“Over the last 24 months there has been a seismic shift in the way technology is viewed, used and implemented. To say another revolution is about to be unleashed is not an overstatement.

“The scope of Connections+ readership has grown tremendously to include individuals who purchase, design, specify, install, maintain and test structured cabling, networking and telecom products as well as facilities management specialists and senior IT executives who are responsible for overseeing the implementation and installation of these initiatives.”

The magazine will be sent to 60,000 ICT specialists —15,000 will receive the print edition and an additional 45,000 in an electronic format.

In addition, we plan to introduce Connections+: Spotlight On A Changing Mobile World later in 2014, an annual special report that will have a press run of 65,000 and focus in on how the Internet and mobility is changing the world we live in.

More details will appear in the final issue of CNS. 4 CNS September / October 2013

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Editor Paul Barker 416-510-6752 pbarker@cnsmagazine.com Senior Publisher Maureen Levy 416-510-5111 mlevy@cnsmagazine.com Advertising Sales Manager Vince Naccarato 416-510-5118 vnaccarato@cnsmagazine.com Art Director Anne Miron Production Manager Karen Samuels Creative Services Anita Balgobin Circulation Manager Barbara Adelt 416-442-5600 ext. 3546 Print Production Manager Phyllis Wright Advertising Sales Maureen Levy Vice President Alex Papanou President Bruce Creighton EDITORIAL ADVISORY BOARD Keith Fortune, CTech, Business Development Specialist, Western Canada Network Solutions - Leviton Manufacturing of Canada Ltd. Henry Franc, RCDD/OSP Senior Account Manager, Professional Support at Belden Brantz Myers, B.Sc Math and Computing Science Director of Healthcare Business Development - Cisco Systems Canada Co. Peter Sharp, RCDD, AMIEE Senior Telecommunications Consultant • Giffels Associates Limited/IBI Group Alex Smith, President • Connectivitywerx Rob Stevenson, RCDD/NTS Specialist Communications Division Manager • Guild Electric Ltd.

T w s

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Editorial purpose

Cabling Networking Systems is a publication for the structured cabling industry, covering the latest developments in telecommunications cabling systems in building facilities. The editorial content is directed at structured cabling, networking and telecom professionals The publisher assumes no liability for the accuracy or completeness of the text or its fitness for any particular purpose.

Cabling Networking Systems is published by Business Information Group, a division of BIG Magazines L.P., a leading Canadian information company with interests in daily and community newspapers and business-to-business information services.

We acknowledge the financial support of the Government of Canada through the Canada Periodical Fund of the Department of Canadian Heritage.

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news hub hub

Healthcare security and the BYOD factor DELL’S CHIEF MEDICAL OFFICER SAYS IT DEPARTMENTS MUST ‘ELEVATE” SECURITY ON THEIR PRIORITY LIST.

By Paul Barker Threats affecting the healthcare and life sciences, added Litt, The chief medical officer of Dell Inc. has warned that a “perfect storm” exists when it comes to security breaches in healthcare fa- include Distributed Denial of Service Attacks (DDoS), phishing, cilities due to an implosion of data, a highly coordinated and moti- advanced persistent threats and wireless network hacking.

Earlier this year, Scott & Scott LLP, an intellectual property and vated hacker community and the continued influx of mobile device technology law firm based in Southlake, Tex., said health care data into hospitals Speaking at the recent 2013 Ontario Association of Community breaches reported in 2013 “highlight the need for more diligence and vigilance to combat the growing probCare Access Centres (OACCAC) conference lem.” in Toronto, Andrew Litt described the situaThey included the following incidents: tion as dire and said the healthcare sector is under attack.

• In March, Oregon Health & Science “This is not a technology issue,” he said.

University reported that a laptop was stolen “This is a cultural, political, organizational and from a vacation home in Hawaii containing financial issue.” medical record numbers, types and dates of A key enabler of the perfect storm is the surgeries, and names of surgeons of 4,022 Bring Your Own Device movement or BYOD, patients. which Litt defined as an “explosion of content, • Crescent Healthcare, a Walgreens Company, devices and anytime, anywhere connectivity.” had to notify patients that an “unauthorized Forrester Research predicted in the spring person or persons gained access to their billthat by 2016, 200 million employees worlding centre in Anaheim, Calif. and stole comwide will bring their own device to work. puters and other paper records.”

Litt, a certified neuroradiologist who re• A virus infected a computer belonging to an ceived his medical degree from New York employee at a Wisconsin three-hospital University, cited various studies which show health system and the hacker may have obthat at the same time the number of devices tained information including patient’s entering the workspace is soaring, in many Andrew Litt: In many cases, IT in healthcare is not names, addresses, medical record numbers cases, IT is simply not ready to support a bor- ready to support a borderless mobile workforce. and health insurance information. derless mobile workforce.

At the OACCAC Conference, Litt said a “They need to elevate it in their priority list,” he said. “My sense sound security strategy should support four critical areas: Data visis that there is so much other technological change in healthcare IT ibility, endpoint access and encryption, mobile device strategy and right now that they have just not been able to get to it.” risk monitoring.

Fiber in the Arctic network moves step closer to reality Toronto-based Arctic Fibre has completed the identification of seven cable-landing points across Nunavut as part of its 15,700 kilometre subsea fiber-optic network through the Northwest Passage between London, England and Tokyo, Japan. The Arctic Fibre project also enables the construction of a local broadband network that can serve 52% of Nunavut’s population living in communities adjacent to the backbone network.

Recently, a seven-person team that included Arctic Fibre staff, environmental consultants, civil works contractor and network design engineer travelled 6,675 kilometres to visit the communities of Iqaluit, Cape Dorset, Hall Beach, Igloolik, Taloyoak, Gjoa Haven and Cambridge Bay. 6

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Information sessions and consultations were well attended, the firm said, with representatives of the federal and territorial governments, hamlet councils, Hunters and Trappers Associations, Community Land and Resource Committees, Kitikmeot Inuit Association, Qikiqtani Inuit Association, local businesses, telecommunications carriers and local residents.

“In most instances, we were able to confirm the engineering studies undertaken over the past two years,” said Douglas Cunningham, CEO of Arctic Fibre. “However, we obtained input and local knowledge from residents that led us to modify our landing locations in Cape Dorset, Igloolik and Taloyoak to spots better suited to avoid ice scour, wave action and not interfere with local activities.” www.cnsmagazine.com

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Survey finds Canadians apathetic about online privacy Half of Canadians (49%) believe it is acceptable for the government to monitor e-mail and other online activities in some circumstances, according to the results of a new survey released by the Canadian Internet Registration Authority (www.CIRA.ca), the organization that manages the .CA Internet domain.

When those circumstances include preventing “future terrorist attacks,” the number of Canadians who say online surveillance is acceptable jumps to 77%.

“Since May of this year, media outlets and stakeholder groups around the world have been consumed by the revelations that the U.S. government monitors the activities of Internet users around the world,” CIRA said in a release.

The results are “startling enough” that CIRA plans to call for a national dialogue on the subject.

As recently as January of this year, the “Survey of Canadians on Privacy-Related Issues,” from the Office of the Privacy Commissioner of Canada, found that two thirds of Canadians were concerned with protecting their privacy.

The organization added that survey results are especially disturbing given that that unlike with phone taps or the opening of mail, both of which require a warrant, online surveillance often happens without transparent judicial oversight and yet appear to be raising relatively little concern.

“Trust is the foundation that supports all transactions - social, financial and at the Domain Name System - on the Internet,”

Long-term forecast bright for fiber optic sensor market The distributed fiber optic sensor market is forecast to be worth US$622 million in 2013. Decreases associated with reduced government spending were compensated for by distributed acoustic sensing (DAS) systems market penetration. However, by 2017, the market is projected to be worth US$1.525 billion with 73% associated with the oil and gas segments, according to a recent market survey report conducted by the Photonic Sensor Consortium and published

by Information Gatekeepers.

“When the positive and negative factors are considered, all of the fiber optic sensor companies that were surveyed are optimistic about future growth with 100% of the companies surveyed forecasting market expansion at 10% or higher,” said Dr. David Krohn, author of the Photonic Sensor Consortium Market Survey Report. Krohn is chairman of the Photonic Sensor Consortium and managing partner of Light Wave Venture LLC. The report notes that fiber optic sensors represent a technology base that can be applied to a multitude of sensing applications.

The forecast covers distributed fiber optic sensing systems including sensor elements, fiber optic cables, interrogators and software.

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said Byron Holland, president and CEO of CIRA. “When an uninvited third party is introduced into those transactions it erodes that trust. It erodes all that has enabled the Internet to be the greatest driver of positive social and economic change in centuries.”

Canadians’ apparent apathy may be rooted in simple ignorance. CIRA’s survey found that only 18% of Canadians believe Internet activity is confidential. Four in 10 believe the Canadian government is tracking their Internet activity.

According to Michael Geist, the Canada Research Chair in Internet and E-commerce Law, “these are discouraging but important results. As much of the world is engaged in a fierce debate over surveillance, Canadian complacency is a major issue.”

Geist went on to say, “it speaks to the need for greater public education and awareness of current surveillance activities, oversight programs, and the implications for privacy and freedom of expression for all Canadians.”

Global ON market rebounds decisively in 2Q13 Global optical networking (ON) spending versus the year-ago quarter grew decidedly for the first time in six quarters in 2Q13, according to global analyst firm Ovum. Results of US$4.08 billion for 2Q13 were 29% higher than they were in 1Q13 and 7% higher than the year-ago quarter. More significantly, annualized spending grew to US$14.9 billion.

Vendor results were strong, led by the Chinese vendors.

ZTE had its strongest quarter ever, solidifying its position behind Huawei as the second-ranked ON vendor. Annualized spending in Asia-Pacific, at over US$6 billion, hit an all-time high. Demand in North America was also up significantly, benefitting Alcatel-Lucent, Cisco, Ciena, and Fujitsu. Growth in 100G remains a particular bright spot as annualized revenues exceeded US$1.6 billion for the first time ever. Ovum is forecasting modest 2% growth this year to US$14.9 billion.

In a new market share analysis*, Ovum reveals that strong sales in Asia-Pacific and North America mitigated weakness in EMEA and South & Central America, propelling the industry to its best quarter since 4Q11. The global industry analyst believes the market downturn that began in 1Q12 may finally be past in all regions except Europe, which is still showing signs of sluggishness.

“We always expect an uptick going into the second calendar quarter. However, sales of over US$4 billion help dispel some of the fear generated by the slow start in 1Q13,” said Ron Kline, network infrastructure analyst at Ovum. “100G revenue growth is pumping a lot of enthusiasm — and revenue — into the market and increasing the revenues for converged packet optical (CPO) and optical transport network (OTN) switching gear.” www.cnsmagazine.com

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cover story

When Worlds

Collide Security and information technology are more closely linked than ever before, enabling better protection at a lower cost. But this integration

also presents new challenges for security installers, IT providers and cabling firms.

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www.cnsmagazine.com

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By Stefan Dubowski

A

security upgrade underway at the courthouse in Barrie, Ont. should make the building safer than ever. This is no ordinary renovation. It encompasses the latest security features, controls and information systems.

The project will see the courthouse fortified with a unified security solution that incorporates CCTV, access control and exterior swing gates for the parking area. Duress stanchion towers will be installed in the parking lot as well, so anyone who needs help can punch a button to call for assistance.

Inside the building’s control room, security personnel will use straightforward management software to govern alarms and the intercom system, in case the security team needs to convey important safety messages to people in one or multiple areas of the building.

At the centre of this advanced solution stands a storage area network (SAN) — a group of computer disks connected by high-speed data cables. It is integral to the courthouse’s new www.cnsmagazine.com

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security system, and particularly the video infrastructure.

“The payoff is you do not lose any video,” explains MarcAndre Bergeron, project manager at Marcomm Systems Group Inc., which designed and is installing the Barrie courthouse infrastructure, expected to be complete in October. He notes that the building’s high-definition (HD) cameras will capture images that could play an important role in incident investigations, whether they have to do with a fire alarm or someone in trouble in a holding cell. Every second of this pixel-dense video stream must be stored.

Security and IT on one network: That the SAN plays such an important role in the system illustrates a new reality: IT and security have come together. Each side used to have its own siloed sphere of operations. Now, security platforms make heavy use of IT, including information storage, super-fast enterprise data networks and, of course, the Internet protocol (IP), today’s network lingua franca.

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While the IT-security convergence presents numerous benefits, it can be tough on IT and security companies, says Chris Strong, Calgary-based regional security manager at Anixter.

This convergence makes for smarter and cheaper security. “The cost benefits are a big advantage,” says Nadeem Arshad, head of Honeywell Building Solutions’ digital video manager business. He explains that convergence enables organizations to save money they’d otherwise spend on a separate network for security equipment.

“The other [benefit] is an advanced feature set and functionality,” Arshad says. Modern security systems integrate with building management software, enabling security and other facilities such as lighting, HVAC and fire safety to work together. For example, if a fire alarm sounds, the security system can automatically call up images from cameras situated in the area where the alarm went off. Then the building’s security staff can see if there’s smoke in that location. If there is no smoke, staff can make a call to the facilities management team and ask for someone to visit the location, to see if perhaps a faulty smoke sensor is to blame for the false alarm.

David Ito offers more praise about the ITsecurity convergence. The product manager at security systems provider Mircom Technologies Ltd. notes that the move to IP means security networks are essentially limitless: they can support any number of cameras and sensors. Sure, “the scope of the job is still four to eight doors in 80% of the projects,” Ito says, but now security systems installers can chase larger customers, such as arena operators and governments.

Installers also can offer remote monitoring services, since IP enables long-distance commu-

nication.

And thanks to IP’s reach, customers’ security teams can monitor more locations from a single office, reducing the need for additional staff. “The maturity of the networks gives clients confidence to do that more and more,” Ito says.

Challenges for IT and security companies: While the IT-security convergence presents numerous benefits, it can be tough on IT and security companies, says Chris Strong, Calgary-based regional security manager at Anixter Canada Inc. Specifically, he notes that security and IT professionals need to keep in mind the different ways in which each side’s equipment will call on the other’s gear for support. That means having to dive into security and network system software to create deep communication links.

“It makes it a lot more complicated for the systems integrator,” Strong says. “Now you need someone who can do high-level programming to ensure it all works well.”

Jean-Francois Champagne, executive director of the Canadian Security Association (CANASA), echoes Strong’s point: technology can be a stumbling block for security firms. He says that in a recent survey, his organization found that mem-

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High hopes in Barrie How are the managers of the Barrie courthouse faring in this new world? Marcomm’s Bergeron says they have high expectations for their new security solution.

“They’re very excited about it,” he says. “We are replacing a terribly outdated system with something of much higher quality.”

For one thing, the duress alarm no longer operates on a repurposed fire alarm circuit. Instead, it sends specific location information directly to the security team, so staff can get to the area more quickly. In the past, the duress alarm provided no location information.

As for who will control the new security platforms,

bers identify the fast pace of technological change as the most difficult aspect of their sector.

“People sometimes think licensing requirements or a lack of business would be the biggest challenges, but it is keeping up with the latest technologies,” says Champagne.

He adds that CANASA members are learning to cope. They generally apply one of two solutions to the problem. They either partner with businesses in sectors such as IT and HVAC to share responsibilities, or they acquire skill sets by merging with or buying other companies.

“It is still evolving but today the very large majority of members have diversified,” Champagne says. “Very few identity themselves as only intrusion alarm installers.”

New standard provides guidance: In addition to newfound business models, installers and IT professionals have a novel standard to help them meet the challenges of convergence: ANSI/ BICSI 005-2013, Electronic Safety and Security (ESS) System Design and Implementation Best

Barrie courthouse management have hired Marcomm on a two-year maintenance contract.That way, the installation and design team takes care of the system and the courthouse’s security staff can focus more on their jobs than the underlying technology.

The complexity of these converged IT-security projects represent a potential boon to consultants. For example, Bergeron figures the courthouse’s managers will call on Marcomm for another maintenance contract when the first one is up. “I suspect they will want to renew. You cannot get local maintenance companies to take care of this. It is too complicated.”

Practices. It is meant to give security professionals insight into requirements for structured cabling to support security. The standard also gives cabling professionals information about elements of security that affect cable infrastructure design.

BICSI created the standard in response to the trend toward converged security systems and enterprise data networks.

“This takes it to the next step and standardizes what we have all been trying to do with a common infrastructure,” says BICSI president Jerry Bowman. He explains that the goal is to ensure that data networks and security systems are reliable and can be expanded as required to accommodate new features and technologies.

ANSI/BICSI 005-2013 gives cabling professionals details about technologies that support security, such as power over Ethernet (PoE), which provides electricity and data transport capabilities to security-network end points such as IP video cameras. On the other side, the standard teaches security professionals about installing

“People sometimes think licensing requirements or a lack of business would be the biggest challenges, but it is keeping up with the latest technologies” — Jean-Francois Champagne, executive director of CANASA.

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ANSI/BICSI 005-2013 gives cabling professionals details about technologies that support security, such as power over Ethernet (PoE), which provides electricity and data transport capabilities to security-network end points such as IP video cameras.

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data cables to support not only security but also other kinds of network equipment.

Wireless: A solution or a problem? Focusing on network infrastructure, wireless is an emerging technology for security.

But wireless may not be the best choice in every situation, according to Brian Meachum, product marketing manager at Honeywell Cable, which sells wired and wireless security platforms.

He concedes that wireless does make sense for some clients.

Let’s say a customer wants to install a security system in a building that hasn’t had one before. It is easier to use wireless in this case. Otherwise, installers would have to fish wires through walls, and around doors and windows.

Meachum explains; however, that for wireless to work, individual window and door sensors require batteries, which must be monitored and replaced. This adds a new level of system administration. As well, interference can affect wireless systems, while wired systems are nearly impervious to that. And it is easier to hack into and compromise a wireless system compared to a wired one.

Yet wireless technologies are improving, Meachum points out. It is more difficult to hack into a modern wireless system than previous iterations. Interference is less of a problem. What it all means is when a customer’s situation makes it prohibitively difficult to install a wired system, Honeywell Cable recommends wireless.

“We need to provide the highest value possible to each customer,” Meachum says.

Ito from Mircom has a different opinion: Yes, earlier wireless security solutions were prone to interference, but modern systems are at least as robust as wired. Mircom installs many wireless security platforms using the ZigBee mesh network protocol.

“You have 16 channels to send information, so you can rest assured the devices get the information they need,” he says.

And with fewer wires to install, wireless systems cost less from the provider’s perspective. “The savings are passed on to the installer,” Ito says.

Is convergence a reality? Where does this IT-security convergence stand? Is it nearly complete, or is the evolution perhaps just beginning? Champagne at CANASA says that in some ways, it’s much further along than it was just a few years ago. IT and security systems providers have a higher level of awareness of each other’s operations. And security is better respected now that it was.

“We used to joke that the guy in charge of the alarms was also in charge of garbage collection,” Champagne says.

But BICSI’s Bowman believes the IT-security integration is not quite there on an operational level. He points out that it is not clear who should manage this area. Is it the IT team’s responsibility? Should security personnel also control aspects of the technology in a building? If so, which parts? It’s hard to say when IT and security use the same infrastructure. www.cnsmagazine.com

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Whatever the outcome of convergence, the result must support excellent security and superb IT services, Bowman says.

After all, end users and clients don’t really care who manages what. “They just care about whether it works.” CNS

cabling systems

Stefan Dubowski is a freelance write based in Ottawa, Ont. He can be reached at Dubowski@stiffsentences.com.

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Smart video managers and tough HD cameras Security equipment manufacturers are hard at work improving the ease-of-use and durability of their products.

Honeywell Building Solutions’ DVM R500 and Moxa’s IP camera for harsh environments are just two noteworthy examples.

The DVM R500 digital video manager for CCTV systems makes it easier for security teams to manage cameras and pinpoint video clips. According to Honeywell marketing manager John Isherwood, users of this DVM can customize the settings to provide feeds from specific cameras at particular points during the day. For instance, the user can establish a profile to view feeds automatically from cameras focused on the building’s entrance in the morning when employees arrive, or feeds from cameras in the cafeteria during lunch hour.

What is more, the device enables security personnel to carry out quick video investigations. For example, let’s say a laptop goes missing from a room. The user can direct the DVM to search for footage in which movement occurred in that room. This advanced search capability means the security team doesn’t have to watch hours of video to figure out when the computer was taken.“It is a really neat time-saving feature for forensics,” says Nadeem Arshad, head of Honeywell Building Solutions’ DVM business.

Meanwhile, Moxa’s new VPort P26A-1MP-T is a fixeddome HD IP camera purpose-built for harsh environments.

It operates in a temperature range of -40°C to 75°C. The device features surge protection, a vandal-proof cover, plus a rain and dust cover. A built-in dehumidifier membrane diffuses moisture inside the casing to prevent fogging, ice buildup and overheating.

“There is growing adoption of IP systems across all segments of the security industry; however, there remains some resistance to mounting IP cameras outdoors due to reliability issues,” says Joe Cook, a Moxa business development manager, in a press release. Moxa says its camera suits areas that experience high levels of electromagnetic interference. (Think power substations.) www.cnsmagazine.com

CNS covr story 2 SeptOct 2013.indd 15

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September / October 2013

CNS

15

13-09-13 9:17 AM

money & management

Management-led buyouts What separates entrepreneurs from dreamers is their ability as individuals to invest somewhere in the vicinity of $250,000 into their firm.

By Mark Borkowski

I

n the film “Dead Poets’ Society,” Robin Williams plays a gifted and dedicated teacher determined to help his students appreciate the age-old adage Carpe Diem or, seize the day. This phrase captures a major theme in the film and in life: make the most of your existence and do not let opportunities pass you by.

Keeping this advice in mind, many ambitious business managers have decided to seize the day by making the transition from employee to employer. For several of these individuals, the best way to do this is to initiate a management-led buyout and take over the companies they work for.

Being an entrepreneur is not for the faint of heart. Amongst a group of 10 managers or professionals, statistics tell us that only one has what it takes to be a business owner.

What separates entrepreneurs from dreamers is their ability as individuals to invest somewhere in the vicinity of $250,000 into the companies they hope to own. This number can be as high as $1 million in some of the larger deals. If you want to own something, you have to put your money and likely your job at risk. If you are unable to put your money on the table, stop dreaming.

A substantial financial investment is critical for a serious management buyout …

A substantial financial investment is critical for a serious management buyout because outside investors, institutional or private need to know you are committed. Investors who will personally support a management team or make a company investment are almost always required and strongly recommended.

Institutional investors request private investors that have some management background or special knowledge in the industry to co-invest with them. Institutions refer to these investors as the “smart money.”

If something goes wrong or an important decision needs to be considered, the institutional investor wants to have some other intelligent investors as part of the deal to help them work the issues out.

To ensure the success of a leveraged acquisition it is extremely important to establish an appropriate capital structure. You will need to understand and present your written business plan detailing seasonality, cash flow cycles, capital expenditure requirements and other such factors.

Some preferences presented by lenders when financing a buyout include: companies that are not highly cyclical and have steady predictable cash flows; companies with low capital expenditure require16

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ments and high free cash flow; growth businesses, especially in high valued-added manufacturing; and companies with strong committed management teams and well communicated, compelling business plans. Meeting these requirements can be a challenge for company employees, managers or executives.

For those unaware, management buyout opportunities present themselves often and for a number of different reasons. The first and most common reason is that a company or division no longer fits within the strategic aims of the parent group or owner. Another reason may be that the parent group or owner simply requires liquidity or cash. Or, profit levels may not be considered acceptable, or the company is showing a loss.

Other reasons include a private owner who wants to sell his business and not bother with the complicated process of selling to an outside buyer. Usually this seller has a very good relationship with the management team and has confidence in their ability to manage the business. This type of owner usually retains some equity ownership or assists in financing the business with vendor take back notes.

Management-led buyouts are generally regarded with great favour as they provide corporations with a convenient alternative to the acquisition of their company by an outside suitor, while at the same time allowing them to avoid the conflicts that often arise between management and outside buyers.

The entrepreneurial spirit is alive and thriving in Canada. Before beginning; however, it is extremely important that management agree that they have an arrangement amongst themselves (infighting is a major reason deals fall apart), and that they enlist a professional and experienced intermediary.

This professional will help package the opportunity, set up the process, structure the buyout deal, and negotiate with financiers and ultimately the owners. And let’s not forget the legal, accounting, tax and other levels of expertise that need to be integrated into the deal.

Maybe it is a fluke in the business cycle, but never in the history of time has there been more diverse, abundant and less expensive investment capital available chasing too few deals. There is no excuse for talented management teams not to take hold of their future and at least attempt to do a management buyout. Seize the day; use the opportunity of the present moment to pursue your vision. CNS Mark Borkowski is president of Toronto’s Mercantile Mergers & Acquisitions Corporation. Mercantile specialize in the purchase and sale of privately owned mid market companies.

He can be contacted at (416) 368-8466 ext. 232 or mark@mercantilema.com.

www.cnsmagazine.com

13-09-13 9:19 AM

bulletin

Déjà vu all over again A decade ago issues cropped up with Ethernet when voice came into the mix. Today, similar impairments are occurring with IP-based security video systems.

By Roman Dabrowski

E

thernet is one of the most popular ways to support Internet protocol (IP) connectivity, and has enjoyed amazing longevity in the fast-paced and ever-changing world of network technologies. The BICSI Information Transport Systems Dictionary defines Ethernet as a local area network (LAN) protocol using a logical bus structure and carrier sense multiple access with collision detection (CSMA/CD). The industry has seen Ethernet go through major speed increases, growing from 10 Mb/s to Gigabit speeds, upgrading from shared to switched, and building on previous development to become the preferred way to set up a telecommunications network.

Luckily, no matter what type of Ethernet we work with, understanding the basics is common in all versions. The basic operating scheme has packets of data traveling along a medium between two (switched Ethernet) or more (shared Ethernet) transceivers. Shared Ethernet uses CSMA/CD to control data transmission when there are multiple transceivers on a channel. The transceivers listen to the network and use exacting timing specifications to determine when to transmit, when to listen, and more importantly, when to retransmit if collisions or errors occur in the network.

Switched Ethernet has only two transceivers per channel, increasing channel availability and overall throughput. With fewer transceivers, collisions are not as much an issue, but retries due to transmission impairments are still possible. And retries cause delays.

The Ethernet process works well for typical data applications (email, word processing, etc.) where delays are not an issue, but timecritical applications need better packet delivery reliability. User experience with data (e-mail, document transfer, printing commands) shows we are more willing to accept delays and the occasional error or garbled message.

All of the copy above appeared in an article I wrote for BICSI News over 10 years ago and guess what? Ethernet is still here and still forms the basis of the IP world. My article went on to read: “… the most popular application to add to an existing IP network is voice, and stories abound over implementation issues in getting voice to work properly. Or, to perform at least as well as what the user expects. Though a current Ethernet network may not show signs of trouble with data applications, impairments may still exist.

Adding voice and its requirements may suddenly create problems that users, designers and installers may not be prepared for …”

Now replace “voice” with “video” (security or surveillance video) and you have what the security industry is currently experiencing.

Why? Isn’t a good Ethernet network needed for voice transmission? Wouldn’t the quality and care of installing an Ethernet network for voice spill over into installing a network for video? What www.cnsmagazine.com

BICSI Sept_Oct 2013.indd 17

happened?

• With analog video systems nearing end of life and the reduction in price of IP camera systems, security companies used to working with coax-based analog systems have a steep and fast learning curve in understanding how to install structured cabling-based Ethernet IP video systems.

• Many IP video installations are trying to be implemented over an existing Ethernet network that is supporting voice and data users.

The nature of video transmission demands more of the network in time and bandwidth, stressing out an already busy network to the point of failure.

An Ethernet IP network is composed of cabling and electronic hardware. The basics of this are the physical install of category 5e or 6 cables with the appropriate jacks and patch panels needed to connect devices (i.e., video cameras) to the electronic hardware (switches, servers, routers) to support video transmission. Video transmission impairments on this network can be caused by a number of reasons, including concerns in the physical cabling layer: • Cable lengths that are added to the network to reach the camera “at the end of the warehouse” may be long enough to cause signal delay.

• Impedance mismatches (due to items such as mixed categories of cables, using a wrong patch cord in a patch panel, improper bend radius and improper install practices) cause electrical reflections that create collisions and retries.

• Extraneous noise and crosstalk by poor routing of cables can cause collisions, lost packets and more retransmissions.

• Use of existing cabling to support a new Ethernet video network.

(Who knows what category cable, how many splices, patch panels, insulation displacement connections [IDC] and coiled up cables there are?)

• With the standard’s allowance of crimping RJ-45 connectors directly on to a cable to plug into a camera (vs. a jack and patch cable), the potential exists for a poorly crimped connector.

BICSI’s educational program and standards, along with other industry sources, can help interested individuals to better understand Infrastructure and LAN design to support Ethernet and IP application implementations and avoid problems like those listed above. I encourage you to take advantage of these resources. CNS Roman Dabrowski, RCDD, is the Senior Manager, Business Development at Ingram Micro – Physical Security. He is also a BICSI Canadian Assistant Region Director. Roman can be reached at Roman.Dabrowski@Ingrammicro.ca.

September / October 2013

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13-09-13 9:22 AM

wireless

It seems the rich aren’t keen on Social Media Printed paper statements and reports that aren’t going to disappear the next time a social media company updates its app.

By Trevor Marshall

L

et’s face it — as a columnist sharing his thoughts once every other month, I can’t keep up with the whole Bellogersusversus-Verizon-versus-Ottawa thing. Whatever I write today will be irrelevant next to events as they stand when this issue arrives in your in-basket. The accelerated pace of change … blah blah…

As people who work in and closely follow the technology sector, it is easy for us to get wrapped up in our fast-paced world.

Newness is embraced. Old ways are, well… old.

I was reminded of the folly of this back in July, when I read an article in the Financial Times newspaper called “Elderly, wealthy and turned off by Twitter.” The article cited research by ComPeer Limited, a U.K.-based firm that benchmarks the performance of the Wealth Management Industry. ComPeer found that many wealth managers were not using social media tools such as Twitter and Facebook to connect with their clients.

As people who work in and closely follow the technology sector, it is easy for us to get wrapped up in our fast-paced world. Newness is embraced.

Old ways are, well… old.

Several reasons were given, but one that struck me as telling was a general distrust by the very rich of social media — or, indeed, any electronic communication — when it came to managing their money. These folks (although calling them “folks” is like calling Venus, the yacht designed by Steve Jobs and Philippe Starck, a “dinghy”) want hard evidence: Printed paper statements and reports that aren’t going to disappear the next time a social media company updates its app.

(Yes, there are many ways to protect data. That said, people have been protecting the written word for hundreds of years now.

I have a few books that are well over 100 years old and they’re just as readable today, with care, of course, as they were when first printed. At the same time, I have digital books that are less than a decade old that are no longer accessible because the file format is no longer supported.)

I figure the Stinkin’ Rich know a thing or two. Otherwise, they 18

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would be serving coffee and posting selfies via Instagram, while waiting for their big break on “Canada’s Got Talent, Eh?” So if so many of them are not even considering using social media or other digital services for the really important stuff in their lives, it is probably worth asking whether the rest of us should be, too.

For example, photo-sharing sites are a great way to share spurof-the-moment pictures with friends, family and other interested audiences. But are they a wise way to capture and preserve life’s important moments (births, weddings and so on) for future generations of one’s family?

And how about work-related issues?

In my role as a reporter, I interview people for a living. I recently spoke with another reporter who regularly uses Linked In to find sources for articles. It is working for this person, and I am glad it is, but I’m not comfortable doing that. I tend to go to my own, trusted sources (some of which I’ve used for decades now) to figure out who to interview. That is not a knock against Linked In, but rather recognition that I am more confident I can justify the inclusion of every subject in the story I have written if need be, because I did the legwork in a way that consistently has worked for me.

To return to the Money-By-The-Dumptruck snack bracket, it will be interesting to see how the next generations of the very wealthy manage their money. I expect that those who have made their fortune in the technology space or in other innovative sectors will take advantage of social media — to a point, at least — to keep tabs on how it is being managed on their behalf. They will demand and value the immediacy of being able to message their banker via Facebook or take action on Tweets from their broker.

But for many who earn (or inherit) great wealth, the prospect of losing it through hasty decisions and the fear that new ways may lack the accountability of systems that have been proven over generations may prompt them to err on the side of caution. They will demand printed records, and they will keep them in fireproof, theft-proof and technology-proof safety deposit boxes — right there next to the other valuable things that cannot be replaced.

CNS Trevor Marshall is a Toronto-based reporter, writer and observer of the Canadian technology sector. He can be reached (on his mobile) at 416-878-7730 or at trevor@wordstm.com.

www.cnsmagazine.com

13-09-13 9:24 AM

what’s new

Belden launches new release of Industrial HiVision Belden Inc. recently announced a new release of its Hirschmann Industrial HiVision network management software. Version 5.0 of Industrial HiVision addresses specific challenges of configuring and supervising an industrial Ethernet network.

Like their office counterparts, industrial networks are becoming more heterogeneous, Belden said in a release, and “rarely does a network consist of equipment from a single manufacturer.

Features of the upgrade include HiFusion, a tool provided free with the new version that facilitates the integration of any SNMP-capable device into Industrial HiVision.

It also includes a wizard to guide users through the creation of the integration files.

The software can be downloaded at www.hivision.de/English and tested free of charge for 30 days.

Belden www.belden.com

Maxxeon lighting tool designed for cable installers The new WorkStar Pocket Floodlight from Maxxeon Inc. is designed for cabling technicians who need a lot of light, but do not want to lug around a heavy, bulky work light.

It features an advanced light emitting diode (LED) that produces over 140 lumens of light, which translates into an efficiency of over 10 times the amount of light produced by an incandescent light bulb using the same current, the company says.

In contrast to most flashlights, the wide-angle, floodlight-style beam pattern produced by the light is clear and free from dark spots or hot spots. This clear pattern, combined with the intense white beam, makes it easy for the user to plainly see his or her inspection area and distinguish colours.

The pen light-style lighting tools are powered by three AAA batteries and are available in three finishes.

Maxxeon www.maxxeon.com

Sumitomo releases third model in Quantum splicer product line Sumitomo Electric Lightwave is now shipping the Quantum TypeQ101-VS V-Groove Fusion Splicer.

The third splicer launched in its Quantum product line, according to the company, it is the industry’s only V-groove splicer with patented dual independent heat shrink ovens that eliminate the heat waiting time for streamlined, consecutive splices.

It is compact at 120w x 154D x 130H millimetres and weighs 2.1kilograms with battery, making it easier to carry and work within the many small, confined spaces characterizing the data centre, enterprise network, FTTx and outside plant work environments.

Despite its small footprint and light weight, the Quantum VS has a 640 x 320 fiber view and industry leading electrode life, while at the same time complying with the most stringent shock, waterproof, and dust resistance requirements, the company said in a release.

Sumitomo Electric Lightwave www.sumitomoelectric.com

www.cnsmagazine.com

Prods_adindex_Lits 2013 SeptOct.indd 19

September / October 2013

CNS

19

13-09-13 9:26 AM

Literature Reviews NEW BELDEN INFRASTRUCTURE SOLUTIONS CATALOG

RAPIDLY DEPLOY HIGHPERFORMANCE OPTICAL NETWORKS WITH BERK-TEK® PRE-TERMINATED FIBER OPTIC ASSEMBLIES Learn how fully-customizable Berk-Tek Assemblies enable you to: • Reduce Installation costs • Improve network performance • Maximize project ROI Find out about the full range of cable and connector options available from Berk-Tek that can be designed to address the requirements of virtually any installation environment, from the Data Center to Security.

Request your brochure: Berktek.info@nexans.com 800-237-5835 Or download it: www.berktek.com

Belden is pleased to announce the release of the Belden Infrastructure Solutions Catalog. This catalog offers a complete selection of racking, enclosures, power distribution units, monitoring and airflow management products to meet infrastructure needs for optimizing system performance. Order your copy from the Belden website: Products/Order a Catalog/InfraSol2013 Belden Inc. 1.800.BELDEN 1 (800.235.3361) www.belden.com

GRAYBAR CANADA SECURITY PRODUCT CATALOGUE

NEW HAMMOND PRODUCT GUIDE

Graybar Canada has launched a new security catalogue! Inside you will find detailed product information on components needed for everything from a basic security system to a full IP physical security solution.

Download your free copy of Hammond’s latest Data/Comm and Security product guide. The twenty-four page guide features Hammond’s hottest Open Rack Frames, Wall Mount Solutions, Cabinet Solutions, Rack Accessories, Outlet Strips and Modification Services.

To view the catalogue online, visit graybarcanada.com/publications/catalogues/

To download or request a copy of the HCI-PG-13 visit: www.hammfg.com/literature Hammond Manufacturing Co. Ltd. 1-877-535-3282 www.hammondmfg.com

Graybar Canada www.graybarcanada.com 1-800-GRAYBAR (4729227)

INTELLIGENT CONNECTIVITY NEW 2013 CATALOGUE FROM NEW WORLD TELECOM New World Telecom’s latest product catalogue provides complete solution for connectivity products.

NETWORK & SECURITY INFRASTRUCTURE For over 17 years JFC Solutions has been offering Canadian customers superior service and support for their communications and network infrastructure needs. We are now offering those same superior services in Security Infrastructure. Our comprehensive offering will help our customers ensure their next project goes smoothly and is built for the future. JFC Solutions represents the right product mix for you.

• Category 6A (Augmented) • Category 6 • Voice • Fiber • Cable

For additional information please contact:

Download a PDF version of the 2013 Catalogue: www.newworldtelecom.com/catalog.htm Order a hard copy : nwtsales@newworldtelecom.com Visit: www.newworldtelecom.com Call: 1-866-507-4810

JFC Solutions Tel: 1-800-815-9959 www.jfcsolutions.ca RITTAL’S IT LIQUID COOLING PACKAGE Rittal provides an innovative cooling solution that provides up to 60 kW of cooling capacity direct to your rack. By bringing the cooling direct to the heat source, energy efficiency is optimised. Rittal’s LCP is a scalable solution that you can expand as your data centre and cooling needs grow. www.rittal.ca marketing@rittal.ca 1-800-399-0748

• Category 5E • Audio/ Video • Baluns • Tools/ Testers

CNS 2013 MEDIA KIT

FOR CABLING, NETWORKING AND TELECOM PROFESSIONALS

2013 4

Photos courtesy of Wirewerks

Media Kit

www.cnsmagazine.com

CNS magazine provides quality editorial coverage for cabling designers, electrical contractors, cabling installers, consulting and specifying engineers, and end users (IT, IS and MIS Managers and Network Specialists). The magazine reaches both influential and key decision-makers across the country — the very audience you need to reach.

To request your 2013 media kit, please send along your request directly to Maureen Levy at (416) 510-5111 or email: mlevy@cnsmagazine.com

20

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September / October 2013

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www.cnsmagazine.com

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Index of advertisers

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Belden

2 ppollack@adtrack.com

800-235-3361

www.belden.com/enterprise

Canadian Security Association

14

905-513-0622

www.securityexpo.com

Graybar

7 info@graybarcanada.com

800-GRAYBAR www.graybarcanada.com

Hammond Manufacturing

5

877-535-3282

staff@canasa.org

datacom@hammondmfg.com

www.hammondmfg.com

www.honeywellcable.com Honeywell Genesis® Series Cable 24 800-222-0060

m.honeywellcable.com Hyperline Canada

15

info@hyperline.com

866-634-9737

www.Hyperline.com

JFC Solutions

23

sales@jfcsolutions.ca

800-815-9959

www.jfcsolutions.ca

Optical Cable Corporation

9

info@occfiber.com

540 265-0690

www.occfiber.com

12, 13

Marketing@Rittal.ca

800-399-0748

www.Rittal.ca

Rittal Systems Ltd

www.cnsmagazine.com

Prods_adindex_Lits 2013 SeptOct.indd 21

September / October 2013

CNS

21

13-09-13 9:27 AM

standards update

Bonding and grounding update Two new addendums to ANSI/TIA-607-B-2011 focus in on external grounding and structured metal.

By Paul Kish In a column that ran last year entitled “Bonding & grounding demystified,” I provided an overview of the main components of the ANSI/TIA-607-B-2011 standard. For this issue’s column I wanted to provide an update on two recently published Addendums to this standard.

ANSI/TIA-607-B-1-2013 Generic Telecommunications Bonding and Grounding (Earthing) for Customer Premises, Addendum 1- External Grounding, published January 2013: This Addendum provides additional design and testing requirements for a telecommunications grounding electrode system. The minimally required, NFPA 70 compliant, grounding electrode system that is designed to have a resistance of 25 ohms or less may not be adequate where telecommunications equipment is distributed throughout a structure and interconnected by metallic links.

Such facilities will benefit from the addition of a building perimeter ground loop. TIA-607-B-1 provides design requirements for the construction of building perimeter ground loops and provides guidance on multiple grounding electrode system configurations including ground loop conductors, radials and ground grids.

The goal is to obtain a low resistance grounding electrode system. Poor soil conditions or limited space may make this difficult to achieve. Software design tools are commonly used for designing grounding electrode systems due to their ability to model soil conditions in detail. The design should focus on establishing an equal potential ground plane, which has the lowest practicable ground resistance. All grounding electrodes for a given facility shall be bonded into a single grounding electrode system.

Grounding Electrode System Testing: TIA-607-B-1 describes two methods for measuring the performance of the grounding electrode system. 1) Three-pole fall-of-potential method measures the ability of an earth ground system, or individual electrode, to dissipate energy from a site and 2) an alternative test using a Clamp-on test meter is also described. The clamp-on test method has some limitations and should not be used to commission new grounds and to test any complex ground system where a metallic loop exists.

TIA-607-B-1 also contains an Annex on Soil resistivity testing using the four-point method. Four stakes are driven into the earth at a specified depth and spaced (in a straight line) at specified equidistant intervals. The test current is passed between the two outer stakes and the electrical potential difference is measured between the two inner stakes. The resistance can then be calculated using Ohm’s law.

ANSI/TIA-607-B-2-2013 Generic Telecommunications 22

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Standards 2013 SeptOct.indd 22

Bonding and Grounding (Earthing) for Customer Premises, Addendum 2- Structural Metal, published August 2013: This Addendum specifies additional requirements for a telecommunications bonding and grounding system when using structural metal in place of the telecommunications bonding backbone (TBB) or grounding equalizer (GE).

When structural metal is bonded to the building’s grounding electrode system it may be used in place of a TBB, a GE or both.

This is new! The current TIA-607-B standard specifies that where building steel is accessible, the TMGB/TGB shall be bonded to building steel using a minimum sized conductor of No. 6 AWG. This provides an additional path to ground. The primary path to ground is the TBB, which is a copper conductor that can vary in size from 6 AWG for distance less than 4 metres up to 750 kcmil for distances greater than 91 metres.

There is some debate in the industry about whether or not building steel is sufficient for bonding the telecommunications infrastructure. One of the arguments is that building steel construction is typically not specified to ensure reliable, high quality of interconnections. This point is addressed in TIA-607-B-2 Standard.

However, as a designer, it may be prudent to use a belt and suspenders approach to protect the investment of high value equipment in a facility.

The TIA-607-B-2 Standard does provide guidance on what needs to be done before utilizing structural metal in place of a TBB or a GE. First, building plans and specifications need to be reviewed to ensure the structural metal is electrically continuous or can be made so. Second, bonds to structural metal shall be made using listed exothermic welding, listed compression, or listed mechanical connectors and shall be accessible.

Additionally, the two point continuity test as described in ANSI/ TIA-607-B, or equivalent, needs to be performed on the structural metal to verify that resistance along the paths used as bonding conductors and the building’s electrical grounding electrode system is less than 100 milliohms. It is also clear that concrete reinforcing steel shall not be used as a TBB or a GE. As you can see the new Addendum 1 and Addendum 2 to the TIA-607-B Standard provide some valuable guidance and some new options for designing the telecommunications bonding and grounding infrastructure. CNS Paul Kish is Director, Systems and Standards at Belden. The information presented is the author’s view and is not official TIA correspondence. www.cnsmagazine.com

13-09-13 9:50 AM

Standards 2013 SeptOct.indd 23

13-09-13 9:50 AM

wire at your fingertips

Go to m.honeywellcable.com with your smartphone.

Select the right low voltage wire for your installs from any location.

View wire spec sheets, flyers and more. It’s that easy!

Honeywell Genesis® Series Cable has significantly expanded our Canadian product line. This wider selection is available through ADI branches throughout Canada.

Intrusion, Access, Fire, IP, Audio/Video, Networking or Coaxial & CCTV, whatever your application…We’ve Got a Cable for That!

Put wire selection at your fingertips by scanning the QR code.

For more information, please call 1-800-222-0060 or visit www.honeywellcable.com. © 2013 Honeywell International Inc. All rights reserved.

Standards 2013 SeptOct.indd 24

13-09-13 9:51 AM