Reviewing Your Store Policies Today

June 18, 2018 by Leave a Comment

Reviewing your store policies today and training your employees about the ramification of not following them properly is imperative. The consequences of not following those policies properly are too costly to postpone.  Employees, as they are human, try to use shortcuts or in some instances, take the easy way out while doing some chores without thinking it may affect the bottom line at the end of the day.  Profits for a store cannot be thought of as profits for the owner only, employment and benefits for the employees are inherently tied to those of the owner.  If the owner must close the store for loses, the employees lose as well.

Is it time then to review the policies and procedures the employees must follow while working at the store? You bet.  If you do not think it is necessary to do a complete training workshop today, you must at least remind them of the policies, the procedures, and their responsibility to stay calm and professional at all times. Safety plays an important topic when talking about staying calm and professional while dealing with a shoplifter.  Their safety and the safety of the customers cannot be jeopardized by carelessness or by improper behavior. By reminding them of this important and oftentimes forgotten topic, you are ensuring fatalities or brutal behavior do not occur at your store.

Click here to read about a news story and the fact that many retail shop owners deal with this issue on a daily basis.  The return policies of any store have to be continuously checked and tried to asses their effectiveness, otherwise, you may be dealing with a deficit you cannot recover from.

 

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A Checkpoint System Is Now More Important Than Ever

May 31, 2018 by Leave a Comment

Shoplifters seem to be getting bolder than ever. Much of this is greed. Many people simply want stuff and have no moral compass. Others are emboldened by lax law enforcement or Politicians that pass laws that do little to protect you. Whatever the case be, it has a negative impact on Retailers. We are expected to open our stores, compete, pay employees, pay expenses, taxes…. And make a profit. Shoplifting theft is yet another pressure on us.

The key to stopping shoplifting is prevention! You have to keep the losses from occurring. Once the shoplifter has stolen merchandise, even if you catch them, you lose money in labor, unsellable merchandise, sales and the like. This is where a Checkpoint System shines. This is high-quality commercial grade equipment that works 24/7. However, like anything else, you must get as much value out of any equipment you have. A piece of equipment that can pull double and triple duty for the same investment brings a better return on investment. Consider what Loss Prevention Systems offers.

First, when our customers purchase a system from us, they get FREE anti-shoplifting training for the life of the system. This is live training by a Loss Prevention professional as often as you reasonably need it. I actually spend a fraction of that time on the Checkpoint System itself. Most of the time is spent teaching you and your staff how to detect and dissuade shoplifters from even entering your store. You can actually have fun with shoplifters. Drive them crazy and they will get frustrated and simply leave you alone.

Next, there is a whole world of new innovations in the Checkpoint Systems line. People/Customer counting is one. Your system can count customer traffic. You then receive a weekly report that details your traffic by the hour of the day, day or the week. This data can be merged into your sales data to give you a more complete picture. Customers use this data to help with decisions on staffing levels, open/close times and more. The system will also report on the Checkpoint System alarms. How and when they occur. This further feeds into your decisions about staffing levels. You may say that my cash register tells me traffic. Not so, as not every customer that comes into your store makes a purchase. Why is that? Possibly because you do not have enough staff on at the times when you really need it.

How about remote control of your Checkpoint System from your mobile device while inside your store? This feature notifies you of alarms, maintenance issues, and real-time stats. You can be in your office, stock room or anywhere in your store and the system will notify you of an alarm. Immediately. This also gives you control of the system itself. Checkpoints systems are already ECO-friendly in their power consumption. But you can set up a schedule that tells your system to power down during the hours you are closed. Over a year that money adds up.

Marketing? Our systems have AD Panel capability either built-in or as an add-on. The antennas are there at the front door anyway, why not have them greet your customers with signage that you can change out as often as you wish. Promote an item, a sale, a special or simply say “welcome”. Print whatever you want and slide it into the clear acrylic frame. Now you get double duty without taking up any more floor space.

How about control of items you do not want to leave the store under any circumstances? Key rings, customer hand baskets, notebooks, documents, tools, equipment or supplies. Simply put a tag or label on them.

Contact Loss Prevention Systems today and we will help set you on the path to higher profits!

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School’s Out – Time To Get Ready For School: Tips To Prepare for a Successful Back To School Season

May 31, 2018 by Leave a Comment

Summertime is here and now is the time for children to rejoice and shout for glee as most are finishing up their school year. Put away the pens and paper and lunchboxes and prepare to enjoy the warm, sunny days. No Mr. and Ms. Retailer, not YOU, the children. The moment the schools let out is the moment you should be preparing to roll out the merchandise for the next school year. Wait too long and you will be a step or two behind your competition.

Certainly, most children will not be anxious to go school shopping so soon after starting their vacations but we, the dads and moms out here, are always looking for special sales and deals that will save us a few bucks. Education may be free but all of the accessories are not. Think about what we parents are purchasing to send the kids off to school. We are asked to provide crayons, pencils, pens, glue, and paper. Lunchboxes, backpacks (wait, regular or see-through?), binders and notecards also fill our school supply lists. From there schools and grades may have varying requirements. The retailer who is going to be top of the class is the one who will anticipate the needs of the pupils and parents and prepares accordingly.

What are some of those things that you can do to get the head start that will drive sales for your business?

  • If you aren’t keeping old school supply lists filed away, start doing so. This will give you a good idea of what teachers will probably ask parents to provide the coming year. The schools will probably not make lists for the coming year available until July so knowing last year’s information gains you some advantage.
  • Advertise. Use social media and in-store flyers as cost-effective means of getting the word out to customers. You may also want to check on the price of a radio spot to air a short commercial. If you only rely on posting flyers and banners in the store you are limiting your advertising to those customers already shopping with you. You need to spread the message to bring in additional shoppers.
  • Create displays near the front of the store that focuses on school-related supplies that complement each other. For example, create an endcap with binders, loose-leaf paper, pencils, pens, crayons, compasses, and protractors. If your store is geared to clothing then displays for children’s clothing should be on focal points. Regardless of what your store specializes in, order a one-time shipment of some lunchboxes and food storage containers for sandwiches, chips, dressings/sauces. Parents are conscientious of rising school lunch prices and reusable containers appeal to both the cost concerned and environmentally focused families.
  • In the process of creating the displays don’t forget about merchandise protection. Use electronic article surveillance labels and hard tags on everything. Don’t lose sight of the fact that those displays will also attract the attention of shoplifters and they will steal merchandise that isn’t secure. Small and expensive items will be especially tempting.
  • Begin clearance pricing some summer products earlier to free up floor space for back to school related merchandise.
  • An easy to overlook opportunity is to keep your check lanes full of impulse buy goods. Snacks and drinks are top items but finding cool gadgets and pens that may interest students and adults are great opportunities for a few extra dollars.
  • Don’t forget about add-on sale items. Calculators tend to be popular and they need batteries. Peghook your calculators, keeping your high-end TI-83’s, TI-84’s, etc. in Alpha Keeper boxes to make them available to customers while protecting them from theft. Add the corresponding AA and AAA batteries on additional rows of peg hooks and deter theft by using Auto Peg Tags. Speaking of batteries it would also be a good idea to place battery chargers and rechargeable batteries in this type of display. Again, expense minded and green-minded patrons will find something to appeal to them here.

It is not always easy to think outside the box when anticipating the needs of school students especially if your store specializes in one area but it can be done. Be creative and it can pay dividends.

A final thought on back to school sales opportunities. Some retailers offer special deals to teachers (who present official credentials). Not only does this help your profit line it is a huge boon for teachers who often use their own money for classroom supplies. You can develop a new loyal customer base with such an offer. Make preparations early for the return to the classroom and you will demonstrate you have learned your lesson well.

     

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A Leather Coat Looks Good When It’s Protected With An Alpha Cable Lock

May 21, 2018 by Leave a Comment
Retail Anti-Theft Devices-3                                                                                        WC Blog 449
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A Leather Coat Looks Good When It’s Protected With An Alpha Cable Lock

     When I was a Loss Prevention Officer many years ago for a department store we carried a lot of high ticket merchandise, clothing, china, shoes, even candy. We were using retail anti-theft devices sparingly and only on some of our clothing. Those were mainly hard tags designed to prevent shoplifting through deterrence and alarm activations when would-be thieves would try to sneak tagged items out of the store. There was hesitation to use the tags on items made of silk or leather out of concern for the material. This made it difficult for my Loss Prevention Manager and me to protect special shipments of leather coats we would get from time to time. The store manager wanted them displayed but did not want to risk “damaging” leather with a hole from the pin that clipped the tag to the jacket. At the same time he also wanted people to try on coats to see if they liked them and to encourage sales. Talk about a task! That didn’t leave many options so my boss had a special fixture ordered that consisted of wire strands that looped into an alarm box on the fixture. If someone pulled a coat off and tried to run with it the idea was that the fixture alarm would sound. That was great as long as we regularly checked the 9 volt batteries to be sure they weren’t dying on us. It also required a sales associate to unlock the fixture, turn off the alarm and get a jacket off for a customer to try on. It was a barrel of laughs when two or more people wanted to try on coats. Try monitoring that! Oh, and the alarm was off while the coats were being tried on. Granted we did not have many alternatives back then but today the Alpha Cable Lock would be a super choice to use on leather coats.

      An Alpha Cable Lock comes in several sizes a retailer can choose from to prevent shoplifting. There are small sizes that are outstanding to use on purses, wallets, shoes, backpacks, etc. Larger sizes are available to be used on bicycles, infant strollers, and yes, leather coats. The locks have a built in LED light that flashes and let’s bad guys know the merchandise is protected and that deters theft. The locks also have a tamper alarm that sounds if the retail anti-theft device is tampered with in the store and workers can respond and find out what the commotion is about. You can believe me when I tell you it is a commotion when that alarm sounds! These locks also have electronic article surveillance (EAS) technology in them that sets off EAS towers set up at a store entrance and exit. Should a criminal decide they want to attempt to walk out with any merchandise protected with a lock the tower alarm would be set off. As with the tamper alarm employees will be alerted by the sound and respond to the door to stop a theft.

     You may be wondering in our situation why wasn’t an associate required to allow just one customer at a time to try on a leather coat and then re-arm the fixture? Couldn’t the other customers wait until it was their turn? We did want the fixtures to be re-armed but the reality was and is in any store, when there is more than just the one customer and you are trying to do your best to help you don’t always think things through. Could more employees have helped? Anyone who has worked in retail knows there are moments when there aren’t enough people to cover every place they are needed. Sometimes we feel like we are putting out one fire and the next one pops up. The beauty of the Alpha Cable Lock is that is removes the requirement for an employee to stand by while a customer tries on an item. The cable allows enough room for freedom of movement to try on a coat or jacket while providing optimal security should someone attempt to sneak out of the store with  merchandise that has one of these retail anti-theft devices on.

     Did we lose any leather coats? Yes unfortunately even with the “alarm” fixture we didn’t have 100% procedure compliance by all of our associates. Of course that never looks good at inventory time. Make sure you give your customers access to merchandise while you prevent shoplifting and guard your goods with EAS security. Use Alpha Cable Locks and Let your employees focus their attention on the customers that truly need assistance. See what Alpha Security can do for your bottom line.
Get more information on Alpha Cable Lock, contact us or call 1.770.426.0547 today.

When I was a Loss Prevention Officer many years ago for a department store we carried a lot of high ticket merchandise, clothing, china, shoes, even candy. We were using retail anti-theft devices sparingly and only on some of our clothing. Those were mainly hard tags designed to prevent shoplifting through deterrence and alarm activations when would-be thieves would try to sneak tagged items out of the store. There was hesitation to use the tags on items made of silk or leather out of concern for the material. This made it difficult for my Loss Prevention Manager and me to protect special shipments of leather coats we would get from time to time. The store manager wanted them displayed but did not want to risk “damaging” leather with a hole from the pin that clipped the tag to the jacket. At the same time he also wanted people to try on coats to see if they liked them and to encourage sales. Talk about a task! That didn’t leave many options so my boss had a special fixture ordered that consisted of wire strands that looped into an alarm box on the fixture. If someone pulled a coat off and tried to run with it the idea was that the fixture alarm would sound. That was great as long as we regularly checked the 9 volt batteries to be sure they weren’t dying on us. It also required a sales associate to unlock the fixture, turn off the alarm and get a jacket off for a customer to try on. It was a barrel of laughs when two or more people wanted to try on coats. Try monitoring that! Oh, and the alarm was off while the coats were being tried on. Granted we did not have many alternatives back then but today the Alpha Cable Lock would be a super choice to use on leather coats.
     

An Alpha Cable Lock comes in several sizes a retailer can choose from to prevent shoplifting. There are small sizes that are outstanding to use on purses, wallets, shoes, backpacks, etc. Larger sizes are available to be used on bicycles, infant strollers, and yes, leather coats. The locks have a built in LED light that flashes and let’s bad guys know the merchandise is protected and that deters theft. The locks also have a tamper alarm that sounds if the retail anti-theft device is tampered with in the store and workers can respond and find out what the commotion is about. You can believe me when I tell you it is a commotion when that alarm sounds! These locks also have electronic article surveillance (EAS) technology in them that sets off EAS towers set up at a store entrance and exit. Should a criminal decide they want to attempt to walk out with any merchandise protected with a lock the tower alarm would be set off. As with the tamper alarm employees will be alerted by the sound and respond to the door to stop a theft.
     

You may be wondering in our situation why wasn’t an associate required to allow just one customer at a time to try on a leather coat and then re-arm the fixture? Couldn’t the other customers wait until it was their turn? We did want the fixtures to be re-armed but the reality was and is in any store, when there is more than just the one customer and you are trying to do your best to help you don’t always think things through. Could more employees have helped? Anyone who has worked in retail knows there are moments when there aren’t enough people to cover every place they are needed. Sometimes we feel like we are putting out one fire and the next one pops up. The beauty of the Alpha Cable Lock is that is removes the requirement for an employee to stand by while a customer tries on an item. The cable allows enough room for freedom of movement to try on a coat or jacket while providing optimal security should someone attempt to sneak out of the store with  merchandise that has one of these retail anti-theft devices on.
     

Did we lose any leather coats? Yes unfortunately even with the “alarm” fixture we didn’t have 100% procedure compliance by all of our associates. Of course that never looks good at inventory time. Make sure you give your customers access to merchandise while you prevent shoplifting and guard your goods with EAS security. Use Alpha Cable Locks and Let your employees focus their attention on the customers that truly need assistance. See what Alpha Security can do for your bottom line.

 

Get more information on Alpha Cable Lock, contact us or call 1.770.426.0547 today.

 

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Memorial Day Sales With A Different Twist 

April 30, 2018 by Leave a Comment

Holiday sales events and promotions are intended to boost retail sales. The obvious big event is the Christmas holiday season which seems to begin in October for many retailers. The event carries into January when merchandise goes clearance as retailers prepare for the next holiday event and the beginning of the Spring sales lines.  During the remainder of the year, retailers also take advantage of other holidays by appealing to customers. These events just are not as extravagant in terms of time or advertising.  Clothing stores conduct promotions at Easter to sell dresses, suits and related accessories. Grocery stores and discount retailers run special deals on candy, eggs, toys, and baskets. The 4th of July sales may be geared towards parties, cookouts, and summer themed goods like bathing suits. The sales don’t necessarily have anything to do with the holiday being celebrated they simply entice customers to come in for the low prices. Below are a few ads I found online for previous Memorial Day sales to illustrate my point:

  • A furniture store: $1 Down and 60 months no interest
  • A Home Improvement store: 10% – 30% Off Major Appliances $396 or more
  • A Car Dealership: Memorial Day 100 Sale – Payments as low as $100/month
  • A Grocery Store: Big Three Day Sale

Many of the ads feature red, white and blueprint as well as stars and stripes in attempts to appeal to the patriotism of potential shoppers. I understand the need for merchants to do everything they can to increase sales. Retail is competitive and in order to stay in business owners must take advantage of opportunities as they arise.

     What I would like to suggest is that retailers look more closely at the holiday they are running promotional campaigns for. Try to see if there is some way to honor the holiday, specifically Memorial Day. I am suggesting that if a retailer is holding a Memorial Day sale they take the opportunity to honor the fallen soldiers for whom the day is remembering. This is no easy undertaking. I have seen restaurants that have attempted to recognize the sacrifices of the fallen with discounts and free meals for military veterans. Despite the good intentions, they get grief from some people (I assume they are veterans) who chastise them for not recognizing the difference between Memorial Day and Veteran’s Day. As a veteran, I appreciate the effort shown and think that the griping is misplaced. There are few ways they can recognize fallen heroes but a meal or discount is the form of appreciation they can offer.

     What can a retailer do then to promote sales and keep to the spirit of the Memorial Day holiday? I would like to offer the following ideas:

  • Offer a portion of each transaction to a non-profit agency that provides assistance to the widows and children of veterans who have fallen in combat. Just a few of the groups that help such families include:

Fallen Patriot Fund
www.fallenpatriotfund.org

Faces of Valor USA

http://www.facesofvalorusa.org/

Children of Fallen Soldiers Relief Fund

http://www.cfsrf.org/

These are just three organizations that provide such assistance and there are many more out there.

  • While it has been the source of some contention you could consider offering a discount of 10% or greater to service members or veterans who can show a military ID or a copy of a DD 214 form (a document that shows a veteran has served).
  • Consider setting up a display for Memorial Day, often called a Fallen Soldier Table, a White Table or a Missing Man Table. The effort will not go unnoticed by those who have served or the family members of fallen soldiers. The displays are not difficult to prepare https://www.veteranscaucus.org/index.php/events/memorial-day/america-s-white-table
  • If taking a portion of a day’s sales is not in your budget, a donation can or collection jar with a designated charitable organization listed is an appropriate alternative.
  • Finally, invite a veteran’s group such as the VFW (Veterans of Foreign Wars) to hand out poppies for a donation at your store. https://www.vfw.org/community/community-initiatives/buddy-poppy 

The VFW uses the money collected to provide financial assistance in maintaining state and national veteran’s rehabilitation and service programs and partially supports the VFW National Home for Children.

The ideas are certainly not all-inclusive and you may find some other source of recognition of the sacrifices made by our fallen heroes. The point is that you honor the day and what it represents as you still run your sales and specials.  Remember those who have made it possible for you to operate your business in a free country.

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Knowledge Of Anti-Theft Devices Can Help Others Prevent Shoplifting; Your Management Knowledge Can Help Others Improve Their Future Part 2

April 24, 2018 by Leave a Comment

 

Prevent Shoplifting -4                                                                                                              WC Blog 426
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Knowledge Of Anti-Theft Devices Can Help Others Prevent Shoplifting; Your Management Knowledge Can Help Others Improve Their Future Part 2
     In part 1 I discussed the fact that most of us think of how we will benefit when opportunity knocks and we take advantage of it. We weigh the pros and cons of that opportunity and choose whether to accept it or not. How will it affect us? Will it open a new job for us, perhaps a promotion or could it lead to a new leadership role? There are so many things that happen when opportunity presents itself. I gave an example of how an application I put in for a Loss Prevention Associate job turned into an offer to be the Loss Prevention Manager for the same store. Sometimes we are presented with an opportunity but when we consider all factors we decide not to accept it. A number of years ago I was looking for employment and based on my knowledge of how to prevent shoplifting, how to use retail anti-theft devices and investigate internal theft a part-time job was offered as a Loss Prevention Associate. The possibility it could lead to a full-time position was tempting but there were other circumstances that caused me to turn it down. Retail managers can help young people learn the skills and recognize opportunities that may help them be successful as they grow older.
     Since I have already mentioned it I do want to briefly discuss what it means to prevent shoplifting so it will make more sense in how I was presented my opportunity in career advancement. To prevent shoplifting in a retail store it takes at least a minimum of using retail anti-theft devices and customer service. The customer service gives potential thieves more attention than they want. Greeting people as they walk into the store, making eye contact and offering superior service takes away the opportunity for a shoplifter to steal. It also requires a strong customer service culture to respond to electronic article surveillance systems when security tagged merchandise activates alarm towers at the front doors of a store. A timely response to an alarm going off gives stores a chance to conduct receipt checks and recover merchandise a thief is trying to steal. While it is desirable to have some type of security or Loss Prevention Staff in place it isn’t necessarily required, especially for stores that may not have a budget to afford it. A trained store team can deter a significant amount of theft. Having experience and demonstrated understanding of the role of Loss Prevention in a store’s profitability helped me when opportunity knocked.
     You managers have the ability to help others more than you may think. How you lead your employees influences how they will lead others one day. The old saying, “Actions speak louder than words” comes to mind. Have you told people you have an open door policy but you keep it closed all of the time? When you give a corrective action, especially to a younger worker do you take time to explain the “whys” for that action? You do a disservice to someone if you write them up for being tardy too often and don’t follow it up with a conversation about how those actions impact their fellow employees. Perhaps you have a policy that prohibits cell phones on the salesfloor yet you find one of your younger employees texting while working, do they understand how that phone interferes with customer service? I recall when I was a new Loss Prevention Manager and blew up at two members of my team. Though I had told them only one could be in the security office at a time, I caught both in there watching cameras. I chewed them out and told them why they couldn’t be in there at the same time but I may not have been clear enough when I first covered the policy with each of them. I thought about the incident later and tried to change my style but it is hard to undo what has already been done.
     On the flip side of the negatives, I also made a point of encouraging my L.P. staff to interview for other L.P. jobs even if they had no intention of leaving. I conducted mock interviews with them and taught them how to incorporate their knowledge of retail anti-theft devices and how to prevent shoplifting. I explained that each interview was an opportunity to get more experience at it and be better prepared for the future. Are you giving your employees opportunities? Are you stretching them to do more? Whether it is store operations or Loss Prevention you can make opportunities happen for others the question is, “Will you?”
For more information about retail anti-theft devices contact us or call 1.770.426.0547.
   

In part 1 I discussed the fact that most of us think of how we will benefit when opportunity knocks and we take advantage of it. We weigh the pros and cons of that opportunity and choose whether to accept it or not. How will it affect us? Will it open a new job for us, perhaps a promotion or could it lead to a new leadership role? There are so many things that happen when opportunity presents itself. I gave an example of how an application I put in for a Loss Prevention Associate job turned into an offer to be the Loss Prevention Manager for the same store. Sometimes we are presented with an opportunity but when we consider all factors we decide not to accept it. A number of years ago I was looking for employment and based on my knowledge of how to prevent shoplifting, how to use retail anti-theft devices and investigate internal theft a part-time job was offered as a Loss Prevention Associate. The possibility it could lead to a full-time position was tempting but there were other circumstances that caused me to turn it down. Retail managers can help young people learn the skills and recognize opportunities that may help them be successful as they grow older.

Since I have already mentioned it I do want to briefly discuss what it means to prevent shoplifting so it will make more sense in how I was presented my opportunity in career advancement. To prevent shoplifting in a retail store it takes at least a minimum of using retail anti-theft devices and customer service. The customer service gives potential thieves more attention than they want. Greeting people as they walk into the store, making eye contact and offering superior service takes away the opportunity for a shoplifter to steal. It also requires a strong customer service culture to respond to electronic article surveillance systems when security tagged merchandise activates alarm towers at the front doors of a store. A timely response to an alarm going off gives stores a chance to conduct receipt checks and recover merchandise a thief is trying to steal. While it is desirable to have some type of security or Loss Prevention Staff in place it isn’t necessarily required, especially for stores that may not have a budget to afford it. A trained store team can deter a significant amount of theft. Having experience and demonstrated understanding of the role of Loss Prevention in a store’s profitability helped me when opportunity knocked.

You managers have the ability to help others more than you may think. How you lead your employees influences how they will lead others one day. The old saying, “Actions speak louder than words” comes to mind. Have you told people you have an open door policy but you keep it closed all of the time? When you give a corrective action, especially to a younger worker do you take time to explain the “whys” for that action? You do a disservice to someone if you write them up for being tardy too often and don’t follow it up with a conversation about how those actions impact their fellow employees. Perhaps you have a policy that prohibits cell phones on the salesfloor yet you find one of your younger employees texting while working, do they understand how that phone interferes with customer service? I recall when I was a new Loss Prevention Manager and blew up at two members of my team. Though I had told them only one could be in the security office at a time, I caught both in there watching cameras. I chewed them out and told them why they couldn’t be in there at the same time but I may not have been clear enough when I first covered the policy with each of them. I thought about the incident later and tried to change my style but it is hard to undo what has already been done.

On the flip side of the negatives, I also made a point of encouraging my L.P. staff to interview for other L.P. jobs even if they had no intention of leaving. I conducted mock interviews with them and taught them how to incorporate their knowledge of retail anti-theft devices and how to prevent shoplifting. I explained that each interview was an opportunity to get more experience at it and be better prepared for the future. Are you giving your employees opportunities? Are you stretching them to do more? Whether it is store operations or Loss Prevention you can make opportunities happen for others the question is, “Will you?”

 

For more information about retail anti-theft devices, contact us or call 1.770.426.0547.
   

 

 

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Employee Training

April 17, 2018 by Leave a Comment

The scary shoplifting cases we hear and see on TV, or on newspapers in the United States, are becoming too commonplace to rendered us shocked. 

Shoplifting has always been a problem for stores across the globe, but now, people are losing their lives because we put more value on a bag of cookies than a human’s life. The incidents that are happening now concerning shoplifting should make us ponder whether the reactions, lives lost and the way our employees conduct themselves during a shoplifting incident merits those responses.

We should not forget that Shoplifting is a crime and that as an owner of a retail store your livelihood depends on the profits that you can gain by being a responsible owner. But, we cannot forget that we are dealing with human lives as well. 

If the price of a bag of cookies has the same value to you as a shop owner than a human life, then deterrents to prevent shoplifting are probably of no interest to you. But, if you believe that prevention to these crimes is the beginning of solving a major social issue in this country, then maybe prevention methods and other solutions are likely to be of interest to you as an owner.

  1. Training  — We have read more than once about the death of an accused shoplifter in a store.  Authorities are called to the business when the shoplifting incident has gone out of hands and the resulting confrontation has led to the death of the accused shoplifter. Now, what?  Lawyers, police departments and customers are involved, and the incident has become a national news piece.  Providing training to your employees to respond appropriately to a shoplifting incident has proven to be an investment that you will not regret and lives that will not be lost.
  2. CCTV cameras, prevention systems, and facial recognition software are some of the preventable shoplifting measures you can use to prevent, deter and fight shoplifting in your stores.  These are some of the investments that apart from your employees will become invaluable to you and pay for themselves in the short run.
  3. Inventory — If you know what you are selling, what is being stolen, and what are some of the items that are more enticing for shoplifters-because of the resale value or ease of trading — you may be able to use more of your resources to protect those aisles or move them to a safer place.  Being aware of what is happening in your store is instrumental in the prevention of shoplifting.
  4. Employees that care what is happening in your store is an issue that is too important to ignore.  Studies have shown that happy employees make great employees and can boost the morale of the people that work with them.  Your responsibility as an owner begins by rewarding your employees – By increasing their salary, offering incentives, and/or offering praise-your business can gain the caring you need to protect your store.
  5. Hiring the right people for your store begins by using the tools at your disposal that can make a difference in your hiring.  Background checks are the first step in ensuring you have the right people in place.

The rewards of paying for your employees’ training can be seen almost immediately.  There is no reason why the investment should be put elsewhere when employee ’s training has been shown to be a great and continues asset for the business owner.

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Cashiers Stealing?!?!? Yes They Do! From You Also!

March 30, 2018 by Leave a Comment

Recently, I conducted an employee theft investigation for a client. I want to share some of the findings from that investigation in the hopes that you can use it to review your own potential for losses.

A Cashier had befriended a frequent customer. This Retailer sells merchandise to Contractors. The customer in question had an outstanding credit on their account of a few hundred dollars. As they went through the Point Of Sale (POS/cash register) the Cashier looked up and then applied the credit to the current sale. This is normal practice for this particular Retailer. The customer then said to the Cashier “if you have more of those, I will take them”. So the Cashier looked up some other credits, from other customers that were quite aged and never used. She found that she was able to reassign the credit to this customer and applied another credit to their current purchase.

As you can imagine this became a regular occurrence. However, no one caught on. This went on for some time. It was not discovered until a recent credit was used and raised a red flag. The CFO began an investigation and revealed that there had been thousands of dollars stolen this way. The POS activity is recorded with video cameras but the full extent could not be confirmed because the video recorder hard drive did not have the capacity for more than about three days of video.

I was asked to investigate. After review of the evidence and information, I interviewed the Cashier. She is a 21-year-old single mother of 3. She has no property, car or house. Her Mother brings her back and forth to work. An Aunt watches the children.

The first thing I do when I talk to an employee under investigation is what is called a Behavioral Analysis Interview (BAI). A BAI tells me two things: first, if the person is involved in the loss (not if they did it or not) and second what they do when they lie. Some refer to this as body language. It is a comparison of verbal and non-verbal responses to a structured set of questions. Once I have both of these pieces in place, I am in control of the conversation. If they lie to me I know it. I should add that I have conducted over 2300 of these interviews/interrogations.

I then switched to interrogation mode. An interrogation is a structured conversation. My voice stays level and calm. There are no threats, promises, abuse, bright lights, rubber hoses….. (no, you can’t use your antique thumb screw collection). After a while, she “broke” and confessed to what she did. She told me that she had been doing this for 10 months totaling over $11,000. The customer was paying her off outside of work. I then went through the evidence which up to this point is never shown to a subject. She confirmed what we had. She then incorporated her admissions into a written statement.

After reviewing the facts with the Senior Management of the company, I was instructed to contact the Police. Officers responded and took her into custody. She was charged with felonies both theft and embezzlement. Needless to say, she was terminated at that time. The company will decide at a later point whether to file a civil suit against her or not. You may be asking yourself right now “why would the company waste time/money filing a civil suit against someone that has no assets?” There are actually very good reasons to do this. In most cases, it is about ensuring that everyone else understands what will happen if someone steals from YOUR business.

You should ask these questions about your operation:

  • Does your POS system allow a Cashier to reassign customer credits without Manager approval and signature?
  • Do all customer returns require a Manager to review and sign off at the time of the return (customer & merchandise present)?
  • Are all credits, returns, voids, and no-sales reviewed at end of the day by a Manager?
  • Are any discrepancies reviewed with the Cashier that day or the next day to gain an explanation? Is corrective action taken right away if the Cashier is not following policy/procedure?
  • Is someone else then reviewing what the store turned in? Managers can be involved in theft also.
  • How much video can your DVR hold? Hard drive space is cheap. You should have at least the last sixty to ninety days of activity. You do record Cashier activity….Right?
  • Do you REALLY know your employees? Does their lifestyle fit their circumstances? Do they live above their means? Are they struggling to survive? I teach this in my live Employee Theft Seminar (in-person or webinar).

Employee theft occurs every day. It happens at your business also, whether or not you see it is up to you. Don’t bury your head in the sand. Be proactive to PREVENT losses. If you need help, contact us. Loss Prevention is what we specialize in!

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Employee Theft Cases: Should You Prosecute Or Not?”

March 30, 2018 by Leave a Comment

 You may be fortunate and have never had to address a problem of an employee stealing from your store. Be in business long enough and chances are you will have to confront the issue one day. As a small or medium-sized retail owner or manager you probably won’t have the benefit of a Loss Prevention Department to investigate suspected dishonest employees. That means it will be up to you or a company such as Loss prevention Systems Inc. which specializes in theft and shortage reduction to identify and catch the thief or thieves. Once you catch the employee who has chosen to steal from your business, be it cash or merchandise, what will you do with him or her?

It seems like it should be an easy question to answer for someone like myself who has spent many years in the Loss Prevention field catching criminals like this. The reality is it is not such a cut and dry question for many people. There are pros and cons as to whether a dishonest employee should be prosecuted when caught. This article is meant to give you the perspective from both sides so that you will be prepared to make an informed decision should the situation ever arise for you.

The pro’s for prosecuting a dishonest employee who has been caught stealing:

  • A clear message is sent to the employee and anyone working in your store that dishonest activity will not be tolerated.
  • It can serve as a deterrent to other employees who may otherwise consider stealing from your store.
  • An employee who is prosecuted and found to be guilty will have a criminal record. If this person attempts to work for any company that conducts pre-employment background checks it is likely their record will be found. It prevents the person from perpetrating crimes against other retailers.
  • A court can order restitution to be paid back to the store. This is not just the amount that was stolen but often includes additional money for the time and effort required of the victim to resolve the issue.

As you can see the list is not extremely long but it does serve practical purposes. But what about the other side of this dilemma?

There is a case that can be made for not terminating an employee who has stolen from their employer. These cons may be something you have not previously considered:

  • The most compelling reason not to prosecute a worker who has been caught stealing is that it does mean they will have a criminal record and this has a direct impact on their ability to gain employment. If you send someone to jail and they struggle to find a new job afterward you may not receive restitution even if the court ordered.
  • The expense associated with prosecuting a case. Having an employee charged with theft means the store owner or manager will have to appear in court to testify against the former worker. There is also the chance that a lawyer for the defendant could request a continuance and then you have to return to court at a later date. Some employers would prefer not having to go through all of the steps required by the judicial system.
  • You may be able to get a promissory note from the person more easily if they know they will not be prosecuted (remember though if a promissory note or restitution is not ordered through a court you may still not see any money).
  • Extenuating circumstances. You may know of recent hardships this employee started going through or have compassion for them because they are a single parent trying to raise their child. In certain instances, the employee has also been a long-time friend or family member.

The decision of whether or not to prosecute an employee you have caught stealing is entirely up to you. There is no right or wrong choice since there are legitimate points of view on both sides of the argument.

A final thought on the subject. If you find you are wavering on the issue of prosecution talk to the prosecutor’s office for your area. You may find that there is a way to prosecute a case and the person can be offered a way to clear their record so they can still seek employment. In some instances, there is something called pre-trial intervention (or an equivalent).  In these cases, a first-time offender pleads guilty and is offered classes and community service. Once complete their record is expunged so that a background check will not find a record. Failure to complete the requirements and the record stays. It is a good alternative to address both sides of the issue.

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Things Not To Overlook For Inventory: Tips For L.P. Managers

March 30, 2018 by Leave a Comment

Sometime this year you will most likely be conducting an inventory. Some stores even conduct multiple inventories when they have high stock shortage results. While it does not necessarily translate to poor results, a lack of adequate preparation can have an impact on the final shortage numbers.  Occasionally, it is easy to overlook things that can cause an unnecessary stock shortage. Here are some things to look at as you prepare for your next store inventory that may prove helpful in obtaining the best possible results:

  • If you have shoplifting or employee theft cases you are prosecuting you need to account for the merchandise. A Loss Prevention Department should have an evidence locker with recovered merchandise in it if a case has not come to trial yet. Some police departments retain the evidence and supply a chain of custody form that lists the merchandise they are holding. Ensure the evidence, in either case, is included in your inventory. It may not seem like a lot but if you are the owner of a small or medium retail business a few hundred dollars here and there can be a big deal.
  • Look underneath and behind fixtures or cases that may have gaps where merchandise can drop. It does not always occur to people to look under register scan belts but small pieces of merchandise can be pulled in as the belt rolls. Items such as greeting cards and jewelry can find their way underneath and will be missed during a count.
  • Check-in desk drawers and in offices for merchandise being used for store purposes. There are at times a need to “store use” merchandise such as pens, trash bags, tape, etc. These should be marked with some type of marker or tag to show that they have been accounted for at some point. If an item is not marked out for store use and is not counted during the inventory process it becomes a shortage.
  • Take a look at the sales floor and if your store uses gondolas and shelving for displaying merchandise, lift up baseplates of the gondolas and look for stray merchandise. If you look closely there is a gap between the base of the gondola and the pegboard wall. Small items can find the way down these nooks and crannies. It should also be noted that shoplifters and dishonest employees will hide merchandise under here on occasion.
  • If your store sells purses, luggage, diaper bags, etc. unzip them and look inside for merchandise that has been concealed. It is not unusual for a shoplifter to hide merchandise inside and get scared away leaving the hidden items behind.
  • If your store sells live units used as displays, be sure they are tagged and ready to be counted. On the flip side of that be sure inactive or non-functional displays are tagged as DNI (Do Not Inventory). These types of displays are often in housewares and may include microwave ovens, blenders, coffee makers, etc. In electronics, it could be a printer, computer, phone and so on.
  • Ensure furniture units that may be sold as two separate pieces are counted properly. For example, a desk may have a hutch attached to it on display but the hutch and desk are two unique sku’s.
  • Check that all case packs are separated appropriately for sale and counting. For example, I work in a store that sells individual binders and 12 pack cases of binders (each of the binders in the case has a barcode but are intended for sale as part of the case). Be sure your merchandise is counted in the appropriate quantity it is to be sold in.
  • Minimize your pre-counts. Some stores will spend an excessive amount of time counting merchandise that they are paying an inventory service to count. These companies are very good at what they do. Have a pre-inventory visit with the representative of the inventory crew and discuss areas that might best be pre-counted but get their input. If they are confident they can count everything allow them to do so. You should be auditing the work on inventory night and catching significant mis-counts.

Hopefully, you have been using Checkpoint equipment to minimize losses due to theft. It is also going to be beneficial to your stock shortage dollars and percent if you have had sound operational plans in place including vendor controls. The last piece to the shortage puzzle is the inventory itself. Follow these suggestions and you can rest easy knowing you have done all you can to improve your chances for a great inventory number for the year.

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