Partnership With EAS Technology And Policy

December 5, 2016 by Leave a Comment

If you are reading this, chances are you are experiencing a shoplifting problem. Shoplifting takes a toll, not only on your stres1-1s level, but your bottom dollar. When people have a problem, they research a solution. One way to prevent shoplifting is having an electronic article surveillance system installed by a reputable company. Searching for such a company can be daunting. Shoplifting is an issue that needs to be addressed and resolved quickly. Why would you choose Checkpoint equipment from Loss Prevention Systems Inc. (LPSI?)

Checkpoint has been paving the path for EAS systems and building RF technology for over 40 years. All equipment is new and installed by factory trained technicians. Checkpoint and LPSI never sell refurbished equipment. The founder and owner of Loss Prevention Systems Inc., Bill Bregar, has over 30 years of experience in loss prevention. The small retailer may not have the resources for a loss prevention department. Our background and expertise in Loss Prevention sets us apart. Over the decades, Bill has taught and created successful Loss Prevention policies and procedures for the small retailer to send shoplifters elsewhere. Both companies partnership provide a path to decrease shrink and increase profit.

Checkpoint offers several different types of EAS systems for different situations. A favorite antenna system for small to medium retailers is the P10. This system is known as a workhorse. As part of the EVOLVE line, it has people counting capability and remote access. With an internet connection, a trained technician can access the system remotely to perform preventative maintenaEASnce and typically resolve potential issues. With its strong frame and Evolve capabilities, it will last a long time and is “future proof”.

What tips and suggestions can the small to medium retailer apply to their business? Compliance and enforcement. Create, implement and abide by policies to keep the business on track. Loss of compliance equals loss of control. Employees need a reliable example and understand what is expected of them. It’s up to you to enforce the process and standards of your business.

Combine your Checkpoint technology, people and process to prevent shoplifting. Having and EAS system is only as good as the people using it. With the right people following the right process, the technology will do its job. 

Protect your business with qualified staff, effective procedures and the latest EAS technology. Take control of your success.

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TIPS TO PREVENT A ROBBERY

December 5, 2016 by Leave a Comment

outsidemallCan you believe we are in December already? This year has flown by and we’re in the home stretch. For many, many small and large businesses alike, this next month is crucial to profitability. Often times, the 4th quarter can mean you stay open for another year, or it could mean that you didn’t make enough to pay your vendors. If you think that’s not a reality, do you remember a little electronics company by the name of Circuit City? So it becomes even more important to do every single thing you can to retain as much profit as possible. That means having the right product, providing the best service and definitely making sure your money makes it to the bank.

Holiday time brings an increase in sales, which in turns leaves you with a little (or a lot) more cash on hand than you normally would. This is great. We love to see money, right? Well, there can be a downside to all this extra green hanging around; a robbery. No one likes to think this can happen, or will happen to their store, but the reality is that it can. Criminals know this time of year means more cash in stores and it’s no secret that robberies tend to happen more frequently during the last few weeks of the year.

Last year, one of my stores were targeted very early in the morning. Thankfully, we were not open for business yet and none of my team members were hurt, but it exposed some holes in what we believed was a fool-proof procedure to deter these acts.

The first lesson is being vigilant. A good manager will always drive the perimeter of building when they first arrive. You should look for any signs of breach, or anyone who doesn’t belong in the area. If something stands out, don’t hesitate to call the local police. Better to be nothing than to walk into a robbery. Also, safety is in numbers. Managers should wait until all morning team members arrive before entering the store. This way, the store can remain locked and a manager isn’t opening the door several times throughout the morning.store-door

Prepare for the worst. You don’t want it to happen to you, but it can. Train you managers, as well as your store team on what they should do in case of a robbery. You don’t want any heroes and you don’t want anyone to get hurt. You should constantly stress the importance of complying with the robber’s demands and getting them out of the store as quickly as possible. The very last thing you want is to have a hostage situation because the police responded while the robber was still inside. Remember, do what they say, give them what they want and get them out.

In my many years in LP, I have never seen a robbery happen in the middle of the day. Each one that took place in one of my stores happened either early morning, or late at night. At closing, a manager should head to the front of the store about 15-20 minutes prior to closing. Take a look at the parking lot. Are there any suspicious vehicles, or people hanging around? Once the last customer has exited, and it’s closing time, quickly lock your doors.

Try to avoid having team members leave the store at different times. If possible, schedule every to leave at the same time each night. That way, everyone can leave at once. You want to avoid opening/closing the door as much as possible. Robbers will stake out your store for days, or even weeks before hitting their target. If they know you open the door several times after close, you could set yourself up for a robbery attempt. By leaving all at once, in a group, you make the robbery less appealing to the criminal.

There’s no secret formula or magic wand that can be waved to completely prevent a robbery. You have to assume that at any time, it can happen to you. The best thing you can do is to work robbery prevention into your daily routine and most importantly be prepared for it. The last thing you want is to have your team faced with this reality and not know what to do. A simple conversation about expectations can very well be the difference between life and death.

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(SOME MORE) TIPS TO PREVENT ROBBERIES

December 5, 2016 by Leave a Comment

moneyIn the previous article, I gave some great tips on how to prevent and prepare for a robbery. Like many things, it’s impossible to provide a solution that is all encompassing. After I penned that article I couldn’t help but think that there was more that I could share; more that I should share. I draw on over a decade’s time spent in the LP field and this is one of those topics that I just can never stress enough to my store managers. So, what else can you do to limit a robbery and/or cash loss?

When do you (or do you) conduct a cash drop? I know, some of you may be scratching your head after reading that. What’s a cash drop? Most stores have a safe where money from the day is stored prior to it being picked up by the armored carrier/dropped in the night deposit at the bank. When a cashier has so much money in the till, some cash is taken out, and then stored securely in the safe. Think about it, would you want any cashier to have several thousands of dollars in cash in their till? It’s December and Christmas is right around the corner. A few grand in cash in one till is not out of the realm of possibility.

If your store, or company does have a drop policy, then make sure your cashier leadership is following it. For the company I work for, we set the threshold at $500. Our cashiers start with a bank of $200. Once they have $500 above their original bank, they are required to get a supervisor to drop the additional funds. You should also monitor this throughout the week and coach those cashiers that are failing to meet the expectation. If by some chance, you don’t have this practice, I suggest implementing this yesterday.

Not only does this prevent a criminal from robbing a cashier, you also prevent yourself from being exposed to a quick-change artist. You may know them by a different name, but this guys and girls can quickly scam a cashier out of hundreds of dollars. The basic scam has them pay a small ticket item with a large bill ($100 mostly). After the cashier gives change and before the drawer is closed, they begin confusing the cashier by asking for different change. A quick palm and some sleight of hand later, you’re out a few hundred bucks.

Again, training and policies can help you to avoid this. First, as mentioned above, make sure to keep the amount of cash in the till at a minimum. Second, train your cashiers to immediately close the till once change is given. I see cashiers let their tills linger open far too long quite often. As soon as the change is removed and before they tear the receipt off the spool, that drawer needs to be closed. The criminal needs the drawer to remain open to steal your money. You can easily beat them at their own game. Second, forbid your cashiers from even giving change. That’s how it is at our stores. If a customer needs change, we’ll be more than happy to oblige, but they must walk to the service desk where a supervisor assists them.

Cash drops are an important tool to fight against a robbery attempt. They take away that added liability of excess cash in the drawer and help protect against quick change scams. Remember, they most important thing you can do to prepare for a robbery is to prepare for it, every day. Prepare by training your managers to open and close as a team. Prepare by teaching your staff to comply with a robber’s demand. Prepare by dropping excess funds in your safe. Prepare by training your cashiers to do something as simple as closing their drawer quickly. By taking a few simple steps, you can shrink the size of the target on your store.

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TIPS TO SPOT A POSSIBLE DISHONEST EMPLOYEE

December 5, 2016 by Leave a Comment

theft (2)It’s official folks. It’s December and the year is almost over. It also means that you’ve probably hired some additional help around the store. Whether they be temporary, part-time or full-time employees, they all have one thing in common; they have the potential to steal from you. I hate to sound so cynical, but I’m a realist. With December historically being the biggest month for internal theft, I’d thought I’d share some of my tips on how to spot a potential dishonest employee.

  1. Are they in their assigned department?

Just recently, I worked an employee theft case that I caught on to after seeing this warehouse worker spend a little too much time in the clothing department. Turns out, he was layering clothing in the fitting room stalls when no one was around. While a good manager will always encourage cross-training and the learning of other areas of the store, an employee that is always somewhere they shouldn’t be may be a red flag that their intentions are less than honest.

  1. Break the rules much?

Do you find yourself always telling this one employee to tuck their shirt in, or put away their cell phone? Do you find that you have to keep “reminding” them of the store policies that they continue to break? While there is much to be said about the work ethic of some of today’s youth, sometimes this could be an indicator of a potential thief. I think back to every internal case I’ve ever worked and they all have the same thing in common. During the interview, when I ask do they know why they are talking to LP, most of them start rattling off the copious amounts of policies they’ve violated. People who can’t follow company rules can easily slip into theft without so much a thought. Always address store policy violations and weed out those who can’t seem to follow the rules.

  1. Let’s talk work ethic

Now this one can really go two ways. First, the obvious; if you have a lazy employee, you have someone with the potential to steal from you. If they aren’t happy about their job, if they resent you or the management team, or they are simply not satisfied with life, it will show in their job performance. Poor performers almost always lead to internal theft. They couldn’t care less about anything, so why would they care if they steal a few hundred bucks worth of goodies, right?

Without sounding like I’m talking out of both sides of my mouth, I’ve also found that there are some occasions where a star employee is also doing a fantastic job of stealing from you. Everyone has that one employee that will give their heart and soul to the store. They stay late, come in early, work their off days, volunteer for projects, run the bake sale, clean the toilets and mow the lawn… granted, this is how some people are. I’m one of those people. I have often seen this trait in employees that operated some of the most sophisticated, complex and downright amazing internal theft schemes. I’m not saying that all your bad employees are thieves, and so are all of your good ones, but merely that this trait, along with any other inklings should be looked at.

  1. Who cares when I get to work?

Poor attendance is also a great starting point when looking for dishonest employees. While some people just have a problem with being on time (present company INCLUDED), attendance falls right in line with work ethic and following the rules. Pay attention to those employees who just can’t do what’s expected.

  1. No Money, Mo Problems

You have that one employee. You know the one. Every single store has that one employee. The one that constantly talks about how little money they have, how little hours they get and how they just can’t keep up with their bills. Everyone has financial trouble every now and then, but these employees take it to the extreme. You say, “Good morning, Susie” and Susie responds with, “well it would be good if I had more money…” Every time I have missing money in a store, I immediately have the management team point me in the direction of this employee.

Look, you could have an employee that exhibits all five of these traits and guess what? They may not steal so much as a bag of chips from you. Unfortunately, there is no loss prevention inspired crystal ball that can predict with certainty what employees will steal from you and which ones’ wont. As a manager, it’s up to you to know your employees. It’s up to you to spot those inconsistencies and raise those red flags yourself. It’s your merchandise and ultimately your profits at stake. Don’t let an employee theft ruin your 4th quarter.

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Preventing Shoplifting This Holiday Season

November 15, 2016 by Leave a Comment

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Depending on what financial report you read, the average income for Americans fall between $45K and $54K a year.  That’s before federal, state, and local taxes are taken out. Take out your mortgage payment, car payment, car insurance payment, living expenses  and other monthly payments that you have, and you are left with a very little amount left over for saving for retirement or saving for your children’s college education.  During the holidays, many people around the country are faced with the prospect of having no gifts for christmas, getting a loan to buy gifts, or  in some instances shoplifting some gifts for the holidays.  For retailers, this is a season where sales are at the highest, but shoplifting is as well.  Preventing shoplifting during the holiday season is very important for these retailers, because their profits depend on having the least amount of shoplifting in their stores.

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

How stores plan to fight organized retail crime during the holidays

With Halloween over, retailers are in full-fledged holiday season mode. Which means they’re gearing up for Black Friday, holiday staff schedules, stampedes of customers… and theft. That’s right — the holiday season might bring stores a nice sales bump, but it also brings an increase in shoplifting. And retailers are stepping up efforts to crack down on the crime.

We’re not just talking about customers stealing a pack gum in the checkout line. Loss prevention specialists have their eyes on a much bigger target.

Organized retail crime (ORC) is a strategic and highly sophisticated brand of shoplifting where a network of professional thieves work together to rip off retailers. According to a survey from the National Retail Federation (NRF), organized retail crime is on the rise, with 100% of retailers saying they have been a victim in the past 12 months. Furthermore, 83% said ORC activity had increased in the past year.

“There are existing crime organizations, like drug dealers, and these groups looked at the retail world and saw it was very lucrative to steal heavy volumes of merchandise and then sell it,” said Robert Moraca, vice president of loss prevention at the National Retail Federation. “The access to selling online has made it even easier.”

Along with organized retail crime, standard shoplifting and employee theft costs retailers approximately $42.5 billion in 2015.

Walmart Will Deploy Thousands of ‘Holiday Helpers’ to Shorten Checkout Wait Times

It was shoppers’ #1 request.

The next time you find yourself in a long wait for checkout at Walmart  WMT -1.11% , don’t be surprised if a store worker clad in bright yellow and a Santa hat helps you find the shortest line.

Eager to build on recent improvements in its long-weak customer satisfaction scores and win shoppers’ favor during the peak shopping season of the year, Walmart is deploying “Holiday Helpers” to all of its 4,500 or so U.S. stores during the upcoming months. These workers, clad in yellow vests to make them easily identifiable to customers, will be tasked with speeding up checkout time by, among other things, fetching items that shoppers may have forgotten, so they don’t lose their places in line; helping to unload shopping baskets at the registers; and if it’s very busy, opening a cash register.

At the same time, these helpers, regular Walmart workers trained to use cash registers but looking to pick up some extra hours, will be there to add some fun to a retailer often seen as drab. These workers will be wearing festive Santa hats and bright red sashes inscribed with “Holiday Helpers,” and handing out candy canes. The no-frills shopping environment doesn’t cut it anymore, even for a discount retailer, and the helpers’ cheer will be all the more important given the lavish Christmas displays Target has planned.

As Christmas shopping season looms, retailers across Europe are bracing themselves for increases in footfall and subsequent spates of theft. Groceries, including roasting joints and bottles of spirits, are the most at-risk products.

New research sponsored by Checkpoint Systems – provider of merchandise availability solutions to the retail industry – has revealed that retailers will see shoplifting erode their profits over the coming months, as they begin to gear up for a bumper Christmas period.

Apparel, luxury foods and electronic accessories are expected to be among the most stolen items this festive season, with higher quantities of merchandise put out on the shop floor, additional door displays, temporary staff and increased footfall all contributing to the high losses across the country.

The study, underwritten by an independent grant from Checkpoint Systems, was carried out by Ernie Deyle, a retail loss prevention analyst, and provides an analytical view of business risks that major retailers face during this holiday season. The 13 markets covered in the report span North America, Europe and Asia, and include the US, Belgium, France, Germany, Italy, Netherlands, Portugal, Spain, UK, Australia, China, Hong Kong and Japan.

 

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Be an Effective Manger This Holiday Season – Prioritize Sleep

November 9, 2016 by Leave a Comment

meetingpic.The holiday season is officially under way and your stress level is about to go into overload.  When we’re overly stressed bad things happen to us mentally, emotionally and physically: headaches, digestive issues, eating too much, concentration problems, decreased impulse control, increased emotional sensitivity, poor planning ability and sleep disturbances.

The goal for a lot of people in retail is to “just get through the holidays” with the least amount of difficulties and stress, which is a reasonable objective.  So, what can you do to achieve your objective?  The number 1 thing you can do for yourself and your employees (as well as family, customers and friends) is to prioritize sleep. 

Getting enough high quality sleep is a crucial biological need.  A short term sleep deprivation of just 2 weeks can lead to memory loss, inability to focus and poor decision making skills.  A long-term deficiency can cause an increased risk of heart disease, obesity and depression.

There are many things you can do to make a difference in the quality and quality of your sleep.  But, one of the biggest is to stop your harmful electronics’ habits — starting now to relieve holiday stress.  Poor management of electronic devices is one of the biggest problems people have in falling and staying asleep.

Our bodies produce melatonin at night to help us fall and stay asleep.  A cool, quiet and dark room triggers your body to release it.  The light and noise from computers, Kindles, TVs, phones and other devices interferes with this process. 

The guideline is — don’t use any device 1 hour before bedtime.  It gives the melatonin time to work by eliminating all the light, stimulation/aggravation and noise.  It’s estimated that people who leave on even 1 device get at least 30 minutes less sleep a night than those who turn them all off.  Also, they wake up more often and are more restless. 

It’s important to create a good sleep routine and getting control of your unhealthy electronics’ habit is a place to start.  In fact, it might be all you need to have increased energy, a better memory, improved physical well being, stronger coping skills and a calmer mood.

After all, your employees won’t care or remember what cookies you baked for the holiday party.  But, they will care and remember that you were short of temper and long on criticism because you stayed up too late searching on-line for the perfect recipe.

Nicole Abbott is a professional writer who’s had over 200 articles published.  She’s a business consultant and former psycho-therapist with over 20 years of experience in mental health, business and addiction.  She’s a coach, lecturer, trainer and facilitator.  She has conducted over 200 workshops, trainings, presentations, seminars and college classes. 

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Shoplifting During The Holidays

November 8, 2016 by Leave a Comment

womensAs a retailer, your holiday season has started.  During this time of year, retailers big and small profit from a big and busy holiday season.  With the honest shopper, this is a season that retailers look forward to.  It means more sales for the retailer, and hopefully more profits as well. For every retailer, preparing and training their loss prevention personnel during this holiday season is also paramount, it can mean thousands of dollars lost to shoplifting if personnel are not properly in place, or trained. Knowing what items are most likely to be stolen can help your loss prevention team take preventive measures to ensure they are not easily snatched.

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

10 Things Shoplifters Love to Steal During the Holidays

It’s a $6 billion problem for retailers.

Retailers like to call the holiday season the Super Bowl of shopping. Shoplifters feel the same way.

According to a recent forecast by Checkpoint Systems, shoplifting as a percentage of sales spikes during the holiday season as thieves (including many retail employees) gravitate to pricier items as more shoppers come into stores.

The holiday season, which kicked off last week, generates 34% of annual sales for retailers, but 37% of their annual “shrinkage,” which is inventory loss for whatever reason—from supply chain inefficiency to employee theft to shoplifting. The latter two account for the bulk of shrinkage.

Shoplifting is $6 billion problem for retailers during the holidays.

According to Ernie Deyle, author of the Checkpoint Systems report, shoplifters are more apt to rationalize their theft during the holiday season. “It’s much easier to do so when a child’s Christmas present is at stake rather than an extra bathing suit for the summer,” he wrote.

It was likely back in the teenage years and little more than a pen or something of similar value, but many people have shoplifted at least once in their life. It’s one of those crimes that, while far from victimless, is undertaken by a large swath of society because it’s seen as no big deal (which, of course it is for the shopkeeper) and can be done swiftly and spontaneously.

It’s also undertaken for various reasons, perhaps a mini act of rebellion against consumerism; or a product of self-assessed entitlement; sometimes it’s just for thrill-seeking; and for some it’s thought of as a desperate act of necessity. It’s also the subject of a new show from British artist Lucy Sparrow, a.k.a., the Queen of Felt,at London’s Lawrence Alkin Gallery. Known as Shoplifting, the show features some of the most frequently shop-stolen items in the UK, including luxury products like Chanel No. 5 perfume, Creme de la Mer moisturizer, a Chanel handbag, and a Fabergé egg—all of them crafted in felt and displayed behind glass cabinets, to entice but prevent would-be thieves.

How stores plan to fight organized retail crime during the holidays

With Halloween over, retailers are in full-fledged holiday season mode. Which means they’re gearing up for Black Friday, holiday staff schedules, stampedes of customers… and theft. That’s right — the holiday season might bring stores a nice sales bump, but it also brings an increase in shoplifting. And retailers are stepping up efforts to crack down on the crime.

We’re not just talking about customers stealing a pack gum in the checkout line. Loss prevention specialists have their eyes on a much bigger target.

Organized retail crime (ORC) is a strategic and highly sophisticated brand of shoplifting where a network of professional thieves work together to rip off retailers. According to a survey from the National Retail Federation (NRF), organized retail crime is on the rise, with 100% of retailers saying they have been a victim in the past 12 months. Furthermore, 83% said ORC activity had increased in the past year.

 

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How The Changes To Shoplifting Laws Affect You

November 3, 2016 by Leave a Comment

We have begun to see a breakdown in the protection we used to be able to depend on. Recent decisions in California and other areas are basically decriminalizing shoplifting.

These changes in the law by out of touch Legislatures are having a devastating impact on retailer’s and society as a whole. Law makers are not addressing the real problems, only the results. People are able to get away with crime and this will have a further reaching impact on future generations and our society as a whole. pic-1

But today it is causing shoplifting in those geographical areas to rise substantially, impacting the retailer’s bottom line and the consumer’s pocket book.

What are we to do? We can no longer depend on the criminal laws to protect us. The politicians have lost their nerve, their minds and the understanding on why they were elected. But the real problem is that the brave and highly skilled Law Enforcement Officers that are there to protect us all, are barely able to contain violent crime let alone shoplifting.  Budget cuts, Democrats, Republicans…… are all to blame.

But you have solutions.  The first is as professionals, we know that we can only depend on ourselves.  So let’s solve this like any other business problem we face on a daily basis. The real solution has three elements.  The good news is that you do have control of all three.

1. How vulnerable have you made yourself?  

pic-2Step back and take a hard look.  Or better yet ask someone you trust to do that. A friend, another business owner…… they really do not need to have any special skills. You should look at your store from the prospective of the shoplifter. If you were going to steal, how would you do it? Do you have dark areas, high shelving, hidden spots that would make the thief comfortable? Is your store unkempt, dirty and not stocked in an organized way? Shoplifters are attracted to these environments. If you are presenting that look, then the shoplifter probably knows you are not able to keep up or simply do not care. This will also breed more shoplifting as word gets around that YOUR STORE is an easy mark.

2. Equipmentpic-3

I am not going to hit this one hard. You know that we sell and install the finest Electronic Article Surveillance (EAS) equipment made worldwide. Checkpoint Systems must be part of your strategy. That is why you see it in almost every major retailer. 

3. Your Staff

pic-4Are they asleep at the switch? Do they care? Have you trained them how you want the shoplifting deterrence program in your store to work and what their roll in it is? This is not something you can put off. It’s like saving money in an account. You got to start. If you are one of Loss Prevention Systems Customers already, then you know this. That is why we conduct live, personalized shoplifting prevention and loss prevention training for our customers. We do this as reasonably often as you need it, free of charge.

These three elements put and keep YOU in control. But you have to start now before it gets worse. And if the trend continues, it will.

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HOLIDAY SALES AND EMPLOYEE THEFT TRAILS

November 3, 2016 by Leave a Comment

goodsThis is the best time for retailers. We make a good chunk of our profits during the last 3 months of our fiscal year. Walk into any major retailer right now and you’ll already see a litany of holiday themed gifts, home décor and all things red and green. We also tend to beef up our staff this time of year as well. Some of us hire part-time works, some may even add a full-time position or two and a great many of us will employ temporary workers. The threat of employee theft also peaks around this time as well.

I caught a local news story this evening regarding a local store’s employee theft problem. The owner had discovered that one of his part-time employees had been stealing thousands of dollars from him in the form of bogus cash refunds and missing cash sales. So much money was missing, the store was literally on the verge of shutting down. How scary is that thought? One employee had single-handedly brought this man’s business to the verge of collapse. Why? A gambling addiction. So, what can you do to avoid this happening to you? Let’s take a look at this particular fraud scheme, shall we?

Missing cash sales

A dishonest employee can do this in two ways. First, they could legitimately ring up a customer and pocket the cash. They could also fail to ring it through the point of sale and simply accept the exact change from the customer, which would also allow them to pocket the customer’s money, instead of it going into the drawer. So how do you prevent this? First, make sure to reconcile your daily sales with the cash in the drawer. In essence, your POS should be smart enough to tell you how much cash you SHOULD have in the drawer at the end of the night. You count the cash, and it should match up +/-a dollar or two, at most. My dad runs a restaurant with a 10 years old cash register and it has this ability. The only excuse for not doing this is laziness on the manager part. Never assume anything when it comes to your money!

Now, that dishonest employee can take it a step further and never record the sale in the register, just opting to take “exact change” from your customer. Granted, this is very hard to track. Even working for a multi-billion dollar a year corporation with a large LP department with endless resources at my disposal, I still don’t have a magic button that I can press that shows me this fraud. This is where you have to install cameras at your POS. If you think something is suspicious about your sales, or your employee, those cameras can make your case every single time.

Bogus refunds

If you allow refunds, you can open yourself up to “ghost refunds” by your cashiers. This is where the dishonest cashier can simply conduct “refunds” when no one is around, pocketing the cash. On paper, it looks completely legitimate. You know that every day, you generally process x number of refunds, so if the dishonest employee keeps the number of returns they do in line with what’s average, you’ll never suspect a thing. That is until you start realizing that your profits are a lot lower that what they should be. How do you stop it? If your register allows it, require a manger key/password for any return transaction. That way, you, or another manager, has to be involved at the point of sale for any refund. A dishonest employee will not try this route if they know you will scrutinize every refund by physically having to be present.

If your register isn’t that smart, but still allows a refund to be processed, have a policy that states that the cashier must always call a manger for approval. Even if you can’t physically prevent it with a password/key, if you have any refunds on the POS at the end of the night, you’ll be able to see them. If you have a refund where you weren’t called, you can always question the cashier, or look at the transaction on camera, provided you have some installed (which you should) to ensure it was legitimate.

This is just two of the ways that your employees could possibly steal cash from you; there are dozens. Like most LP practices, just a little due-diligence and some common-sense best practices can help save you money and stress if they are implemented. While this isn’t meant to be a comprehensive list, or training guide, it should give you a baseline of where to start, especially if loss prevention isn’t your strongest suit.

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TRAIN THE TEMPS

November 3, 2016 by Leave a Comment

employeesAs I sit here on this Halloween night, thinking about how great it was when I was a kid to pillage the neighborhoods for candy and treats, I can’t help but also think about the next 60 days. The real fright comes now for all of us in the retail game. We’ve got so little time to do so very much. We all have new receipts pouring in, plan-o-grams that need setting, bulk stacks that need stacking and bins that need filling; all with the mad hopes of grabbing every possible dollar from now until December 24. A big part of that plan, for most, is hiring temporary help to get us through. Have you ever thought about how these temporary workers can impact your LP goals? With a little training and guidance, they can be one of your greatest holiday assets.

So, what LP practices should you train your temporary workers on? For starters, keep things simple. If you try and overload them with knowledge, you’ll get nowhere fast. I usually run with 5 big topics and expand upon them as needed.

  1. Customer service!

This should be priority number one! Honestly, this should be the priority for all training, regardless of status… Customer service is the absolute, hands down, no way around it, best possible way for you to discourage shoplifting. A thief loves to operate in the shadows. If a pesky employee is always there to lend a hand, well you’ll probably be putting a wrinkle in their plans. Make sure your temp hires understand that the service levels in your store should always surpass any other retailer. A customer should never be ignored, but enthusiastically greeted and assisted as if they were family. You’ll make more money from bigger baskets and the thieves will just hate you for it.

  1. Hot Spots

You know your building better than anyone, so you should know what the thieves love. Is it that rack of personal electronics on the rear aisle? Perhaps those new high end jackets you’ve got this year? Maybe even this month’s new footwear craze. Whatever it is, you undoubtedly know what it is. Well, Mr. Manager, make sure your temps know that information too! Explain what the hottest theft items are and have them be on the lookout for any suspicious activity near those items. Maybe they should call you if they see someone putting all 30 hover boards in a basket… just a thought.

  1. Look for suspicious activity

Easy for you and I; not so much for a high school/college kid’s first temp job in a retail store. Explain what this means to your temp crew. You know what your shopper looks like and how they shop. Train your temps to look for those tell-tale signs of potential funny business. You know, wearing the heavy coat, but it’s 85 and sunny outside (Maybe only in Louisiana’s winters…), clearing pegs, and all those other little bits of information that could help identify a thief.

  1. What to do?!

Well, your temps are paying attention to those hot items, happen to see a customer conceal an item, or they just have suspicions, what do they do now? GO TACKLE THEM! Or not… depending on your insurance, I guess. No, that’s a terrible idea, what they really should do is know how to react to such behavior should they observe it. This falls back to the very first training point above; go give em’ some good ole’ fashioned customer service. Don’t try to “watch” them, be overt with their presence. Your legit customers will love it, and if that person really did have fraudulent intentions, your temp just saved you some shrink dollars. Now, I would throw into this that if they do observe a crime, they need to know to report this to you immediately, preferably while the suspect is still in the store for you (or another manager) to handle.

  1. Safety

Did you really think we were going to talk about LP training and leave out our old friend safety? I never understand seeing debris or trash on the floor in a retail store. All those people working and no one can pick that shirt hangar off the floor? Does it really take an old lady to trip on it before we throw in to the trash? In my experience, GL/Worker’s Comp claims shoot through the roof this time of year. Make sure your temp crew understands your view/mantra/creed/constitution/mandate/stone tablet of what you expect in regard to safety. It’s not OK to climb on a gondola/shelf. It’s not OK to take a joy ride on the lips of the forklift. General frowned upon to ride a pallet-jack like a skateboard and also probably bad for business to leave water spills on the floor until someone decides to mop them up with the back of their shirts. Train them to be focused on unsafe actions/conditions and you may see a reduction in claims this season.

Not much work usually goes into training temporary workers, especially in a retail store. Normally, by the time you start to remember everyone’s name, it’s time to cut them all loose. Do yourself a favor and resist the urge to push people out to the sales floor with an index card’s worth of training. By putting just a little emphasis on LP practices in your temp training, I’ll guarantee that you’ll get a return on that small investment of time.

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