STAYING SAFE DURING AN APPREHENSION

shoplifting5What is the most important factor to consider when you make a shoplifting apprehension?

Safety. There is no single factor that is stressed more heavily within my department than personal safety when making a shoplifting detention. Not only do I implore my teams to be vigilant of possible weapons, but to also make sound business decisions before making a detention that could jeopardize their safety, the safety of the employees of the store and the safety of our customers. In the blink of an eye, what seems like another routine apprehension can quickly turn violent.

Play by the rules.

Our industry, over the past decades, has come a long way from the days of chasing down shoplifters by any means necessary. We’ve evolved from brute strength and a show of force, to a more pro-active and analytical approach to shrink, especially the way we approach shoplifting incidents. Enter the 5 steps for an apprehension. Selection, display intent, conceal, maintain visual, exit store. Every LP department, for the most part, has adopted this. In addition to no touch policies, this greatly reduces the chances for an apprehension to become physical in nature.

Cooler heads will always prevail

Hiring someone that cannot control their own temper is a dreaded mistake. Even I am not immune to making this type of mistake. Granted, we ask our agents (and ourselves) to be there to stop someone from stealing from us. Shoplifters come from different backgrounds, and often we are facing career criminals, or those with drug addictions that are not in a stable mindset. More often than not, the shoplifter will immediately escalate a detention from the moment they are approached. How many times have you stopped someone and they immediately began yelling at the top of the lungs every swear words known to man? I experienced this three times this past week for me. This is where a calm, collective LP professional is most needed. What if you started yelling and screaming back? Chances are, things will get ugly. My advice is simple. Act like an airline pilot. It doesn’t matter if the wings are on fire and you’re hurtling towards the earth at 500 mph. That pilot will still speak in the same tone and pace. It’s to keep the masses calm. This technique works great with rowdy shoplifters too.

What if I’m faced with a weapon?

This has happened to me personally on 3 occasions. Once, a heroin addict pulled a knife on me. The second time, a firearm fell from the pants of a shoplifter and the third, my personal favorite, is when I was pepper sprayed by a shoplifter. Even though it was hard to do so (especially my sprayer), I immediately disengaged the apprehension and allowed them to make quick egress of the store. Yeah, I was pretty upset for a day or so that they got away, but the end result is that no one got hurt. That’s the key; there is nothing in your store that is worth sacrificing the safety of anyone for.

There really isn’t another job in the retail industry where personal safety can be compromised in the blink of an eye. I bet that guys in the IT department never have to worry about being pushed to the ground by a maniac as they try to run out of the store with $2,000 worth of cologne. LP is a unique business. We thrive on what others shy away from. While you’re out this week busting thief after thief, please remember your safety, and the safety of those around should take absolute priority above all else. There is nothing in your store that is worth the risk of injury. Be safe and happy hunting.


Shoplifting And Organized Shoplifting Rings

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For a long time now police departments across the United States have been working closely with retailers in their areas to protect their stores, the safety of customers and residents alike. The cost associated with shoplifting goes beyond the loses it causes to the retail store and consumers, and violent crimes associated with shoplifting keeps police departments busy and the crime rate increase is bad for business.

For more about shoplifting follow the links below.


Shoplifting putting the pinch on police, businesses

Shoplifting is a significant problem that costs retailers as well as consumers, and may lead to other crimes, according to Martinsville’s Police Chief.

Shoplifting accounted for a fifth of Martinsville’s total Part I crimes in 2014 – crimes that are the best indicator of the safety of citizens, including violent and property crimes, Police Chief Sean Dunn said. Shoplifting accounted for 92 of the city’s 441 total Part 1 crimes (nearly 21 percent) in 2014.

“This is a significant cost to our local retailers, which certainly translates to a higher cost for all of us. As a result of the large percentage of shoplifting incidents, we decided to tackle this from a department-wide approach and enhance our partnership with the business community,” Dunn said.

“This is a significant cost to our local retailers, which certainly translates to a higher cost for all of us. As a result of the large percentage of shoplifting incidents, we decided to tackle this from a department-wide approach and enhance our partnership with the business community,” Dunn said.

The Martinsville Police Department’s initial response included patrol officers making periodic stops at local businesses “to deter unlawful activity and to reinforce with the business community their importance to us,” Dunn said.


Observation skills, quick thinking help prevent shoplifting

About 27 million shoplifters live in the United States today, with offenders spanning generations.

According to the National Association for Shoplifting Prevention (NASP), that means 1 in 11 people have shoplifted. There is no “typical” offender.

“It could be anybody,” said Nathan Hershley, the security supervisor at East Hills Shopping Center. “I’ve personally dealt with (shoplifters) from 14 years old, clear up into their 50s.”

Shoplifters target all types of stores, according to NASP — from drug stores to supermarkets, convenience stores and even thrift shops.

Store employees and customers who shop there play an important role in helping catch anyone suspected of stealing. Staying alert for suspicious behavior and catching the suspect(s) on photo or video can help authorities make an arrest.


Experts say organized crime rings are on the rise. A September survey by the National Retail Federation showed 97 percent of retailers contacted believed they were victims of organized retail crime within the last year. Almost half reported a “significant” increase in such crimes.

Jan. 02–Supermarkets across Central Florida were puzzled after more than $50,000 worth of merchandise vanished from shelves.

It wasn’t the result of closeout deals or the green-haired Christmas villain known as the Grinch making off with cartloads of products from Publix and Winn-Dixie stores. Rather, a posse of Central Floridians pilfered pricey grocery stock such as Crest White Strips and Gillette razors from almost 100 stores.

Security camera footage eventually revealed the coordinated thievery, which led to the arrests of five suspects. The organized shoplifting ring busted in August is part of a growing trend that has stores on their toes, especially with the increases of retail theft around the holiday season.


Using Social Media To Capture a Shoplifter

law-3Using Facebook, their own websites and other social media outlets, many retailers have for years posted  pictures of shoplifters on line in hopes of catching the shoplifter.  Posting images and descriptions of suspected shoplifters can be helpful in apprehending them, but it can also be legally harmful to you and to the business if you don’t know the laws in your state regarding shoplifting laws, and you post the wrong images and descriptions of the suspected shoplifter. If your store has an LP program or department, you need to check with them before any pictures are posted on social media.   And do you have insurance that will cover you in a potential law suit? Are the shoplifters juveniles? From the time you apprehend a shoplifter till the time you charge them with shoplifting, there are rules you must follow.  Check the laws in your state, a lawyer, or the legal department in your store before posting any images on line.

For more about this and other stories, follow the links below.


Local business uses Facebook to catch shoplifting suspect

A small business in Olive Branch is fighting back against shoplifters by using social media.

If the Pink Coconut Boutique catches you stealing, they will post you picture on Facebook. It’s a tactic they’ve always used, and it seems to be working well.

Store manager Debbie Ham recently posted a picture of an alleged shoplifter on the businesses page. She called for the 1.1 million Facebook followers to help identify the suspect.

And in less than 24 hours, 25-year-old Christian Tatum was identified.

“The fans were very upset (because) we do keep our prices down at the Pink Coconut,” Ham told FOX13.

This is not the first time the store has done it. They use the practice to help keep prices low.

Police would not comment on the matter. They only said it was the Facebook post that led to Tatum being identified.

“We do have 30 cameras in our store that we are very quick (to use). If there is an incident, we take our camera and review our video and burn a CD and we also post it to social media,” Ham said.

With millions of Facebook fans, the post led the Pink Coconut getting swamped with people reporting the accused criminal.


Shoplifting Laws by State

Alabama Shoplifting Laws

Detention and arrest of person suspected of larceny of goods held for sale.

(a) A peace officer, a merchant or a merchant’s employee who has probable cause for believing that goods held for sale by the merchant have been unlawfully taken by a person and that he can recover them by taking the person into custody may, for the purpose of attempting to effect such recovery, take the person into custody and detain him in a reasonable manner for a reasonable length of time. Such taking into custody and detention by a peace officer, merchant or merchant’s employee shall not render such police officer, merchant or merchant’s employee criminally or civilly liable for false arrest, false imprisonment or unlawful detention.

(b) Any peace officer may arrest without warrant any person he has probable cause for believing has committed larceny in retail or wholesale establishments.


Kohl’s shoplifters identified after public’s response to released photos

D’IBERVILLE — A surveillance picture released to the media has helped lead to the identity of two women accused of shoplifting and assaulting a Kohl’s employee, police said.

Police obtained arrest warrants for Michelle Quin and Tykeshia Barnes, both 18, and released their names Monday.

Deputy Police Chief Clay Jones said a third woman who appeared in the surveillance picture was not arrested.

Quin and Barnes each face charges of shoplifting and simple assault.

Police said the store on Promenade Parkway had reported the women stole merchandise Jan. 8 and said two of the them assaulted a loss-prevention officer who tried to get them to return inside the store.


Using Employee Engagement To Prevent Shoplifting

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There is no question that employee happiness in the workplace can be an asset to your company.  Happy employees that are valued can give a business the edge they need to make their business a success. Happy employees are less likely to steal from you, and are less likely to call off regularly.  Having employees that feel appreciated can be an advantage to your retail business, and a tool to prevent shoplifting.

For more about shoplifting, follow the links below.


Retailers Experience Success Due to Employee Engagement

Expert advice on how retailers can craft customized services in order to strengthen financial performance through greater quality of management and employee engagement.

Management consultant Oliver “O. Lee” Mincey, who focuses on employee engagement and the attributes of great management, has nearly 25 years of training and leadership development experience. He has developed training and learning programs positively impacting well over 40,000 people for clients and previous employers including Six Flags, Disney, Universal Studios and House of Blues.

Founded in 2009, Oliver Mincey Co. designs strategies to help clients solve their most complex and interesting leadership and employee engagement challenges. Engagement helps reduce costs associated with poor employee retention, relations and morale. Its core values are: Do what is right, always; take ownership and get it done; inspire passion for people; focus on outcomes; fuel growth and innovation for both us and our clients; and embrace good cheer.

Mincey shared five tips for great management and his secrets of employee engagement.  A great manager, he said:


Online crime system blitz on retail theft

A new cloud-based crime reporting system could prevent up to $2 million of retail thefts every day.

Police have teamed up with Auckland-based company Auror who developed software that streamlines crime reporting processes.

The software will be rolled out nationally after successful trials in Counties Manukau and Canterbury.

The software enables retailers to complete incident reports and provide relevant information to police about thefts including shoplifting and petrol drive-offs, and other incidents.

The information can be shared between retailers to prevent further offending.

A Police National Headquarters spokeswoman said all information shared through the Auror portal was automatically forwarded to the police crime reporting line.


SeeTec Cayuga BVI Retail Combines Article Surveillance With Video Analytics For Retail Security

If you believe recent surveys to be true, commercial damage in Germany caused by retail shrinkage accounts for about 3.8 billion Euro per year – this is one per cent of the total turnover of this industry. More than half of this is caused by shoplifting. Another 40 % of the total amount can be related in equal terms to employees and suppliers.

The retail industry’s answer to this enormous volume of damage is obvious: prevention and investigation by combining traditional article surveillance and intelligent video technology. Video-based systems do not only reduce retail shrinkage. They can also be used to better understand customers and their buying behaviorand to optimize the sales approach. SeeTec Cayuga BVI Retail provides solutions for both requirements.

Challenges Faced By Retail Business

Highstreet retail businesses don’t have an easy time: Online trading provides maximum price transparency and therefore puts enormous pressure on the margins through a plain cost structure and 24/7 opening hours.


CHRISTMAS EVE CHALLENGE

shoplifting6I thought I’d take a lighter note and share some post-holiday humor. It was quite an eventful end of December for me and my team. We definitely had our share of idiot shoplifters. A few stood out that really deserved to be on the highlight reel. I hope you enjoy these as much as I did!

Every year, I make it a point to work extra hard to catch a thief on Christmas Eve. Some people call me cold, but why should I pay for gifts for someone that doesn’t want to work? They are, in fact, robbing me of my bonus! So I found myself working Christmas Eve with my top agent, at our highest shrink store. I was, in fact, stacking the deck. About noon-ish, I notice a guy practically running through the store with a shopping cart. Not too odd, given that most people are picking up last minute gifts. I watched as he loaded three motorized scooters into his cart and dashed over to the shoes. There, he asked an employee where this year’s hottest shoes were. Once shown, he threw 4 pairs in the buggy and headed to the apparel section. I stopped watching at this point and made my way around the store. As luck would have it, we intersected paths and my suspect raced down a secluded aisle. He emerged from the next aisle, as I was standing there. He rushed passed me and I noticed that his shoes were now concealed in shopping bags and he was headed to the doors. I called my agent and by the time he answered, my guy was out the door! I love a good push out.

We catch up to him under the patio and he ditches the basket and breaks out running through the parking lot. We break off and relay his direction of flight to local law enforcement. To my amazement he stops running and ducks into retailer next door. Police arrive and we both enter the store to identify him. It didn’t take long for us to find the guy, standing in the magazine section, pretending to read an upside down edition of the Times, sweating profusely, and practically wheezing.  He then tried to run from the police. Seriously, I have no idea where he got the energy… On his second run, he was (un) lucky enough to knock an officer to the ground. That officer was in no mood to run; Hunter was, though. That Belgian Malinois broke out of the patrol car faster than American Pharoah at Belmont Stakes. It was awesome. I’m also 10/10 on throwing a thief in jail on Christmas Eve. In case you were keeping score.

Merchandise Return Fraud

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Shoplifting during the holidays is a big problem for retailers in the United States.  The holiday season brings more customers into their stores, but shoplifters know this and they take advantage of this fact to go into the stores and walk out with hundreds of dollars in stolen merchandise.  But after the holidays, you are dealing with another kind of fraud. Merchandise return fraud has seen an increase over the previous year, and retailers now have to deal with this problem after the holidays are over.

For more about this and other topics, follow the links below.


Post-Holiday Merchandise Return Fraud

Retail theft statistics show that the vast majority of returns are legitimate and part of doing business as a retailer.

Returns and return fraud are a big issue—and getting bigger. In 2014, $284 billion worth of retail merchandise was returned in the United States,according to the Retail Equation. That represented a 6.2% increase over the prior year, and 2015’s numbers are expected to grow even higher. Brick-and-mortar stores report returns in the 5-10 percent range. E-commerce retailers report numbers averaging 10-15 percent, with returns of apparel running as high as 20-30 percent. The research firm IHL Group estimates that, overall, returns cost retailers 4.4 percent in revenue that is lost on items that can’t be resold or must be discarded.

Within the retail loss prevention community, when returns are mentioned, most focus on return fraud. To be sure, it is a huge issue with volume estimated at $9.1 billion, again according to The Retail Equation. When return abuse is added in, that number jumps to an estimated $15.9 billion. But, as large as these numbers are, it is estimated that return fraud and abuse only make up about 6.1 percent of returns. So 94 percent of all return transactions (equating to $245 billion) are legitimate.


Retailers Estimate Holiday Return Fraud Will Cost Them $3.8 Billion, According to NRF Survey

WASHINGTON, December 19, 2014 – Techniques and processes put in place to thwart criminal activity around retailers’ return policies continue to be put to the test, and with steadily improving retail sales, even more is on the line when it comes to losses from return fraud.

According to the National Retail Federation’s 2014 Return Fraud Survey* completed by loss prevention executives at 60 retail companies representing grocery, department, discount, specialty and small retailers, the industry will lose an estimated $10.9 billion to return fraud this year. Additionally, of those surveyed, retailers estimate $3.8 billion will be lost to return fraud this holiday season alone, up slightly from last year’s $3.4 billion. Overall, retailers polled estimate 5.5 percent of holiday returns are fraudulent, similar to last year’s 5.8 percent.

“Today’s sophisticated technology does well keeping criminals at arm’s length but often isn’t enough to completely stop the unethical practices of organized and individual retail fraud occurrences,” said NRF Vice President of Loss Prevention Bob Moraca. “Return fraud has become an unfortunate trend in retail thanks to thieves taking advantage of retailers’ return policies to benefit from the cash or store credit they don’t deserve. Additionally, many of these return fraud instances are a direct result of larger, more experienced crime rings that continue to pose serious threats to retailers’ operations and their bottom lines.”


Reflects on How a Shoplifting Charge Changed Her Life

Shoplifting consequences that ended a 35-year career in journalism.

On February 11, 2012, officers of the Tucson Police Department cited former Tucson KVOA news anchor Martha Vazquez on a shoplifting charge. According to the report that was filed, Vazquez was cited for shoplifting at the Dillard’s in the Tucson Mall after a loss prevention officer observed her conceal an Eileen Fisher jacket value at $338.00. After she was detained, a search of her belongings also yielded a pair of Kenneth Cole sunglasses valued at $30 that had also been shoplifted.

Vazquez said that after the shoplifting charges ended her 35-year career in broadcast journalism, her life hit “rock bottom.” She resigned her prominent position, sank into a deep depression and left Tucson for Washington State. Now, Vazquez says the time that she spent out of the public eye in Washington after her incident in 2012, was “a healing journey.” She is now back in Tucson; is being treated for depression and says that she wants to help others.


Preventing Shoplifting This Holiday Season

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By now the holiday season has been in full force for a few weeks, and the stress your management team, employees and security personnel are feeling is a bit overwhelming.  Shoplifters during the holiday season are abundant, and police and retailers try to be more vigilant and proactive by implementing security measures during this time than at any other time of the year.  Follow the links below for more information about this and other topics.


Police step up efforts for holiday crime

As the holiday season gets under way, local police are gearing up for the all-too-predictable spike in property crime.

Hanford police Capt. Pat Crowe said officers will be stepping up their game over the next few weeks to deter vehicle burglaries, robberies and other crimes typical of this time of year.

“Every [patrol] shift was tasked with coming up with their own holiday project,” Crowe said.

Crowe said those projects include probation and parole sweeps focusing on individuals with known histories of gang activity, drug-related offenses and property crimes. Foot patrols and motorcycle units will also increase their presence at the Hanford Mall and other major shopping centers.

“Our main focus is to be visible and hopefully deter criminals from doing what they’re going to do,” Crowe said.

Lemoore Police Chief Darrell Smith said each of his department’s patrol shifts also devised a plan to tackle holiday crime. The result was a number of special operations that will unfold through New Year’s Eve.


Police offer tips to stay safe during holidays

If you’re tempted to share your holiday plans or photographs of Christmas loot on social media, local law enforcement officials want you to think twice.

“We live in an age where people put so much information out there about themselves,” said Cindy Kozerow, crime prevention specialist with the Lynchburg Police Department.

“Do not announce on Facebook, ‘Hey, we’re going to grandma’s for the holidays,’ because what that says is ‘Hey, my house is empty, so come and steal my stuff.’”

She explained how the holidays present a unique opportunity for thieves looking to capitalize on people’s good will and sense of safety in their own homes.

Checking in at stores on social media pages or opening window curtains at night to show off decorations lets potential thieves know when your home is empty, and gives them a glimpse of goods stashed under your Christmas tree.


‘Shoplifting Season’ for local businesses

Rogue River, Ore — The holiday shopping season can mean trouble for local businesses as big crowds come in but some say they’re sick and tired of getting ripped off. Sometimes it’s as simple as a Facebook post.

In Rogue River the police are working with one local business to make sure their products stay on the shelves and don’t fall into the hands of thieves.

“We’re a small store, and it really hurts us,” said Justin Norris.

At Rogue River Pharmacy and variety store shoplifting is something assistant manager Justin Norris has to deal with far too often.

“Lately we’ve had a problem with people from out of town coming in and shoplifting,” said Norris.

Rogue River police are looking to put an end to it by posting pictures online of suspected shoplifters and suspicious persons, one of whom confronted a uniformed police officer before leaving empty handed Tuesday.


Should You Apprehend The Shoplifter?

shoplifting2According to the statistics by the National Association for Shoplifting prevention the habitual shoplifter steals 1.6 times a week. And although that is an alarming amount, the fact is that theft by employees surpasses theft by the outside shoplifter.  The amount they steal is alarmingly higher compared to what the outside shoplifter takes from the store. So how do you prepare your business to mitigate the loses it will suffer from employees and shoplifters alike? Is having up to date inventory data readily available one of the solutions? Is prosecuting the employee no matter the amount the way to go?  For more about this and other stories follow the links below.


To Stop Or Not to Stop the Shoplifter: Is This Still a Question?

A male shoplifting suspect has been coming into store 153 three times a week for as long as anybody can remember. Store management has even attributed this guy as a major cause of the store’s shrink woes that have put them on the corporation’s “target store” list for the last two inventory cycles. As the store’s loss prevention agent, you have tried to stop him in the past, but it seems like you have always been just one step behind him and unable to make the shoplifter apprehension.

“Today is going to be different,” you say to yourself.

You can feel it. Today he is finally going to get what’s coming to him, and, more importantly, your apprehension dry spell is going to end. No more excuses needed for the boss. Today you are going to be stopping the shoplifter that nobody else has been able to get.

You have spent the last ten minutes following the suspect through the store, tracking him carefully from the moment he entered. You know and understand the steps of the apprehension process. You have observed him approach, select, and conceal multiple computer accessories that you estimate to be worth over $200.


Seven things retail can teach us all about data security

TalkTalk’s Dido Harding isn’t the first CEO to receive advice from cyber experts safely installed on the This Morning sofa and she won’t be the last. The boardrooms of British Gas, Vodafone and Morrisons have all recently played data-breach bingo and we all now accept it’s ‘when’ not ‘if’.

But retailers have been dealing with theft for a very long time. They call it ‘shrinkage’ – when stock leaves a store by any non-legitimate route and surprisingly, shoplifting comes a distant second to theft by staff. Since retailers need staff they’ve had to concentrate on mitigation rather than eradication.

The information security community would do well to take heed here. The biggest tool most companies have against the insider threat – data theft by staff – is a strongly worded statement. Even then, access to information is so poor that management can’t deliver on any threats. Too much attention still goes on preventing the external attack – the shoplifter.


RETAIL SECURITY

Retail security is a term with two very different and distinct meanings in the retail environment. In one aspect, retail security is an outdated and understated term for a critical sales support function. In the early years of the profession, most companies called this aspect of the workforce the “Security” or “Protection” department. Security teams served as a real and visible force to combat losses in the stores. Uniformed guards would stand at the doors or walk the selling floors. Undercover security agents were eventually brought on to catch shoplifters. Security managers coordinated these efforts, and also handled internal theft issues. Programs typically assumed a reactive and one-dimensional approach; responding to issues as they occurred and working to keep the stores safe and secure. Unfortunately, while this reactionary approach was often expected and requested by retail leadership, it was not conducive to true retail success.

Over the years, responsibilities continued to increase, and these departments were looked at in a different way. It became increasingly apparent that in order to benefit the overall organization the industry would have to evolve, embracing the concepts of retail shrink reduction and incorporating concepts critical to the retail culture.


Do you have a Business “Go Kit”?

shopliftingMany folks have go kits set up so that in the event of a storm, natural disaster or civil disturbance, they can grab their family and the Go Kit and be covered. Personal Go Kits tend to have copies of documents such as drivers licenses, birth certificates, passports, deeds…. But Go Kits can also include items to survive such as water, food, medicines, flashlights, a weapon…. These concepts used to be confined to those among us that are expecting a doom’s day interruption or ending to our society.

However, with the complexity of our society come other issues. How would you easily prove that a house belongs to you, if the area was damaged beyond recognition? Say a hurricane, flood, wild fire or earthquake? What happens if the official records are also lost? Are you going to depend on others to put your life back together again?

The same applies to your business. How will you prove to your insurance company that your inventory is valued at $XXXX if your records all disappear in a fire? The same applies to payroll records and the like. You need to have a BUSINESS Go Kit!

Thankfully this is simpler than you may think. Consider keeping your data files in a cloud environment that has multiple backups on servers that are located in multiple locations around the US. If they are on one server located in New Orleans or Miami, I would re-think that strategy. We use Google’s cloud. It costs us $5/month per employee and the redundant backups are on five separate servers in five different geographical locations in the United States.

Scan in important documents such as business licenses, insurance documents, titles, vendor documents, etc. Put them in your cloud. That way you have access wherever you are. It might be a good idea to put photos of your business, inventory, equipment and more on there, every six months or annually. Have your backups of accounting data such as Quick Books reside their also. All of this plus payroll records, taxes and more could be rebuilt but why would you want to take the time to do this when it is simply a matter of changing your habits?

Oh but “it will never happen to me” or “I will get to that tomorrow” are favorite phrases we all like to use to put something off that we know should be done. It will happen to you and it will happen “tomorrow”. An earthquake may never threaten your business but then again a data loss, PC crash probably will.

Unless you are wealthy beyond belief, then like the rest of us that are not, we depend on our business to provide for our families and life style. We will need to restore that cash flow in the quickest manner possible and with the least amount of effort to get there. Your business Go Kit will help make that happen.

It is also a good idea to keep a few extra cases of water, blankets, candles and canned soup on hand. I may be miserable but being warm, having a full stomach and a little light to read by will make it a little less miserable.


COPYING EMPLOYEE THEFT

shoplifting1Quite often, I like to showcase a new theft trend, or perhaps a funnier shoplifter story for a bit of humor. This month is no different. We’ve talked about some pretty serious issues on the past two articles and now I just want to share a story that goes along with that employee theft piece. It’s something I bet each and every one of you will react to immediately after reading.

At one point last year, our company finally gave us (Regional LP Managers) access to our store’s P&L statements. You would think we would have already had this… Better late than never I suppose. It’s a great tool for me to see the overall profitability of the store. I can use my expertise to help the store reduces losses/expenses and to become a more profitable business. One store in particular stuck out. They were over their office supply budget by thousands of dollars. Odd.

Most stores spent between $500-$1000 a month on office supplies like toner, paper, pens and pencils. This particular store was spending triple that; at least $3k each month. I met with the store manager during a visit and asked about that line item. He was just as perplexed. Where were these office supplies going each and every month? We devised a plan. We initiated a “buy back” program for all employees. We put up signs in the offices and common areas asking all employees to clear their lockers, cars and homes of any supplies they may have taken home. It happens, no big deal. When the employees returned the items, we weighed them on a digital scale. The employee with the heaviest return received a gift card. Well, it worked. We had pens and pencils for the next two years. Next month, the store still spent $2k in supplies.

Baffled, I reached out to our accounting department. Surely, there had to be an error somewhere. Perhaps a line item was being mixed in where it shouldn’t be. It took a few days, but I convinced one of the accountants to give me an itemized breakdown of all office supplies the store had ordered over the past year. Toner. The store was ordering toner. Lots and lots of toner.

I questioned the managers and personally searched the store. Over the past six months, the store had ordered nearly 25 replacement toner cartridges. Couldn’t find them, and couldn’t explain why the store was ordering so many. I decided to ask the administrative assistant. A kind of last ditch effort to explain why the store kept ordering copy toner. 15 minutes into my conversation and I had a theft confession.

Toner, apparently, will resell very easily online, especially if you mark it down about 50%. The administrative assistant was ordering toner, then simply walking out the front door with it. She’d post it on eBay and was making a pretty healthy profit from it. It was a first for our LP department. No one else had ever, in my company’s history, uncovered this form of theft. It was a bit unusual, but still cost us well over $12k. My advice to you; look over your office supply orders.