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Asset Protection | Profit Enhancement | Retail Performance

Insights ORCAs in Action A Testament to Cooperation and Teamwork

What Now? Old Problems and New Priorities Await LP in 2021

A Little Less Talk and a Lot More Research What We (Don’t) Know about Organized Retail Crime

Creating Value to the Enterprise An interview with Keith White, Chief of Safety and Security for Salesforce.com

January-Februrary 2021 | V20.1 | losspreventionmedia.com


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Contents

January-February 2021 Departments

12

Creating Value to the Enterprise An Interview with Keith White, Chief of Safety and Security for Salesforce.com By Jim Lee, LPC and Jack Trlica

6 Editor’s Letter

Beyond a New Look By Jack Trlica

8 Editorial Board

9 Vendor Advisory Board

10 Retail Sponsors 20 Interviewing

Who Tells Lies? By David E. Zulawski, CFI, CFE, and Shane G. Sturman, CFI, CPP

22

ORCAs in Action A Testament to Cooperation and Teamwork By Jacque Brittain, LPC

32

30 Technology

Misinformation, Censorship, and Big Tech By Tom Meehan, CFI

41 Certification

Certification Not Just for LP Practitioners Featuring Lou Dilorenzo, LPC, Allied Universal, and Mike Downs, LPQ, AFA

52 LPM Excellence

LPM Magpie Award: Applauding Excellence Featuring Roger Greene, Marshalls/TJX, and Caroline Kochman, NASP

What Now? Old Problems and New Priorities Await LP in 2021 By Garett Seivold

54 Cyber Security

E-commerce Grows and Risk Follows By Garett Seivold

58 Resource Guide

44

60 People On The Move

A Little Less Talk and a Lot More Research

64 Advertisers

What We (Don’t) Know about Organized Retail Crime

66 Parting Words

64 Subscription Form

By Cory Lowe, PhD, and Read Hayes, PhD

January–February 2021

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LossPreventionMedia.com

Thinking about This and That By Jim Lee, LPC


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EDITOR'S LETTER

Jack Trlica, Managing Editor

Beyond a New Look H V20.1

Asset Protection | Profit Enhancement | Retail Performance

Asset Protection | Profit Enhancement | Retail Performance

Insights ORCAs in Action A Testament to Cooperation and Teamwork CREATING VALUE TO THE ENTERPRISE

What Now? Old Problems and New Priorities Await LP in 2021

A Little Less Talk and a Lot More Research What We (Don’t) Know about Organized Retail Crime

LOSSPREVENTIONMEDIA.COM

Creating Value to the Enterprise An interview with Keith White, Chief of Safety and Security for Salesforce.com

January-Februrary 2021 | V20.1 | losspreventionmedia.com

We decided to update and freshen the look of the magazine to make it easier to read and a more enjoyable visual experience.

opefully, you’ve noticed that we’ve changed a few things with the print magazine. With the help of our talented friends at our long-time creative firm SPARK Publications, we decided to update and freshen the look of the magazine to make it easier to read and a more enjoyable visual experience. This is not the first time we’ve tweaked the design of the magazine over the past twenty years, but it may be the most extensive. Everything from the table of contents to the editorial board page, to column layouts, to the visual on the cover. In fact, this is the first time we’ve ever featured an actual person on the cover. We thought that our interview with Keith White, LPC, who recently moved from The Gap to a significant new position with Salesforce. com was deserving of this major change. He is an example to our industry that

January–February 2021

a career in asset protection can lead to opportunities well beyond retail loss prevention. One subtle, but meaningful, change you may not have noticed is that we removed the “Loss Prevention Magazine” tagline under the LPM logo on the cover. While the term “loss prevention” remains a viable term in our industry, more and more organizations are moving to “asset protection” or other descriptors as the LP function has evolved. We wanted to reflect that evolution and have changed the tagline on the masthead to “Asset Protection | Profit Enhancement | Retail Performance” to encompass the important impact of loss prevention and asset protection organizations on the retail enterprise. It also reflects an expansion of our editorial to include articles on cyber security, omni-channel, supply chain,

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LossPreventionMedia.com

compliance, and other broad topics that LP professionals deal with beyond the traditional roles of managing investigations, shrink reduction, safety, and internal and external theft. While, yes, LPM may be an acronym for Loss Prevention Magazine—just as IBM is an acronym for International Business Machines—we want LPM to be known for more than adding machines and computer punch cards, to extend the IBM metaphor. Hopefully, as we evolve the magazine over the next twenty years, the LPM brand will become associated with innovation in our industry that impacts the entirety of retail organizations’ success. Let us know what you think and join us on our journey to not just reflect the evolution of our industry, but also contribute to the innovation and professionalism driving that evolution.


Connecting You to (Just About) Everything LP, AP, Safety, and so Much More…Straight From Your Smart Phone!

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EDITORIAL BOARD

Charles Bernard Group Vice President, Asset Protection and Comprehensive Loss, Walgreens

Ray Cloud Senior Vice President, Loss Prevention, Ross Stores

Scott Draher, LPC Vice President, Loss Prevention, Safety, and Operations, Lowe’s

Scott Glenn, EDJ, LPC Vice President, Asset Protection, The Home Depot

Barry Grant Chief Operating Officer, Photos Unlimited

Robert Holm Director, Global Safety & Security McDonald’s

Seth Hughes Director, Asset Protection, Risk & Safety, Internal Audit REI Co-op

Frank Johns, LPC Chairman, The Loss Prevention Foundation

Michael Limauro, LPC Executive Leader, Asset Protection, Whole Foods Market

David Lund, LPC Vice President, Loss Prevention, DICK’S Sporting Goods

John Matas, CFE, CFCI Director, Global Fraud, Risk, and Compliance Operations Etsy

Randy Meadows Senior Vice President, Loss Prevention, Kohl’s

Melissa Mitchell, CFI, LPC Director, Loss Prevention, MAPCO Express

Dan Moren Senior Manager, Starbucks

Richard Peck, LPC Senior Vice President, Loss Prevention The TJX Companies

Joe Schrauder Vice President, Asset Protection, Walmart Stores

Tina Sellers, LPC Vice President, Asset Protection, Rite Aid

Hank Siemers, CFI Vice President, Global Retail Security, Tiffany & Co.

Mark Stinde, MBA, LPC Vice President, Asset Protection, The Kroger Co.

Pamela Velose Vice President, Asset Protection, Belk

January–February 2021

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Asset Protection Profit Enhancement Retail Performance

VENDOR ADVISORY BOARD

Rex Gillette

Vice President of Sales

2120 Crown Centre Dr. Ste 200 Charlotte, NC 28227 | 704-365-5226 office

Stacy Dean Stephens

EVP and Chief Client Officer

Managing Editor Jack Trlica JackT@LPportal.com

Tom Rittman

Executive Editors James Lee, LPC JimL@LPportal.com

Vice President, Marketing

Gene G. Cronin

Medeco XT Product Line Manager

Merek Bigelow MerekB@LPportal.com Editorial Director Jacque Brittain, LPC JacB@LPportal.com

Hedgie Bartol, LPQ

Retail Technology Editor Tom Meehan, CFI TomM@LPportal.com

Kris Vece, LPQ

Business Development Manager, Retail

Vice President of Client Relations

Stephen B. Longo

Director of Marketing, Vertical Leader for Americas

Senior Writer Garett Seivold GarettS@LPportal.com Contributing Writers Read Hayes, PhD, CPP Walter Palmer, CFI, CFE Ben Skidmore Shane G. Sturman, CFI, CPP David E. Zulawski, CFI, CFE

Vice President, Strategic Initiatives

Chief Operating Officer Kevin McMenimen, LPC KevinM@LPportal.com

Stuart Rosenthal

Director Of Digital Operations John Selevitch JohnS@LPportal.com

Vice President Sales

Joan Sparks

Robb Northrup

Director of Marketing Communications & Support

Special Projects Managers Justin Kemp, LPQ Karen Rondeau Design & Production SPARK Publications info@SPARKpublications.com

Jim Paul

Director of Sales

Rob Tucker President

Creative Director Larry Preslar Advertising Strategist Ben Skidmore 972-587-9064 office, 214-597-8168 mobile BenS@LPportal.com

Kim Scott

Director of Marketing

Subscription Services New Or Change Of Address LPMsubscription.com or circulation@LPportal.com Postmaster Send change of address forms to Loss Prevention Magazine P.O. Box 92558 Long Beach, CA 90809-2558 Loss Prevention aka LP Magazine aka LPM (USPS 000-710) is published bimonthly by Loss Prevention Magazine, Inc., 2120 Crown Centre Dr. Ste 200, Charlotte, NC 28227. Print subscriptions are available free to qualified loss prevention and retail professionals in the U.S. and Canada at LPMsubscription.com. The publisher reserves the right to determine qualification standards. International print subscriptions are available for $99 per year payable in U.S. funds at circulation@LPportal.com. For questions about subscriptions, contact circulation@LPportal.com or call 888-881-5861. Periodicals postage paid at Chalrotte, NC, and additional mailing offices.

Ken Kuehler

General Manager

Cita Doyle, LPQ

Vice President, Sales & Marketing

Š 2021 Loss Prevention Magazine, Inc.

Rhett Asher

Vice President, Strategy

Idan Koren

Vice President of Marketing

Guy Yehiav

General Manager and Vice President

Loss Prevention, LP Magazine, LP Magazine Europe, LPM, and LossPreventionMedia.com are service marks owned by the publishers and their use is restricted. All editorial content is copyrighted. No article may be reproduced by any means without expressed, written permission from the publisher. Reprints or PDF versions of articles are available by contacting the publisher. Statements of fact or opinion are the responsibility of the authors and do not necessarily represent the opinion of the publishers. Advertising in the publication does not imply endorsement by the publishers. The editor reserves the right to accept or reject any article or advertisement.

LPM

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January–February 2021


RETAIL SPONSORS

Join these great companies as an LPM corporate sponsor. Email JackT@LPportal.com for more information.

January–February 2021

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January–February 2021


Creating Value to the Enterprise

An Interview with Keith White, Chief of Safety and Security for Salesforce.com By Jim Lee, LPC, and Jack Trlica


EDITOR’S NOTE: Keith White, LPC, joined Salesforce.com in August 2020 after nearly twenty years with The Gap where he rose to executive vice president and chief security officer. Prior to The Gap, White held various management roles with Marshall Field’s and Target. He has played significant roles in the retail loss prevention industry as an LP committee member of the National Retail Federation, board member of the International Organization of Black Security Executives, board member of the Loss Prevention Foundation, and editorial board member of LPM. JIM: Congratulations on your new position with Salesforce, Keith. It came as a little bit of a surprise to many in the industry given you had such a long and distinguished career in what I would call traditional retailing, dating back all the way to Marshall Field’s and then Target before The Gap. KEITH: Thank you, Jim. Yes, my loss prevention career goes back to the Lew Shealy days at Marshall Field’s—may he rest in peace. As you know, he passed away this past December. JIM: Yes, it was very sad news. He was quite a legend in this business as I know you would agree. Let’s start by you telling us why you made the move to Salesforce. KEITH: It was a combination of things. When I was approached about the opportunity, I was struck by the fact that it was a brandnew role created to evolve and transform the safety and security enterprise to match the speed and growth of the company. This was intriguing because it is rare that one gets to be part of a company that’s growing as fast as Salesforce, but at the same time to continue to build upon a safety and security program that enables and supports the growth of the business. The company sees our mandate as an integral part of their growth, given the number one

value at Salesforce is trust. So that was the main attraction: to build something new in a completely different industry and to build it with a company that was aiming very high and moving very fast in a meaningful way. They aren’t just putting together widgets; they truly believe that business is the greatest platform for change.

so rapidly, I saw a framework starting to develop that built on what was already in place. Based on the growth of the company, I saw an opportunity to build for this evolution via the creation of four Centers of Excellence (CoE) focusing on investigations, strategic initiatives, security operations, and events. In other words, creating

“Ohana” Intentional family

Culture was definitely one of the company attributes that attracted me to Salesforce. They refer to an important part of the culture here as “our Ohana,” a Hawaiian word for intentional family that guides the company’s core values. It has led the company to achieve numerous accolades on best places to work lists from the likes of Fortune, Glassdoor, and more.

JIM: You’ve been at Salesforce now for just about five months. In that short time, have you developed a game plan of what your role is going to be and the roles of those who might work on your team? KEITH: Absolutely. I followed the adage “seek first to understand and then to be understood.” But given this is a business that moves

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Olympic-sized swim lanes but making sure everyone was in the same pool with their counterparts so that there was absolute synergy, efficiency, and cross pollination wherever possible. JIM: Have you outlined objectives and measurements for your team to achieve success? KEITH: That’s coming. Many of the measurements for the

January–February 2021


FEATURE Creating Value to the Enterprise

individual focus areas were already present when I joined. My job is to consider our broader measurements with the introduction of our four Centers of Excellence, along with broader service-level agreements, while thinking about the performance of those areas in a much more global sense. JIM: Let me ask you about today’s remote working. You’ve been managing people for thirty-five years in this business where you were mostly, I assume, sitting around a conference table speaking directly with each other. Now you’ve walked into a situation where predominantly

you’ve been virtual the whole time you’ve been at Salesforce. What challenges are there for you managing new people from a virtual standpoint, as opposed to your long history of being able to eyeball these folks? KEITH: You have to understand that this evolution of remote connection started years ago, I think the moment you start working for a multinational company, you understand that your direct reports aren’t sitting around a conference table with you physically. And if they are, it’s very rare—maybe twice a year. I’ve had people reporting to me based in India, China, and

“Value” Regard that something is held to deserve; the importance, worth, or usefulness

My experience has been that when we enable the business to operate in conditions that provide a competitive advantage, leadership sees that you are not just an entity that is focused on safety and security; you’re an impactful entity that minimizes disruptions, improves resiliency, and fosters a safe environment for all employees. When we create this environment, our value jumps off the paper and balance sheet.

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of course, Europe, who were seldom sitting across from me. This was already becoming the norm, although the pandemic accelerated this practice and literally pulled the future forward. Now I think it’s changed how we work together forever! The expectation that you have to meet in person will diminish significantly. Don’t get me wrong—I’d much rather work face to face, but I also have learned over the years that’s not always possible or the most efficient or cost effective, so this has been a real nice benefit of the pandemic.  JIM: That makes sense. When you read about the formation of Salesforce and the fantastic growth that the company has had, one of the things that jumps out is a special culture that exists for the employees who work there. Can you talk about that? KEITH: Culture was definitely one of the company attributes that attracted me to Salesforce. They refer to an important part of the culture here as “our Ohana,” a Hawaiian word for intentional family that guides the company’s core values. It has led the company to achieve numerous accolades on best places to work lists from the likes of Fortune, Glassdoor, and more. It is tangible, and you feel it immediately when you join the company. To be honest with you, I didn’t know what to expect shifting into the tech world from retail. I knew Salesforce by its reputation, but having only been a client of technology companies, I thought they were typically more transactional. The opposite has been true. It’s very clear here that relationships come first. People really want to get to know you. They want to understand how you operate, what your value system is, and they definitely want to help and support each other in a big way. It’s very evident in the culture, and obviously the results, that relationships matter. Collaboration is critical, and a

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high EQ is a very desirable attribute in both industries. JIM: Keith, you are always good at evaluating yourself first, before others evaluate you. Have you laid out a plan for how you are going to measure success for yourself? What do you want that success to look like? KEITH: In retail, key metrics were typically focused on shortage and impact to overall revenue. My goal was always to exceed the expectations around those metrics and others that have direct financial implications. The same is true at Salesforce—it’s imperative to measure success in terms of how we impact the business. Focusing our efforts to ensure we are answering the following: Are we creating moments and opportunities where we get to play a bigger role than our onpaper responsibility, where we become not only trusted advisers but also trusted leaders? Are we brought into the loop to be consulted with because our opinion matters? Are we making decisions that unilaterally impact the business in a really effective way that’s appreciable? Do we come up with ideas and initiatives that can be codified and ultimately impact our customers’ success?  My experience has been that when we enable the business to operate in conditions that provide a competitive advantage, leadership sees that you are not just an entity that is focused on safety and security; you’re an impactful entity that minimizes disruptions, improves resiliency, and fosters a safe environment for all employees. When we create this environment, our value jumps off the paper and balance sheet. That’s what

I’m carving out for the team here—a space to have a substantial, positive impact on the business where our efforts are recognized. JIM: In your years in traditional retailing, you developed a set of leadership values and management qualities related to the disciplines of retail asset protection and loss prevention. Is it as simple as taking those qualities and putting them in place in a completely different discipline that you have at Salesforce? KEITH: It’s never easy or simple. It just isn’t. It wasn’t easy in retail, and it’s not simple here. That’s why it’s crucial that I do my homework, that I really understand the business platform, that I dig really deep, and that I accept the partnerships being offered from peers and key stakeholders. So as I develop initiatives, they are meaningful and not done in a vacuum. I think that’s the message for everyone, regardless of industry. You just can’t assume that you know what’s best; you have to constantly listen, ping and ping, and test and test, until you get a few things right that seem to be creating value. Then you start to move to apply even more of that impactful work. JIM: I can tell there’s a music to your step in taking on this new position and creating for yourself a second career, so to speak. It’s exciting to hear. Since we are a loss prevention publication, let me ask you for your opinions and evaluations on a few topics given your many years in retailing. How has asset protection and loss prevention changed over the years both for the better and, perhaps, for the worse? KEITH: Let me answer that question this way: When I first joined this field, we were

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starting a family and people would ask me, “Would you want your kids to grow up and do what you do someday?” I would say, “Work in retail? Are you kidding me? No way.” It was not that I didn’t respect the profession, but it was just such a slog for us in loss prevention and so difficult to get the industry to pay attention to the big picture. That was in the beginning of my thirty-plus-year career. Then there was a turning point in the early 2000s, where the next generation in loss prevention wasn’t so focused on the cops-and-robbers aspect of the business. They were more focused on the balance sheet, and their voice and prominence in the C-suite became louder. They had a seat at the table and were

January–February 2021

Completed in 2018, the Salesforce Tower is the largest building in San Francisco at 1,070 feet with 61 floors of office, retail, and residential space.


FEATURE Creating Value to the Enterprise

able to influence a much broader aspect of the business. So literally in the middle of my career, my answer changed. I would absolutely be proud of my kids to follow suit and work in the retail asset protection field because it has really transformed into a very admirable, professional, respectful profession. As a matter of fact, two of my children work in the field, and I’m really pleased to say that I was part of that transformation and worked alongside people who helped

in every profession, whether it be the volume of work, 24/7 access, or balancing focus and the growth of expectations. However, most leaders in this business have more than loss prevention that they’re responsible for. Many of them have business continuity planning, safety, or some other area of responsibility. So they become much more of a general manager, and I think we all know that the more generalized you become, the more you lose

“Turning Point” A decisive change in a situation occurs

Jim, you and Jack starting LP Magazine

was a huge step toward recognizing us as a profession. Very often, I would send the magazine or articles in the magazine to my bosses and C-suite executives. The real turning point was when they sent articles to me asking, “Did you see this?” I thought, “Uh oh, I’m in trouble now if they’re reading it before I am.” transform it. Loss prevention went from being a necessary evil, that had an office in the basement, to senior and executive vice president positions. I don’t think anyone would have predicted that thirty years ago. As far as challenges, of course there are all kinds of stressors

some of the detailed specifics of past roles. JIM: That was a very powerful answer, Keith. Thank you. Because I know a little bit about your background, you had the distinction of working and learning from some of

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those leaders who had made the jump to understanding the broader base of retail and how asset protection could influence it. Perhaps you would like to mention a couple of those who influenced you. KEITH: That’s very nice of you to say. First of all, and I’m not just being gratuitous, Jim, you and Jack starting LP Magazine was a huge step toward recognizing us as a profession. Very often, I would send the magazine or articles in the magazine to my bosses and C-suite executives. The real turning point was when they sent articles to me asking, “Did you see this?” I thought, “Uh oh, I’m in trouble now if they’re reading it before I am.” Then, of course, starting off in the business, I had people like Lew Shealy at Marshall Field’s, who I remember did the first press conference, I believe, addressing organized retail crime. We had this huge case at Marshall Field’s, and I remember thinking, “Oh my gosh, our VP of loss prevention is hosting a press conference, and the press is actually showing up!” That was a big deal because we were educating the public in a joint partnership with law enforcement about organized retail crime, which I thought was very powerful. There was a gentleman by the name of Paul Cogswell who was a great mentor. King Rogers, of course, played a great role as he was so innovative in his days at Target. Then there’s the new breed like Dan Faketty, who is really smart and sharp, and Laurie Sorensen up in Seattle has always impressed me. I think Megan Curtis at Disney is just remarkable. Joe LaRocca made a mark for himself, and John Gantenbein would also be on that list. It’s dangerous when you make me do a list like this because I’m sitting here thinking I have to be missing people. So I better stop.

LossPreventionMedia.com

Continued on page 18


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FEATURE Creating Value to the Enterprise

Continued from page 16

JACK: Keith, when you were describing the evolution of going from a security manager to an executive VP, you were one of the primary people we were observing moving that way. And at The Gap, you kept picking up new responsibilities until you had a title that was five, six, seven words long. Did you do that purposely, or was that thrust upon you? KEITH: It was a combination of things. First of all, I think it’s

right, this is going to qualify me for more responsibility because I think I can do other things here.” That mindset really increased both my value and the entity’s value to the organization. Another impactful component that I once heard said by Carla Harris, vice chairman and managing director at Morgan Stanley: “The work doesn’t speak for itself.” So it’s important for you to make sure, and I did, that the work speaks. For example, if we were accomplishing our goals, and I felt we were doing it in a

“A Resolute Yes” Admirably purposeful, determined, and unwavering

The reason I do these interviews, especially with you guys, is that there are others out there who are in the pipeline. And they’re wondering if this is going to work out for them because the work is tough and challenging. And the answer is, yes—a resolute yes. Yes, it’s going to work out. It’s going to be great. And I’m living proof of that. incumbent upon all of us to get to a place where we can build more capacity as a leader, because once you have mastered and really understood the work in your portfolio, you should ask yourself how you can support and lead other areas. I thought, “If I get this

profound, measurable manner, I made sure people knew it. In that process, there would be additional asks for more responsibility and offerings of greater breadth and depth of my purview. I think that can be hard for some because people tend to just do the work

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and expect to get the reward. But that’s not enough. I had to learn that the hard way. Sometimes you have to ask. You have to say, “Hey, I think I can do more here. What else can I take on?” So it’s a combination of hard work, taking on additional responsibilities, and humble self-promotion to further growth, advancement, and prosperity. JACK: I would suggest that it was almost impossible for you to take on those greater challenges if you didn’t have key people in place in your organization. If you agree, would you want to call out any of those people who helped you expand your role at The Gap? KEITH: Yes, that is very true and is a super long list. When I think of people who were key for me at The Gap, of course, there’s Debbie Maples, Orlaith Murphy, Chris Nelson, and Michael Lazcano. All were just huge in their efforts in their work. There was also Bryan O’Brien and Mike Keenan. I was just really blessed to have worked with and been around literally some of the best people in the LP business. And that’s just a handful of the folks that I worked with at The Gap that supported me as I took on additional responsibility.  JIM: The blessing there, Keith, clearly is the fact that you recognize their abilities as leaders and good thinkers in this business and helped nurture them along. And that’s a two-way street. You deserve a lot of credit for that yourself, because all those people you named are people who are very recognizable in asset protection. KEITH: Thank you, Jim. I have been blessed to work for and with a great number of wonderful people and great professionals; and given the team here, I also expect the same to be true here at Salesforce. JIM: I would be remiss if I didn’t say the following to close out this discussion. I was very excited

LossPreventionMedia.com


HOW MUCH WILL YOU SPEND REKEYING LOCKS THIS YEAR?

and happy when Jack and I decided to invite you for this interview because it gave me a chance to catch up with you and an opportunity to say that the retail asset protection world clearly will miss you as a leader for so many years, as a mentor to many others, and as an innovator in the asset protection business. You are one of those people who helped move and make the transition from cops-and-robbers and security into a real asset protection discipline. But that loss is only the gain for a company like Salesforce, which is certainly one of the leaders in business today. So our congratulations to you. KEITH: That’s really kind of you to say, Jim. I feel honored more than you know. The reason I do these interviews, especially with you guys, is that there are others out there who are in the pipeline. And they’re wondering if this is going to work out for them because the work is tough and challenging. And the answer is, yes—a resolute yes. Yes, it’s going to work out. It’s going to be great. And I’m living proof of that. I’ve had just an unbelievable career. I’ve been able to meet such great people, and I’ve had help from a lot of great people. I haven’t done it by myself. And if it’s encouraging to anyone out there to see me doing what I’m doing, I’m all in to support in any way I can. Thank you both for what you’re doing. I really appreciate the connection and the difference you’re making.

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January–February 2021


INTERVIEWING

Shane G. Sturman, CFI, CPP

Amka Artist / ShutterStock.com

David E. Zulawski, CFI, CFE

Zulawski and Sturman are executives in theinvestigative and training firm of Wicklander-Zulawski & Associates (w-z.com). Zulawski is a senior partner, and Sturman is president. Sturman is also a member of ASIS International’s Retail Loss Prevention Council. They can be reached at 800-222-7789 or via email at dzulawski@w-z.com and ssturman@w-z.com. © 2021 Wicklander-Zulawski & Associates, Inc.

Who Tells Lies? W

Clearly, with the help of social media, a person’s ability to communicate to large numbers of people is easier today than it ever has been.

ho tells lies? Well, the obvious answer is that we all do. Some are innocent teases while others fall into the category of whoppers. But what we want to focus on in this column is the impact of the lie and the people who are told them. Author Mark Twain is credited with the quote, “A lie will fly around the whole world while the truth is getting its boots on.” Experience tells us this adage is true. The following is a timeline of events: I had a best friend in high school named Larry. We both had an English class together taught by first-year teacher Mr. P. We were reading Mark Twain’s The Adventures of Tom Sawyer and Mr. P opined at length that hitting the road was the only real way to learn about life. As luck would have it, Larry decided to stay home “sick” the next day. It was mentioned to people before school that Larry had decided to take his teacher’s advice and “hit the road” to learn about life. By 8 a.m. Larry’s phone was ringing, and Mr. P was begging him not to go. Having been sound asleep, he was somewhat confused by the request to stay home. By 8:10 a.m. a close friend of Larry’s was confronted by three teachers who seemed unreasonably angry. This confrontation resulted in a spontaneous lie that this was merely a sociological experiment to test how people

January–February 2021

in the modern-day 1960s would react to someone running off like Tom Sawyer did. While the teachers were incredulous, they lacked proof and had to accept the story, although they required a ten-page paper detailing the findings. Mr. P left later that year to work for the phone company. Later than same year, a rumor circulated that the seniors were planning to release greased pigs in the school—good times.

Fake News and Propaganda Lies that spread often are surprising or exciting, confirm an existing belief, deal in conspiracy, or play to our emotions. Nazi propaganda minister Joseph Goebbels is credited with saying, “If you tell a lie big enough and keep repeating it, people will eventually come to believe it.” This has been borne out by research published in Psychonomic Bulletin and Review by Lisa Fazio’s team, which found that even highly implausible statements become more believable with repetition. This is true even when the statements were contradicted by the individual’s own knowledge, unless the statements were clearly implausible, such as elephants are smaller than ants. So untrue statements are spread because they are different, exciting, and people are

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predisposed to believe them. Adolf Hitler wrote in Mein Kampf, “Slogans should be persistently repeated until the very last individual has come to grasp the idea.” The idea of repetition likely works because people evaluate the information against what they know or believe, so it feels familiar and comfortable after hearing it repeatedly. Psychologists refer to this as an illusory truth effect. As we all know, it is easier to grasp something familiar than to struggle with new information. Psychologist Jonas de Keersmaecker and other researchers found in their studies that the more often participants saw untrue information, the more likely they were to rate it as real. A Harvard team of scientists found that people who focused on how interesting a statement was were more prone to the illusory effect than those evaluating its accuracy. Clearly, with the help of social media, a person’s ability to communicate to large numbers of people is easier today than it ever has been. Tweet away, post to Facebook, forward news feeds, and you can communicate to the world. Marketing professionals can take those tools and feed us information that fits our individual tastes. We are peppered with the same information over and over, so it becomes familiar, and we


conclude truthful. The problem arises when the information is untrue. If you have not had the opportunity to watch the documentary Social Dilemma take some time to do so. The documentary revolves around social media and how its algorithms shape the information we receive. By creating patterns of our behavior, the algorithms link us to similar-minded people and topics we might find interesting, even to the point of changing the ads we might see for the same product. More important is the way information might be moved in a search higher or lower based on our online behaviors. This can lead us to pass on information that fits our models and perceptions of the world. In a study published in Science in 2018, Soroush Vosoughi and his collaborators examined the spread of true and false news on Twitter using six fact-checking organizations to establish the veracity of each string. What they found was that false news reached more people than true stories. This means that the false news was commented on and resent more often than the true information. While true news rarely exceeded a thousand people being included, false news spread to between a thousand and hundred thousand people and did so faster. This information travel among people makes sense when you think about the following statements: “Mary came to school today” versus “I was surprised Mary came to school today after she was caught.” The first statement is not surprising and is mundane in every way, while the second statement is novel, surprising, and perhaps salacious. Which would be more likely to be passed among the student body? Some of this may explain why people take a statement at face value without looking for underlying motives or meanings. It is familiar and seen before, so it must be truthful. We trust we must be correct and ignore critical thinking.

What they found was that false news reached more people than true stories. This means that the false news was commented on and resent more often than the true information. While true news rarely exceeded a thousand people being included, false news spread to between a thousand and hundred thousand people and did so faster. Verify to Build Trust

The first step in negotiation is to recognize the other side is going to put a spin on almost everything they tell you, true or false. So logically, we should question everything we are told no matter how often it is said. As we verify information, we can begin to build trust in the information and other parties. Then search for motivations and hidden purposes in the information being offered. Is there a hidden agenda? Are you being persuaded or offered facts, and are those facts true and accurate? When we meet someone new, we quickly make judgments about them. It might be their appearance, speech, or something from our memory that, rightly or wrongly, gives a shortcut to making a judgment about them. But we should leave room for new information to test our initial judgments and levels of trust. Accepting information at face value is easy and ignores the critical thinking necessary to truly evaluate the evidence you have. As we listen or read something, we should be asking ourselves basic questions such as: Is this fact or opinion? Is the information attempting to persuade or inform? Are there biases, opinions, or assumptions present? Does the information make sense and have a logical structure? Are there facts that can be verified independently or only vague statements supporting the information? Do I have any bias for or against the material, assumptions, or opinions already? Almost all information can be viewed from another point of view. Find out what others have said about the information you are considering. See what people, especially those with whom you do not agree, are saying about the

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same issue. In a meeting, there may be others who are giving clues to their evaluations of the information. A small glance or expression could be a critical clue to what they may be thinking. Evaluate claims of evidence carefully, such as “these numbers have been certified.” What does “certified” mean? This should bring up another series of questions to probe this area. Truthful stories contain verifiable information, while false stories are more likely to contain vague references that provide no way of checking the details. As any investigator, evaluate the information and where it comes from, then check it before you pass it along. There are six fact-checking organizations you can use to help if you have doubts: ● snopes.com, ● politifact.com, ● factcheck.org, ● truthorfiction.com, ● hoax-slayer.com, and ● urbanlegends.about.com. Bookmark them. Finally, on a personal note, after over a hundred columns in the magazine, this will be the last for this particular duo. Shane Sturman, Dave Thompson, and the WZ team will continue to provide insights into interviewing and investigation. There are constant changes in interviewing strategies, and they will keep you abreast of them in the coming years. We hope over the last decades you found something of value in our column, which in some small way may have contributed to your success. We would also like to thank Jim Lee and Jack Trlica for allowing us to write for them and their kind support. We wish continued success to LPM and its staff. Best wishes for 2021, and please stay safe. January–February 2021

When we meet someone new, we quickly make judgments about them. It might be their appearance, speech, or something from our memory that, rightly or wrongly, gives a shortcut to making a judgment about them. But we should leave room for new information to test our initial judgments and levels of trust.


aslysun / WindVector / ShutterStock.com

January–February 2021

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I

n response to the scope and severity of organized retail crime (ORC) concerns across the country, the number of organized retail crime associations (ORCAs) has grown steadily in recent years, with a primary emphasis on assisting law enforcement, retail investigators, and prosecutors with the identification, investigation, and prosecution of those involved in organized retail crime. Retailers and law enforcement agencies have increased efforts to share information regarding organized retail crime, and these associations have helped provide that vehicle by opening doors to improve legislation, enhance investigations, and build cooperative relationships in the battle against the ORC pandemic. In recognition of the various ORCAs across the US, the national impact that these collaborations are having on

ORCAs

in Action

A Testament to Cooperation and Teamwork

By Jacque Brittain, LPC, LPM Editorial Director the fight against organized retail crime, and in appreciation and support of these efforts, LPM has been involved in an exciting new series of programs and events to promote and further the mission of these vital organizations. ORCAs in Action is an initiative designed to support local and regional ORC efforts driven by these vital organizations. The primary objective of the program is to: ● Help drive membership ● Promote the ORCA organizations, missions, and successes ● Bring awareness to ORCA efforts and challenges to help develop and deliver solutions ● Facilitate ORCA thought leadership and networking

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January–February 2021


FEATURE ORCAs in Action

The Plight of ORC

retail crime efforts through education, awareness, and political channels. Further, fusion centers have been launched at retail conferences to encourage interaction and relationship building between loss prevention teams and various law enforcement agencies. All these steps are vitally important, providing needed venues for the development of industry professionals and a voice for growth and change. Still, it is essential to offer a clear venue for the development of communication and partnership between law enforcement, prosecutors, government officials, local communities, and loss prevention in the field. This is where the role of the ORCAs becomes crystal clear. “Being actively involved with an ORCA is a great way to create valuable partnerships, no signification legislative learn, share information, and action against organized solve ORC investigations,” said retail crime in Congress for Ken Spurling, president of the more than a decade. New England Organized Retail “Retailers are seeing more Crime Alliance (NEORCA). cases and higher losses as “We have seen this organized crime firsthand across the continues to target New England area, stores, warehouses, where NEORCA has and cargo,” said been a vital resource Mark Mathews, for loss prevention vice president and law enforcement for research, professionals for the development, and greater part of the industry analysis with past decade.” Mark Mathews the NRF. “Retailers are investing millions to fight these crimes, but they ORCAs Are in need more help from law the Business of enforcement, and most of Partnerships all, they need tougher laws that recognize the difference Organized retail crime between petty shoplifting and associations have been professional crime for profit. established nationwide with the In response to the growing purpose of developing these problem, retailers have partnerships. The success increased training, developed of the ORCAs is measured additional controls, enhanced by the ability to provide policies, and established cooperation, communication, dedicated task forces to and force multiplication for specifically deal with ORC ORCA members. The ORCAs, issues. Industry associations and the partnerships that have also invested significant they create and foster, have resources to combat organized been a driving force in the

Only 64 percent of those surveyed say they were satisfied with help received Organized retail crime and from local police (down from the dramatic growth of ORC 84% last year), 55 percent incidents have drawn significant with state authorities (down attention both within the from 75%), and 50 percent loss prevention industry and with federal agents (down throughout the retail community from 69%). in general as businesses search for ways to manage the threats ● Need for ORC Legislation. and address the issues. Whether Those surveyed strongly dealing directly with professional believe a federal law shoplifters or otherwise battling is needed to influence the related fencing operations, response to major ORC cargo theft incidents, Internet problems. There has been

Whether dealing directly with professional shoplifters or otherwise battling the related fencing operations, cargo theft incidents, Internet crimes, or other associated offenses, tremendous effort and resources are being waged against those associated with these sophisticated criminal networks. crimes, or other associated offenses, tremendous effort and resources are being waged against those associated with these sophisticated criminal networks. According to the most recent annual ORC study released by the National Retail Federation (NRF), retailers are reporting: ● Increased Activity. 75 percent of loss prevention executives surveyed indicated that ORC incidents have increased over the past year. ● Higher Losses. 64 percent of retailers surveyed reported an increase in average ORC case values. ● Higher Priority on the Problem. 61 percent of retailers revealed their companies are prioritizing ORC more than they were five years ago, 52 percent reported allocating more technology to reducing risks such as ORC-related thefts, and 36 percent reported increasing loss prevention budgets. ● Greater Need for Law Enforcement Support. January–February 2021

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identification, investigation, and prosecution of organized retail crime cases across the country, resulting in recoveries totaling hundreds of millions of dollars. The connections made through networking, regional meetings, seminars, and conferences have exponentially strengthened relationships and resulted in countless criminal cases. “These partnerships can really make a difference,” said Curt Crum, former director with the Coalition of Law Enforcement and Retail (CLEAR) and retired special services manager with Boise Police Department, Criminal Investigations Division. “It can lead to that synergy where the total is greater than the sum of the parts. It’s the type of synergy where you’re able to do a lot more if you’re willing to work together. large memberships, Pulling our resources seasoned leadership, and our intel together and focused agendas. works to everyone’s Others are still in their advantage. I’ve seen it infancy, with ambitious work. And in the midst goals and motivated of working those cases, leaders trying to set we’ve been able to a positive tone and a resolve many other strong message. Some Curt Crum crimes due to our work areas of the country on these ORC investigations.” are still in need of intelligent, Crum continued, “Organized ambitious leaders to build retail crime is a community programs and drive success. concern, and we need to work ORCAs might have together. The organized retail their foundation with law crime associations create the enforcement teams, retail hub of the wheel. You’ve got one associations, loss prevention central location where people professionals, and even district are putting together information attorney’s offices. Many may for the benefit of all. Because represent a particular state, these same groups will hit but some may cover smaller many different retailers, we’re regions or larger territories. often able to consolidate data Some are doing very well, and build a bank of details that holding regular meetings and really helps nail down critical annual conferences with both information on those involved. networking and educational It allows us to start connecting agendas. Others have struggled the dots.” to maintain their efforts under the strains of the past year and the impact on both retailers and ORCAs Come in All law enforcement agencies. Shapes and Sizes Yet what remains consistent is that they all need our support. Organized retail crime associations have been founded These associations exist to build collaborative teams and across the country to support solve crimes in the interest of these critical objectives. Some the greater good. While some are well established with

The ORCAs in Action initiative was established to provide a conduit for our nation’s organized retail crime associations, working together for mutual benefit and support. While respecting the value and independence of the individual associations and understanding the unique qualities that each brings to the communities they serve, we also see the strength in working together to meet common objectives.

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may talk of the importance of partnerships, communication, and cooperation, the entire vision of each of these ORCAs is to deliver on that concept. Tremendous success in terms of investigations, productivity, and partnerships has been realized in each and every one of these associations, and we should all share a common goal to keep that agenda moving forward and in the right direction.

ORCAs in Action The ORCAs in Action initiative was established to provide a conduit for our nation’s organized retail crime associations, working together for mutual benefit and support. While respecting the value and independence of the individual associations and understanding the unique qualities that each brings to the communities they serve, we also see the strength in working together to meet common objectives. Working together, we can address bigger issues. We can help organize and develop existing teams. We can expand the reach of ongoing investigations. We can offer

January–February 2021


FEATURE ORCAs in Action advice and mentorship when facing unique challenges or common concerns. We can share ideas on improving everything from infrastructure to membership drives. We can consolidate to strengthen networking and educational opportunities. We can unite to drive collective agendas and initiatives, improving productivity and building on shared success. Program itinerary for leadership meetings is determined solely by the wants and needs of the ORCAs. Meeting regularly with the leadership of every ORCA, every leadership team is given an equal voice in both the discussions and the decisions that result. We can then use that information to support everyone and every mission associated with the ORCA teams. Our first meeting in August was held with leadership of all active ORCAs to discuss the best possible ways that the LP community could support these associations and their important missions. This robust

We’ve hosted a highly productive technology summit, bringing together solution providers and ORCA leadership to support their data-sharing needs. The enthusiastic support and tremendous product offerings provided by these solution providers has helped solve several pressing needs while improving network security, communication needs, and financial concerns. We offer our gratitude to all who participated and for the generosity and support they’ve offered to our nation’s ORCAs. We’ve invited each ORCA to record podcasts through the LPM Media Group that will be made available both on LPM and ORCA websites to further describe the mission and goals of each ORCA, their foundational stories, and how to get further involved. We’ve encouraged ORCA members to author relevant articles regarding relevant topics, resolved investigations, and other appropriately approved content to support the mission and vision of the ORCA

We’ve invited each ORCA to record podcasts through the LPM Media Group that will be made available both on LPM and ORCA websites to further describe the mission and goals of each ORCA, their foundational stories, and how to get further involved. and enthusiastic meeting put in motion a series of steps that mark the beginning of the initiative. Thus far, ORCAs in Action has created a national resource guide to help ORCA leaders better communicate with each other for networking and information sharing. Exclusive to ORCA leaders, this has already paid substantial dividends in terms of networking, investigative successes, and team building.

January–February 2021

goals and objectives. This will be done in partnership with retailers and public agencies to protect the best interests of investigations and all those involved. Look for these articles as they are made available through LPM resources. At the LPM annual meeting, ORCA leaders hosted a roundtable discussion and presented insights on ORC success stories to top loss prevention leadership from

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across the industry. This was followed by a presentation with the Federal Bureau of Investigation’s Major Theft Unit on cooperative efforts to address major thefts and organized retail crime. Additional projects are in the works, and planning and support meetings are currently being scheduled to further support the mission of the ORCAs, focused on ways that the ORCAs can further support one another through organizational strategies, educational opportunities, raising awareness, mentorship, membership, and networking. In early December 2020, LPM hosted the first ORCAs in Action Conference, one of the most productive and highly attended virtual events of the year for the loss prevention industry (see sidebar page 27).

A Call to Action The ORCAs in Action initiative is off to a great start, but there’s still a great deal that we can accomplish. The cooperation and enthusiasm that has followed these efforts has been expressed both within the ORCAs and by all those who have been involved in the projects tackled thus far. However, we feel that this is just the beginning. We would still like you to get involved. While every ORCA has remarkable individuals as part of the team, there remains an ongoing need to inject talent and leadership into every organized retail crime association. These networks are founded with passionate and capable individuals coming together to support a common cause. However, there is always room for additional talent—and that includes you. Among all of those involved in the fight against organized retail crime, there are gifted individuals who can add value, and we are Continued on page 28


and Officer David Neberieza with the Chicago Police Department reviewed what the task force is all about, how it originated, how it operates, some of the successes that the program has had thus far, and how retailers can partner with police to mitigate incidents and help solve these crimes that are devastating Chicago communities. Caitlin Blake

In early December 2020, LPM hosted the first ORCAs in Action Conference, one of the most productive and highly attended virtual events of the year for the loss prevention industry with nearly 900 registered. The conference was cosponsored by 3SI, Auror, and Avery Dennison. Professionals from across the loss prevention and law enforcement communities were invited to join to learn more from industry leaders and top subject-matter experts about organized retail crime associations, how they operate, the essential work that they do in communities across the country, and how to get more involved in these critically important public-private partnerships. Following are descriptions of the presentations. Defeating ORC through Teamwork. Featuring Nathan Bandaries with the Colorado Organized Retail Crime Association and Sergeant. Dave Beyer of the Douglas County Colorado Sheriff’s Department, this presentation focused on the importance of organized retail crime associations, how they operate, what they’re all about, and the critical Nathan role of building public-private partnerships in Bandaries the battle against organized retail crime. Building, Managing, and Growing a Successful ORC Program. This discussion featured a panel of ORC experts offering key insights into the nuts and bolts of building a successful organized retail crime program, how to work with one of the world’s largest online marketplaces to fight ORC, current organized retail crime trends, and the importance of building relationships in the ongoing battle against this pandemic within a pandemic. The presentation featured Tony Sheppard, LPC, director of ORC at Ulta Beauty; Christian Hardman, LPQ, supervisor of global asset protection at eBay; and Caitlin Blake, CFI, corporate investigations and ORC program manager at Abercrombie & Fitch. It was moderated by well-known asset protection executive Paul Jones, LPC.

ORCAS IN ACTION

The First ORCAs in Action Conference

Dave Beyer

Tony Sheppard

Technology and Teamwork: Inside Chicago’s Looting Task Force. This exceptional presentation featured officials from the Chicago Police Department who discussed Chicago’s Looting Task Force, a unit Christian Hadman made up of Chicago police detectives who specifically work to identify and arrest those suspected of being involved in looting incidents and burglaries. Chief of Detectives Brendan Deenihan, Sergeant Alex Wolinski, LPM

The Latest from RILA on Protecting Retailers and Retail Customers. Michael Hanson with the Retail Industry Leaders Association (RILA) discussed RILA’s most recent initiatives in the battle against retail crime, including the “Buy Safe” initiative as well as his role in leading the push for the INFORM Act, a bipartisan legislative initiative Brendan Deenihan requiring online marketplaces to collect and verify third-party sellers’ basic seller information and for sellers to provide that information to consumers. Strong Enough to Bend: The National Shoplifting Prevention Coalition. Director of Communications Barbara Staib with the National Association for Shoplifting Prevention (NASP) offered a closer look at the National Shoplifting Prevention Coalition—a retail industry collaboration that harnesses the power of a collective retail voice to create permanent change in the way the nation regards, prevents, and responds to shoplifting to positively impact shrink and store safety.

Alex Wolinski

David Neberieza

A Shoplifter Is Suspected of Being Involved in ORC—What’s Next? Whenever a shoplifter has been apprehended and is suspected of being involved in organized retail crime activity, it’s critical that loss prevention representatives know what questions to ask and the right way to ask them to maximize the potential intelligence Michael information gathered and assist law Hanson enforcement and ORC investigators in case development. Wayne Hoover of WicklanderZulawski and the International Association of Interviewers led an insightful presentation providing important tips on how to interview these suspects as part of organized retail crime case identification and development. All these presentations provide exceptional learning opportunities for professionals at every level of loss prevention while underscoring the exceptional talent and teamwork of those supporting the ORCAs in Action initiative. For those who missed these outstanding presentations, and for those who would like to see them again, the entire virtual conference is currently available at losspreventionmedia.com, search ORCAs in Action.

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Barbara Staib

Wayne Hoover


FEATURE ORCAs in Action Continued from page 26

inviting you to show what you have to offer. Many different hurdles impact a company’s bottom line, and as business professionals, loss prevention leaders must consider every influence that affects the profitability of the organization. We can all agree that addressing growing concerns by working together can benefit our teams, employees, customers,

companies, and communities. Whether sharing resources, information, ideas, or advice, both individuals and organizations can offer a tremendous amount to support these critically important associations. To contact the ORCA that supports your community, check out “Organized Retail Crime Associations: The Complete List” at losspreventionmedia.com. If you have additional questions and want to learn

Additional projects are in the works, and planning and support meetings are currently being scheduled to further support the mission of the ORCAs, focused on ways that the ORCAs can further support one another through organizational strategies, educational opportunities, raising awareness, mentorship, membership, and networking.

more about the ORCAs in Action initiative and how you can get involved, feel free to contact Jac Brittain at jacb@lpportal. com or Kevin McMenimen at kevinm@lpportal.com. Take the next step. Your support and participation can make a difference.

Jacque Brittain, LPC, is editorial director for LPM. Prior to joining the magazine, he was director of learning design and certification for Learn It Solutions, where he helped coordinate and write the online coursework for the Loss Prevention Foundation’s LPC and LPQ certifications. Earlier in his career, Brittain was vice president of operations for one of the largest executive recruiting firms in the LP industry. He can be reached at JacB@LPportal.com.

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January–February 2021

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JOIN OUR RESEARCH & RESULTS COMMUNITY The Loss Prevention Research Council (LPRC) conducts evidence-based research and provides a collaborative environment to develop crime and loss control solutions to improve the performance of its retail members, solutions partners, and entire retail industry. Our research and team/individual development tools provide you with the necessary resources to combat theft, fraud, and violence.

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TECHNOLOGY Tom Meehan, CFI Tiko Aramyan / ShutterStock.com

Meehan is retail technology editor for LPM as well as chief strategy officer and chief information security officer for CONTROLTEK. Previously, Meehan was director of technology and investigations with Bloomingdale’s, where he was responsible for physical security, internal investigations, and systems and data analytics. He currently serves as the chair of the Loss Prevention Research Council’s (LPRC) innovations working group. Meehan recently published is first book titled Evolution of Retail Asset Protection: Protecting Your Profit in a Digital Age. He can be reached at TomM@LPportal.com.

Misinformation, Censorship, and Big Tech The Risk It Poses for All of Us

T

When influential tech companies like Twitter and Facebook turn to outright censorship, it can become a slippery slope. Instead, I believe that social media companies should follow Twitter’s example of labeling misleading information and warning users who click on or share this content.

he breach of the Capitol on January 6, 2021, and its aftermath have highlighted just how much influence social media and technology companies like Twitter and Facebook have on real-world events. On January 8, Twitter permanently banned President Donald Trump from its platform, and many other tech companies including Facebook, Instagram, Google, and YouTube, followed with indefinite suspensions. To be clear, this article is not about politics or the right versus the left, although I do use some political events as examples. For the record, I do not condone the statements made by Trump, and I also oppose violence. What I want to focus on is the role that social media and Big Tech play in our access to information. To justify deplatforming Trump, many of these companies have cited the risk of social media causing violence in real life. Twitter CEO Jack Dorsey specifically mentioned the risk of “offline harm as a result of online speech” in his statement about banning Trump’s Twitter account. While I do not agree with the actions of the people who breached the Capitol or the president’s statements about what happened, I am still left

January–February 2021

with the question of whether these statements could have been handled in a different way.

The Consequences of Social Media Bans Although the media tends to frame social media censorship as a highly political issue, it extends far beyond that. In my opinion, the issue is more about social media and other Big Tech companies deciding what people can and cannot see. Because the First Amendment protects freedom of expression from being limited by government bodies, that leaves a lot of room for private companies like Twitter and Facebook to decide who gets to use their platforms. The recent wave of social media bans is not limited to deplatforming major public figures like Trump. Parler, a social media platform focused on free speech that became popular with conservative users, was recently banned from the App Store and Google Play. Apple, Google, and Amazon defended their decision by explaining that user posts that incite violence violate their policies. This takes the issue of “online speech wars” further than a

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conflict between social media platforms and their users. By preventing people from downloading Parler at all, Apple, Google, and Amazon have effectively shut down a platform because they do not approve of Parler’s laissez-faire approach to free speech. While I do not condone the content on Parler that encourages people to take violent action, I am alarmed by how just three companies were able to take such drastic action against individuals’ freedom of expression. Imagine if a Big Tech company decided to pull your internal data as a retailer from their server? Or what if Facebook removed your paid advertisement campaigns because they did not agree with your message? While it seems like social media censorship only targets conservatives, there is a real risk for liberals as well. With the federal departments bringing antitrust suits against major tech corporations like Google and Facebook in recent years, Biden might support these suits as the president. But what if these same tech companies shut down Biden for speaking against them? While I am not suggesting this would


happen, the point is that it is still possible. However, we must also recognize that these tech companies might not be acting of their own accord when making these decisions. Congress has regularly called on social media platforms to censor speech they did not approve of. In April 2019, Rep. Cedric Richmond of Louisiana told Facebook and Google to restrict content or face increased regulation, saying, “We’re going to make it swift, we’re going to make it strong, and we’re going to hold them very accountable.” Essentially, the government can use Big Tech to do what they cannot—sidestep the First Amendment and censor constitutionally protected free speech. Although the decision to ban Trump from their platforms is left in the hands of these tech companies, it does align with some elected officials’ calls for social media platforms to restrict free speech. This is why these social media bans are so concerning to me. As an individual, my freedom of expression should be protected by the Constitution. But tech companies operate outside of the restrictions that prevent the government from controlling free speech. Left unchecked, there isn’t much stopping these social media giants from changing their terms of use and limiting more content, especially if their businesses are threatened by government regulation. The challenge is there is no regulatory body that imposes checks and balances on major tech corporations, which means it’s up to them to make the right decisions. While Twitter’s CEO stated that banning Trump was “the right decision,” he also said, “This moment in time might call for this dynamic, but over the long term, it will be destructive to the noble purpose and ideals of the open Internet. A company making a business decision to moderate itself is different from

Because the First Amendment protects freedom of expression from being limited by government bodies, that leaves a lot of room for private companies like Twitter and Facebook to decide who gets to use their platforms.

a government removing access yet can feel much the same.” His statement is what drove me to write this article in the first place, and I hope that Big Tech continues to be aware of their influence.

An Alternative to Outright Censorship Tech companies infringing on free speech is far from recent news. In October 2020, the New York Post was temporarily suspended from both Twitter and Facebook after publishing an exposé about Hunter Biden, the son of President Joe Biden (former vice president and presidential candidate at the time), that alleged he participated in corrupt business dealings in Ukraine and China. The platforms explained their suspensions by saying that the New York Post articles linked to “hacked materials,” which violates their terms of use. Twitter later revised its policies to allow tweets that discuss hacked materials, so long as they are labeled as such. After reinstating the New York Post, Dorsey tweeted that blocking the URL was “wrong,” and a Twitter spokesperson told the New York Times that because the information had spread so widely, it was no longer considered private and therefore did not violate Twitter’s private information policy. While the New York Post is not my newspaper of choice, it is still a legitimate media agency that Big Tech censored until it was faced with backlash. This aligns with Twitter’s recent approach to misinformation on its platform. Rather than outright blocking tweets with misinformation, Twitter implemented labels on these tweets, starting in May 2020 when misleading information about COVID-19 started to spread on social media. They expanded this policy again in October of the same year to warn Twitter users

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of misinformation about the United States general election. Looking at how Twitter approached the growing issue of misinformation on social media, I think the company’s decision to warn users of misleading or unverified information is a solid middle ground between completely censoring people and letting incorrect information spiral out of control. Rather than preventing people from seeing this content at all, Twitter instead lets users decide what to do with this information, only intervening with warnings about accuracy. It is clear that social media can shape people’s opinions, not only their political opinions but their perception of the news itself. But in my opinion, completely blocking people or content from social media is not the best way to address misinformation and the growing trend of social media posts that incite violence. When influential tech companies like Twitter and Facebook turn to outright censorship, it can become a slippery slope. Instead, I believe that social media companies should follow Twitter’s example of labeling misleading information and warning users who click on or share this content. Although the Capitol breach brought to light how free speech online can lead to reallife violence, extreme events do not always justify extreme reactions. Banning Trump from mainstream social media platforms sets a dangerous precedent for social media censorship, one that we should be wary of as we continue to combat misinformation about political events, COVID-19, and who knows what else in the future.

January–February 2021

Looking at how Twitter approached the growing issue of misinformation on social media, I think the company’s decision to warn users of misleading or unverified information is a solid middle ground between completely censoring people and letting incorrect information spiral out of control.


Now? What

By Garett Seivold, LPM Senior Writer

Krakenimages / ShutterStock.com

Old Problems and New Priorities Await LP in 2021


2020

F

ollowing a year that laid waste to retailers’ plans, trying to assess the path forward can seem foolhardy, but taking stock of where LP is—and is going—may be more important now than ever. Before COVID, the industry was certainly in flux, but its transformation seemed somewhat predictable. Asset protection challenges are never uniform, but there did seem to be something of a consensus on where we stood, how opportunities were unfolding, and how the LP mission was evolving. Then 2020. To what degree, if at all, has the industry’s trajectory been substantively altered—even as the end to the pandemic is finally in sight? What about a year dominated by managing the crisis at hand will have a lasting impact on LP’s strategic mission? How have priorities changed—or have they? Or more simply put, what now?

2021 Back to Basics For Tina Sellers, vice president of asset protection at Rite Aid, 2021 may mark a return to LP’s founding principles. “For a very long time we’ve tried to move away from a cops-and-robbers approach and have more of a business outlook on shrink,” she said. “But I’ve had to get back in touch with my roots.” She says she finds herself examining core questions about theft prevention: “Do I want to use security guards, and how do I want to use them? Does it make sense to have hourly employees touching shoplifters? And what do we do when police announce they’re not going to respond? How do we handle crime in stores when people

just load up the cart and head for the door and associates just get shoved out of the way because they’re spoiling for a fight?” From Sellers’s vantage point, it’s a “different world” today. Between specific conflicts over mask wearing and the anger, anxiety, and economic fallout from COVID-19 more generally, she says disrespect for staff, the risk of violence, and losses from theft are all at elevated levels entering 2021. Drug store sales have been strong, which has helped offset increases in shrink, but it’s a problem Sellers sees dominating a greater share of her attention in the year ahead. “My focus is on how to get shrink under control,” she said, suggesting that she

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sees many of her peers in the same position. “To some degree I am going back to basics and the early days of LP when we were much more security-based.” Many retailers feel that today’s criminals approach store theft with a sense of entitlement, and they lack the same fear of being caught that they’ve had in years’ past, according to Dan Reynolds, vice president of retail sales at 3SI Security Systems. “They walk out with an attitude of ‘just try to stop me.’ It’s amazing how blatant violent criminals have become.” Consequently, protection strategies and employee safety seem certain to be at the forefront this year for a growing number of retailers—and not just for late-night convenience

January–February 2021

Tina Sellers

Dan Reynolds


FEATURE What Now?

Mark Stinde

Jason Cheung

Craig Matsumoto

Renee Micek

stores but also for all retailers at any time of day. “I think we will see the implementation of realtime technologies that not only provide 24/7/365 protection but also have direct ties to law enforcement,” said Reynolds. “We’re all concerned a bit by how much bolder the bad guy is,” according to Mark Stinde, MBA, LPC, vice president of asset protection at Kroger. “And now we’re seeing an increase in ‘theft for need’ or the rationalizing of theft because of the times. That’s something that we’re encountering as we speak, so we’re trying to figure out how to respond to that.” Although 2020 hit some retailers hard, others thrived financially. Like Rite Aid, Kroger was able to “outsell shrink in 2020,” according to Mike Lamb, LPC, the company’s vice president of asset protection until he retired late in the year. Indeed, they managed to maintain their thirteenyear streak in year-over-year shrink improvement despite the challenging conditions and multiple distractions—but the coming year could prove tougher. Although he won’t be around to directly contend with it, Lamb expects more pressure on shrink in the coming months as the events of 2020 drive economic consequences into 2021. “For retail, shrink has a long tail,” Lamb noted. In addition to demand, staff focus can also present a challenge. “You can lose some of your operational discipline in the store when you’re working hard just trying to stay in stock

and meet customer needs and managing crowds.” The situation could get very bad indeed. Depending on the amount of relief that state and federal lawmakers provide, economists predict the number of people falling into poverty in 2021 will land somewhere between concerning and catastrophic. “Risks will be exacerbated by pressure on consumers caused by increasing job losses, home evictions, and increased overall debt as people try to survive,” said Jason Cheung, fraud product manager at Digital River. “A rise in desperation may drive a rise in on-premises theft and broaden the customer type who’s willing to attempt theft.” The trend could force LP to focus more on shrink caused by theft and fraud, according to some practitioners. One LP executive said he’s seen a tilt toward intentional loss compared to operational shrink, and he expects to put extra effort into hardening targets in the months ahead as a result. Technology will certainly play an outsized role in retailer efforts to reverse the crime trajectory, and LP executives like Stinde think better solutions are starting to come into focus. “I think there is an increase in use cases for [artificial intelligence]. It’s becoming a real thing,” he said. He pointed to new self-checkout technology that stands to save his company tens of millions this year. “I think applications like that are only going to

expand, and leveraging that will be a big deal.”

ORC Remains a Priority Allied Universal (AU) supports retailers with a range of services, from supplemental officers in a crisis to providing fully outsourced LP departments, and it expects to see organized retail crime (ORC) worsen in 2021, according to Craig Matsumoto, vice president for AU Risk Advisory and Consulting Services. “We definitely see the increase in activity in ORC, and I think most retailers will say they’re anticipating an increase.” Renee Micek, business development manager at Avery Dennison, holds a similar view. “ORC will continue to be a concern in 2021, and changes in law enforcement response and a focus on budgets and expenditure is forcing retailers to adapt quickly,” she said. “Retailers must be able to combat these criminals with different methods and provide a focus on safe and nonconfrontational solutions for the sake of their employees and their customers. There is no one perfect method, but it will be a primary focus that all retailers must deal with.” Lack of support will continue to complicate the challenge facing retailers, according to Fred Burton, executive director for Ontic’s Center for Protective Intelligence. “As cities begin to reduce their police budgets, there will be fewer officers on the streets, and the burden

“For a very long time we’ve tried to move away from a cops-and-robbers approach and have more of a business outlook on shrink. But I’ve had to get back in touch with my roots.” Tina Sellers, Rite Aid January–February 2021

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“Risks will be exacerbated by pressure on consumers caused by increasing job losses, home evictions, and increased overall debt as people try to survive. A rise in desperation may drive a rise in on-premises theft and broaden the customer type who’s willing to attempt theft.” Jason Cheung, Digital River

of care will fall to retailers to provide a safe and secure environment for their shoppers as well as their property,” he told LPM. “In essence, fewer cops mean fewer investigative efforts devoted to property crimes.” To disrupt ORC gangs and protect against them, both staff training and an effort to affect more arrests are likely to be a greater strategic priority for LP teams and the industry in 2021. “The impact of ORC is one of the key items LP practitioners are building into their strategies, especially because of the trend toward greater violence and brazen theft activity,” Matsumoto said. “We’ve found a lot of retail companies have placed greater emphasis on training, awareness, de-escalations techniques, and programs that empower employees, because they might not be able to stop a theft from happening, but they can do things to minimize the number of stolen items.”

Turning Challenges into Opportunities At the store level, disruption in the broader retail industry could be an opportunity for LP, suggested Jeremy Prout, director of security at International SOS. As stores change formats or focus, there is a chance to revisit designs to identify problems they might be able to mitigate. “It’s a good time to take advantage of the reorganization of stores,” he

said. “There has been inertia, certainly; people do things a certain way because we’ve done them before, and this is an opportunity to revisit those assumptions and see if they make sense. To see if we can’t make better decisions around LP about how we put out our stock, how we organize our stores, how we protect our stores, and to be deliberate in making those reassessments.” At the industry level, Matsumoto thinks retailers are doing a better job collaborating than ever, and they will need to continue to strengthen information-sharing channels to keep pace with ORC activity, as well as to enhance mobile surveillance to build effective cases against ORC groups. Collaboration is frequently cited as an important industry theme for 2021 by LP professionals. Many praised coordinated efforts to combat ORC, but there is also a desire to see similar efforts on other fronts, especially in representing the industry’s concerns to legislatures and government officials. One LP executive cited recent ordinances that put staff associates in the untenable position of enforcing mask mandates as an example of the need for the industry to earn greater sway with lawmakers. In terms of security, many pros are asking basic questions as conflict persists between “hands off” store policies for door-security personnel, more aggressive criminals, and a

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fraying social fabric. How does the industry regain its traditional crime deterrence? How do we most effectively protect and prepare store personnel for the situations they might face? Sellers suggested that store security would benefit from the same kind of focused collaboration and consensus building that has helped in other areas, such as joint efforts to battle online selling of counterfeit merchandise. That type of effort needs to happen around the serious crime that is happening in stores, she said. “I think it’s really necessary for retailers to pull together and have one voice as we approach law enforcement and legislators,” she continued. The safety of store personnel may depend on it. “Security is a big thing, and we’re all challenged in this regard—physical security, and the safety of employees, and what that looks like—so we can get to a place where it’s not unsafe for people to show up to work in a retail store,” she said. “There is a lot of networking and sharing of ideas that needs to happen in our industry. If we all move in a direction together, and operate less as individuals, everyone benefits.” That same “we’re in it together” mindset could also put a new frame around retail shoplifting—cooperation that may prevent first-time offenders from becoming lifelong thieves and put retailers in a better position to argue against legislative efforts

January–February 2021

Fred Burton

Jeremy Prout


FEATURE What Now?

“The impact of ORC is one of the key items LP practitioners are building into their strategies, especially because of the trend toward greater violence and brazen theft activity. We’ve found a lot of retail companies have placed greater emphasis on training, awareness, de-escalations techniques, and programs that empower employees, because they might not be able to stop a theft from happening, but they can do things to minimize the number of stolen items.” Craig Matsumoto, Allied Universal Risk Advisory and Consulting Services

Mike Lamb

Barbara Staib

to further reduce penalties for retail theft. “There has been an attitude [in LP] of ‘kill ’em all and let God sort them,’ but there is a line of separation to draw between the habitual crook and the first-time offender,” said Mike Lamb. Kroger signed on to a coalition of retailers spearheaded by the National Association for Shoplifting Prevention (NASP) to invest in educating rather than prosecuting first-time offenders. Lamb notes that the industry has consistently invested capital dollars in public-view monitors, camera software, and similar shrink control measures, but that little money has been put toward education. That has hurt the LP mission—not only because such spending would lower recidivism, says Lamb, but also because its current approach has often put retailers on one side of the problem and an overburdened judicial system, law enforcement, and legislators on the other. In the wake of George Floyd’s killing, for example, some in the press took a shot at retailers for perceived hypocrisy. On one hand, advocating for inclusion, diversity, and social justice in press releases and tweets but then “contributing to mass incarceration” with constant calls to police for minor crimes on the other.

January–February 2021

A demonstrated commitment to education for first offenders would put retailers in a stronger position to advocate for tough penalties against chronic offenders, according to Barbara Staib, NASP’s director of communications. “Then we can go to legislators and show that our goal is to keep people off the path to incarceration and show them the positive force we are,” she said. “It’s an idea being embraced far more now than a year ago. People are seeing the importance of being strong enough to bend.” The idea was met with open arms by Kroger’s corporate affairs department, which assisted with funding and wondered if it wasn’t an idea they should expand—educating store associates who make a first minor misstep rather than terminating them. In 2021, it will be hard for retailers to gain legislative support for any measure that is going to increase incarceration, according to Staib. “We need to put focus on felony offenders and unsafe situations in stores but do that while we stop feeding the criminal justice system. [We do that] by giving free second-chance education for low-level offenders,” she said. “We’re saying you can have it both ways, both reduce incarceration and hold those

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who repeatedly steal—and make our stores unsafe—more to account.” There is a lot of inconsistency around how law enforcement and retailers handle shoplifting, and that has made it tougher for the industry to fight against it, said one industry executive. Retailers would be better served if it spoke “more with one voice and planned cooperatively” in the same way it has come together on other issues. Cooperation in affecting arrests should be mirrored by cooperation in forging a strategic approach to shoplifting, he said. With many subjects ripe for collaboration, Tina Sellers looks forward to the end of the pandemic so that forums for in-person networking and cooperation can resume. She thinks the industry has “tried its best” to maintain connections and that virtual meetings of smaller groups have been helpful, but something has been lost without large events bringing together many LP practitioners to exchange ideas. There is only so much solution-sharing and networking that can happen over email, she noted. Retail changed because of the pandemic, and it will surely Continued on page 38


The Top

10 Hot List

While not exhaustive, these ten themes will be central to loss prevention and asset protection in 2021.

2021

1

Controls versus convenience. As retailers

chase the desires of shoppers, LP will be put to the test. “Brick-and-mortar is trying to figure out appropriate controls at the point of sale while also bringing new offerings to customers,” said Paul Jaeckle, LPC, vice president of asset protection at Meijer. “There is also acceleration in contactless interactions, moving to digital platforms, curbside pickup, or mobile payment if they shop in store. We’re working to make sure we have the appropriate controls so that these conveniences don’t create unnecessary exposure.”

2

The power of sight. It is becoming more

important to fully leverage tools that offer remote visibility into stores, noted several industry professionals. “One critical area of focus in 2021 will be remote security management, which enables users to interact, monitor, and respond to events while not being in the building,” noted Brad McMullen, general manager of security products and solutions at STANLEY Electronic Security Solutions.

3

Masking a problem. Even after

widespread inoculation against COVID-19, masks will be commonly worn in retail environments, noted Dan Reynolds, vice president of retail sales at 3SI Security Systems. “Retailers are definitely concerned about masks because it means you can’t get the same level of identification in the past, which is what a lot of their different security technology and cameras are based on.”

4

Pushing buttons. Among other

things, 2020 was the year of e-commerce, so any discussion of what’s next for LP must address process improvements in e-commerce. “This new year offers the opportunity for LP and AP to add value anywhere an omni-channel transaction occurs,” said Appriss Retail President Steve Prebble. “The bigger picture requires the LP and AP team to understand their impact on the consumer—ensure they are in lock-step with the business to remove friction, increase sales, and improve profits from the right shoppers, and ultimately provide a better customer experience while continuing to mitigate risks posed by bad actors. Having an LP or AP team that helps grow the business will be an increasingly important function in 2021.”

5

Safety first.

Retailers have become more risk adverse where the safety of employees and customers is concerned, lifting the importance of LP’s mission to deliver robust personnel protection. Recently, the nature of that risk has changed, according to one LP executive. “Violent activity has changed somewhat. It’s less active shooter and more domestic violence spilling into the store, friction between customers and team members, and among team members. Threat management is something we’re spending a lot more time on.”

6

Help wanted.

LP departments will continue looking to technology for help

LPM

as they contend with fewer staff and resources. Especially popular are integrated security systems that allow data analytics to interface with video surveillance systems, according to Craig Matsumoto, vice president for Allied Universal’s Risk Advisory and Consulting Services. “It allows them, remotely, to better view and analyze trends and specifically at the point of sale and for refund fraud,” he said. “A lot of companies are implementing remote monitoring technology enhancements because of limits on resources.”

7

No help wanted.

LP job opportunities could be in short supply. There have certainly been retail winners in 2020, but in terms of the total number of positions in the LP field, it’s a shrinking pool. “I do think we’ll probably see a shrinking of the employment world in our space,” said Mark Stinde, vice president of asset protection at Kroger. “There are simply fewer boxes overall.”

8

Moving parts.

Technology will be an important issue for retailers as they will need to use data and digital technologies to tailor experiences, products, and services to their individual customers, said Renee Micek, business development manager at Avery Dennison, noting that logistics is one critical area of interest. “The focus on supply chain has been even greater over the last couple of months for retailers and will continue into 2021 as more customers continue to make their purchases differently than in the past,” she said. “Visibility to inventory at all times is critical going forward. This technology

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January–February 2021

also lends itself to lessening retail shrink that happens within the supply chain.”

9

Sight to insight.

The popularity of video analytics is likely to grow as retailers look to better leverage their existing resources to both reduce inventory shrinkage and uncover valuable business intelligence for marketing, operations, and planning and merchandizing teams. “Video surveillance footage contains data that is valuable to multiple stakeholders across a retail organization,” explained Stephanie Weagle, CMO at BriefCam. “Video content analysis is the key to unlock that data, thereby empowering retailers to reduce inventory shrinkage, improve employee and customer safety, improve the bottom line, and enhance customer and guest satisfaction.”

10

Too much of a good thing. Coming

off a year in which more than fifty-five different cities saw major protests—many peaceful, some absolutely not—retailers need to examine their existing processes for learning about potentially disruptive events and enacting plans in light of the information, according to Jeremy Prout, director of security at International SOS. He notes that many vendors are providing such services, which typically includes social media monitoring, but warns that “you need to be able to set parameters so that you get the info you want and are not getting the information you don’t want. You need to get information pushed to you in a way that you can make effective use of it.”


FEATURE What Now? Continued from page 36

morph in concert with the pandemic’s fade in 2021, but Sellers doesn’t expect anything to be different with respect to the heightened social tensions that sparked sustained looting and destruction of retail properties in 2020. “We’re starting to feel good about vaccines, but the civil unrest that happens every time a person of color is killed by police is still very much with us,” she said. “Nothing has changed since last time, and it will happen again. And people who want to loot my stores for drugs are lying in wait.”

Adaptable Crisis Planning

Topher Cramm

Paul Jaeckle

Sellers and several other LP pros said they blew up their security budgets in 2020 and are looking to improve their ability to learn about, assess, and react appropriately to potentially explosive events in 2021. AU’s Craig Matsumoto agrees that crisis response and management will continue to be a major theme for the LP industry in the year ahead. Because of the amount of civil unrest last year, he’s seeing substantial interest among retailers in evaluating and enhancing physical security, especially as more face restrictions on internal human resources and the uneven assistance from public authorities. Physical security assessments are big business these days, he

suggested. “They’re looking to make sure they have the perimeter protection in place they need to minimize afterhour risks, with laminates, roll downs, alarm enhancements, camera surveillance, and other hardening.” Topher Cramm, senior national account manager at STANLEY Security, sees retailers focusing on protecting their people in the face of an unpredictable future and evolving threats. “According to our 2021 Industry Trends Report, twenty-four-hour alarm and video monitoring, video surveillance systems, and intrusion detection systems are among the most-used security systems across the globe.” Focus on business continuity and disaster planning will also have legs in 2021, according to Matsumoto. “They’re shoring up their current plans and testing to make sure everyone in the organization can be prepared in a crisis event.” Given the pandemic’s scale, Kroger’s Mark Stinde thinks it will probably make retailers better at managing crisis events in 2021 and beyond. “This was a crisis on steroids, so more than anything it showed the value of having a good plan in place and put us in a position to have crisis plans that are better thoughtout. All of us got caught short on some things, which can make us better as we move forward.” Importantly, Stinde thinks the pandemic experience will make the industry take greater interest in conducting tabletop

exercises to imagine how it would operate and recover in a range of events. “Right now, it’s pandemic, but it could be a major failure in the electric grid or a massive cyber attack.” As industry themes, Paul Jaeckle, LPC, vice president of asset protection at Meijer, thinks crisis management and safety are likely to be universal. Like Stinde at Kroger, Jaeckle says Meijer is seeing an increase in theft driven by need, but he also notes some positive trends, such as fewer issues related to the opioid crisis, and suspects concern over shrink in 2021 will track closely to a retailer’s maturity and store format. Managing crisis and business continuity, however, are issues all his peers are talking about, he says. The importance of flexibility in crisis response was highlighted by the pandemic, says Jaeckle. AP owns a lot of the crisis management program at Meijer, and Jaeckle said he’s now working to revise his company’s health and safety standards as it relates to employee travel in advance of the return to conferences, buyer trips, and in-person vendor business. “We’re rewriting the first part in pencil right now, but even when we get to the point of writing it in pen, it will probably be erasable ink in recognition of the ever-changing nature of the environment that we’re in,” he said. “It’s been proven out that you can have a plan but that it’s not going to hold constant.”

“We need to put focus on felony offenders and unsafe situations in stores but do that while we stop feeding the criminal justice system.” Barbara Staib, National Association for Shoplifting Prevention January–February 2021

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As a grocery retailer, Meijer has always prioritized health. But Jaeckle sees greater attention on employee health as another legacy of 2020. “Traditionally, physical safety issues have been at the forefront, like customer trip-and-fall type stuff, but now we’ve incorporated health, and that is something that will outlast the pandemic, a continued emphasis on health issues as part of the store safety paradigm.” Driving overall mask compliance within stores is part of the effort, and so is ensuring compliance with health department orders and state and federal guidelines. “We want to make sure we position ourselves correctly from a cleanliness standpoint and for execution to our program’s standards.” Regarding loss issues, Jaeckle sees a need to review processes in 2021 to ensure that no inefficiencies or gaps

“I think 2020 illuminated the value of the AP function, and probably the majority of AP teams will benefit from the value we showed and the fact that we stepped up.” Mark Stinde, Kroger were created by emergency actions it needed to take in 2020. During the pandemic, the company sourced from vendors it hadn’t normally done business with, which can make it important for a store to review its processes for purchase order payments, shipment verification, validating the accuracy of credits, and to ensure that stores aren’t erroneously setting up POs that have not been fully vetted. “We are finding ourselves playing in that space of protecting the business from the business as a function of speed,” said Jaeckle.

From a store security perspective, Jaeckle says Meijer will continue its effort to strike the right balance between maintaining positive relationships with the communities they serve and store protection. They will work hard, he says, to continue engaging with community leaders to understand planned events and associated risks. “Last year taught us a lot about the expectations of our communities and for a safe shopping environment, and if I had gone in and boarded up all of our stores, we would have lost

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January–February 2021


FEATURE What Now? a lot of trust,” he said. Similarly, Jaeckle wants to continue to be thoughtful in responding to unplanned but potentially disruptive events. “We’ll spend a lot of time trying to understand the what, who, and why instead of just the what.” It was a point echoed by several industry leaders: reputational issues around crisis response protocols

appropriate use of force, and that was all played out in the law enforcement world, and in the eyes of the public we are the law enforcement of the business,” he explained. “We’re trying to better understand the communities we operate in and what are the pressure points for them and for our teams as well.” Part of the catalyst for

“Last year taught us a lot about the expectations of our communities and for a safe shopping environment, and if I had gone in and boarded up all of our stores, we would have lost a lot of trust. We’ll spend a lot of time trying to understand the what, who, and why instead of just the what.” Paul Jaeckle, Meijer need to be a significant part of the planning. “If you have a peaceful protest planned, and all of a sudden you’ve put up plywood, there are people who will look at you negatively for that,” said Prout. In addition to its traditional three pillars of safety, shrink, and security, the team at Meijer is adding a fourth in 2021: commitment to diversity, equality, and inclusion. The company has made moves in that area, but the AP department is really leaning into, said Jaeckle. “Specifically, what does that mean for AP personnel, or in stores, and what does that mean for interactions with customers—that’s a new one for us this year.” He sees the issue as particularly important for LP teams because the public often perceives little distinction between law enforcement and AP. “We saw a lot of what transpired in 2020 centered around diversity, inclusion, and

January–February 2021

the AP team’s effort, which took shape seven months ago, was to be better able to explain to law enforcement the company’s expectation in this regard in those instances when it needs their assistance, as not every past event has aligned with their desire to always demonstrate respect. Its effort has also had an educational piece, trying to give AP team members a better understanding of and appreciation for differences in society, including having them read the book What If? by diversity and inclusion expert Steve L. Robbins. “We’ve chosen to leverage the focus on diversity and inclusion in terms of advancing a mission, instead of avoiding litigation,” said Jaeckle. “They are not necessarily the same thing.” When asking executives about what 2021 will mean for LP pros, greater resource allocation does not come up. However, while executive

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leadership may not be inclined to give LP departments more money, there is a sense that—for departments that performed well in a year marked by crises—greater appreciation and respect awaits LP in the year ahead. “I think 2020 illuminated the value of the AP function, and probably the majority of AP teams will benefit from the value we showed and the fact that we stepped up,” said Kroger’s Mark Stinde. And if nothing else, the looting from this summer is likely to keep LP top of mind for senior management for some time to come. “I think they get it. When you’re having conference calls twice a day, sharing photos and discussing how to repair looted stores, and trying to decide if this is the day we send people back in, they are right there with us. They get what we’re up against.” Highlighted by the pandemic and significant social unrest, Mike Lamb said his final year as an LP executive was also one of his most demanding. He thinks he leaves, though, with AP’s visibility and esteem on the upswing. The year stretched AP into new arenas, and it has perhaps permanently broadened its playing field. “I think the year has both cemented our place in the business as a critical function and reshaped the expectations of AP teams,” said Lamb. “Having been able to contribute in more and significant ways is ultimately going to be good for LP.”

Garett Seivold is senior writer for LPM. A trained journalist, he has spent the majority of his career writing about security, risk management, supply chain, and loss prevention topics. He can be reached at GarettS@LPportal.com.


CERTIFICATION

Certification Not Just for LP Practitioners Two Solution Providers’ Perspectives

T

he Loss Prevention The LPF is Foundation (LPF) is a leader dedicated to in educating and certifying retail loss prevention and elevating the asset protection professionals. industry through Its mission is to advance the retail loss prevention and its accredited asset protection profession LPQualified and by providing relevant, convenient, and challenging LPCertified courses. educational resources. The LPF is dedicated to elevating “I first learned about the the industry through its Loss Prevention Foundation accredited LPQualified and in 2006 and became a charter LPCertified courses. member,” said Dilorenzo. “Over the years, as I witnessed the Lou Dilorenzo, LPC positive impact that the LPC Vice President of National Accounts, and LPQ certifications were Allied Universal having on the industry, I began LPCertified in October 2020 to aggressively promote the LPF and its courses with Lou Dilorenzo, LPC, began my colleagues and clients. his career and developed his I’m a believer in ‘practice passion for retail security in what you preach,’ so as a 1985 as a store detective for personal challenge I took the A&S stores in Long Island, LPCertified course and exam.” New York. For fourteen years, He continued, “One of the he advanced his career biggest benefits, in my opinion, working with other large retail of obtaining the LPC credential companies. In 1999, he was is industry recognition. Both afforded the opportunity to continue in the LP industry with designations, LPC and LPQ, a solution provider. He has been from the LPF have become synonymous with excellence providing security officers and among loss prevention loss prevention services as a professionals. I am proud vendor ever since. LPM

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to now have the LPC letters follow my name.” Dilorenzo also had some thoughts on the benefits of the course for solution providers. “Although it has been twenty years since I worked in retail loss prevention directly, I pride myself on being a good resource for my clients. My goal is to remain a bridge between retail and the solution provider industry, and I feel like the diverse, content-driven knowledge that I received in the LPC course is going to help me to remain relevant and continue to meet my clients’ LP needs.”

Mike Downs, LPQ

National Account Manager, AFA Protective Systems LPQualified in May 2020

In 1982, Mike Downs, LPQ, started his security industry career as an installer and then a service technician. Through hard work and self-motivation, Downs advanced into several managerial roles eventually becoming a partner in a security company. When the company was sold and with an expanded set of skills, including sales and operations management, Downs was hired in 1997 by January–February 2021

Lou Dilorenzo

“Over the years, as I witnessed the positive impact that the LPC and LPQ certifications were having on the industry, I began to aggressively promote the LPF and its courses with my colleagues and clients.”


CERTIFICATION

Mike Downs

“As a solution provider, having LPQ next to my name gives me an extra level of credibility. It demonstrates my willingness to invest in myself and my future.”

AFA Protective Systems where he now works as a national account manager. “As a solution provider, having LPQ next to my name gives me an extra level of credibility,” said Downs. “It demonstrates my willingness to invest in myself and my future. The LPQ credential helps the customer know that I have educated myself to understand their needs and concerns as it pertains to the LP challenges of their individual business and that I am capable of offering meaningful solutions. It’s a win-win for us both!” Downs went on to say, “I had technical knowledge of the industry; I could provide my customers with solutions. What I needed was more knowledge of why. Why were the solutions I was offering valuable to my customers? The LPQ course curriculum provided meaningful tools to help me, as a solutions provider, to better support my customers in all aspects of loss prevention. I am now better prepared to serve as a proven and trustworthy consultant capable of solving their problems by offering meaningful solutions.”

“Whether you are starting out in the loss prevention industry or are a seasoned veteran, I would recommend getting your LPQ certification.” He concluded, “Whether you are starting out in the loss prevention industry or are a seasoned veteran, I would recommend getting your LPQ certification. The confidence gained from committing to your personal and professional development, learning, and applying the course material in everyday life is immeasurable.”

January–February 2021

Newly Certified Following are individuals who recently earned their certifications. Recent LPC Recipients Andrew Bailey, LPC, HomeGoods Adriaan Bosch, LPC, PEP (South Africa) Robert Bussie, LPC Matthew Dominiak, LPC, Home Depot Chelsea Hite, LPC, Giant Food Stores Kathryn Holmes, LPC, CVS Health Tim Icenhower, LPC, CFI, Ralph Lauren Jason Johnson, LPC, Luxottica Retail Darren Leonard, LPC, John Lewis PLC (UK) Christopher Lupinski, LPC, Albertsons Chris Lysy, LPC, Home Depot James Mannarino, LPC, Home Depot Lauren Mausolf, LPC, Rite Aid Michelle McKernan, LPC, Blain Supply Aaron Metoyer, LPC, TJX Trevor Monroe, LPC, Rack Room Shoes TJ Rosenberg, LPC, EPIC Risk Consulting John Sheppard, LPC, Home Depot Beau Trammel, LPC, Home Depot Recent LPQ Recipients Jimmy Allman, LPQ, TJX Cody Bratton, LPQ, United Supermarkets Cynthia Carbonaro, LPQ, Meijer Keri Christeson, LPQ, TJX Justin Clarke, LPQ, City of Garland Jeffrey Cotterman, LPQ, Meijer Jennie Duhamel, LPQ, TJX Steven Evans, LPQ, Home Depot Trent Forbes, LPQ, Meijer Ellery Foy, LPQ, TJX Walter Frazao, LPQ, Marine Corps Community Services Raphael Garcia, LPQ, Northwood University Courtney Geishert, LPQ, Meijer Parker Griebel, LPQ, Skogen’s Festival Foods Julie Hall, LPQ, Meijer Darrylle Hood, LPQ, TJX Kevin Jones, LPQ, TJX James Klobucar, LPQ, Meijer Courtney Kobel, LPQ, Meijer Perry Lawton, LPQ, KPH Healthcare Services Marcus Ledbetter, LPQ, Ralph Lauren William Lybolt, LPQ, Home Depot Elena Mancha, LPQ, TJK James Mcilvain, LPQ, Lowe’s Jeffrey Miller, LPQ, DICK’S Sporting Goods Marian Naylor, LPQ, CVS Health Sarah Neustedter, LPQ, Festival Foods Oscar Nuku, LPQ, Meijer Jacob Pitte, LPQ, Meijer Joseph Rovner, LPQ, Giant Food Stores Kayla Smith, LPQ Gabriella Vela, LPQ, TJX Kyle Wooten, LPQ, Meijer

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A Little Less Talk and A Lot More Research What We (Don’t) Know about Organized Retail Crime By Cory Lowe, PhD, and Read Hayes, PhD

A

nyone who spends any amount of time working with loss prevention professionals, solution providers, and law enforcement officers who investigate retail crime will know that organized retail crime (ORC) is a major challenge facing retailers. The National Retail Federation has estimated that, on average, ORC costs retailers approximately $700,000 per $1 billion dollars. Therefore, it is no surprise there are so many organizations dedicated to controlling ORC and so many webinars on ORC. On a

January–February 2021

daily basis, the Loss Prevention Research Council (LPRC) receives multiple e-mails about issues related to organized retail crime. As honest scientists, we answer the questions to the best of our ability, but oftentimes, we have to add the caveat that there is simply a lot that we do not know. As researchers, that can be embarrassing to admit. As Socrates said, however, “Admitting one’s ignorance is the first step in acquiring knowledge.” How could Galileo ever discover that the Earth orbited the Sun if he refused to

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LPM

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January–February 2021

alphabe / Shine Nucha / ShutterStock.com


FEATURE A Little Less Talk

“Admitting one’s ignorance is the first step in acquiring knowledge.” – Socrates

question what he had been taught? The simple answer is that he would not have made his discovery, and he wouldn’t have influenced the development of all of modern physics. The good thing is that, like Galileo, loss prevention scientists have some basic information. Galileo did not start from scratch; he was able to use existing technologies and maps of the stars and planets to build a better model of the solar system. Today, loss prevention scientists are in the same position Galileo was in 400 years ago: we have basic, descriptive information about a lot of things, but there is a lot that we still have to learn. If we are humble and honest about what we do and do not know, then we can advance our understanding and more effectively protect innocent people, places, and property. As a first step, it is important to review what we know about organized retail crime because once we identify what we know, we can also identify the gaps in our knowledge. Before we can discuss what we know about organized retail crime, however, we have to define what we mean by “we.” There are two ways to think about “we.” On one hand, each retailer knows something about organized retail crime within their organization. Imagine there is a retailer named Bull’s Eye Merchandise. If we asked their loss prevention vice president where their most problematic stores were, they could tell us their three highest-loss stores; they could also tell us where they have the largest number of active ORC investigations, the states where ORC and shrink are most problematic, and other issues affecting their individual organization. Furthermore, if we asked regional and district loss prevention managers this question, they could list their most problematic stores, and if we asked store-level LP associates who their

January–February 2021

most frequent offenders are, they could provide this information about their store. In other words, professionals throughout the industry know a lot about their stores; in this sense, “we” have a lot of individual information about our individual organizations. On the other hand, we know far less about organized retail crime between organizations. Once again, imagine there are three retailers: (1) Samuel’s Mart, (2) Bull’s Eye Merchandise, and (3) Citizen’s Grocery. If we asked each of them which stores had the greatest or fewest number of active ORC investigations, they could tell us. Then we could identify the characteristics of stores and locations that experience more or less ORC. In this case, “we” could develop much more collective knowledge about ORC as an industry.

What We Know and What We Don’t Know So what do we collectively know about ORC as a profession? The good news is that we actually know a good bit. For example, we know the methods that are often used to steal products, which products are targeted most often, how some networks operate, and the various methods that are used to sell products once they are stolen. We also know a bit about which product protection solutions effectively reduce shrink in general. Unfortunately, there is also a lot that we do not know about ORC. Some of this is very basic; for example, we do not have an established definition of ORC or ORC subtypes (fraud, shoplifting, cargo theft). Does looting qualify as ORC since there is often some level of organization involved? What about tool and building material theft by contractors or automotive part theft by those who use them to repair cars for others? What level

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of organization must there be among offenders for us to classify an incident as ORC? From our interactions with loss prevention professionals, there seems to be a lot of variation in what retailers classify as ORC. Having common definitions is fundamental to having a functional, orderly society because if everyone used different words to refer to the same thing, then we would be unable to communicate. Of course, having common definitions is also the hallmark of a profession. For example, if some dog catchers called dogs “cats” and some called cats “dogs,” then dog catchers would have a very difficult time doing their jobs. The same is true with any profession; for example, doctors have detailed diagnostic manuals that provide the criteria for diagnosing a patient with a disease or disorder. The lack of a common definition of ORC is also at the root of the “numbers problem.” If different retailers are classifying different types of events as ORC, then any published numbers regarding the extent of ORC are unreliable. For example, take a look at the optical illusion. If

Faces, a Vase, or Both?


■ ORC Definition ■ ORC Subtypes ■ Minimum Standards

0

10

20

30

40

50

How important is it to establish common, industry-wide definitions of ORC and ORC subtypes, and minimum standards for classifying incidents as ORC?

% of Respondents

one person says, “That is one vase,” and another says, “That is two faces,” and another says, “That is two faces and one vase,” then they are going to have a problem communicating, even though all three people are looking at the same thing. Of course, the problem is that they are just focusing on different aspects of the same thing. The same is true of organized retail crime. If one retailer classifies everything involving certain products as suspected ORC, but another retailer only classifies incidents as suspected ORC once they confirm multiple individuals are involved or that the offenders involved are reentering products into commerce, then even if they both had the same number of incidents, they would report different amounts of ORC. We also know the lack of common definitions is a problem because in September and October of 2020, the LPRC conducted a survey on organized retail crime. One hundred and forty-six participants representing sixty retailers participated in the survey, and they were asked how important they believed it was to establish: (1) a common, industry-wide definition of ORC; (2) common, industry-wide definitions of ORC subtypes; and (3) minimum standards for classifying incidents as ORC. This graph shows their responses to these questions. Over 70 percent of respondents said that establishing these definitions and standards was either very important or extremely important for the profession. We have a definitional problem that makes it very difficult to determine how much ORC there actually is. However, we also have a data problem. Many retailers have some understanding of the numberof suspected ORC incidents as well as the approximate values of product associated

Not at all Important

Slightly Important

with these incidents. They can also report how many active investigations they have open and the approximate value of the products involved in the cases. However, until this year, many retailers have not shared this data. This year, researchers at the LPRC are working to develop a national retail crime and shrink database that will provide insights to how much shrink there is as well as a more accurate estimate of the extent and distribution of ORC throughout the United States. Nevertheless, because of the definitional problem and the lack of data, there is a lot we do not know about retail crime in general or ORC specifically. For example, we do not have reliable estimates of the percentage of all shrink that is due to organized retail crime. We do not have reliable data on the seasonal and long-term trends or the regional variation in ORC. We do not know the factors associated with more

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Moderately Important

Very Important

or less ORC among localities, states, and regions. And we do not know the extent to which ORC is committed by relatively disorganized and unstable local networks and groups, or by highly organized and stable networks spanning large geographic areas. Much of this can be accomplished by working with retailers in the United States to develop the necessary database; however, it will remain unclear how organized retail criminals actually are. During the recent LPRC ORC survey, the participants were asked what percentage of loss they believed were due to: (1) unstable and disorganized local groups and networks; (2) stable and organized local groups; (3) networks and groups operating in one to three states; (4) regional networks and groups; and (5) national and international networks and groups. This question was asked with the hope that

January–February 2021

Extremely Important

“Humility is the foundation of all other virtues.” – St. Augustine


FEATURE A Little Less Talk it would provide insights into professionals’ beliefs about how organized ORC offenders actually are. As the next graph shows, a greater percentage of LP professionals believed that much ORC is committed by relatively unstable and disorganized local networks and groups, while fewer believed that interstate ORC groups and networks were responsible for the lion’s share of losses. In fact, nearly 80 percent of respondents believed that less than 20 percent of ORC losses were due to national or international ORC groups and networks. Unfortunately, there wasn’t much agreement in terms of which types of groups are responsible for the majority of ORC losses. This is not

surprising as there aren’t any reliable industry-wide estimates of this, even though many individual retailers probably have a good idea of how much of their ORC is committed by more or less organized groups. Although we do not have a good idea how organized most ORC networks and groups are, we do know that it is organized. This makes it a unique problem for loss prevention professionals and the industry. At Auror’s Global Retail Crime Summit this year, we had the pleasure to hear from General Stanley McChrystal, who applied his experience fighting the Taliban, an organized and networked enemy, to fighting organized retail crime. When fighting the Taliban, his team realized that they needed a

80

Approximately what percentage of losses are due to different types of organized retail offender networks and groups? ■ U nstable and Disorganized

70

■ Stable and

Organized, Local

% of Surveyed LP Professionals 20 30 40 50 60

■ S table and

Organized, 1-3 States

■ R egional Networks and Groups

■ National and

International

networked strategy where all of the members of the network shared detailed information about existing and emerging threats and worked together to coordinate the appropriate response. In the field of loss prevention, we have several great national, regional, and state organizations that facilitate intelligence sharing, as well as several solutions that enable retailers to more effectively and efficiently share information about ORC offenders and offenses. Even in the fight against the Taliban, however, there was still the need for analysts who could use the data to identify where the major threats were, coordinate a response, and determine whether the strategy was successful. In the lead-up to the invasion of Iraq, Donald Rumsfeld noted that there are three types of knowledge that shape the nature of military actions: there are known knowns (things we know that we know), known unknowns (the things we know that we don’t know), and unknown unknowns (things that we do not even realize we do not know). In the case of the loss prevention profession, the good news is that there are several things we know, and there are several things that we know we do not know. This is our starting point, and it is surely better than having no knowledge at all. However, because there has not been enough research and data sharing, there are also many issues that we do not even know that we do not know.

0

10

The National Retail Crime and Shrink Database

0-20%

21-40%

41-60% January–February 2021

61-80%

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81-100% LossPreventionMedia.com

During 2021, the LPRC will have several important research initiatives. As mentioned previously, one research initiative will be to begin developing a national retail crime and shrink database. If you are reading this, then


THE POWER OF PUBLIC-PRIVATE PARTNERSHIPS “gateway” crime to other types of then needing to steal to maintain a lifestyle as narcotics. The players are the same, the or addiction, which ends in the booster criminal activity. Can you provide venues are similar, and the crimes are being (1) communicate, collaborate, and Braga and his coauthors of “The your organization can probably assaulting retail employees. us with an example that supports committed at the cost of society in the Law of Crime Concentration at coordinate ORC control efforts; contribute to this initiative. When individuals “get that belief? same way. Places: Editors’ Introduction” in away” with (2) use limited loss prevention This data collection effort will a crime numerous times However, I also believe the expansion WALDEN: We have observed ORC cases the March 2017 issue of Journalthey become resources; (3) identify and target facilitate research on the extent accustomed to the outcome. When the of organized retail crime into large-scale turn into large-scale narcotic arrests, fugitive of Quantitative Criminology, high-risk areas and locations; and distribution of retail crime outcome changes, investigations hinges on a risk versus reward arrests, and even some early indicators of several studies have foundthey resort to a flight or and shrink throughout the country (4) enable benchmarking that over 50 percent of crime the nation; (5) identify and provide into:and (1) the legal throughout fight mentality. Unfortunately, when this mentality. Lawinsights enforcement human labor trafficking. We have observed occurred inscenario less than the strategies solutions that where retail crime and together shrink are ends10 in percent a fight approach, it is at the system have been working to theft cases and turn into complex consumer ofIstreet segments, and someand sometimes even less shrink most including at haven’tare associated expense of employees combatproblematic, narcotics for years, but they fraud issueswith and selling items overseas. have foundlaw that as few asofficers. 2 and ORC specifically; the state, andorganized regionalretail level;crimegenerally enforcement beencity, fighting against recently attended a training class discussing and (6) identify effective anti-ORC percent are responsible for the (2) how patterns of shrink and I have seen known boosters involved with the same tenacity. It doesn’t help that the wide usage of gift cards and in-store majority of crime and other social policies at the local, state, and retail crime change over time; in robberies, armed robberies, narcotics there is a lack of consistent laws nationwide credit cards. It is estimated that $40 billion problems. If retailers had a better national level and push for the and, importantly, (3) what is most distribution, and gang activity. Even if specifically laying out what organized retail a year is transferred onto gift cards. This understanding of where the ORC effective in reducing ORC. Several adoption of effective legislation. organized retail crime isn’t crime is and the penalties for being involved makes money laundering simpler because hot spots are, they could focus the “gateway,” For example, we do not retailers with thousands of stores the vast of boosters are involved in in thesealready crimes. Organized crime ringscollectively they fallknow short of current governmenttheir resources in majority areas where the specific have agreed toretail share the problem is property the worst. ORC crimes. wheremeasures. ORC is most data the LPRC, both andIfperson can bewith working for yearsincluding before anyone in locations compliance It’s easy to move is like of crime, rather, their shrink as aretail, percentage ofsystem problematic; STALLARD: Weand have numerous law enforcement, or the legal money around theindividual world on a preloaded giftother types less than 10 percent ofpast places areyears where retailers know whereastheir sales, a dollar amount, cases over the several becomeshrink aware as of their existence. Once these cardoften that easily disguises your bank debit most problematic stores are, and responsible for over 50 percent the number of ORC-classified we have seen smaller theft crews grow rings are uncovered, the punishments for card. All of these crimes can easily begin of crime, then focusing on these we have a general idea which incidents, the average value of to large criminal enterprises over periods thousands, sometimes millions, of dollars with ORC cases. places would lead to the greatest regions are most problematic. ORC-classified incidents, and enterprises expanded their in retail theft are minimal in comparison. STREETER: I have seen numerous reductionsofintime. lossThese for the industry. Unfortunately, this information is several other data points for operations beyond their city to other areas Therefore, the reward for conducting boosters evolve throughout their criminal However, in order to identify each of their stores. This data will not particularly helpful because of the country and used their funds to organized retail crime far outweighs the risk. journeys. It starts with simply stealing the hot spots, retailers must facilitate a lot of research that has research suggests that crime is and researchers oftenmerchandise clustered in places not been possible—until now. facilitate other criminal activity. One such forspecific a minimum payout,pool their data, must analyze that data. Thisthat is affected us was sent known as crime “hot spots.” ThisWe research allow us to international group growing to stealing to provide merchandise LPM: oftenwill hear organized because, few country to commit In fact, to Anthony more and efficiently: over from awith European foraccording property fences for a larger profit,necessary and retaileffectively crime described as a

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NOVEMBER–DECEMBER 2020 | 49 | January–February 2021

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FEATURE A Little Less Talk

Retailers can control ORC if they will work together and with researchers who can analyze the data and share insights.

exceptions, retailers rarely put their stores too close to each other, so they typically only have a handful of stores (at most) for a city. This means that they have very little data for each city. Unfortunately, retailers are competitors, so shrink data is very sensitive. Because of this, retailers need an intermediary who can take the data, analyze it, and let retailers know where they should focus their resources. Importantly, when we talk about targeting specific locations, we are not talking about states or regions—we are talking about focusing on shopping centers or specific geographic areas within cities where shrink and loss incidents are highest. Collecting and analyzing this type of data will also enable benchmarking throughout the industry. If the average shrink for a city among all retailers is 1.38 percent and a retailer knows that shrink for their store in that city is 2.2 percent, then this would indicate that there may be a problem at that store. Similarly, if a retailer knows that, on average, the number of ORC incidents are higher at one of their stores than other stores in the area, they can assume that they need to change their ORC control strategy or identify why they are reporting a higher number of ORC incidents. After investigating the issue with researchers, they might find that they are simply using a broader definition of ORC. This is another reason it will be important for retailers to establish minimum standards for classifying incidents as ORC or suspected ORC. Unfortunately, without sharing data, retailers cannot know which stores are performing better or worse than the industry average for a specific geographic area. Finally, developing a national retail crime and shrink database will enable us to identify which product protection strategies and solutions, as well as which laws and policies, are

ORC research can allow us to more effectively and efficiently: 1. Communicate and collaborate. 2. Use limited loss prevention resources. 3. Target high-risk areas and locations. 4. Enable benchmarking at the local, state, national, and international levels. 5. Identify strategies and solutions that are associated with less shrink generally and ORC specifically. 6. Promote effective anti-ORC policies at the local, state, and federal levels.

January–February 2021

associated with less retail crime and shrink. For example, this data would enable us to examine whether higher felony-theft thresholds are associated with greater shrink among states. Alternatively, if we combine the shrink and retail crime data with data on the product protection solutions and strategies retailers use at specific locations, then we can also identify which solutions are associated with less loss. All of this will enable retail organizations such as the National Retail Federation and the Retail Industry Leaders Association to effectively lobby for criminal justice policies that are known to reduce shrink and ORC, and it will enable retailers to adopt the most effective loss prevention practices. There is still a lot to learn, but the national retail crime and shrink database is a necessary first step in improving our understanding of ORC and retail crime in general. It will allow us to learn more about the things we know that we do not know, such as the specific locations where ORC is most problematic, seasonal trends in ORC throughout the industry, the extent of ORC throughout the nation, and the policies and practices that are associated with more or less shrink and retail crime. But retailers must be willing to share their data with research organizations and

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researchers who will respect retailers’ privacy, analyze the data, and provide the industry with useful insights from the data. As General Stanley McChrystal said, “It takes a network to defeat a network.” Retailers can control ORC if they will work together and with researchers. ORC is a collective problem that is committed by organized groups and networks; therefore, solving it will require a collective and organized response by informed loss prevention professionals and scientists.

Dr. Cory Lowe is a research scientist at the Loss Prevention Research Council. He received his doctorate in criminology in 2020 from the University of Florida (UF). At UF he specialized in crime and delinquency prevention, communities and crime, criminological theory, and research methods and data analysis. He has published in peer-reviewed journals and other scholarly publications on the causes of crime, crime and delinquency prevention, and the factors associated with substance use and delinquency. Dr. Read Hayes is director of the Loss Prevention Research Council and coordinator of the Loss Prevention Research Team at the University of Florida. He can be reached at 321-303-6193 or via email at rhayes@lpresearch.org.


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LPM EXCELLENCE

LPM Magpie Awards

Applauding Excellence Excellence in Leadership

Roger Greene

Assistant Vice President-Director, Marshalls/The TJX Companies

Excellence in Partnerships

Caroline Kochman

Executive Director, National Association for Shoplifting Prevention

The LPM “Magpie” Awards offer a means to celebrate industry accomplishments on an ongoing basis, recognizing the loss prevention professionals, teams, solution providers, law enforcement partners, and others that demonstrate a stellar contribution to the profession. The ability to influence change is a product of drive, creativity, and determination, but it also requires a unique ability to create a shared vision that others will understand, respect, support, and pursue. Please join us in celebrating the accomplishments of our latest honorees.

“Once you become a leader, it is no longer about you,” said Greene. “Putting your employees first is most important. Encouraging, motivating, imparting knowledge, and sharing with others becomes paramount. Doing things ‘for’ people and not ‘to’ them, speaking ‘with’ people and not ‘at’ them, and always practicing relationships before tasks.” Greene began his loss prevention career with Broadway Department Stores in 1978. As he continued to develop as a leader, he moved to TJX Companies in 1991, where he has spent the past thirty years leading and mentoring loss prevention professionals. “Forty-two years ago, I started a journey and had no idea where

it would lead,” he said. “I’ve learned more and done more than I ever thought possible, and there are so many to thank for helping me along the way.” He announced his retirement from TJX in February. He offers this advice to others as they climb the ladder of success: Recognize that it’s your peers and your subordinates that get you promoted, not your bosses. Support and believe in diversity, and always demonstrate mutual respect. Remain a student of the business throughout your career. Set clear expectations for your team. Support them when they are struggling and challenge those doing exceptionally well. Always demonstrate

“When it comes to building partnerships, I believe integrity, trust, and providing value to others are most important,” said Kochman. “Make an effort to understand others’ needs and perspectives, and then share your expertise to help build on that perspective.” Since joining the National Association for Shoplifting Prevention (NASP) in 1993, Kochman has worked with stakeholders across the country to identify and implement programs to reduce shoplifting, translating research into programs, policies, and practices to help address the problem. Her father, Peter Berlin, was founder of NASP. She was named executive director in 2006.

“Truthfully, it was in my blood,” she said. “While I might not have felt this way as a teenager proofreading my dad’s newsletters, I am grateful for his legacy. My goal has been to look beyond traditional avenues in the court system, offering an added perspective and helping build innovative and complementary solutions around an issue that is fundamentally at the root of all retail crime and theft.” Kochman believes that working together, speaking with a collective voice, and merging industry resources will reduce overall retail theft and result in sustainable corporate and social impact in communities nationwide. This led to the

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willingness, show your capability, and above all else, maintain a positive attitude. Greene believes his influence on others is his greatest accomplishment. “Leadership truly is about others’ successes and not your own. A true leader is genuine, engaging, and approachable. They listen, understand, care about their people, and are authentic with them. They demonstrate humility, respect, and resilience. They have integrity and lead with vision and motivation. There is nothing more rewarding than looking at the individuals you’ve influenced and knowing that you helped them get where they are today.”

recent launch of the National Shoplifting Prevention Coalition. “When building partnerships, always think about the big picture and then frame your part within that picture,” she said. “Surround yourself with people who are open-minded, visionaries, and forward thinkers—those who find it exciting to pioneer new ideas that look beyond the status quo. Finally, don’t compromise your values or beliefs. The way forward comes more easily when connected to an unshakable set of values. Stay true to your mission, even when the going gets tough. This gives you purpose, clarity, the courage of your convictions, and the will to persevere.”


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CYBER SECURITY

aurielaki / ShutterStock.com

Garett Seivold, LPM Senior Writer Garett Seivold is senior writer for LPM. A trained journalist, he has spent the majority of his career writing about security, risk management, supply chain, and loss prevention topics. He can be reached at GarettS@LPportal.com.

E-commerce Grows and Risk Follows What to Look for in 2021

T

As the pandemic continues to push more brick-and-mortar businesses online, merchants should expect the high traffic there will drive a rise in several risk areas.

sales on Thanksgiving and he direction of retail was Black Friday in the food and likely captured by data grocery category increased from the holiday season’s special shopping days. In-store 137 percent, according to data shopping was down 55 percent from NetElixir. on Thanksgiving Day and 37 percent on Black Friday Risk Accompanies according to the National Retail Growth Federation, and RetailNext said foot traffic was off by up A core principle in to 47 percent. By comparison, e-commerce security is Adobe Analytics calculated that that more fraud always Cyber Monday sales grew in accompanies more 2020 by more than 15 percent transactions, and retailers’ compared to a year earlier and race to capture more revenue that shoppers spent more than online has left some of them $30 billion at online retailers vulnerable, say experts. “As between Thanksgiving Day and the pandemic continues to Cyber Monday. push more brick-and-mortar Those figures reflect unique businesses online, merchants conditions created by the should expect the high traffic pandemic, and next year there will drive a rise in several in-store holiday risk areas,” said Jason sales will likely be a Cheung, fraud product different matter. But manager at Digital River, most retail analysts an integrated solution expect online will for e-commerce continue to grow as back-office functions. a percentage of total There are also sales. The pandemic complicating issues, has brought new such as card brands shoppers to the world Jason Cheung lowering chargeback of e-commerce, and rate thresholds, “so the types of goods consumers merchants will find it more now think to buy online has challenging to perform under expanded. For example, online these limits,” he said.

January–February 2021

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Cheung told LPM that all retailers, whether they are primarily brick and mortar, e-commerce, or omni-channel, will see a continued trend of: ● F  alsified chargebacks from valid cardholders ● Increased fraud from criminal organizations ● Attempted abuse of discounts, offers, coupons, and the like ● Returns abuse ● Expanding acceptance and justification by customers when it comes to taking advantage of merchants As for specific e-commerce risks, some analysts warn that there has been a significant growth in account takeover—bad actors getting login credentials and authenticating themselves as legitimate, returning customers and accessing their online accounts. The problem has grown significantly in the last two years, as more retailers—seeking customer loyalty and a better, easier experience for customers—push them toward creating online accounts that often include storing payment methods. Continued on page 56


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guides and specifically call out your site or your company as a place to test,” said Erica Rainsberg, director of fraud strategy and analytics at Macy’s in a presentation to the NRF Protect conference in September.

A core principle in e-commerce security is that more fraud always accompanies more transactions, and retailers’ race to capture more revenue online has left some of them vulnerable. Continued from page 54

From a fraud perspective, the total number of logins and failed logins can suggest if you might have a problem.

More online customer accounts mean more opportunities for fraud, and the growing number of data breaches, which has made billions of email-password combinations available that customers tend to use across accounts, provides fraudsters with access to the information they need to take advantage of them. Add the fact that bots and automated scripts are being used to automatically validate credentials, and fraudsters have even a better chance to scale up their operations. “For retailers hit by account takeovers, problems can quickly multiply. It erodes consumer trust and encourages other bad actors to join in, which can cause site performance problems. Some of these bad actors will even put out how-to

January–February 2021

Suggestions from Experts Since fraudsters logins are legitimate—in that they use proper credentials for identification—identifying signs of it can be difficult. Rainsberg suggested taking a “funnel approach.” She explained, “Right up front it’s your site traffic. If there are blips or jumps, that’s something you need to be watching from a site security side.” From a fraud perspective, the total number of logins and failed logins can suggest if you might have a problem, she added. Going deeper, retailers can track data over time to be better alerted to spikes and to understand who their customers are and how they behave. “Look for outliers and abnormal behavior that would cause you to dig in,” she said, for example, if a customer that previously placed orders once every few months for a few hundred dollars suddenly makes several expensive purchases in a short span shipping to a new address. That type of thing is something that needs to bubble up for investigation. In response to the 2021 risks he sees, Digital River’s Cheung recommends merchants reevaluate their existing risk mitigation tools and processes, including e-commerce fraud tools; reevaluate their loss prevention operations, including processes, systems, and staff; and complete a gap analysis. He noted that some merchants may find additional process layers useful, such as third-party data validation, behavior analytics, and device

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identification and fingerprinting. “Make sure you thoughtfully architect which additional technology and process layers will give your team the best performance impact to minimize increased headcount and multiple work screens and systems,” he told LPM. Cheung also recommended paying attention to both how powerful data tools are and how the data they collect can be examined and used. “New tools requiring extensive manual reporting can hamper the analytics and require additional customized development to truly be effective,” he warned. Finally, he advised ensuring that data reporting shows overall data and permits deep dives into your transactions with ease and over time, “not just simple day-by-day aggregation or similar views.” He added, “If you can easily turn this reported data into a

As for specific e-commerce risks, some analysts warn that there has been a significant growth in account takeover—bad actors getting login credentials and authenticating themselves as legitimate, returning customers and accessing their online accounts. forecasting tool and apply it to the performance of subsequent years, you’ll be able to trend repeated fraud groups and recurring anomalies, assess volume and risk trends, and estimate staffing requirements.”


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Resource Guide

For companies who would like to showcase their solutions in this section, please contact LPM’s Media Strategist Ben Skidmore at 972-587-9064 or via email at BenS@LPportal.com.

Resource Guide to Products and Services

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*The information and claims presented herein are solely those of the product’s manufacturer. **Telethermographic camera systems can provide an initial body temperature measurement for triage use by determining a person’s surface skin temperature, which is then used to estimate the person’s temperature at a reference body site (e.g., oral, tympanic membrane). ***This product is not an FDA-approved device and is not intended to be used for medical purposes, such as the diagnosis, treatment, cure, mitigation or prevention of any illness, disease or other condition. If this product is used to provide a body temperature measurement in a triage setting or otherwise, it should be used in conjunction with a comprehensive body temperature measurement assessment that includes secondary evaluation methods that confirm body temperature measurements pursuant to applicable regulations, guidelines, and standards. Images are for illustrative purposes and may not reflect the exact product/service actually provided. AL 2019/20-823, 2019/20-1784; AR CMPY.0001511; AZ ROC208756, 18259-0; CA ACO 6484; DC 602518000003, ECS900301, DMS904597; DE FAL0197, 95-73, 1995110043; FL EF20001449; GA LVU406727; IL 127.001224; IN LAC000028; KY 145654, 144; MD MHIC No. 134919 (888) 218-5925, 107-2224, 15351392; MI 3601205553; MO LC9824553; NC 581616-CSA BPN003018P6M, SP.FA/LV.32082; NJ P00951, NJ Burglar and Fire Alarm License 34BF00009100, 11 Penns Trail, Suite 400, Newtown, PA 18940 [(800) 776-8328], 189976; NV 20081367594, 0078423; NY 12000234104; OH 53 89 1300; OK 951; OR 61494; PA PA009679; RI 0608A; SC BAC 5191, FAC 3227; TN 00001438; TX B10340, ACR-1750945; UT 7437864-6501; VA 2705 026865, 11-1907; WA UBI 602 819 804; WI Sheboygan 1679; WV WV033013

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LPM

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January–February 2021


Aleksandra Bataeva/ ShutterStock.com

PEOPLE ON THE MOVE To stay up-to-date on the latest career moves as they happen, visit the Professional Development page on the LPM website LossPreventionMedia.com. To inform us of a promotion or new hire, email us at peopleonthemove@LPportal.com.

Professionals Advancing Their Careers Mar-John Cruz, CFI, BCCP is now AVP and head of security and safety at 2GO Group (Philippines). 3xLOGIC announced the following promotions and new hires: David Galante, senior director of global product management; Chinnette Cannida, senior product marketing manager for North America; Brian Rumohr, regional sales manager for western Canada; and Bill Davis, regional sales manager for the mid-Atlantic region. Epi Suarez was promoted to regional director of AP, and Romeo Acevedo, LPQ is now an AP market manager at 99 Cent Only Stores. Cristina Bär Muñoz was promoted to senior district manager of AP (Germany), and Joel Hangen, CFI was promoted to senior corporate investigator, brand protection at Abercrombie & Fitch. Nick Koehler, CFI was promoted to regional AP manager at Advance Auto Parts. Alisa Dart is now group VP of AP at Albertsons.

Brian Davies is now corporate fraud investigator at Ally. Amazon announced the following promotions and new hires: Scott McQueen, MBA, corporate security regional manager (Japan); Julia Larue, cluster LP manager (France); Katie Shephard, senior manager, global security operations and LP (Australia); Bobby Halliburton,

senior physical security program manager; Alex Flores, CFI, Mike Martha and Kevin Goldsmith, regional LP managers; Rhonda Riley, area manager; Sami Shaikh, LPQ, multisite LP site lead; and Charleigh Vigil, LP site lead. Lori Bonacci was promoted to manager of investigations and LP at Ardene (Canada). Cheryl Blake was promoted to VP of global client success at Appriss Retail. Nicholas Stafford is now a regional risk manager at Aritzia. Kristine Luansing-Lopez, MSCS is now corporate AP supervisor at Ascena Retail Group.

Martina Bullard, CFI is now an area AP manager at Belk. Michael Dinner, CFI is now a regional AP manager at BJ’s Wholesale Club. Dan Bambas, CFI, LPQ is now a district LP manager at Blain’s Farm & Fleet. Liz Vulin is now AP physical security project manager at Bloomingdale’s. Matthew Dobbins, LPC, CFI was promoted to safety manager at Brinker International. David Rey is now a regional LP manager at Brooks Brothers.

Scott Taylor CPP is now regional VP at ASIS International (Australia).

Steven Klapuschak is now director of corporate security at CannTrust (Canada).

Antonio J. Salzedo, CFE, LPC was promoted to director of AP for Mexico at AT&T. Alair Macedo Paixão is now an arean LP manager at Atacadão (Brazil).

Alejandro Nava Lozoya is now national manager of LP logistics at Grupo Chedraui (Brazil).

Salvatore Lupo, LPC is now a regional LP manager at AutoZone.

Shane Hovis is now a safety and LP manager at Chewy.

Michel Ferreira is now an LP coordinator at B2W Digital (Brazil).

Michael Segreto was promoted to corporate director of fraud prevention at City Furniture.

Rachael Shelton is now a regional AP manager at Bath & Body Works. Joseph Womack III, CFI, LPC was promoted to manager of field investigations at Beall’s.

January–February 2021

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Matt Roseberry is now manager of global security operations at Chipotle Mexican Grill. Eryn Greene is now a multidistrict AP manager at CVS Health.

LossPreventionMedia.com


Tim Humble is now director of LP at Daniel’s Jewelers. Pulkit Sindhu is now COO at Datar Security Service Group (India). Sha Kusuman is now director of AP at Christian Dior Couture. Meg Whittaker was promoted to retail LP coordinator at Decjuba (Australia). Xavier Rogers is now a district LP manager at DICK’s Sporting Goods. Andy Heimkreiter, CFI is now an AP operations senior analyst, and Jeremy Reno and Kenneth Watson, LPC, CORCI, CSMIE are now regional AP managers at Dollar General. Linda Campbell, CFI was promoted to director of AP at DSW Designer Shoe Warehouse. Byron Mariani is now a regional AP manager at Family Dollar. Dan Cappiello is now a regional AP manager at Five Below. Lt. Commander Sandeep BN is now regional security manager, and Siddharth Shandilya was promoted to associate director of integrated security risk management and BCP at Flipkart (India). Chad Barnhill, CFI, LPC is now a regional LP manager at Forever 21. Joseph Trance, LPC, CFI is now director of AP at Goodwill Industries of Dallas. John Wilson is now manager of LP operations at Gap Inc.

Alexandros Pelekanakis was promoted to strategic account manager at Genetec (Canada).

Karen Adema is now national shrink control manager at Kmart Australia (Australia).

Tomas V. Negron is now territory LP and safety manager at Goodwill Industries of Central Florida.

Sarah Winborne, CFI is now a regional LP manager at Little Caesars Pizza.

The Home Depot announced the following promotions and new hires: Sam Alvarado, LPC, supply chain AP senior manager of west coast upstream field operations; Ryan Wagers, supply chain AP senior manager of downstream field operations; Peter Melas, supply chain AP senior manager of security; Eric White, supply chain AP manager of operations shared services; Ananth Devadas, supply chain AP administrative shared services senior analyst; and Eric Roberts, supply chain AP regional manager of downstream operations. Federica Giovinazzo is now operational threat intelligence and antifrauds management at Intesa Sanpaolo (Italy). Dmitri Luppov and Chindra Stephens are now district AP managers at JCPenney. Darrel Smith was promoted to proactive crime team leader at JD Sports Fashion (United Kingdom).

Steve Carrillo is now director of supply chain AP, west region, at Macy’s. Nike has announced the following promotions: Mike Rackley to senior director of North America retail operations; Doug McKendry, LPC to director of North America direct LP; Deana McLees-Bailey and Stephen Leach to territory directors of LP; Jonathan Hsieh to North America investigations and intelligence manager; and Corey May, LPC, CBCI to senior director of security intelligence. Mark Moreau is now country manager, security and LP at Noon (United Arab Emirates). Khristopher Hamlin is now a regional LP manager, and Bryan Frohn is now a district LP manager at Nordstrom. Christopher Conforti, LPQ was promoted to director of store support at Ocean State Job Lot. Jennifer Thomason is now VP of LP at Old Navy.

Asim Saha was promoted to area LP manager at Jio (India). Daniel Edward Cruz, CFI was promoted to director of AP for remote operations at Louis Vuitton at LVMH. Greg Rumney is now Asia Pacific regional crisis and security director at Kering Asia Pacific (Hong Kong).

Razan Almadani is now an area investigator at Panda Retail Company (Saudi Arabia). Claudia Raffaelli is now fraud manager at Pangaia (United Kingdom).

Steven Rodi was promoted to district LP manager at Kohl’s.

LPM

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January–February 2021

Jeff Levitt, LPC, CPP is now corporate AP manager at Portillo’s,


PEOLPE ON THE MOVE Jose Montoya was promoted to senior manager of global security operations (Retail) at Peloton Interactive.

Zachary Smith is now director of security and LP operations (Aeropostale, Lucky Brand, Nautica) at SPARC Group.

Britney Sawyer-Ryan is now director of regional sales at Protos Security. Oksana Montvydiene was promoted to regional manager of global corporate security and AP - Northern Europe at Ralph Lauren. Stephanie Sue was promoted to digital fraud officer at RBC (Canada).

Russell Barr is now lead consultant, compliance, investigations and risk at Stratos Investigations and Risk (United Kingdom). Christopher Dyess, LPC is now manager of field and LP analytics at Tailored Brands. Bruno Thomaz Carvalho is now an LP analyst at Telhanorte Tumalero (Brazil).

Siobhan Whitbread is now LP lead at The Reject Shop (Australia). Jeff Robinson, CFI is now a regional AP leader at Rite Aid. Carolyn Manick is now an area LP manager at Ross Stores.

Ani Ohanyan and Shawn Finley are now district LP managers, Debra Keough-Johnson is now a district LP investigator, and Carrie Baritsky, CFI and David Smith, CFI were promoted to field investigations managers at The TJX Companies.

Rachel Harwood is now stock loss specialist at Sainsbury’s (United Kingdom).

Hank Siemers, CFI was promoted to VP of global protection at Tiffany & Co.

William Chambers, CFI was promoted to senior LP manager and Jennifer Kellogg was promoted to district LP manager (Canada) at Sephora. Jeff Yeats was promoted to senior director of LP at Shoppers Drug Mart (Canada). Mark Elliott is now a regional LP manager at Signet Jewelers.

James Kralik is now a regional LP manager at Variety Wholesalers. Alisa Jumper was promoted to senior investigator at Verizon. Hany Bastawey, TSR, FSR is now risk and compliance associate director at Vezeeta (Egypt). Tiffany Wimbish is now a regional AP manager and Jessie Brodniak is now an AP investigator at Victoria’s Secret. Cristiane Teixeira Lopez Franco is now a regional LP manager at Videira e Região (Brazil). Eric Burgess is now director of LP at Vincente’s Supermarkets. Marc Hamilton, LPC is now senior supervisor of AP retail at Wakefern Food.

Shanna Ramirez, CFI was promoted to senior manager of AP at T-Mobile.

Rachel Keith was promoted to AML investigator ll, specialty compliance and ethics, Joyce Louis was promoted to divisional senior manager ll, environmental health and safety (eCommerce), and Adam Zenzeluk was promoted to market/total loss manager (Canada) at Walmart.

Edson Nunes is now Supply Chain and LP Director at Grupo Tapajos (Brazil).

Diana Dindial Guzman is now an AP area manager at The Walt Disney Company.

Jenn Indergaard was promoted to senior manager, national investigations center at Target.

Heather Rawlings is now an AP coordinator at Wegmans Food Markets.

Adelson Vieira Pereira is now LP supervisor at Total Express (Brazil).

Ken Hausman was promoted to director of sales at Zebra Retail Solutions.

Patrick McEvoy is now VP of AP at Saks Off 5th.

Dominique Woloch was promoted to international region head of security at Sanofi (United Arab Emirates).

Jason Gamber, CFI was promoted to director of LP at Tractor Supply Company.

Bruce Duncan is now head of risk and DPO at The Tote Group (United Kingdom). James Roberts is now LP and inventory manager at Valiram (Australia).

January–February 2021

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TODAY’S RETAIL LP LEADERS AND TOMORROW’S…

“…I have been a reader for many years now and I still continue to gain new knowledge and establish new connections because of your magazine.”*

LPM Readership LPM's primary readers are the LP management and professionals responsible for implementing, researching, specifying, recommending, and approving purchases of LP products and services.

About Our Readers

Industry Segment** Non-Retail 29%

Distribution of each print issue averages over 14,000 individuals every two months with 67% pass-along rate to 2 or more colleagues.* Plus, our extensive online presence is over 500,000 in online reach and growing quickly. The LP Magazine brand truly is the fastest growing media brand for loss prevention. Your media strategist can provide additional readership details.

14,000+

Individuals every other month

67%

Pass-along rate to 2 or more colleagues

OVER 500,000

Online reach and rapidly increasing

*2019 Annual Readership Study, September 2019; **Circulation Data; November 2020, sample of 6,577 qualified readers; ***Performance Analytics as supplied by Google Analytics

Non-Retail Management 29% Retail 71%

Other Retail Management 9%

LP/Security Management 62%

Retail Segment** Department store, mass merchandiser Discount, wholesale club, outlet, off-price Specialty apparel, footwear, gifts, jewelry, sporting goods Home center, hardware, appliances, furniture

34% 7 11 9

Drug store, pharmacy, vitamins

6

Office supplies, electronics, videos, music, books Grocery, supermarkets, convenience stores Restaurant, hospitality, entertainment

3 14

Other retail segment

13

Note: Numbers may not equal 100 due to rounding

Retail Job Function** Corporate, regional, district manager 43% Store LP manager, investigator, associate 33% DC, logistics, supply-chain, other LP manager 4% Other retail manager (non-LP) 9%

3

60% read the magazine Cover to Cover*

68% read content on the LPM website

84%

84% read the LPM daily newsletter*

53%

have direct influence on LP-related purchases within their organization*

To find out more about reaching LPM readers to support your marketing strategy, contact Ben Skidmore at BenS@LPportal.com or by phone at 972-587-9064. To download the LPM media kit, visit LossPreventionMedia.com/advertise.


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PARTING WORDS

Jim Lee, LPC Executive Editor

Thinking about This and That H

appy New Year! We all have the same wish for 2021: let’s get as close to back to normal as possible. Staying at home may have given you more time to think about this and that. So here are some “this and that” things some of my friends have sent me over the past months­—some by authors unknown and some by others. ● After loving my parents, my siblings, my spouse, my children, and my friends, now I have started loving myself. ● I just realized that I am not Atlas. The world does not rest on my shoulders. ● I now stop bargaining with vegetable and fruit vendors. A few pennies more is not burning a hole in my pocket, but it might help the poor fellow save for his children’s school fees. ● I pay my waiter a big tip. The extra money might bring a smile to their face. I figure if I can afford to eat out and it is a place you can sit, then I should be more than pleased to give a big tip. ● I stopped telling the elderly (mostly my friends) that they’ve already narrated that story many times. The story is more important than me correcting them on repeating. ● I have “almost” learned not to correct people even when I know they are wrong. The onus

of making everyone perfect is not on me. Peace is more precious than perfection. ● I am trying to give compliments freely and more often. Compliments are a mood enhancer, not only for the recipient but also for me. And a small tip for the recipient of a compliment—never, never turn it down. Just say, “Thank you.” ● I have learned not to bother about a crease or a spot on my shirt. Personality speaks louder than appearances. ● I walk away from people who don’t value me. They might not know my worth, but I do. ● I remain cool when someone plays dirty to outrun me in the rat race. I am not a rat, and neither am I in any race. ● I am learning by my emotions. It’s my emotions that make me human. ● I have learned that it’s better to drop the ego than to break a relationship. My ego will keep me aloof, whereas with relationships, I will never be alone. ● I have learned to live each day as if it’s the last. After all, it just might be. ● I am doing what makes me happy. I am responsible for my happiness, and I owe it to myself. Happiness is a choice. You can be happy at any time. Just choose to be!

January–February 2021

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Now if these were not good enough for you, how about some of what Will Rogers said? I love to read Will. Here are some of my favorites. ● Never kick a cow chip on a hot day. ● Never miss a good chance to shut up. ● If you find yourself in a hole, stop digging. ● Good judgment comes from experience, and a lot of that comes from bad judgment. ● Letting the cat outta the bag is a whole lot easier than puttin’ it back. ● Eventually, you will reach a point when you stop lying about your age and start bragging about it. ● The older we get, the fewer things seem worth waiting in line for. ● I don’t know how I got over the hill without getting to the top. ● One must wait until the evening to see how splendid the day has been. ● Long ago, men cursed and beat the ground with sticks; it was called witchcraft. Today it’s called golf. ● Finally, if you don’t learn to laugh at trouble, you won’t have anything to laugh at when you’re old. A little this and that, a little Will, and a little wish that we will all have a better and safer 2021.

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January - February 2021  

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