Staff Editor — Page 56

Mystery Shoppers Can Help Your Bottom Line

May 13, 2015 by Staff Editor Leave a Comment

Brooke wanted to buy a special keepsake to commemorate the birth of a grandchild. She went to a jewelry store in the mall and was planning on spending about $200. There were 2 saleswomen in the store and no other customers. Both of them were having personal conversations on their phones, with one talking about the lack of sales and her concern that she was going to lose her job.

One clerk didn’t acknowledge Brooke, while the other put her finger up in the “just a minute” signal and then turned her back. After looking around for some minutes, and not being waited on, she went to the store next door. Brooke was greeted immediately, helped and spent $250. She repeatedly told the poor service story for months, right up until the store closed.

Everyone has experienced poor customer service in person, on the phone or via a web site, but they probably didn’t complain to the business. When most people are unhappy they show it with their feet and eyes, they’ll leave a store or web site and not return. A customer is 4 times more likely to go to a competitor when the problem is service rather than price or product (Bain & Company).

Obviously, good customer service has a significant impact on the bottom line. A 2% increase in customer retention has the same effect as decreasing costs by 10% (Emmett Murphy & Mark Murphy). Also, it costs about 6 times more to acquire a new customer rather than retaining an existing one. It’s just smart business to try to hang on to them.

One of the ways to evaluate your business’s customer service is to use mystery shoppers. A mystery shopper is an outside person who shops your business (in person, on the phone or via web site), usually purchases a product and evaluates the experience. You set the parameters of the information you want collected — including identifying loss prevention issues.

Mystery shoppers help you determine your problems before they turn into lost revenue. They give you the consumer’s perception of and experience with your customer service, as well as other concerns. It’s an effective way to get real-time feedback. Then, based on the identified problems, you can develop and implement the appropriate corrective procedures and policies.

Smart business owners know the adage that the product gets the customer in the door, but service is what gets her to return. People who contact your business have a need, providing you the opportunity to make a sale. The method of the sale gives you the chance to build positive word of mouth and strong consumer loyalty, which contributes to higher profit margins and a healthy bottom line.

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.

Filed Under: Featured Tagged With: Alpha 2 Alarm, Alpha 3 Alarm, Alpha High Theft Solutions, Alpha Jewel Lok, Alpha Nano Gate, Alpha Security, Alpha Spider Wrap, Anti-shoplifting training, anti-theft devices, anti-theft tags, Employee Theft, Georgia Alarms systems, Georgia shoplifting prevention, Georgia shoplifting systems, Loss Prevention Seminar, Retail Anti Theft Devices, retail security and monitoring

Beauty Out The Door

May 13, 2015 by Staff Editor Leave a Comment

Just like in big box stores, small businesses need to protect their inventory from shoplifters. Without the bulk buying power of a large chain, it is even more dire to protect your profit margin. The truth is though, it is just as important when you are dealing in used as well as new clothing. Many of today’s trendy thrift stores and consignment shops offer high end brands at lower than retail prices. Clothing Security is still important in this setting, if not more. A Checkpoint System could quickly stop your merchandise from walking out the door unpaid.

In a consignment setting, you are sharing the profit for the sale with the owner of the clothing. If you haven’t got any Clothing Security measures put in place, you are risking more than losing the garment to a thief. You lose the money you would have earned, plus you will likely lose the return business of that seller if they find out your store is a regular victim of theft.

Several small businesses have opened up shops in our small downtown area, in the old brick buildings, doors opening right onto the sidewalks. There is a decent amount of cars and pedestrians most times of the day. One store in particular is a specialty boutique. The offer manicures and other spa services, plus they sell purses, scarves, some jewelry, and a few high end dresses. As I was driving by this morning I saw the cutest purse in the window, next to a table full of jewelry. This is all right inside the front door, not actually up in the big display window. Potentially, a person could open the front door, grab up a big armful of items, and either run for it or jump into a waiting car. If the owners noticed the this hypothetical theft when it actually happened, I would be surprised. The more likely scenario is that they would see the empty table after it was much too late. Clothing Security is obviously not high up on this store’s priority list.

There are different ways to attach Checkpoint Labels to garments, purses and other accessories, and even jewelry. As you have probably seen in many cases, the tags can be attached directly to the clothing in obvious places like the price tag, or even sewn into a hidden pocket. The same process can be used for purses, and there are specially designed tags for jewelry. Alpha products are compatible with the Checkpoint System as well, so there are many options to choose from if your business decides to go with those instead of labels. Many Alpha products can be attached via lanyard, so the methods for protection are exponential. Even in a setting where a store is dealing in used clothing, trends come and go, but so do shoplifters. All the signs in the world threatening prosecution will not stop a determined thief. Real Clothing Security tools are paramount in stopping you inventory from disappearing.

For more information contact us at: Clothingsecurity.net or call 1.770.426.0547

Several small businesses have opened up shops in our small downtown area, in the old brick buildings, doors opening right onto the sidewalks. There is a decent amount of cars and pedestrians most times of the day. One store in particular is a specialty boutique. The offer manicures and other spa services, plus they sell purses, scarves, some jewelry, and a few high end dresses. As I was driving by this morning I saw the cutest purse in the window, next to a table full of jewelry. This is all right inside the front door, not actually up in the big display window. Potentially, a person could open the front door, grab up a big armful of items, and either run for it or jump into a waiting car. If the owners noticed this hypothetical theft when it actually happened, I would be surprised. The more likely scenario is that they would see the empty table after it was much too late. Clothing Security is obviously not high up on this store’s priority list.

There are different ways to attach Checkpoint Tags to garments, purses and other accessories, and even jewelry. As you have probably seen in many cases, the tags can be attached directly to the clothing in obvious places like the price tag, or even sewn into a hidden pocket. The same process can be used for purses, and there are specially designed tags for jewelry. Alpha products are compatible with the Checkpoint System as well, so there are many options to choose from if your business decides to go with those instead of labels. Many Alpha products can be attached via lanyard, so the methods for protection are exponential. Even in a setting where a store is dealing in used clothing, trends come and go, but so do shoplifters. All the signs in the world threatening prosecution will not stop a determined thief. Real Clothing Security tools are paramount in stopping you inventory from disappearing.

For more information contact us at: Clothingsecurity.net or call 1.770.426.0547

Filed Under: Uncategorized Tagged With: Checkpoint tags, Clothing Security

Change Your Plans to Prevent Shoplifting Loss

May 11, 2015 by Staff Editor Leave a Comment

I work for a small retail pharmacy and we inventory our locations on a yearly basis. After our results come back we look at our biggest categories for losses and we make a plan for what we are going to do to combat the problem areas in the coming year. In order to Prevent Shoplifting in those top three to five categories, we have to decide what items are the biggest targets for external theft, either from impulse thieves or professional boosters.

Allergy remedies and cosmetics are generally guaranteed to be one of the worst offenders for our stores. Facial care is usually high on the list too, with all those name brand wrinkle creams, and then there is oral hygiene, with all those expensive teeth whitening kits. We even have lists in every store that have the required items to tag with Checkpoint Labels or some variation of Alpha solutions because of the fact that they are targeted in most areas. Each store has it’s specific demographics and unique location challenges, however, that require the staff to tweak those plans to secure the items that they know are more likely to be stolen.

In our location, we have had our name brand razor cartridges stolen multiple times. It reminds me of that commercial that jokes about how hard it is to buy razors in stores these days. My staff doesn’t use a stun gun on people shopping and lingering in that aisle, but we do pay close attention to them. Our answer to Prevent Shoplifting in this section was to limit the number of cartridges we put on the shelf, and we also have those that are out there secured in Alpha Keepers. The customers can still choose which kind they want, and then they can bring that selection to the checkout.

Razors have been in stock for customers to come and buy, and the problem was solved. So in the spirit of keeping us on our toes, the shoplifters changed their target. I was walking the sales floor a couple weeks after we implemented that plan and noticed three very empty shelves in the deodorant section. Now this was a new one for our store. I checked the camera system, and could not find anything definite. The only answer was to talk to my staff and put together a new plan on how to Prevent Shoplifting in this new problem section. Now when these items come in our weekly delivery, we will put Checkpoint tags on these items. We have a few different types, but we went with the ones that have our store’s name and location printed on them. The idea is to make the items less desirable to boosters since they will now have to spend extra time cleaning off the labels. If there is another successful theft though, at least we have a better chance of the items being returned to us if they are caught.

Stores that are going to be successful with their methods to Prevent Shoplifting have to be willing to learn and change those plans when it is necessary. Use the tools that are available to you, like Checkpoint Labels and Alpha solutions, and you will improve your chances of deterring theft or making stops when an attempt is detected.

For more information contact us at 1.770.426.0547 or Preventshopliftingloss.net

I work for a small retail pharmacy and we inventory our locations on a yearly basis. After our results come back we look at our biggest categories for losses and we make a plan for what we are going to do to combat the problem areas in the coming year. In order to Prevent Shoplifting Loss in those top three to five categories, we have to decide what items are the biggest targets for external theft, either from impulse thieves or professional boosters.

Allergy remedies and cosmetics are generally guaranteed to be one of the worst offenders for our stores. Facial care is usually high on the list too, with all those name brand wrinkle creams, and then there is oral hygiene, with all those expensive teeth whitening kits. We even have lists in every store that have the required items to tag with Checkpoint Labels or some variation of Alpha Solutions because of the fact that they are targeted in most areas. Each store has it’s specific demographics and unique location challenges, however, that require the staff to tweak those plans to secure the items that they know are more likely to be stolen.

In our location, we have had our name brand razor cartridges stolen multiple times. It reminds me of that commercial that jokes about how hard it is to buy razors in stores these days. My staff doesn’t use a stun gun on people shopping and lingering in that aisle, but we do pay close attention to them. Our answer to Prevent Shoplifting Loss in this section was to limit the number of cartridges we put on the shelf, and we also have those that are out there secured in Alpha Keepers. The customers can still choose which kind they want, and then they can bring that selection to the checkout.

Razors have been in stock for customers to come and buy, and the problem was solved. So in the spirit of keeping us on our toes, the shoplifters changed their target. I was walking the sales floor a couple weeks after we implemented that plan and noticed three very empty shelves in the deodorant section. Now this was a new one for our store. I checked the camera system, and could not find anything definite. The only answer was to talk to my staff and put together a new plan on how to Prevent Shoplifting Loss in this new problem section. Now when these items come in our weekly delivery, we will put Checkpoint Labels on these items. We have a few different types, but we went with the ones that have our store’s name and location printed on them. The idea is to make the items less desirable to boosters since they will now have to spend extra time cleaning off the labels. If there is another successful theft though, at least we have a better chance of the items being returned to us if they are caught.

Stores that are going to be successful with their methods to Prevent Shoplifting Loss have to be willing to learn and change those plans when it is necessary. Use the tools that are available to you, like Checkpoint Labels and Alpha Solutions, and you will improve your chances of deterring theft or making stops when an attempt is detected.

For more information contact us at 1.770.426.0547 or Preventshopliftingloss.net

Filed Under: Uncategorized Tagged With: Prevent Shoplifting

Employee Theft and How to Prevent it

May 7, 2015 by Staff Editor Leave a Comment

Now, research has shown the retail loses more from employee theft every year without knowing how to stop it, than at any other time. Employee theft, shoplifting, credit card fraud, and many other fraudulent practices are plaguing the retail industry without a clear solution to the problem. Local police in many communities across the US are implementing programs to help reduce criminal activities around their communities. To read more about this topic follow the links below.

4 Ways to Protect Your Business Against Employee Fraud and Theft

Q: Which internal accounting controls can help prevent fraud?

A: This is a vast topic covered by countless books and consultants, so let’s narrow it down to employee fraud and theft. Aside from the obvious—conducting regular inventory checks and book audits, reconciling cash daily, and personally reviewing financial statements each month—there are several actions you can take to protect yourself and your business.

1. Establish a code of conduct.

Did you know that Walmart employees are not allowed to accept a bottle of water or cup of coffee from a vendor at a meeting without paying for it? That’s what I mean by a code of conduct. It’s a statement that you will not tolerate unethical or illegal behavior toward anyone—customers, suppliers, employees or the company itself.

While you may not be as strict as Walmart, you should write and post a code of conduct that clearly spells out the rules for employees and the repercussions for not following them. Give the code to everyone upon hire, and periodically thereafter, and require written acknowledgement that they have read, understand and agree to comply with it.

Police: Employee admits to stealing $14,500 from Kohl’s

A Sun Prairie woman admitted to stealing $14,500 from the Madison department store at which she worked, according to a release from Madison police.

Police said Rebecca A. Onstad, 27, said she stole merchandise and faked returns for store credit to support her family during some tough times in the past year.

Onstad worked at Kohl’s at 2602 East Springs Drive.

She was arrested Monday on suspicion of felony theft.

What Smaller Retailers can Learn About Loss Prevention

One of the biggest challenges the UK retail industry currently has to face is shrinkage. While sales are steadily growing – they increased by 3.9 per cent year-on-year in January, according to the British Retail Consortium (BRC) – stores are still facing losses from the old enemy of theft.

A recent infographic commissioned by SECOM Plc shows shoplifting and more serious retail theft is becoming more and more of a problem. While the number of incidents is falling, their cost to businesses is rising as more valuable items are targeted. In 2014, the cost of crime to the UK retail sector was £603 million, a rise of 18 per cent compared to the year before.

However, this figure does not take into account a number of other factors that have a much greater impact on smaller retailers. Each theft is not equal; stealing an item from one store can cause significant issues, while another might be able to absorb the loss easily.

Many small retailers only employ a handful of people and operate relatively informally, meaning they don’t have many policies in place regarding things like pricing, inventory and employee conduct. It may seem like these things are fairly low priority, but in actual fact having policies like these in place can significantly reduce shrinkage.

Filed Under: Shoplifting Prevention Tagged With: Anti-shoplifting training, anti-theft devices, anti-theft tags, anti-thefts devices, employee background checks, Employee Theft, Georgia Alarms systems, Georgia shoplifting prevention, Georgia shoplifting systems, Prevent Shoplifting, Retail Anti Theft Devices, security devices

The Difference In The Question- Pre Employment Screening

May 4, 2015 by Staff Editor

If you are conducting a job interview to qualify potential job candidates there are some right and wrong ways to find out the information you are looking for. Pre employment screening helps to clarify a lot of the gray area for you; in terms of what questions you can legally ask a candidate.

Take the topic of arrests and criminal convictions, for example. It is illegal to ask a job candidate if they have ever been arrested. The arrest could have not lead to a conviction. The arrest could have been downgraded to a different crime altogether. This could mean the difference between a felony and a misdemeanor crime.

By asking about arrests, you can have a potentially negative response to a job candidate. This is an unfair stance for the candidate who may have been cleared/ found not guilty of those charges. You can be held liable for not hiring someone because you asked the wrong questions.

The legal way is to ask about any convictions. That means a court found them guilty beyond a reasonable doubt. If the court found them guilty, then this information is generally public record, which means you can have access to it, as a potential employer.

The best way to do this is to inquire on the application. This gives the applicant the opportunity to disclose any convictions and also give any explanations they feel necessary. You are then allowed to validate these convictions during your pre employment screening background checks.

To purchase Pre-Employment Screening Services or for more information on background check experts, background checks, criminal background checks, employee background checks or pre employment screening contact us at the background check company or call 1.770.426.0547

Filed Under: Uncategorized Tagged With: background check company, background check experts, Background checks, criminal background check, employee background checks, pre employment screening

Background checks and What to Look for

May 4, 2015 by Staff Editor Leave a Comment

When hiring a new employee and you need to do a background check, Do you know what you need to look for to make sure you have the right candidate? First of all, you need to be knowledgeable about the laws regarding background checks in your state. What Washington seems reasonable, may not quite cut it for California and vice versa. Due you due diligence before attempting to do a background check without knowing the Ins and outs of the law. Make sure that your process about hiring and doing background checks are consistent throughout the company, you do not want to be the target of an employee discrimination lawsuit because of different treatment to different possible candidates.

What You Need To Know About Background Checks

April 29, 2015 by Staff Editor Leave a Comment

Many small businesses think twice about hiring a new employee, especially if that business is going through a rough time. The actual cost of hiring a new employee is expensive, and not only because of the salary they will be paying. Recruiting and training alone will be costly, not to mention the time spend for interviewing the possible candidates. Hiring the right candidate can become quite an ordeal, but by doing background checks on an employee before hiring them can save you time and money in the long run.

Class Action: Amazon Violates Federal Law With Employee Background Checks

Amazon.com Inc. and a staffing company that aids the online retailer in its hiring are facing a class action lawsuit, alleging that they have violated federal law because they did not disclose the information found in a background check that was used to deny employment.

Plaintiff Gregory Williams claims in his class action lawsuit filed on Wednesday in Washington state federal court that Amazon and Staff Management Solutions, which is also called SMX, violated the Fair Credit Reporting Act (FCRA).

Williams claims that he applied for a job with Amazon as a “puller” at one of the online retailer’s distribution centers in November 2013. SMX helps Amazon with hiring at its fulfillment centers primarily in anticipation of seasonal hiring.

As part of the application process, Williams also filled out a form giving SMX the authority “to obtain his consumer report for employment purposes.” That form stated that if anything is found in the background check that could affect his employment that he would be given a copy as well as an explanation of his rights under the FCRA. It also stated that the information can be disputed if the applicant deems that it is inaccurate.

Georgia Background Checks: What you need to know

There are a number of ways for employers to gather information on the background of an applicant for employment. Employers may simply call an applicant’s former employer to confirm the applicant’s dates of employment and title and to try to obtain a more detailed reference from a supervisor. However, more and more frequently, employers are hiring third parties to conduct background checks on applicants who have been offered employment. In addition, depending on the nature of the position, employers are requesting reports about an applicant’s driving record, criminal record, and/or credit history. There are often legal limits on employers obtaining and using this type of information. When employers hire a third party to conduct a background check or obtain reports from outside agencies, such reports are subject to the federal Fair Credit Reporting Act (FCRA) and state laws. In Georgia, employers must comply with laws concerning criminal background checks and driver’s record information.

Background Check Industry at a Crossroads: Raising Uptime Standards

Why does uptime matter?

In today’s lightning-paced business climate, companies and organizations in virtually every industry are paying more attention than ever to the speed, efficiency and dependability of the systems, software and other support tools that enable them to serve and retain customers and thrive in an increasingly competitive global economy. It’s an era of Google, Amazon and smartphone-enabled instant gratification, and we expect immediate answers to all of our questions and same-day shipment of every conceivable consumer product. And companies’ system availability, or uptime,makes this all possible.

Companies are also under heightened scrutiny from regulators, and from their own internal auditors, to meet stricter accounting and reporting guidelines, to prepare for every possible disaster scenario that could disrupt their business or their customers’ business, and to operate more efficiently in everything they do. Uptime is at the very core of all these concerns.

Filed Under: Shoplifting Prevention Tagged With: Anti-shoplifting training, anti-theft devices, anti-theft tags, anti-thefts devices, Background checks, employee background checks, Employee Theft, loss prevention, Loss Prevention Seminar, Loss Prevention Seminars, Loss Prevention Training, Prevent Shoplifting, prevent shrinkage, Retail Anti Theft Devices, retail security, retail security and monitoring, surveillance

What Do You Really Know About Employment Background Checks?

April 29, 2015 by Staff Editor Leave a Comment

You probably know what employment background checks are… you might have even had them run on you in the past. But do you really know what an employment background check includes? And if you are responsible for or are assisting with your company’s hiring… do you know what you should be asking for when you ask for “background checks”?

When Loss Prevention Systems runs employment background checks for Retailers, most are interested in a potential employee’s previous criminal record. In many States we can look at their record “State wide”. This means that we access the Crime Information Center for that State. That database is maintained by each State. For example, in Georgia, it is the Georgia Crime Information Center (GCIC) and it is run by the Georgia Bureau of Investigation. All State, City and County arrest and conviction records in the state of Georgia are fed into this system. It is the same database used when a Police Officer stops someone in a traffic stop and “checks their record”.

There is no such thing as a “Federal Records Check”. It does exist but civilians do not have any access to it under any circumstances. If a company tells you they do, they are outright lying. The National Crime Information Center (NCIC) is restricted only to Law Enforcement. It is a serious felony for someone to access it. Many years ago I asked a Congressman why we could not have legitimate access to NCIC. His response is that it will never happen as unemployment would rise sharply. Wow, they do not care if we hire criminals, have thefts and crimes caused by them, they just do not want unemployment to rise?!?!?

Not all States have State wide records checks available. In that case we run them by county. The trick is to figure out which counties. We can make an educated guess based on where the applicant indicates they have lived. However, we frequently find that applicants will lie or omit a location where they have lived that is associated with criminal records. So what is the solution?

How about “social trace”? Ever heard of that? No, it’s not a new thing on Facebook or Twitter. It’s a check that we run on an individual’s social security number that allows you to know what states and addresses the person has lived in and what other names they could have used. Sometimes, we get a red flag because a female’s maiden name wasn’t listed and pops up as an alias, which is pretty common and obviously nothing to worry about… but other times, we get a red flag on a social trace because the individual has used entirely different aliases—not misspellings, completely different names!

When we run an employment background check for a customer, we like to run a Social Trace first. This tells us then where to search the criminal records. That keeps you in control, not the applicant. By the way, Social Traces are really inexpensive.

We see it all around here. To date “the record” is held by an applicant that had over 50 pages of arrests and convictions. Many of those were VERY serious crimes that were recent. This is the kind of person that you would never want near your family, friends or employees. There’s no telling what a new day will bring. But for you, and your company, trust us when we say that it’s better for you to find out first.

If you’re not running a social security trace on your potential new hires, you could be missing out on crucial information that will keep your workplace environment safe and hold down on employee theft.

Filed Under: Featured Tagged With: EAS Devices, Employee Theft, Georgia Alarms systems, Georgia shoplifting prevention, Georgia shoplifting systems, Loss Prevention Seminars, Retail Anti Theft Devices, retail security, retail security and monitoring, security devices, Shoplifting Prevention, shoplifting statistics, surveillance

Background Checks Should be Standard Operating Procedure

April 29, 2015 by Staff Editor Leave a Comment

It’s not every day that I bring someone new to my team. I’m a regional Loss Prevention Manager and I manage a very small, but highly motivated and productive team. I need someone to work independently, make good business decisions and get results all with very minimal supervision. I also need someone that is of good moral character and has integrity above all else. Normally, when I have an open position, it will take me weeks to fill. I’m extremely selective and always go with the person that I know will fit into my team the best. So running a background check is one of the first things I do when I have a potential candidate, and it should be something you do as well.

It wasn’t all that long ago when I was looking for a market investigator. The position had been posted for a few weeks and I had already interviewed a group of candidates. I had narrowed it down to three and had to make a hiring decision. They all had tons of experience working investigations, retail operations or law enforcement. I knew who I wanted and made a job offer, which was contingent on the successful completion of a background check. We shook hands and he assured me that his record was clean.

A few days later, my background check company sent the results back to me. I was completely taken back. What seemed like a very qualified, motivated person was a complete fraud. His rap sheet was ¼ mile long and he was recently convicted of several counts of fraud. There was absolutely no way I could bring this person onto my team. Had it not been for a solid background check, this person could have potentially cost me and my company thousands of dollars and untold hours of frustration and heartache. This should be a lesson to any owner out there. It doesn’t matter how clean someone appears to be, how well the interview, or even how great their resume may look, there’s always the potential for skeletons to be hiding just below the surface. Do yourself, and your business a favor and always run a background check on new employees.

Filed Under: Featured Tagged With: Alpha 2 Alarm, Alpha 3 Alarm, Alpha High Theft Solutions, Alpha Jewel Lok, Alpha Nano Gate, Alpha Security, Alpha Spider Wrap, Anti-shoplifting training, anti-theft devices, anti-theft tags, anti-thefts devices, internal Audit, Loss Prevention Training, retail security, retail security and monitoring, security devices

The Truth About Internal Theft

April 29, 2015 by Staff Editor Leave a Comment

Do you know what small business owners and Loss Prevention professionals have in common? In my career, I have found that there is no other business unit in a retail company more concerned about the financial health of the company than the LP department. Our life goal is to SAVE money, all while finding ways to increase sales and profitability, improve margins and assist in improving operational efficiency. Doesn’t that sound like a savvy business owner to you? Reversely, as a small business owner, you’re plagued by theft. You may also find yourself asking, where is that theft coming from?

If you do some online research, you’ll probably find a ton of sites and quotes that all say internal theft causes more financial damage than external. Well, that’s not entirely true. External theft has steadily been on the rise and causes millions of dollars in loss every year. The same also holds true for internal theft. What these statistics do though, is misrepresent internal theft. Yes, your employees sometimes steal from you, but that doesn’t mean 1 out of every 3 are. What that means is those employees who do engage in theft, are taking you for a LOT more than an average shoplifter. Last year alone, personally, I managed over 650 cases. 540 were shoplifters. The dollar amounts associated with those cases were almost the same in both the internal/external category.

Take this for example. Last year, I was contacted by some inventory control guys regarding a specific electronic device at a store location. We looked at a store inventory report and it showed that this one sku was showing a negative 600 on hand at this location. By investigating transaction records, we found these units had been refunded to the store over a period of time. Further investigation showed that a single cashier had conducted nearly 600 refunds of this particular sku and was able to pocket nearly $65,000 in cash from ghost refunds. It would take a lot of shoplifters to equal that dollar amount, but this was only ONE employee.

What I want owners and managers to understand is the reality of the internal theft problem. Understand that not all of your employees are thieves, but that 1% that will steal from you, will steal over and over again. As an owner, you should have internal control measures in place that limit your exposure to losses, and at the very least, a descent CCTV to review those losses when they are uncovered. While shrink will always be a part of life in retail, you have the power and the tools to make that financial impact as less as humanly possible.

Filed Under: Featured Tagged With: Alpha 2 Alarm, Alpha 3 Alarm, Alpha High Theft Solutions, Alpha Jewel Lok, Alpha Nano Gate, Alpha Security, Alpha Spider Wrap, Anti-shoplifting training, Employee Theft, internal Audit, loss prevention, Loss Prevention Training, Loss Prevention Workshop, Periodic inventory, security devices