23 minute read
SOLUTIONS SHOWCASE
SOLUTIONS SHOWCASE ALPHA
Do You Know Where Your Luxury Handbag Is Right Now?
At 1:42 p.m., the loss prevention manager for a luxury retail store received an alert on her smartphone. A $500 designer handbag was on the move. The notification on the screen clearly showed the item had left the designated handbag zone and was heading toward the emergency exit. The fact that the LP manager was able to monitor activity in real time and respond immediately kept the retailer from incurring a big hit to its bottom line. In fact, this particular retailer had been using Checkpoint’s S3i technology for several months and as a result had not seen a single loss of protected merchandise during that time.
S3intelligent (S3i) is a scalable, wireless, real-time locationing system that provides retailers with valuable intelligence, including item-level asset locationing, security, and real-time event captures for high-value merchandise. Retailers are able to secure and openly display high-risk merchandise, such as luxury or designer handbags, apparel, and accessories, as well as electronics and more, improving the shopping experience and increasing sales.
Several retailers are seeing extraordinary results as they use S3i to create zones around specific high-risk merchandise and around areas such as backrooms, fitting rooms, restrooms, and exits. They are now able to detect and deter shoplifting, organized retail crime events, and employee theft—in real time.
How Does S3i Work?
Alpha’s S3 solutions such as CableLoks®, hard tags, and Spider Wraps® are outfitted with S3i technology, securing the merchandise while also giving the ability to let retailers know exactly where their merchandise is and what is happening to that merchandise, exactly when it happens. Any attempt to remove the device or move the merchandise out of or into designated zones creates an immediate alert that allows store personnel to react immediately. These audible or visible alerts can be delivered to associates via smartphones, tablets, computer, radio headsets, or PA systems.
Intelligence You Can Use
Besides offering LP, corporate management, and store operations immediate visibility to all of the store’s high-value merchandise protected with S3i devices, S3i provides detailed analytical reports that help retailers understand store and merchandise activity. Specific reports can be customized based on each retailer’s needs, and these informational dashboards are easily accessed on the S3i live portal via smartphone, tablet, or computer.
According to Uwe Sydon, senior vice president of innovation at Checkpoint Systems, “We’re taking security to a whole new level, going beyond loss prevention to reduce out-of-stocks, improve the shopper experience, and put real-time intelligence in the hands of the retailer. With S3i, the ability to reduce theft of luxury or high-value merchandise while collecting actionable retail intelligence just got easier.”
Innovation That Never Stops
We are committed to solving challenges and providing innovative solutions that target shrink and out-of-stocks while improving merchandise availability and profits. For more information on S3intelligent or any of our other solutions, go to alphaworld.com or call 888-257-4272.
SOLUTIONS SHOWCASE DETEX
A Greater Level of Protection for Retail Applications
Detex Corporation offers a new maximum-security, life-safety, door-hardware system designed for retail. Installed on doors that require higher levels of security, these extra-tough hardware systems are scalable to provide the level of security that matches a retailer’s specific needs.
Certain maximum-security and retail applications require a combination of components, and Detex features a range of hardware designed specifically for the job. In addition, Detex provides complete systems that efficiently meet more complex application requirements.
Retail customers can select the exact combination of components that suit their particular applications and know
that the components will integrate easily with each other and function well as a system.
Withstands 16,000 Pounds of Pull Force
At the core of the system and built to withstand the most aggressive attempts to break through rear doors, the ECL-230X-TDB maximum locking strength multi-point panic hardware is engineered with an extreme-duty, triple-bolt design that withstands 16,000 pounds of pull force. Single- and double-bolt and weatherized models are available.
Additional components include V50 and 20 Series Vertical Rod Exit Devices for dependably tough protection on double doors, as well as Detex Door Prop Alarms, battery-powered or wired, designed to sound a warning when exterior doors are propped open by personnel.
“Considering the configuration of your retail set-up, Detex can provide a choice of security hardware systems that are very powerful deterrents,” said Ken Kuehler, director of marketing and sales at Detex. “Once we talk to you about your requirements, we can help you tailor a combination of hardware that works together to function dependably in a panic situation, while raising your protection level in high-risk areas.”
US Made for More than a Century
For more than a century, Detex has earned the trust of architects and owners who rely on Detex products for the life safety and security of people and property. A US company, Detex designs, manufactures, markets, and ships products from New Braunfels, Texas.
Detex is known internationally for life safety and security door hardware, loss prevention and architectural hardware, integrated door security systems, and guard tour verification.
To learn more about our retail security systems, email marketing@detex.com or visit detex.com.
SOLUTIONS SHOWCASE BEST SECURITY INDUSTRIES
New vs. Certified Pre-owned EAS Systems Worth a Closer Look
By John Gantenbein, President, BSI
As a former, long-time loss prevention executive, I have seen my fair share of technologies come and go and have worked with a number of solution providers throughout the years. Having more than thirty years of progressive loss prevention and retail security experience, I have held senior executive positions at Macy’s West, Marshall Field’s, Dayton’s, and Hudson’s department stores. John Gantenbein During this time, I was responsible for overseeing shortage programs, compliance audits, staffing, budget, apprehension policies, civil recovery, and major investigations among other things. In addition, one of my primary responsibilities was evaluating and making procurement decisions on various technologies to help the companies that I worked for effectively protect company assets.
Today’s loss prevention executives have a wider and more robust array of technologies available to them. Along with the technology selections out there, the procurement process is changing at many retail chains. A recent survey conducted by LP Magazine found that while loss prevention executives remain the primary decision maker when it comes to LP-related purchases at 63 percent, procurement is emerging as a strong influencer. This dynamic introduces into the equation not only the quality and effectiveness of the technology, but the cost to deploy also plays a more prominent role. Taking into account some of these new dynamics, what are some considerations loss prevention executives should take into account when making technology decisions?
For the first time in its 24-year history, the National Retail Security Survey conducted by the University of Florida found that external theft, which accounts for shoplifting and organized retail crime, outpaced internal theft. So let’s focus first on electronic article surveillance (EAS), a long-standing staple in many LP programs. This technology is proven to be effective in countering external theft when there is a solid set of processes and procedures established behind it and adhered to at the store level.
Future-Proofing Your EAS Investment
Retailers have spent millions of dollars over the years to build and maintain their EAS infrastructures. Most embarked on a very thorough vetting process before selecting the technology that worked best in their environment and best for their product mix before making a decision and deploying the systems, whether that be AM- or RF-based. Once the decision and investments were made, how do you ensure that you add some level of future proofing to that decision? That is when you should ask yourself if buying new or pre-owned certified systems and components make the most sense. Both have their merits, and many times the answer is a combination of the two.
Let’s take a look at a couple of different scenarios. You have invested in a chain-wide implementation of a certain brand and model of EAS when the original equipment manufacturer, for a variety of reasons, discontinues the model and subsequently the
Retailers have spent millions of dollars over the years to build and maintain their EAS infrastructure. Once the investments were made, how do you ensure that you add some level of future proofing to that decision? That is when you should ask yourself if buying new or pre-owned certified systems and components make the most sense.
SOLUTIONS SHOWCASE BEST SECURITY INDUSTRIES
support of those systems. You could replace the infrastructure with newer technology that comes with a fairly significant capital expenditure, or you could look for an organization that provides pre-owned, certified systems that meet the original specifications to supplement your existing investment. An important factor behind this decision is to ensure that these systems come with a warranty of their own. While pre-owned systems typically do not fall under the capital investment category at most companies, they can deliver significant savings and/or leverage your equipment budget and extend your ROI to the organization.
Another area where pre-owned, certified or repaired and refurbished components may make sense is in the area of accessories to the existing technology such as tags, deactivators, or detachers. Remember to look for a guarantee that these components will work with your current EAS systems with the same level of performance as new ones.
The Case for New Equipment
So what about the case for new equipment purchases and the factors behind those decisions? Obviously, the first question to ask is whether there is a capital budget approved for switching out the existing infrastructure for new technology?
Some of the factors that may weigh into this option are the need for advanced features available in newer technologies to support your company’s strategic and tactical plans. Another option may be to implement a phased approach between new and certified, pre-owned systems. As new stores are opened or existing ones renovated, new models of EAS that are compatible with the existing infrastructure can be deployed as long as the other components of the EAS system are compatible as well, particularly as it relates to tags and labels.
Refurbished Equipment
Another option that is available to retailers and oftentimes overlooked is the ability to refurbish their existing inventory and warehouse it until needed at the next location. It is not uncommon for companies to close or relocate stores to remain competitive. BSI offers a unique service in the industry where we will uninstall your EAS systems; repair or refurbish your systems, tags, deactivators, or detachers; and hold them in inventory for you until you need them again.
For those retailers who do not perceive the need to hold the used equipment in inventory, BSI will also offer to buy back the EAS inventory or trade it in for newer systems. BSI is always looking for used EAS technologies that it can purchase from retailers who no longer need the systems and components. This is just one more way that retailers can extend the investment they made years earlier and help the overall industry access legacy solutions that it may need to complement existing infrastructure.
Video Solutions
Many LP executives don’t realize that BSI also has a strong reputation for engineering highly effective video solutions across many of North America’s leading retailers. We partner with best-of-class product manufacturers to ensure each installed system is “fit-for-purpose” based on individual needs. Our specialty is in analog-to-IP phased upgrades as well as design and installation of new, high-end IP solutions. We also offer a full range of video analytics that can be used not only for fine tuning your loss prevention programs, but also to help with merchandising, staffing, customer intelligence, and a whole host of other applications.
The BSI Advantage
Our leadership team is comprised of seasoned former LP individuals from the retail and solutions provider industries who understand the requirements and challenges faced in the business. Our customers benefit from our experience helping to ensure their success.
Here at BSI, we offer the broadest range of EAS tags, systems, and related product offerings in the retail marketplace by offering both certified pre-owned EAS and BSI private-label AM/RF EAS options. Our product and service portfolio also includes EAS installation, deinstallation, inventory and logistic depot support, equipment repair, equipment buy back and/or trade in, design consulting, and equipment leasing options along with our state-of-the-art video solutions.
Today’s retail loss prevention executives have a number of options that were not available in the past, and all of them are worth a closer look before deciding which path best suits the retailer’s individual needs. So, isn’t it time to take a closer look at BSI?
SOLUTIONS SHOWCASE DIGILOCK
Lockup by Digilock Reduces Shrink and Contributes to Retail Profitability
As a manufacturer of electronic locks and lockers, Digilock® is thriving in the security solutions industry expanding beyond the traditional security markets into securing personal belongings. The evolution of Digilock’s product offerings is driven by the market demands for personal security.
In 1992, the company was the first to introduce a keyless electronic lock for cabinets and lockers. Today, manufacturing electronic locks is one of the fastest-growing segments of the security and access-control marketplace. IHS, a global information company, forecasts that the global market for electronic locks will exceed $1 billion in 2015.
Why Is Fighting Shrinkage Challenging?
The importance of loss prevention is a major topic of discussion across the retail industry these days. One of the latest retail security surveys stirred another round of magazine publications and social media posts regarding the reasons of the increase of the so-called “shrinkage.” According to the 2015 National Retail Security Survey, conducted by the National Retail Federation and the University of Florida, two main culprits are shoplifting and employee theft. As Oscar Wilde said, “I can resist anything but temptation.”
“The average loss for internal theft is nearly five times that of shoplifting,” says Los Angeles Times editor Nick Shively in his article. Dr. Richard Hollinger, a criminology professor at the University of Florida, who leads this annual study, pointed out during a Q&A with Los Angeles Times reporter James F. Peltz, “There is no form of property crime in America that adds up to $44 billion a year. Bank robberies, household burglary, auto theft, none of them. In fact, if you add all of those up, they don’t get close to $44 billion a year.”
Another study, The Global Retail Theft Barometer™ report, was carried out in 2014 by Checkpoint Systems, which teamed up with The Smart Cube and Ernie Deyle, a retail loss prevention analyst. It was conducted in twenty-four countries among 222 retailers representing $744 billion in sales in 2013. The lowest shrink rates were recorded in Norway (0.83 percent of retail sales),
and the highest rates were recorded in Mexico (1.70 percent) and China (1.53 percent). The United States came in at 1.48 percent of retail sales. With the evolution of loss prevention techniques, retailers have been able to reduce shrink as a percent of sales; however, the actual dollar loss due to shrink continues to grow according to Alan Fanarof, retail practice head ANZ, Cognizant.
To reclaim lost revenue, retailers are using different means to develop employee awareness about the vital importance of loss prevention. The most common way is to perform extensive new employee background and references checks and to communicate conduct guidelines during the new employee training, focusing on the severity of the employee theft issue and its consequences. Another approach is to continuously work on developing good relationships with employees. Companies with the lowest turnover rates have the lowest internal theft rates.
SOURCES OF SHRINKAGE IN Sources of Shrink in RetailRETAIL
Unkown, 6.1% Vendor Fraud, 6.8%
Administrative Error, 16.5% Shoplifting, 38.0%
Employee Theft, 34.5%
Statistics from 2015 National Retail Security Survey
SOLUTIONS SHOWCASE DIGILOCK
Although most stores have a strategy in place to fight shrinkage, the statistical research shows that, despite all the retailers’ efforts, the industry has hit a plateau in the fight against shrink. According to FBI reports, employees’ theft is the fastest-growing crime in America. Now the dilemma emerges—how to stay ahead of the curve and prevent shrink in stores, while providing secure storage for employee belongings. As the saying goes, “Where there’s a will, there’s a way.”
How Lockup Solution Works to Combat Shrink
Employee merchandise theft that does not involve a cash register is difficult to identify because you have to catch it in the act. It is much easier to proactively prevent this kind of theft than to deal with it after it has already happened. What proven methods empower stores to dramatically curb retail shrink? Digilock’s patented technology and responsiveness to market demands is ensuring security simplified® with an out-of-the-box approach that allows a locker to be always available for each employee to secure belongings. Options include a clear polycarbonate door giving store managers the ability to see the contents inside the employee lockers, contributing to internal theft prevention. The procedure is simple: store employees gain access to their lockers with the entry of a four-digit keypad code, and the store management controls and audits the lockers by using an electronic manager key.
Lockup® delivers a top-of-the-line employee locker complete with the security of a shared-use keypad lock. The locker is manufactured from heavy-gauge powder-coated metal to withstand heavy use in demanding environments. It is delivered ready-to-use, fully assembled with pre-programmed electronic keypad lock. Lockup locks are designed specifically for retail employee use, where multiple shifts are scheduled throughout the day. This shared-use technology allows employees to occupy one locker during their shift, and once vacated, the locker is available for another user. The electronic manager key permits locker audits and provides external power for locks. Lockup offers retailers a cost-competitive solution for secure personal storage and a shrink-reduction plan.
Digilock, committed to developing new products that are driven by customer demands, created a perfect loss prevention solution for retail environment—Lockup—to add to the holistic loss prevention strategy and to enforce the traditional loss prevention activities. Lockers enable store management to take proactive steps to ensure merchandise is not lost.
Contact us at 707-766-6000 or sales@digilock.com for a free demo locker and learn why Lockup is the preferred employee locker choice among retailers. Or visit us online at lockup.com for more information.
SOLUTIONS SHOWCASE USS
Analog-to-IP Migration Solved the Most Logical Way
By Gerald Becker
How do you solve a major problem for a whole industry? By listening. Most LP teams around the country are either considering or actively trying to implement an enterprise IP video system. But the two persistent problems that keep popping up for everyone are cost and complexity.
In talking to retail LP teams, this is what we typically heard: “For new stores we are going with full IP, but we still have a lot of old stores that are on analog. We don’t want to rip out those systems because they work. So how do we incorporate them into this new enterprise IP system without going through a whole retrofit?”
Until just a few months ago, there were only two ways of doing it. One was by deploying a proprietary hybrid system, and the other one was by incorporating encoders and switches.
A stand-alone hybrid solution relies on a device that can process and record both analog and IP in one unit. The biggest advantage is that these devices are plug-and-play. The biggest disadvantage is that they always use proprietary technology, so you become locked into that manufacturer’s ecosystem of products. You cannot uninstall their video management software (VMS) to try a new one, and you can only choose from a limited number of compatible hardware devices.
The second way to migrate to IP was to use encoders, which was more typical. These are devices that digitize analog signals. You connect your existing analog cameras to an encoder; the encoder connects to a switch; and the switch then connects to your server and your network. The biggest benefit of this approach is that you are not tied to a proprietary solution. The disadvantages—you now have to manage multiple pieces of equipment; you have multiple points of failure; and you will incur higher labor costs.
A Real-World Case
Here is a real-world case. One of our retail partners has eight analog cameras per store. Going IP for them involves using two four-channel encoders, which they tell us take up to an hour each to install. The switch is installed next, taking another thirty minutes, and then the server, adding thirty minutes more. The total installation is three hours, sometimes four, and they have to use higher-paid computer networking technicians instead of regular installers they used for basic analog.
With our new platform, NDVision, we set out to solve all these common problems and deliver a simple, cost-effective solution.
One Unit. First, we eliminated unnecessary hardware. The NDVision appliance encapsulates all of the encoding and switching technology in just one unit. This eliminates multiple points of failure and greatly simplifies the management of the system.
Open Architecture. Second, we built it on open architecture so that retailers can chose from different VMS options. If your organization has already picked a particular video management software, we can load it onto the NDVision appliance, so you can grow your video system the way you want. If you wish to change the VMS in the future, there’s no problem. You can simply uninstall the old one and install the new one without purchasing any new hardware.
Plug-and-Play. Third, we made NDVision literally plug-and-play. Everything is preconfigured and automatically loads when you fire it up. The encoder within the device automatically initiates when Windows starts up; it automatically sees the analog cameras connected to it; and the pre-loaded software automatically sees the encoder and starts recording. This brought the installation time from between three and four hours down to only fifteen to thirty minutes. And because it is so simple, NDVision does not require specialized technicians to install it, which translates into lower labor costs.
An Elegant Solution
What NDVision now delivers is what LP teams have been looking for all along—the functionality of an enterprise IP system using the analog equipment that’s already in place. Budgets are protected. The useful life of legacy equipment is extended. And the system is actually easy to deploy and manage. That’s what happens when a partner listens. And solves. And delivers.
Gerald Becker is Chief Product Officer at USS. He is known industry-wide for his expertise in deploying digital video management solutions on a large scale in both the private and public sector. Becker holds multiple patents for physical security innovations he developed. He earned an MBA in information systems from the University of Redlands and a Bachelor of Science degree in technical management from DeVry University.
SOLUTIONS SHOWCASE TURNING POINT JUSTICE
One of the most intriguing features of the Turning Point Justice (TPJ) partnership with the National Association for Shoplifting Prevention (NASP) is NASP’s consistent, even stalwart, focus on its mission as a non-profit organization to reduce shoplifting in our nation. Two of the key components of that mission—to “raise public awareness about shoplifting” and “deliver needed programs and services to reduce its occurrence”—are clearly evident in NASP’s long advocacy of the idea of a community action plan for shoplifting.
Based on its work in the criminal and juvenile justice system dating back to 1977, NASP is a staunch advocate of the need for “coordinated community action” against shoplifting. NASP contends, and TPJ agrees, that confronting and addressing shoplifting at every level—from retailers to the courts and at every touch point in between—serves retail, law enforcement, and criminal justice by holding more offenders accountable using consequences that are immediate, consistently applied, and proportionate to the offense. But the best promise of this plan lies in ensuring that stakeholders—including the offender—invest resources and reap benefits in equal measure.
The result of our partnership is the Crime Accountability Program (CAP) for shoplifting, which is a technology-facilitated collaboration between retailers and criminal-justice agencies designed to save both private and public resources and help stakeholders act in concert to address their individual and collective pain points with shoplifting.
As a result, CAP consistently reduces calls to police, collects increased restitution for retailers, saves loss prevention team time and resources, holds offenders accountable for their actions, and provides the offense-specific education needed to ultimately reduce repeat offenses. CAP has reduced calls to police by 55 percent on average and increased overall restitution collection for retailers up to 60 percent or more.
How the Crime Accountability Program Works
CAP is a one-time opportunity for offenders to participate in an alternative program rather than follow the traditional path to court. Through TPJ’s cloud-justice technology, detainees are screened based on eligibility and qualification factors set jointly by the retailer and police. The technology also screens for and tracks repeat offenders, organized retail crime professionals, and other known offenders across jurisdictions.
CAP is wholly offender-funded. However, to ensure that no offender is denied access to the program based on their ability to pay, CAP provides an option for indigent offenders. Initially funded by a grant from TPJ, the CAP Indigence Fund is managed by NASP and perpetuated by participating retailers’ voluntary pledges of a portion of CAP restitution.
Upon apprehension, the technology guides agents through the reporting process step-by-step, maintaining consistency and focus on building prosecution-worthy and liability-resistant incident reports at the time of apprehension. This detailed reporting is a critical first step in maximizing program benefits both at apprehension and throughout the downstream process.
CAP case report preparation is more comprehensive than many case management systems, giving the retailer the opportunity to provide greater value to the local police and prosecutors. The investment in a single, complete, accurate, shareable, and prosecutable report is designed to: Reduce calls to police and improve police and community relations, Minimize detention time and standardize both offender interaction and reporting, Reduce downstream HR costs associated with preparing and filing reports, delivering evidence, filing affidavits, providing additional witness statements, and making court appearances, and Reduce retailer liability from offenders seeking to exploit loopholes in case reports and in the system.
Managing Services for Retailers
CAP education, case management, and restitution collection services are provided by NASP, a 501(c)(3) educational organization that provides the same services to courts in forty-nine states nationwide. NASP employs the same offense-specific programs and proprietary techniques it uses to manage cases for the court system on behalf of retailers. NASP’s offender services help: Maximize collection of retailer restitution and CAP fees, Promote education program compliance by participants to minimize repeat offenders for retailers, Provide student, parent, and family support services needed to reduce liability, and Ensure proper understanding of the retailer’s program offer for participants and their advisers.
For more information on TPJ, NASP, and the Crime Accountability Program, visit turningpointjustice.com or shopliftingprevention.org.
