Top Takeaways From NRF Protect
By Erin Harris, Editor-In-Chief, Cell & Gene
Follow Me On Twitter @ErinHarris_1
September 2016 Innovative Retail Technologies
A Q&A With Erin Harris
If we learned anything from NRF Protect 2016, it’s that the role of loss prevention professionals has evolved significantly in order to protect companies’ people, profits, and brands.
NRF Protect 2016, held in Philadelphia in June, served up insightful education to the loss prevention and asset protection community in retail. I caught up with a few of retail loss prevention’s best and brightest for their top takeaways from the show. Here’s what they shared.
David Shugan, CFI, senior director of loss prevention, Carter’s:
NRF Protect 2016 was another year of successful educational growth, networking, and leadership development. From keynote speakers, council meetings, and the exhibit/vendor hall, we all left Philadelphia as better loss prevention professionals.
From my perspective, the key takeaways were the challenges associated with EMV financial changes, active shooter/ terrorism in the workplace, and the use of technology to protect the brand.
Let’s start with EMV. Chip and signature is not the answer! Chip and PIN is a must. As an industry, we must influence the financial industry and legislative teams and push for Chip and PIN.
The next actionable item is our people. Active shooter and domestic terrorism have changed the way loss prevention professionals protect and live. Plans of preparation are more critical today than ever before. In his Keynote address, Ted Koppel stated, “Terror is designed to get a stronger person to overreact!” We can’t overreact — we must plan, practice, and educate. We must be ready. Losing this battle is not an option.
"Active shooter and domestic terrorism have changed the way loss prevention professionals protect and live."
David Shugan,
CFI, senior director of loss prevention, Carter’s
Lastly, technology has changed the way we protect. Exception-based reporting has been enhanced, video and inventory analytics have become the norm, and we have fully integrated predictive modeling to ensure we stay closer to understanding how losses occur before they occur.
Specifically, I left Philly with a clear understanding of what I need to do to accomplish and improve my ability to protect our people, our assets, and our brands. It is an amazing time to be a loss prevention professional, and our industry has amazing leaders with whom to share ideas.
Chad McIntosh, VP of asset protection and risk management, Bloomingdale’s:
As I attended NRF Protect this year I was struck by a few things, each of which illustrates how far a profession I love has come and how much the dialogue at our annual conference has changed. The conference began with two amazing events — Executive Afternoon and the Emerging Leaders Boot Camp. The Executive Afternoon exposed loss prevention leaders to General Michael Hayden, the ex-CIA director, and his viewpoint on terror challenges we face today both as a country and as business people. The Emerging Leaders Boot Camp is a perfect opportunity to expose your rising stars to other leadership viewpoints that will expand their understanding of what it means to be a part of our profession. My recommendation is to let your stars know how much you appreciate them and send them to NRF Protect next year. When you look at the content beyond Day 1, you realize that our sharing has moved from article surveillance, shortage reduction, and camera programs to zones of influence, social media, and terrorism/ active shooters. Being informed and aware of events impacting your business and/or those events headed in your direction are critical for today’s loss prevention executives to protect their brand. While shortage reduction and profitability are important to all of us, nothing is more important in today’s world than ensuring your associates and customers are safe and sound.
"My recommendation is to let your stars know how much you appreciate them and send them to NRF Protect next year."
Chad McIntosh
VP of asset protection and risk management, Bloomingdale’s
Joseph LaRocca, founder of RetaiLPartners, and former VP of loss prevention for the National Retail Federation:
The results from the National Retail Security Survey were alarming. Shrink averaged 1.38 percent of retail sales, or $45.2 billion in 2015, up by $1.2 billion from 2014. Shoplifting accounts for the greatest cause with an average loss of $377 per incident (39 percent), up nearly $60 from 2014. This is the second year in a row external causes were cited above internal causes. I believe changes in shoplifting laws, such as Prop 47 in California, and increased organized retail crime (ORC) activity are directly responsible.
"Retail leaders must take an active role, in partnership with state associations, to challenge legislators."
Joseph LaRocca,
founder of RetaiLPartners, and former VP of loss prevention for the National Retail Federation
Retail leaders must take an active role, in partnership with state associations, to challenge legislators. We need tough ORC laws and to prevent restorative justice efforts from degrading the law enforcement resources designed to deter and investigate retail crime cases.
Regarding active shooter/terrorism, I’m concerned that only half of the industry has a program in place. Given the fact there are so many resources available as a model, responding to an imminent threat (i.e., gun shots) should be given the same importance as fire or earthquake planning.