Don’t Confuse Training with Meetings

meetingpic.Initial and continued on-the-job training is one of the most effective ways to curb shrinkage and loss.  When done correctly it can reduce employee theft, lower shoplifting loss, cut down on administrative mistakes and catch vendor fraud.  Unfortunately, it’s become one of the most dreaded parts of a job.

It’s dreaded, by both managers and employees, for a good reason.  On-the-job training has become confused with and replaced by the employee meeting, which is usually boring, poorly run and downbeat.  But, they aren’t the same thing.   

Over the years experts have promoted replacing the “old way” of individualized on-the-job training (and management) with the “new and time saving” plan of having employee meetings instead.  The idea of managing and training people by group, rather than individually, is becoming the norm.

Supervisors are trying to change and manage behavior through group meetings, instead of properly training (at first and on a continuing basis) employees individually.  But, that way of managing only goes so far with good or average employees, and it especially doesn’t work with problem ones. 

It’s not uncommon for a new policy to be created as a response to one or two people’s problem behavior.  The policy is then presented in an employee meeting as a store wide issue, rather than the individual one it actually is.  Often, new policies don’t need to be written – the old ones just need to be enforced. 

They need to be enforced at the individual on-the-job training or coaching level.  Employee meetings are, at best, ineffective places to address one person’s behavior; at worst, they undermine management’s credibility and authority.

For example, this was overheard in a retail store – “Don’t forget the employee meeting at 3.  You know, where we all get yelled at for something Brittney and Josh are doing, but the team leaders are too scared to say anything to them.” (These weren’t their real names.)

It’s a given that proper training is the best defense against mistakes, loss and shrinkage.  Employee meetings are good places to give information and do general training.  But, the best and most effective training is still individual coaching based on the employee’s strengths and weaknesses. 


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

The Cost Of Shoplifting In Your Store

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Training your security personnel how to handle shoplifters, and the security and safety measures they need to take before stopping anyone believed to be shoplifting cannot be stressed enough. Lawsuits are predominant in our culture, and safeguarding yourself and your business from possible lawsuits and loss of money is imperative if you want to make a profit.  Well trained security personnel can be an asset to your store, the money you spend training them and educating them is well worth it. Follow the links to read more about this and other topics.


Shoplifter who suffered skull fractures, brain damage wins $750,000 in lawsuit against store

He was convicted of stealing two pairs of miniature scissors from Shopko.

But his punishment came long before his court case ended.

In November 2008, Richard “Dave” Moore suffered several skull fractures and a brain injury when he was thrown to the ground by a Shopko loss-prevention officer outside the retailer’s store at 90th and Fort Streets.

Friday afternoon, a jury of 12 Douglas County residents ordered Shopko to pay $750,000 to Moore in a civil lawsuit Moore brought alleging that Shopko employees used excessive force.

Moore, 59, was overwhelmed by the verdict, said his attorney, Richard Schicker of Omaha.

“He started to cry,” Schicker said. “He said, ‘Thank you so much — you saved my life. I would have never made it if we didn’t win this case.’”

An attorney for Shopko couldn’t be reached for comment. It is unclear whether the retailer will appeal.

Over the past week, jurors heard testimony of an ordeal that began Nov. 23, 2008.

AN ACCUSED shoplifter has been shamed on social media over the brazen theft of bikinis caught on camera at a surf wear store in Fannie Bay.

Fed-up owner of Beach Bums, Mary Meyer, posted CCTV footage of the alleged thief pocketing more than $200 worth of bikinis on the store’s Facebook page.

The post has gone viral, with more than 45,000 views and 1800 shares along with messages of support from business owners since Sunday.

The minute-long clip captured the thief — wearing a black singlet-type top and sunglasses on her head — putting bikinis in her bag as other shoppers browsed beside her for a pair of swimmers.

Ms Meyer said she checked the CCTV after discovering empty hangers on the rack.

She posted the clip with the intention of publicly shaming the alleged thief.

“I put it up to shame her because it shouldn’t be happening. I was very surprised (by the reaction), I just didn’t think it would go like it did. I guess people don’t like it either,” she said.


Lead in $2.5 million shoplifting heist sentenced to prison, Walnut Creek man among those involved in the ring

The lead defendant in a shoplifting ring that stole more than $2.5 million in retail goods and resold them on eBay was sentenced Tuesday to seven years in prison, announced United States Attorney Benjamin B. Wagner in press release.

A restitution hearing is set for Dec. 1.

Jason Samuel Schroeder, 36, of Sacramento, is the sixth defendant sentenced to prison in this case. Kirk Arthell Sanderson, 37, of Walnut Creek, was previously sentenced to four years in prison; John Judah Young, 34, of Sacramento, was sentence to two and one half years in prison; and David Reed, 29, of Vacaville, was sentenced to one year in prison. Two others, Andrea Lynn Turner, 34, of Roseville, and Joshua Roy Payne, 30, of Vacaville, also were sentenced to two months in prison. Jason Nathaniel Reed, 36, of Portland, Ore., is scheduled for sentencing later this year.


THE SHOPLIFTING NETWORK

shoplifting7We live in a world where technology helps us with everything. From the mundane, to sending a rocket to the edge of our solar system to beam back pictures of Pluto. Without the rampant growth of technology and the way we communicate today, none of this would be possible. In the Loss Prevention World, our technology helps us to detect anomalies that could be indicators of fraud. We have the latest high definition camera systems (that we can also access on our smart phones) to view those anomalies with the push of a button. I often think about our industry 20 -30 years ago and wonder how we ever got by. Could you imagine prosecuting an internal fraud case with absolutely no video? I’m sure there’s a lot of you out there that remember those days.

One thing we, as a society, probably take for granted the most is ease of communication. With the touch of a button you can communicate with anyone, from anywhere, so long as there is an internet connection. So what has that done for the LP industry? It’s allowed us to connect and share ideas with our peers across the country and across the globe. We can share information with our law enforcement partners anywhere, at any time. If there’s a big ORC group, we can identify them, track them, share information with others and ultimately have them arrested. The greatest advancement in the LP world, in my opinion, is how well we network with one another.

Networking is key to our survival. I want to know what’s happening somewhere else before it begins to affect my stores. Likewise, I want to share new ideas and tools to help my peers, even if we work for competing retailers. No matter who we work for, our main goal is the same; reduce losses caused by theft, fraud and other forms.

What if I told you criminals operate in the same manner?

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This is a screen shot from a popular blog website. If you know where to look, you can find a treasure trove of shoplifting “how to” guides. What we see above is someone who wants to boost some alcohol. Simply ask the “community” and someone (usually multiple someones) will be more than happy to provide you with tips, tricks and even specific methods to steal from whatever store your heart may desire.

Not only are these individuals concerned about what’s the best way to shoplift, some (if not most) are concerned with potential consequences of actually getting caught. There exists here, a somewhat underground community of shoplifters who are more than eager to share thshoplifting2eir knowledge to others who may be new to the game. Much like a tenured LP manager taking a green agent under their wings.

I must admit that is very easy to distinguish the “rookies”. This community is very well versed on all the latest EAS devices that we use to (try) stop them. I’ve even seen links posted to different websites where one can purchase magnetic detachers and
other tools that would make the most seasoned LP professional cringe at the thought.shoplifting3

Of course, it doesn’t just stop at shoplifting. Take this one for example. This member is boasting about a new computer and monitor he “walked out” with. This was your classic “sweetheart deal” with a dishonest associate. Note how they state the dishonest employee was able to fake a transaction because “everyone trusts him and no one pays attention.”

Does that sound like your store?

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I could sit back here and post screenshot after screenshot. The one common theme amongst all these posters is that stealing from big box retailers is a victimless crime. They see what they do as something that is not “a big deal” as they perceive that our insurance will cover our losses. What they fail to see is the actual damage they are doing to our stores. Lost product = lost payroll = lost wages. They, like every shoplifter and dishonest employee, are taking money right out of the pockets of our employees (including us!).

I hope by reading through this today, you will have a little better understanding of how the 21st century shoplifter operates. No longer is shoplifting a shameful thing. Tto people like this, it is something to be celebrated. By “saving” money, they may very well put each and every one of us out of business.

ANNUAL INVENTORY BEST-PRACTICES

theft (11)For a large portion of retailers, this time of year means one thing, inventory. I personally hate this time of year. I’m getting a little older and I just can’t hang with overnight shifts. It doesn’t make it any better that my bosses what us (RLPMs) to attend as many inventories as our schedules allow… I’ve done three this month so far and my sleep schedule still isn’t back to normal. With all that inventory on my brain, I thought I’d share some best practices for my peers out there.

First, let me say that my company doesn’t contract any third party to conduct our physical count. We do it ourselves. While there are some great companies out there who service some of the world’s leading retailers, we’ve found that our inventory management is much better when left to the people who it matters most to.

Second, we take the majority of our store inventories overnight during September-October as opposed to the end of the 4th quarter in the January time frame. We do this because for several reasons. One, our stores are slower in regard to foot traffic right now. Second, we are light on inventory as we gear up for the holiday. Lastly, we want to catch all those “out of stocks” that we have through the store prior to the big rush. This allows to be in a far better stock position going into the holiday shopping season. You can’t sell pegboard, right?

In my years of supporting the inventory process, I’ve seen what works, what doesn’t and what is just a waste of time. Here are just a few of my inventory best practices:

Count overnight – No customers. That’ all that needs to be said ☺

Apparel – Key here is making sure that all garments have a barcode. Missing tags can really hold up a count for hours. Starting about 1 week out from inventory, begin assigning key associates to go rack, to rack, to rack looking for missing tags and replacing as they find them. We use a sticker on each rack with the associates initial once it has been cleaned up. This gives us accuracy and some level of accountability.

Footwear – if you sell footwear, you have mismates. Now is the time to purge them.

Hiding spots – As a manager, you are fully aware of all the hiding spots in your store. Find them, as well as all the merchandise hidden within. Think warehouse racks, offices, storage cabinets, and basedecks.

Basedecks – I’m going to give them their own bullet point here. A basedeck is the bottom shelf on a gondola. They can be lifted up and merchandise can be hidden under them. I make it a point to lift up every single basedeck in the store prior to inventory. I always find thousands of dollars of merchandise.

Gift cards — if these are replenished like any other product, make it easy on yourself and pre-count them. You don’t want to be stuck scanning/counting 10,000 gift cards on inventory night.

Warehouses/storage containers – Pre-count these the day before your inventory. This will again save plenty of time during the night.

Top-stock/Risers – either pre-count your back-stock ahead of time, or assign one or two people to count this during inventory night. I’ve always had success with a “top-stock team”.

Single Scan areas Vs. Multi Scan areas – To this day, I have managers make some pretty bad decisions on area tickets. Yes, Single scan takes a bit longer (since you have to scan each item), but your accuracy will be far greater. Obviously, your single scans will be in your soft lines (shoes, clothes) but they can have a benefit in hardline areas as well. Areas such as ammunition, fishing poles, sleeping bags and tents, and any other area where an associate may get confused (or lazy) with multiple colors and sizes.

Have a team in place as well as a plan – What area will be the most difficult? Once you figure that out, start there. The rest of the night will be a cake walk.

Warehouse shipments — make sure to suspend any warehouse shipments a day before your count. Additionally, if you do get a truck before your inventory, make certain it is not received in until after your count. If not, you could potentially see a significant loss on paper due to all that missed product sitting in the loading dock.

Use DNI markers on all that product you pre-counted. This will ensure that your counters won’t count the same product twice.

While this list is far from being all inclusive, it does give you a baseline for what you should be looking for. Often times, we get caught up in making sure our shrink isn’t too high, we forget that accuracy is as just important. For example: if you have 200 lawn chairs, but there are 5 different colors, (red, blue, yellow, green and black). Each of these chairs has its own sku, but they are all $5. If an employee scans and counts all 200 under only one sku, you will have no shrink, but your inventory counts will still be off. Your books will show 200 red chair and zero of the 4 other colors. Most likely, you’re now going to be overstocked on the additional colors. Proper inventory management starts with an accurate inventory count.


Shoplifting Problems Today

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Shoplifting is a problem that affects retailers worldwide. In the United States shoplifting is a problem that affects the retail industry tremendously. Millions of dollars are lost daily due to this problem, and although legislation about this problem continues to change to punish the perpetrator accordingly, the problem is far from disappearing.  The rules and regulations about shoplifting that are to be observed by the management and employees of your store should be reviewed regularly to ensure they reflect the times and views of the owners of the retail store.

For more about this and other news follow the links below.


Indianapolis shoplifting suspect dies in police custody after breathing problems

Indianapolis police said they were investigating the death of a shoplifting suspect who complained of breathing problems.

The man died in the back of an ambulance on Saturday afternoon after being arrested by the Indianapolis metropolitan police department (IMPD) and Cumberland police department, the IMPD said in a news release.

The man told officers he was having trouble breathing and an ambulance was summoned. The medical crew assessed the man and determined he could be transported to the city’s arrestee processing center, but while in the back of a jail wagon the man again complained of breathing problems.

A second ambulance was called, but the man’s condition quickly deteriorated and he died despite attempts to save his life, police said.


Walmart employees in hot water over video of suspected shoplifter

ARLINGTON, Texas — Walmart employees who confronted a suspected shoplifter in a Dallas suburb may now be in trouble themselves, reports CBS DFW.

A cashier recorded the incident in North Arlington, which was posted on a Facebook page for Walmart employees. It appears to show a woman shoplifting and employees taunting her and grabbing her bag on her way out of the store.

The video then shows an unidentified woman walking up to the suspected shoplifter outside the store and and starting to fight with her.

One of the employees involved has resigned and an investigation is underway, CBS DFW reports.


Retailers call for legislation amid rise in shoplifting in Dublin

Retailers are lobbying the Government to introduce tougher penalties for repeat shoplifters as gardaí reported a 40 per cent increase in the activity in inner city Dublin.

A Dublin central Joint Policing Committee was told this week that overall property crime, such as burglaries, car thefts and shoplifting, was up by 8 per cent in the division.

Chief Supt Pat Leahy told the meeting that burglaries and car thefts were down this year but a sharp increase in recorded shoplifting had brought up the total.

He said the apparent increase in shoplifting coincided with a change in the way the crime was recorded.

“Every single incident of shoplifting now is recorded as a crime. Whether it is a lipstick or it is a €400 jacket, it goes in as a crime,” he said.


Using Technology To Prevent Shoplifting

theft (12)Shoplifting is an issue with lots of bad ramifications.  The shoplifting that many businesses experience is financially devastating for the business, local and US economies. The financial burden that small business owners experience due to shoplifting can be hard to overcome.  Profits are slim in some cases and the shoplifting and employee theft can make a small retail business close its doors for good. For more about this and other topics, follow the links below.


Why Inventory Tracking Software Is a Critical Investment

Running a small business often means making tough decisions about how to spend and where to invest your limited capital. From inventory shrinkage to supply and forecasting challenges, an effective inventory tracking system and software is a critical company investment.

If you don’t track your inventory, you have no way of preventing employee theft, and trying to create your own inventory system using a spreadsheet program like Excel is time-consuming, error-prone, and rarely effective.

These days, it is relatively inexpensive for a small to medium-sized business to get its own inventory tracking system with the latest software. When you consider the potential costs of not tracking your inventory, it’s a no-brainer.

Beating Inventory Shrink

In 2014, inventory shrink resulted in over $44 billion in losses for retailers, over 50% of it the result of internal theft, administrative errors, and unknown causes. Internal theft alone accounts for 34.5% of inventory shrink. Administrative errors make up another 16.5% of shrink. These can be significantly reduced through the implementation of effective inventory software and systems.


Owner: Shoplifting ‘not a victimless crime’

Owner’s experience shows the toll that shoplifting takes on small businesses.

BY SPENCER PARTS RALEIGH NEWS & OBSERVER

CARY, N.C. — In early July, designer dresses, slacks and jackets valued at $3,000 were stolen from ADORE Designer Resale Boutique in this Raleigh suburb, one of Nancy Alinovi’s two consignment shops in the area. She still feels sick about it.

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

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

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

Large capital losses from theft are especially hard on small businesses, said Jennifer Martin, executive director of Shop Local Raleigh, an organization that advocates for and supports small companies. Many smaller firms are tight on time and money, and an unexpected event can push them to the breaking point.


Security systems know all the self-scan tricks

MOUNT DORA — Last August, a 58-year-old woman, using a self-checkout station at Wal-Mart in Leesburg, allegedly was seen placing two items in her hand before scanning them so the scanner could not record the barcode and charge her for the blocked item.

Assuming she was being watched from afar, she also allegedly waved items too far away from the scanner for it to record a sale but made it look like she was using the equipment as intended.

On Saturday, a 30-year-old woman allegedly tried a couple of other ways to beat the system at Wal-Mart in Mount Dora, concealing items inside a sweatshirt and even a backpack she self-scanned.

Neither got away with it and face theft charges because retailers know all the tricks and have self-check security systems in place to detect them, according to the website retailtouchpoints.com.


Using Policies and Procedures as a Shoplifting Deterrent

law-3The policies and procedures about shoplifting and detaining shoplifters should be known  by every person in your store or business to ensure the safety of your employees.  The importance of the policies can help with employee theft in your store.  If a zero tolerance procedure is known by everyone, it can serve as a deterrent for future or possible theft. For more about this and other stories, follow the links below.


Adidas turns to a new data collection system to pinpoint problems and reduce shrinkage.

When he came home to Germany after the First World War, Adolf “Adi” Dassler went into the athletic shoe business, creating a company that was eventually named for its founder: Adidas. (His brother Rudi moved across the river and founded Puma. Shoes run in the family.)Today the Adidas Group, still headquartered in the small Bavarian town of Herzogenaurach, is a global leader in the sporting goods industry, with 2014 sales of just under $16 billion. Its brands include Adidas, Reebok, TaylorMade, Ashworth, CCM and Five Ten. Earlier this year, the company sold its Rockport unit to a new entity formed by Berkshire Partners and New Balance.

“Adidas is not a natural retailer,” says Ken Bohnert, the company’s profit protection manager. “We came into the retail world on the back of our manufacturing arm — 10 percent of our income stream comes from retail, 90 percent from manufacturing.”


Wisconsin College Admin: Police Shouldn’t Prosecute Shoplifters [VIDEO]

An administrator at the University of Wisconsin-Madison suggested at a recent roundtable conversation that, in order to combat “overpolicing” in the community, police should no longer respond to shoplifting claims at large stores such as Wal-Mart, and shouldn’t agree to prosecute people caught stealing.

“I just don’t think that they should be prosecuting cases … for people who steal from Wal-Mart. I just don’t think that, right?” said UW-Madison director of community relations Everett Mitchell. “I don’t think [with] Target or all them other places, them big box stores that have insurance, they should be using justification, the fact that people steal from there as justification to start engaging in aggressive police practices, right?”

 Everett’s remarks were made Tuesday as part of a UW-Madison panel on the topic of “Best Policing Practices.” Everett argued that community police shouldn’t prioritize enforcing the law, but instead should focus on achieving “safety” as it is defined by a local community, even if that definition includes allowing some stores to be robbed with impunity.

Can You Sue an Employee for Stealing?

Dealing with customer theft is one thing, but what happens when it’s your own employees stealing from your store? Of course there are criminal laws against theft, but that may not get you the full value of what was stolen.

So can you file a lawsuit against an employee for theft? And, if so, what kinds of theft are covered?

Paycheck Penalties

If your state allows, and if you’ve decided not to fire the employee, you could consider deducting the amount of the theft from his or her paycheck. Just be careful: some states (like California) prohibit this entirely, and some states have certain restrictions on when employers can deduct wages and how much they may deduct. You don’t want your attempt to deal with theft to end up in a lawsuit against you.

 


Public Shaming and Shoplifting

shoplifting5The public shaming of criminals has been around for centuries.  For a good part of the world’s legal history (and some still today) the punishment for crimes happened in public: pillories, pelting offenders in the stockades with rotten food and feces, hanging, ear nailing, branding, sandwich boards which proclaimed the crime, dunking stools, shunning, whipping posts, maiming, etc.

There’s a natural human desire for others to be recognized and brought to justice for their crimes.  The emergence of public shaming via social media is a continuation of that desire and heritage.  Social media is just a new, albeit broader reaching, component of a very old method of controlling crime and providing justice. 

Retail has a centuries old history of public shaming, because up until recently most stores were mom and pop operations.  Owners personally knew which customers weren’t paying their bills and who was stealing, and they had ways of letting others know too.  Not long ago, owners posted bounced checks near the cash register, so everyone saw which neighbors were deadbeats.

Now store owners and managers are turning to public shaming again for their on-going, ever increasing problem with shoplifters.  They’re frustrated, burnt out and angry, and are increasingly using social media to combat the issue.  They’re posting pictures and video of alleged shoplifters and some caught in the act.

The motivations behind posting this information are varied — it’ll shame the criminal into stopping or at least staying out of the store; someone will identify the thief and they can be charged; it’ll shame law enforcement into “doing something” about the crime; other shoplifters will see the store is serious about crime and stay away; it gives the owner a feeling of control and not like a victim.

But, these new tactics have triggered a very old question, “Does it work?”.  The answer is the same as it has always been, “Yes” and “No”.  Both answers are correct, because it depends on the situation.  The spectrum runs from — the shoplifter was mortified and didn’t do it again to the shoplifter became a celebrity in their social group and increased their stealing.

This strategy has always had mixed results, which is why store owners and managers should be thoughtful and cautious about using social media for public shaming or crime fighting.  In addition, the legalities of it are murky at best and must be considered before posting pictures or video.  Be sure to evaluate each situation on an individual basis before taking any action.


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

Retail Burglar Alarm System Considerations

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

DO YOU HAVE A ROBBERY POLICY?

shoplifting6Like it or not, there exists a chance that your store will fall victim to an armed robbery. Why? It’s very simple. Your store has money inside. There are those that refuse to work for a living and will resort to a robbing innocent people like you and me. What would you do if faced with that situation? Would you, or your employees know what and how to react in order to prevent injury, or loss of life? Do you have a robbery policy in place that all employees are familiar with? If not, well, it’s time to put pen to paper.

Just within the past month, one of my stores were robbed by tow gunman during business hours. Two men walked into the store, approached the cash office with guns drawn and demanded our money; my money. Luckily, my employees did exactly what they were trained to do and the goons left before anyone was injured. Sometimes, retailers aren’t so lucky. There was a recent story on local news where the same situation occurred at another store and the owner fought back. Unfortunately, it ended in tragedy when the robbery turned into a homicide. That’s not something I ever want to go through.

If you’re created a new robbery policy, I’ll give you some points to consider. Most importantly, there is nothing in the store worth losing your life over. Nothing. Nada. Zip. Zilch. Everything inside those four walls can be replaced. You, your employees or a customer cannot be. In your policy, you should explain that. Train your employees to comply with all demands and get the thieves out of the store as quickly as possible. Most importantly, do not call 911. It’s going to be automatic for people to start pulling out cell phones. DON’T! The response time to a robbery in progress call will be hot and heavy. You don’t want the police showing up with gunmen still in the store. There could be a shootout, potentially hurting people in your store, or you could be faced with a hostage situation. Neither are great, so get them out of the store as quickly as possible. This is why you have CCTV cameras!

In your policy, you should also include an after action plan. For example, what on Earth is that manager, or supervisor on duty supposed to do after being robbed? As calmly as possible, close the store, and ask all customers to come to the front. Inform them that the store needs to close due to a police investigation, however if they would like to give a statement to police, they are more than welcome to do so. Next, move all of your other employees to a common area of the store, away from the crime scene. You’ll probably want to start counting money to see what was lost, but don’t. Remember that your store is now a crime scene and you won’t want to tamper with any potential physical evidence. The police will tell you when they are ready for you to calculate your loss.

Long term, you may want to contact your HR department if you have one, as there may be some employees, especially those who were the actual victim, who may need some counseling. Everyone reacts to these types of situations differently and it’s important that you understand that your employee has just gone through an incredibly stressful ordeal and may need time away from the store to process what happened. While a robbery may not be something that ever crosses your mind, it can happen. Having a policy in place and having your employees well trained on that policy can very well save a life one day. Remember, nothing inside those four walls is worth dying for.