Retail Burglar Alarm System Considerations

September 8, 2015 by Leave a Comment

240x600I thought I would provide you with information to assist you in making decisions regarding the purchase or maintenance of a security system for your property. The information provided will help cut though the “fog” of choices regarding alarm systems.

I have over 35 years of experience in both commercial and military property protection. My Bachelor’s Degree is in Industrial Security and my knowledge includes physical security, design of alarm solutions and installation. I am also a licensed alarm tech.

When selecting a security system for a commercial space, you do not have to spend a great deal of money. However, you need to be cautious of putting in a system that is so inexpensive that you are really only getting a false sense of security. If you purchase smart, you will have a good system that will last for years and provide excellent coverage at a very reasonable price.

Choosing a provider – There are so many choices that it is usually overwhelming. Ranging from large national chains to single man shops. What is the best? Well, there is no answer that fits everyone. But you should consider the following:

How reliable is the company? How long have they been in business?

With large national chains, you tend to be just a number despite their advertising claims.

With some small operations you have to be concerned, if they will be there next year.

Generally regional chains and smaller operations are going to be more attentive to your needs.

Be VERY cautious of alarm sales people. Most of the time they are focused on quota and really do not care, if you are properly protected or not. Most do not have practical knowledge of physical security, they are salesmen. Make sure you get what is best for you not for the sales person who is trying to make quota and/or selling you components that are add-ons you really do not need.

How long is the contract? 5 years is WAY too long of a term. A good contract length is 2-3 years. Remember, if they cannot hold you with good performance and service, they will tend to try to get a longer contract. Length of contract is negotiable even with large companies. Besides where will you be in 5 years? Will your company have outgrown your current space and you have to move? An assurance of “oh if you move we will move with you” may sound great but what if they have done a poor job? Do you want to continue that relationship?

Watch out for companies that have wording in their contract that automatically raise your monitoring charge usually on an annual basis. Many times it is explained away as a “cost of living” type charge. It is just an underhanded way to get more money out of you.

I will discuss equipment later in this document but keep this in mind: A trick that the large companies do, is sell you the alarm control.  But it is proprietary and THEY are the only company that can program it. This keeps you locked into them forever. No one else can monitor or service it. Insist on a NON-Proprietary alarm control.

Are they insured? Get a copy of the insurance and insist on an updated copy every year. Better yet have them list you on their policy. Is their coverage adequate for a loss due to their negligence? Keep in mind that alarm companies are NOT insurers. They will not insure your life or property losses. That is what your insurance is for. But if they make a serious error or commit Errors and Omissions (E&O), you need them to cover their mistake. Have your insurance agent review the coverage document provided to you. Do this up front. Like my Attorney says to me “Let’s get the paperwork right at the beginning because I have never seen anyone wear their wedding dress to the divorce”.

Are they licensed? Check the Secretary of States web site. Are they properly licensed for low-voltage alarms, are there complaints….?

System Design – Unless you want a lot of bells and whistles you can keep It pretty simple. Here are the key items you should have:

Alarm Control (brains of the system). See above about proprietary vs non-proprietary.

Alarm Keypad near the front door. This is how you arm and disarm the system. In my experience a keypad with an “alpha” display is best. This usually costs a bit more but instead of it displaying a zone number such as “Zone 08” it will for example say “Back Door Left”. This is much easier to deal with when there is a problem.  And there will be a problem usually late at night when you need clear information. If you also access your suite from several doors, then you want a keypad at each door for your convenience.

Door Contacts. Contact every exterior door both personnel and overhead doors whether you use them or not. They are a “hole” in your wall.

Glass Break Detectors should cover EVERY bit of your glass that is accessible. This is the most likely way a burglar will break in. Usually one glass break detector in every office with any windows will take care of it.

Motion Detectors. You should have at least one. This should be in a hallway or other area that would make it very difficult for someone to move very far without tripping it. You do not need to cover every square foot. That is overkill and not generally necessary. The exception would be, if you have very valuable supplies, equipment or other assets you need protecting. Then a motion detector covering that area is warranted.

Fire Protection is a nice thing to add. This may help reduce your insurance premiums. Keep in mind that you may be in a building that has a sprinkler system. What you should ask is that sprinkler system “monitored by a central station” or is it simply going to ring an outside bell if activated. From a fire perspective you want it monitored. However, what happens if there is a water flow in the middle of the night or on the weekend and no one discovers it until business hours? Monitoring will keep your losses in merchandise and structure more limited.

Burglary sirens are nice but do not go crazy. One siren on the inside is enough. Keep in mind that almost every keypad has a built in siren.

Automatic Testing – This is one of the most overlooked issues. If your alarm system is not checking in with the alarm companies central station on a routine basis then how would you ever know if it stops working? This happens a lot! Alarm systems are electronic and mechanical devices that do break. An electrical surge from a phone line connection or 110 Volt power happens very frequently. If your systems communications go down you may never know it. It will not show up on the keypad.

Look for a “Supervised, Weekly Timer/Test”. This is an automated signal that your alarm control is programed to send every week at the exact same time. The central station computer is watching for this signal and if it does receive it then the central station computer notifies an operator and they then notify you. This process is all automated and normally is programed to happen in the middle of the night. The central station will then notify you the next day during business hours. If you are really concerned, then you may wish to select a daily timer/test signal.

Timer/Test signals are very inexpensive to you and many companies provide a weekly one free of charge.

Notification of an Alarm – This is the call list that the central station uses to get a hold of you in the event of an emergency or a problem. They cannot help you, if they cannot reach you. Keep this list up to date. Some of the better alarm companies can send you an automated email several times a year with your current call list. This reminder helps you to keep the list current. The problem with a call list is that it is out of sight, out of mind. Without these reminders you usually do not know until there is a problem. You should also have the alarm company send you an automated e-mail whenever there is an event such as an alarm, timer/test fail, maintenance problem…. Those should also be included in your service at no charge.

Reports – Another often overlooked feature is an open/close report. Your alarm company can program your alarm control to instantly send a signal to the central station each time the system is armed or disarmed. Your system tells the central station which employee armed/disarmed and at what date/time. A summary report is sent to you once a week by e-mail. You should tell them you want an “all activity” report. This should not cost any more. That way you will also see alarms, troubles…. In addition to the opens/closes. This is much easier for you to read. Most of us only need a “log only” report. The log only version is less expensive because there is no intervention by a central station operator.

This report is a very important tool for business owners and managers. It will let you know who is coming in and when which is a good tool to assist you in tracking employee time when you are not there. It will also alert you to someone coming in after hours. Use this report as a proactive tool. If something falls outside the norm then question the employee about it. This lets them know you are aware and will help to prevent issues such as employee theft.

Alarm System Codes – Every employee should have their own code. Employees should not be allowed to share codes. Tell your employees that they are accountable for what happens with their code. If a theft or incident occurs because they gave their code to someone or someone saw the code, then they will be held accountable. Codes should never be simple such as-1234, 2468, a year, birth month/year combination, phone number…. Anything obvious. You might try using a person’s last four digits of their SSN. People tend to protect that number. Let them know that if their code is compromised for any reason, they must notify you and you will simply change it.

Transmission via cellular or internet – I personally love this feature. Most of the problems with alarm systems involve phone line issues. I think cellular is best. A cellular signal cannot be blocked due to a cut phone line or phone company trouble. Most alarm system cellular units hit at least two towers and many times three. Cellular connections are VERY fast. It is also more reliable than your voice cell service.

You can also send signals via the internet. This is nice because like cellular you eliminate a hard wired phone line and is more economical. But an internet connection is vulnerable to interruption and being cut just like a phone line.

There are a lot of other great services that your alarm company can provide you to fit your individual needs: supervised open/close reports, wireless sensors, video tied to the alarm system, remote connectivity to your alarm system via PC, tablet or smart phone and much more. This allows you to access your alarm or view video anywhere in the world. Many of these are not only convenient but critical in business and asset protection.

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PROTECTING YOUR INVESTMENT FROM LOOTERS

September 8, 2015 by Leave a Comment

shoplifting4I watch and read the news every single day. I like to stay abreast of things that are happening in my communication, as well as issues affecting the nation. Recently, I’m a bit fed up with what I see. It’s not what’s being reported that gets me so red hot, but the reactions of called “protesters” to perceived injustices. I will never understand how a protest against something can turn into a riot and spur mass looting.

Look at the recent cases of civil unrest in cities across the country and you’ll see one commonality. “Peaceful” protestors, that almost always evolve into gangs of thugs who choose to loot and destroy businesses. You see the cities on the nightly lights. You watch in horror as lawless bandits bust out shop windows and even see those walking down the street with big screen televisions sets, and even some cases, setting stores ablaze, for no practical reason at all. More disturbing to me is that the majority of these stores affected are small businesses, like yours.
So is there anything you can do to prevent your business from falling victim to this? Yes, Absolutely there is. Take a look at some ways to harden your building and make it difficult for not only looters, but the average burglar, or robber, to damage your store.
First and foremost, if you don’t already have a CCTV system installed, get one. I’m serious. Unfortunately, this is no longer a luxury, or a good idea. This is a necessity. A good system will only run you a few hundred bucks and I will personally guarantee that it will pay for itself over, and over and over again. There is not greater piece of evidence in a court of law than video of a crime being committed. Eyewitnesses get details wrong; a camera doesn’t lie.
Second, take a look at the exterior of your building. Do you have glass windows or doors? If you really want to protect your store, you should invest in a good roll-down type door. Not only are some of these virtually impenetrable to a person, they can be great for when Mother Nature rears her ugly head. At the first sign of trouble, a flip of a switch can all but guarantee the safety of your store. Additionally, lots of stores have concrete bollards in the front to prevent an automobile from driving through the front doors. Whether it be an accident, a “smash and grab robbery,” or during a looting incident, a good bollard can stop a car dead in its tracks.
Now those are some great ideas to the more common ways our businesses are impacted. Lots of store owners often overlook one very simple, but very important piece. Data. Chance are, in your store, you have an office. In that office is a computer with all sorts of proprietary information. Whether it be salary information, employee records, sales and financial data, or your customer’s information, you have an obligation to keep that secure. If I walked into your store right now and stole every computer and every hard-drive in sight, what would happen? If you aren’t backing up your data somewhere off-site, you could be in a world of trouble should this happen to you. I recommend to anyone, to always back up any data to a place that isn’t in your store. There are several hundreds of reputable and safe companies that can handle this for a very small fee. Trust me, it’s worth every penny.
While the very likelihood of your business falling victim to looting is slim, it can happen. You should be prepared for anything that may come your way. In the blink of an eye, your city and your street could be playing host to violence and destruction. You should always be prepared to protect yourself, your employees and the future of your business. Don’t let some gang of bandits bankrupt your business.

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PROSECUTING EMPLOYEE THEFT

September 8, 2015 by Leave a Comment

theft (2)If you employ people, I can guarantee that one of them, at some point during their employment, will steal from you. It could be some office supplies, or perhaps a few reams of paper; or more commonly, money, or even your merchandise. We trust our employees from the time they are hired and throughout their tenure. Employees know our stores in and out. They know our strengths and more importantly, our weaknesses. This knowledge often leads the employee down the path of dishonesty. I’ve investigated hundreds of employee theft cases and nearly all of these employees say the same thing when they are interviewed. They say they stole because it was easy, or they had no fear of repercussions if they were caught, other than maybe just losing their jobs.

Personally, I don’t care if it’s a $3,000 watch, or a $1.50 bag of potato chips. If I have evidence that an employee willfully and purposefully has stolen from me, I’m going to terminated that employee and refer the matter to local law enforcement for prosecution. It doesn’t matter if that employee is an old man, young woman, or any color of the rainbow; everyone will get the same treatment. In my stores, it is very important that I create a deep understanding with my staff that there is a zero tolerance policy towards theft. You would be wise to do the same.

A few years ago, I came across an employee that had taken a couple of consumable items. It wasn’t much, probably under $10, but they knew they were stealing from me and did it anyway. After obtaining a written confession, I terminated that employee for theft. Due to the dollar amount being so low, I did not contact the police. Not long after, at this very same store, another employee was terminated after an investigation showed they had stolen over $10k in cash. This employee happened to be a different race and sex than that previous employee. Not long after that termination, my store received a lawsuit for wrongful termination. That employee claimed I prosecuted him based on his race and sex, and I let another employee, who was of a different race get off without being arrested. It was a long hard fight to prove our case (which we ultimately won), but it was a great lesson for me to learn. From that day, I adopted my “everyone who steals goes to jail policy”. It’s served me well ever since.

In addition to protecting yourself from employment related liabilities (like the one described above), prosecuting employees caught with their hands in the cookie jar serves one other great purpose. It’s a deterrent. It’s a huge deterrent to other employees who be entertaining the same idea. If Susie Q and I are both cash office employees and I see her get escorted from the store in silver bracelets after she stole a few hundred bucks, chances are, I’m never going to do the same. If your employees know that the consequence of stealing is always going to be jail, from day one, they are less likely to steal from you. If and when they do, you’ll be ready to set the example for the rest of your staff.

I know for some of you out there, making the decision to prosecute an employee, maybe even one of your most loyal and trustworthy employees, is a very emotional thing to go through. You may feel like you want to cut them a break and simply have them pay you back. I’m telling you from experience, that is not enough. They will eventually steal again. Moreover, your other employees will see how easy it is to get away with theft and may do the same thing. The way in which you react to catching an employee stealing should be exactly like how you get out of a bad relationship. Sever all ties, put your emotions aside and do what’s best for your financial future.

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Company Policies and Shoplifting

August 29, 2015 by Leave a Comment

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Many retail stores spend a lot of time and money combating shoplifting.  From loss prevention teams to anti-theft devices, security systems and many more, retailers always look for the best way to prevent shoplifting in their business.  Having your company’s policies visible and implementing them well can help your business and your management team deter shoplifting and employee theft. Communicating your company’s policies and procedures to your employees regarding employee theft and shoplifting from outsiders can protect your employees from harm and your business from lawsuits.  To read more about this topic follow the links below.

Retail Management: Policy Violations

The dynamic retail industry requires flexibility from loss prevention professionals.

Building a successful career in loss prevention has always been predicated on the commitment to professional growth and development. Working in a business as dynamic as retail, it is essential that we remain flexible in our methods and progressive in our approach to a global retail market. As the business moves forward, change comes quickly, and our retail management skills and abilities must evolve to meet the needs and expectations of a new professional standard.
But true growth must be built on a solid foundation. Especially when we consider the pace of change, we find that success is largely based on the refinement of the fundamental principles that anchor our skills and our decision-making. By expanding on our foundation of knowledge, we give ourselves a stronger and more stable base to build upon. We reinforce our futures by broadening our opportunities.

CD Shop Owner Accused in $2M Scheme With Shoplifting Addicts

​A record store owner is charged with using heroin addicts to shoplift more than $2 million worth of books, videos, and other products that he then resold online.

Anthony Cicero, 50, of East Pittsburgh, has been charged with running a corrupt organization out of his Slipped Disc record store in Oakland, a trendy Pittsburgh neighborhood home to The University of Pittsburgh and Carnegie Mellon University.

The investigation stretches back to 2008, when a Barnes & Noble investigator began tracing about $30,000 a week in stolen items to the addicts allegedly employed by Cicero, according to a grand jury presentment included with charges filed Wednesday. Cicero is also charged with theft, receiving stolen property, retail theft and conspiracy.

The state attorney general’s office said Cicero clearly knew his shoplifters — known as “boosters” — were addicts.

Cyber shoplifting costing retailers billions, driving up prices

STATEN ISLAND, N.Y. — A thief looking to scam a credit lender goes on an online shopping spree, ordering thousands of dollars worth of goods. When the bill comes, he calls the credit card company and claims they are fraudulent charges.

In good faith, the lender issues a “chargeback,” or credit, to the customer’s card, and the thief gets away with cyber shoplifting.

This crime is costing retailers up to $16 billion per year, and it’s making online shopping more expensive for consumers, as retailers pass along the costs associated with cyber shoplifting, said Monica Eaton-Cardone, co-founder and chief operating officer of Chargebacks911.

“Banks aim to keep their cardholders happy and typically assume ‘the customer is always correct.’ … [This] often leads to automatic chargeback refunds without further investigation or analysis,” she said, noting that cyber shoplifting falls under the larger category of “friendly fraud.”

“Chargebacks give consumers a loophole where they can call their bank or the merchant for an online transaction where they claim they didn’t receive the product or they could say, ‘I don’t recognize the transaction’,” Eaton-Cardone added.

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Managerial Isolation = Fraud Opportunities

August 14, 2015 by Leave a Comment

theft (13)There’s been a lot of research conducted, Dilbert cartoons drawn and articles written about the isolating effects of the cubicle culture in business.  This conversation has expanded lately to include increasing awareness of and concerns about the growing trend toward group management — managing people as a group rather than as individuals.

Proponents of this style suggest that supervising people as a group is a more contemporary, efficient way to allocate time and money.  Communication is primarily done via emails, memos, texts, social media, conference calls and meetings.  The thinking behind this concept is that people will become more independent with less oversight.

The premise that employees will step up and become more responsible through limited leadership or leaderless teams is actually an old one, which has been tried with limited or no success.  The idea that people are just waiting for and will happily seize the opportunity to be honestly self-determining is flawed, because it ignores basic human nature.

Isolating managers from employees doesn’t take into account that, depending on the study, 75% — 85% of people say that given the right circumstance they have or would commit occupational fraud.  That they have in the past and/or would in the future steal time, money and property from their employer, even one they like working for.

Occupational fraud is something most businesses have had, are having or will have.  Involved, aware and reasonable management is the first and best line of defense in making sure the right circumstances (motive, means and opportunity) don’t occur.  Good management requires knowing your people, a well thought-out and monitored security plan, and consistent checks and balances.

It’s common for employees to talk about how they “would do things better” if they had more power, don’t be fooled by it.  Only 34% (CareerBuilder, 2014) want to be bosses, and many of them aren’t doing anything to make it happen.  The reality is that most people want to do their jobs without increased responsibility for themselves, just for others. 

Nicole Abbott is a writer and psycho-therapist with over 20 years of experience in the fields of mental health and addiction.  She’s an educator, consultant, lecturer, trainer and facilitator, who’s conducted over 200 workshops, trainings, presentations, college classes and seminars. 

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Shoplifting Prevention and Your Store Policies

August 13, 2015 by Leave a Comment

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Video surveillance has been considered for many stores a way to stay abreast criminal acts against their businesses.  Shoplifting is crime that is constantly jeopardizing profits for many stores across the world, video cameras and other means to prevent shoplifting have helped stores fight this crime, but is always a battle that is changing with new technology coming into play.  Posting and knowing the policies and procedures that govern your retail stores concerning shoplifting, can help keep your employees safe and your store from becoming a hang out place for shoplifters.

Read more about this and other topics by following the links below.

Macy’s employee stabbed trying to stop shoplifting at D.C. store, police say

A Macy’s employee was stabbed in the shoulder Tuesday afternoon as he tried to prevent a suspected shoplifter from leaving the store’s downtown location near Metro Center, according to D.C. police.

The worker was not seriously injured and the suspected stabber was arrested, police said. The incident occurred about 3:30 p.m. near the store’s entrance in the 1200 block of G Street NW, along a street lined with stores four blocks from the White House.

Lt. Sean Conboy said police could not immediately provide any information about the person who was arrested.

Taking steps to prevent shoplifting

In early July, $3,000 in designer dresses, slacks and jackets were stolen from ADORE Designer Retail Boutique in Cary, one of Nancy Alinovi’s two consignment shops in the Triangle. She still feels sick about it.

“It’s just this feeling in your chest,” she said. “It’s not a victimless crime.”

Alinovi said it will be two months before everything returns to normal at the family-owned boutiques, which cut prices in order to stay afloat after the theft. Her experience shows the toll shoplifting takes on small businesses, where margins are small and business is personal.

There were 582 calls to the Raleigh Police Department regarding shoplifting in the past year, said Jim Sughrue, department spokesman. They run the gamut from family-run gas stations to department stores, he said.

According to a National Retail Federation’s security survey, shoplifting accounted for 38 percent of the $44 billion in retail inventory loss due to crime in 2014.

Focus on shoplifting

Police nab thief with aid of video

Video surveillance was a key factor in the arrest of a Grand Falls-Windsor man Aug. 9 after he was caught on film on three separate occasions stealing from local businesses.

Grand Falls–Windsor RCMP arrested and charged the 27-year-old with theft under $5000. He was released from custody, placed on conditions and scheduled to appear in court at a later date.

Grand Falls-RCMP also dealt with a number of assault and disturbance cases among the 68 calls for service fielded at the detachment between Aug. 3 and Aug. 9.

On Aug. 4, the Grand Falls–Windsor RCMP arrested and charged a 30-year-old Grand Falls–Windsor resident for uttering threats. The male had written a letter threatening to kill a local female.  The male is scheduled to appear in court at a later date.

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Real Time Anti-Shoplifting App For Your Mobile Devices

August 8, 2015 by Leave a Comment

LPSI EVOLVE-Store Mobile AppWhen I look at the Electronic Article Surveillance (EAS) marketplace there are two very distinct offerings: Checkpoint Systems and the “other guys”. I realize that this is a bold and maybe arrogant statement. Despite the fact that we are the largest nationwide Checkpoint Dealer for the small to medium size retailer in The United States and yes, I do favor Checkpoint Systems, it really is a true statement.

I wish I could take you on an inside tour of Checkpoint’s facilities from R&D to Manufacturing to Support to Service and everything in between. What you would learn is that there really is only Checkpoint Systems and the “ring the bell, light the light” crowd. Checkpoint Systems is so far advanced beyond the other guys, it is mind boggling.

So now Checkpoint has moved the EAS industry further again. EVOLVE-Store puts your Checkpoint Systems in your mobile device. An app delivers real-time information through a smartphone or tablet, providing real-time visibility and engagement with your EAS & ORC theft prevention systems.

The EVOLVE-Store app will also help to improve your consumer conversion rates through real-time visibility of the number of shoppers in your store and measures your policy compliance by managing response times to alarm events.LPSI EVOLVE-Store Mobile App 2

Combine this with Checkpoint Systems VisiPlus which is retail people counting at its best and you have a substantial retail theft management system available to you regardless of where you are. Seeing theft-related events that are affecting your store in real time gives you an edge.

I have been a retailer in the loss prevention world for over 30 years. I have personally apprehended hundreds of shoplifters, investigated over 2300 retail employees for theft, built and directed the Loss Prevention program for several major retailers. But I have never seen such significant advances in such a short period of time in the loss prevention field. But what make Checkpoint Systems so different is that all of this is not just designed for the major retailer. EVOLVE-Store is an affordable program for the small single store and medium sized retailer.

If you are interested in learning more about Evolve-Store and Checkpoint Systems EAS, please contact me, Bill Bregar at 1-770-426-0547.

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TIPS TO PREVENT SHOPLIFTING

August 8, 2015 by Leave a Comment

shoplifting1I’m constantly asked on ways to prevent, or stop shoplifting by store employees and managers. They see the empty packages every day and some of them are just tired of dealing with the problem. I have some managers that think by increasing the LP headcount will make a difference, while others want to lock everything up behind glass. How do you prevent shoplifters from targeting your store? Do you lock everything up and use the newest EAS devices to battle the growing shoplifting problem? What if I told you that while EAS devices are a great resource, you can implement several programs in your store that wouldn’t cost you a single penny? Interested yet?

First and most importantly, you have to build an awareness culture in the store. You employees need to be engaged and pay attention to what’s happening around them. Look at your store tomorrow. Are you team members being unproductive, are they failing to greet and assist your customers, are they task oriented? You’re probably going to answer yes to each of those questions and that’s OK. Those are all behaviors that can be addressed and corrected. How do you make them care?

It starts at the top. From the store manager on down, there needs to be clear expectations set in terms of customer service and store standards. Employees that don’t meet these expectations should be weeded out. Customer service is the greatest tool you have. If a customer knows that they can’t walk 10 feet before being assisted by your store, they will most likely return to your store. Likewise, a thief isn’t going to want that much attention and it will drive them away.

Second, start discussing shrink and loss prevention at every store meeting, morning meeting and department meeting. Give your team the knowledge of what is being lost and when. Discuss the top 5 stolen items for the month and the top shrinking department. Talk about known shoplifters and any specific products that are being targeted. This is also a great time for department employees to share new “hot” items that the rest of the store should be aware of.

Third, have a “LP communication station”. In my store, I have a large message board in the break-room. Here, I display the month/week shrink numbers, highest shrink department and top shrink skus. I also include different shrink topics each week so the team members can always gain some knowledge. I also feature an employee each week that has done something that positively impacted shrink. Maybe it was a cashier that caught a price switch, or maybe a sales team member that deterred a shoplifter. It’s a great place to recognize their behavior so they constantly strive to continue their actions to get “featured” again.

Lastly, you need to have a good cashier training program. So much fraud happens on the front end, it’s almost unbelievable. You have customers stuffing merchandise, altering prices, using fake credit cards, phony checks, counterfeit currency, hiding product under baskets, quick change artists and the list can go on and on. A well trained cashier team is your last line of defense against fraud. I constantly hold training sessions with my cashier team. It doesn’t matter if they’ve been with me for one week, or three years. There is always something they can learn to be more aware of how losses occur at their registers. Personally, I hold a contest each month with my cashiers to see who can catch the most amount of theft/fraud. You’d be surprised the results you can get if you offer up a free meal☺.

The greatest part of all of this is that it’s completely free. You can spend thousands of dollars on a camera system, EAS devices and/or a dedicated LP team in your store and still not see the same results as you would by just implementing some of these steps. There is absolutely no substitute for a well-trained and focused employee to prevent theft.

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WHAT CAN EAS TAGS DO FOR YOU?

August 8, 2015 by Leave a Comment

shoplifting3The technology placed in retail anti-theft devices seems to change and evolve every month. Every time I go to an expo, or browse online, I always find new and exciting tools to reduce shrink and protect the financial investment I have in my inventory. Most people assume that EAS devices are there to stop a shoplifter, and while that is absolutely true, they can also be used for training your employees.

In a perfect world, I would hire a cashier and they would be familiar with every item that I sell in my store. They would know the difference between a $20 fishing pole and a $200 one. They would be able to tell the difference between a $250 paintball marker and a box of paintballs. In reality though, they do not. So how do I get my cashiers to think like an LP? It’s easy… I make it dummy proof.

My store carries a good selection of offshore fishing rods that are easily over 6 feet long. Nobody is putting these bad boys down their pants and walking out the store. I still secure them with an EAS device. Same goes for those big expensive coolers. Those aren’t simply walking out of the store, but I’ve got EAS tags on those too. To some, this may be unnecessary and a waste of the resource and tools. To me, though, it’s one more way I make it easy for my cashiers to know what they are scanning.

Just the other day, one of my cashiers called me over for a customer that was trying to purchase one of those big fishing reels. Problem was it was scanning at the register for $14. These retail for $199. How did the cashier identify the fraud? It’s because she was trained to identify the retail anti-theft device placed on the rod. She doesn’t have to know a single thing about offshore fishing, but she sure as heck knows that if it has that security device, it will cost more than $100!

While EAS devices can and will deter a shoplifter, that doesn’t always account of all the other types of theft that criminals will come up with. Price switching is a very common fraud scheme and with inattentive and untrained cashiers, you could be opening yourself up to substantial losses. While it’s highly unlikely that someone will attempt to conceal a tennis racquet, there will be those who will attempt to alter its pricing indicator. Be ready for them next time with this simple, easy and effective way to leverage your EAS assets in a way that you may not have considered before.

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EAS and Organized Crime

August 6, 2015 by Leave a Comment

shoplifting1The reports about shoplifting and employee theft play an important role in how retail stores deal with this crime. Recent surveys about organized crime show that almost 90% of those surveyed indicated that they have been a victim of ORC. Even when retail stores spend thousands of dollars investing in security and surveillance equipment, shoplifting and employee theft are a major problem for these stores. It should not surprise us then, that retail stores marked up their prices to cover some of the loses they suffer from shoplifting and shrinkage. Organized crime, shoplifting by single individuals, and employee theft are problems that as a society we deal with every day.

To read more about this topic follow the links below.

Fighting Organized Retail Crime with the Power of Information

Organized Retail Crime (ORC) deals with professional shoplifters, crime networks, cargo theft, Internet crimes, and other organized criminal activities that occur in the retail setting. These highly organized, often mobile and sometimes complex groups and their hierarchies provide a tremendous threat to the retail industry and to the global economy. The primary objective of these professional crime rings is to target retailers across a geographical area or cyber network, stealing from these organizations for the purpose of turning products into financial gain, rather than for personal use.

The dramatic growth of ORC incidents cost the retail industry more than $30 billion each year. However, these incidents also carry a devastating impact that dramatically affects our society as a whole. In addition to tremendous financial losses, these events frequently serve as gateway crimes to other illicit activities; with the illegal income from the expanding theft and resale of stolen retail goods benefiting those engaged in other forms of criminal activity such as drug trafficking, violent crimes, gang activity, and even terrorism.

Where Next for EAS? Reflections on Current and Future Developments

Marketing textbooks tell us that every product, brand, and technology has a life cycle. First, there is the launch and introduction, then a period of strong growth, then a period of maturity, and then of course, a period of decline.

The textbooks point to two decline-management strategies that are within the control of those who presently own the product, brand, or technology.

First, the product, brand, or technology can be reinvented to appeal to a new target market by better responding to new trends and needs. Olay, Lucozade, and Burberry are three examples of mature brands and products that were reinvented with great success. In the case of Lucozade, sales of this fizzy tonic drink tripled through the introduction of smaller bottles and new advertising campaigns that repositioned the brand as an energy drink used by sports stars.

The second approach is for organizations to recognize that if they don’t embrace and manage the decline, their competitors will. So in these organizations, they have a deliberate plan to create and launch new superior products and technologies that push the existing product into decline. Apple and its iPhone product is a great example. To defend its market share and stay ahead of its competitors, the company continually updates its products with new superior versions: 4 was better than 3, 5 was better than 4, 6 was better than 5, and so forth. Another example would be Gillette, where the decline of two-blade razors was triggered by the launch of three blades. More recently, three-blade razors have been put into an accelerated decline by the launch of five blades. This approach to product life cycle management has helped Gillette remain the most popular razor brand in the world.

Unexpectedly Exposed: Who’s watching you in dressing rooms?

EVANSVILLE, IN (WFIE) –

If you’ve ever dragged a heap of clothes into a dressing room, only to have none of it fit – you know what a battle shopping can be.

But we’re learning, there’s a different kind of battle raging in dressing rooms across the Tri-State.  This one pits your expectation of privacy against retailer’s rights to protect themselves against shoplifters.

We’re talking about cameras in dressing rooms.

There’s an entire industry built on keeping an eye on you in stores.  Closed Circuit TV cameras retailer Mike Haldas tells 14NEWS, his Florida based company has sold CCTV Camera equipment to stores in 50 states and 85 countries, and you’d be hard pressed to find a retailer in America that doesn’t have some sort of surveillance.

They’re trying to combat theft.  If they can do that, a new National Retail Federation Survey shows they could potentially stop a lot of what’s called “shrinkage,” inventory lost to fraud, theft, or waste.  It says stores lost $1 out of every $100 of inventory to shrinkage last year.

Stores want to know: Are people stuffing clothes into their bags to steal them?  Are they switching stickers in the dressing rooms?  Those things add up to losses.  Cameras would be a good way to find that out.

“They’re placed everywhere in the store.  Obviously they want to deter people from stealing things to begin with,” Haldas said.

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