Security and Loss Prevention similar but not the same

If you are or work for a small to medium sized retailer with less than ten locations you may be thinking security and loss prevention are one in the same.  Most retailers that size do not have a loss prevention staff or even a program in place.  Many that I run into will respond, “I have a security system” when I ask about their loss prevention situation.  What they mean to say is “I have a burglar alarm.” 

A burglar alarm, known as a security system, is armed when the facility is closed and no one is in the location.  Just stating the obvious, when a protected point such as a door or window is breached it sets of the burglar alarm which triggers a string of events that will result in the police being dispatched to the location. 

Retail loss prevention will include a burglar alarm to protect assests when the facility is closed; however, most retail losses accur when the store is open.  Taking a look at other security and loss prevention solutions are CCTV (surveillance cameras).  CCTV systems are great for recording events where loss occurs so that you can retrieve the evidence for use in court etc…

An active loss prevention security solution is an EAS (Electronic Article Security) system such as Checkpoint Systems.  Checkpoint systems involve installing antennas at doors that detect anti theft devices that are placed on merchandise.  These anti theft devices are either pinned on or are labels that are stuck on.  When a shoplifter approaches an exit with merchandise that has not been paid for the Checkpoint system will alarm alerting staff of the issue.  This catches the shoplifting in the act, thus a Checkpoint system is considered an active  loss prevention security method.

For more information and or to learn about your options for protecting your merchandise visit:  security and loss prevention 

 

Why Employees Steal In Retail Loss Prevention, Atlanta

Over the years many of the employees caught in retail loss prevention theft investigations that I have conducted have given me a lot of reasons why they did it. The most common is “as a favor to help friends out” or commonly called peer pressure. Think of it, an employee commits a felony that will land them in serious trouble to help out a buddy.

My fellow loss prevention and security professionals have heard this so many times. Why does the employee do it? There are several factors. One being age. We mostly hear this from 17 to 22 year olds. I believe that this is because they think that fitting in with so-called “friends” is more important than anything else. This thought process is pretty alien to the rest of us until you start thinking back to your own life at that age. You may have started smoking or did something else that you now look back and say, “what was I thinking?”. All of this in order to “fit in”.

Employees in that age group also tend to feel like they are bullet proof and that they wont get caught. In that situation I always laugh about the security and loss prevention investigations I conducted where a 19 year old cashier thought that she was the only one that ever thought up refund fraud, cash theft, void fraud or some other retail loss prevention theft that I had already put 600 people prior to her in jail for.

There was one retail loss prevention investigation in particular that I think is a good example. Two 18 year olds, male and female who were boyfriend/girlfriend decided that they would steal merchandise and cash to the tune of several thousand dollars. They thought that no one knew what they were doing. Clearly they believed that they were smarter that the rest of us including the store manager.

The manager contacted me to start a retail loss prevention investigation after he noticed variances in both cash and merchandise. In a very short time I had the evidence pulled together and narrowed it down to the two eighteen year olds. The interviews with each of them revealed the reason, they were stealing for each other (isn’t love grand?) and they didn’t think anyone would notice. They got to spend the next two years on probation paying back the business with interest and 50 hours of community service each (separate community service details as the Judge thought the love needed a break).

Your loss prevention security program must take this type of reason in to account if you want to keep your money on the bottom line. You must make clear to employees of all ages that you will not tolerate any theft of any type. The only thing they are allowed to leave the store with that they did not bring in is the air in their lungs. The rest is hands off.

Security and loss prevention professionals help you to balance loss prevention with sales, operations and human resource issues and concerns.

For more information on loss prevention security , retail loss prevention or loss prevention in general please contact us in Atlanta at: security and loss prevention or call 1.770.426.0547

LPSI is the Atlanta area loss prevention security experts.

Retail loss prevention solution a click or call away

Retail Loss Prevention has been around for many years. Names like Store Detective, In house Detective, Grocery Cop, Loss Prevention Agent, Undercovers, and more have been bounced around and used all over the place. Whatever the name, the job of a person in Retail Loss Prevention is ever-changing. 

From Apprehending shoplifters, to running an inventory, leaders in Retail Loss Prevention are always out to find the best return on the investment. This is no small feat. As most business people would probably agree, a knowledgeable and effective loss prevention department can seriously impact the business. Now, whether this impact is negative or positive depends on the organization.

Knowledge is power. In this day and age, it is important for loss prevention leadership to look at ALL aspects of the retail business. Is the retailer suffering from shoplifters? What about organized retail crime rings? Are they having issues with cash shortages? Maybe their receiving habits have gone unchecked for too long. What about employee awareness? Deciding what works best and building a custom program to each retailer should be the goal.

By far, one of the best ways Retail Loss Prevention can impact their business and partners is by helping build the awareness of all employees. Most employees are not aware of losses other than shoplifters. They don’t know about markdown abuse, price adjustments, refund fraud, discount abuse and other point of sale schemes used by the dishonest employee. Employee awareness impacts shrink and losses effectively when managed appropriately.

As experts, Loss Prevention Systems, Inc. provides a valuable service to the retailer working closely with management, ownership and or operations, they can advise on all aspects of the business where opportunities for improvement exist to reduce losses and boost profits.

For more information visit us at retail loss prevention or call 1.770.426.0547

 

Various forms of Loss Prevention Security to consider

Many business leaders are aware of the unfortunate need for loss prevention security.  Loss prevention security is available in many forms and is probably most popular as retail loss prevention.

In retail you have installed solutions that include camera systems, burglar & fire systems and electronic article surveillance systems (EAS).

Consulting solutions are also available such as loss prevention investigators/ consultants that are for hire on a per incident basis or long term contract basis.  Consulting side lends itself well to retail as well as other businesses who may be experiencing employee theft / employee fraud issues.

It is becoming more popular for businesses to subcontract their Loss Prevention work out due to cut backs in staffing and utilizing this resource to periodically train existing staff can pay big dividends.  The best defense against losses is always going to be a good offense.  Having well informed and trained staff working through a well thought out plan and procedures is critical and getting there can be accomplished quickly and efficiently through the use of periodic outside help.

For installed loss prevention security, cameras are the most popular; however, they are the most missunderstood as well.  You see the evidence of it on TV every day when watching convenience store or bank robberies in action.  Theives don’t care if they are being recorded.  Having a camera system installed will not stop professional theives or even the ametuers.  But it is good to have a record of the event for proof in court if needed.

For more options and information visit: loss prevention security 

 

 

Don’t confuse security and loss prevention

Many smaller to midsized retailers often confuse their definition of security and loss prevention.  Just ask them what they are doing for loss prevention and they will tell you they have a security system.  (Bear with me this is not a bashing article.)

Let’s define a couple things.  First what most call their “security” system is technically a “burglar” system because it is only turned on after hours and will alarm if a burglar breaks in.  It does nothing during business hours which is when losses occur.  So with that being stated, the words security and loss prevention are in two different ball fields.

In fact, burglary doesn’t even hit the radar when measuring inventory shrinkage in the US.  What does hit the radar according to the holy grail of studies in the industry, the National Retail Security Survey by The University of Florida: #1 employee theft, #2 shoplifting #3 Administrative errors, #4 Unknown, and #5 Vendor fraud.

So what is true loss prevention? Let’s look at what Wikipedia says:

Retail loss prevention (in some retailers known as asset protection) is a form of private investigation into larceny or theft. The focus of such investigations generally includes shoplifting, package pilferage, embezzlement, credit fraud and check fraud.  Loss prevention” or “LP” is used to describe a number of methods used to reduce the amount of all losses and shrinkage often related to retail trade.

In other words loss prevention involves specific people using specific methods to discover sources of loss and solutions to reduce those losses.  Only larger retailers employ these individuals as staff and many that have done so in the past have cut them from the payroll to cut overhead in these rough economic times.

What makes sense is to consult a  loss prevention professional to review your specific issues, your current security and loss prevention methods.  The next step will be to develop a custom program that will improve your operational effectiveness and reduces your losses whether shoplifting, employee theft or other.

For more info go to: security and loss prevention 

 

 

Physical Security

Retail Loss Prevention Physical Security

  • A well-lighted area deters shoplifting, stores must maintain adequate lighting. Shoplifters tend to gravitate towards darker, less traveled more concealed areas such as corners to conceal the merchandise they are going to steal.
  • Limit customer exits. Loss prevention security starts at the door. It takes to many employees to keep an eye on multiple exits. Most large retailers know this and do have only one entrance and exit. Close off or make any unused door an emergency exit.
  • Keep displays and shelving low enough to be seen over by employees. A key in retail loss prevention is training and empowering your employees to be your eyes and ears in loss prevention. Make sure they can see every where possible in the course of their normal duties. Teach them how to approach any suspicious customers.

Special loss prevention security measures should be followed if there is an emergency and the power goes off:

  • Station an employee at the front door.
  • Make sure you have flashlights ready for this purpose. Test them monthly.
  • Have a procedure for ringing up sales without the POS. The power is out. Do your cashiers know how to use a calculator? Do you have a battery operated calculator available at each POS? Do cashiers know how to calculate tax? Do they know what the tax rate is?

Retail loss prevention security keeps your profits up and losses down.

Need more information?  retail loss prevention or call 1.770.426.0547

Loss Prevention Systems,Inc