Probably—and I say that with all due respect to your efforts. Humans are specialists by nature. That is we tend to gravitate towards the things we know, the things we like, and the things that we are good at. Past experiences also lend a hand in defining the focus of our attention. Complete objectivity is difficult and while we shouldn’t advocate “doing things just to do them,” when it comes to loss prevention striking the proper balance is critical to success.
Retail associates are the first line of defense when it comes to loss prevention. Generating loss prevention awareness via your associates will prevent more loss than any technology, program element or initiative. However, it is also one of the most visible failures of many retailers; to create and sustain adequate LP awareness. Here are 4 common reasons why retailers fail to generate successful LP awareness.Read More
Everyone in the organization is satisfied, if not ecstatic, when final shrink results reveal that we have achieved the company goal. The shrink result, alone, seems reason for celebration and these good results would intuitively indicate the existence of an effective loss prevention program.
An unfortunate number of times, however, companies are frustrated when the next inventory cycle misses the goal or when shrink slips back to a higher percentage. In a search for answers, the most common responses to increased shrink are:
Even a highly focused and effective program will not prevent every store from having a shrink meltdown. A focused program, however, that maintains a clear connection between its components, execution, and results can accomplish three important objectives:
- Confirm that the program components provide desired results
- Establish and monitor the behaviors that create a rise or fall in shrink
- Determine when the issue is one of effectiveness versus resources
You may not immediately recognize the word “spork.” Perhaps you know it as a “foon.” It’s that inventive little utensil made famous by fast-food take out and camping trips. The spork is a combination of a spoon and a fork. An efficient and cost-saving invention that has been around since at least the eighteen hundreds (I won’t go into all the things I know about the Spork’s history at the risk of sounding like a geek).
Now this little tool is great in a pinch (or on the road or in the woods) but I’m going to go out on a ledge and make a guess. I’d guess if I open the utensil drawer in your kitchen that I would find lots of silverware. No doubt, two sizes of spoons, two types of knives and prob
ably two sizes of forks. I’d probably see that you could last a week in full supply without ever washing a utensil. And I’d bet that beyond the basics, you have a whole bunch of other interesting, though seldom used “specialty” utensils. An entire drawer of stuff devoted to doing one thing – eating. I’ll go a little farther out on that ledge and bet that in all that stuff, maybe…and that’s a big maybe…you have one “spork” still wrapped in plastic. That lone little guy is probably not with the silverware, but in that “other” drawer - The one where you keep all those condiment leftovers and take-out menus from your last fast food run.Read More
There is a saying that “everyone has a boss.” In my twenty-something years the question of “who should LP report to?” has come up often and usually with passionate opinions as to the best reporting structure. Loss Prevention is a support function and one whose dynamic responsibilities and flexible nature make it a good fit for almost any department. In a way, LP is like a universal blood donor - not a perfect match anywhere, but functional everywhere.
A loss prevention program without audits is like a cheeseburger without the cheese—you’re kind of missing an essential component of the definition. The industry evidence is strong enough to argue that in terms of loss prevention, one audit is better than none, two better than one, and three per store the best of all that nets the best loss results. All audits, however, are not created equally. An audit has a specific function and focus, the details of which are much like deciding what type of cheese you want on the cheeseburger. The selection determines the experience and maturity of taste plays a role.
Topics: loss prevention program
I learned to swim at an early age and up until 1975 I considered all bodies of water to be created equally. In the summer of that year, however, I saw a little film called Jaws, after which a swim in the ocean created equal shares of joy and anxiety. Even today, although just a few miles from the Southwest Florida beaches it’s difficult to not think about the potential predator below the blue surface. When swimming I maintain a pretty strict policy—keep my wife between me and the open water…you know- just in case.
The breach of Target’s consumer data in December had a significant impact on the retailer’s holiday season. In truth, with industry consumer foot traffic down over 14% sales weren’t going to be exceptional anyway. In addition, although I’m not familiar with the details of Target’s line of responsibility structure, the breach probably had little to do with traditional loss prevention roles.