There is certainly quite a big loss in retail industry each year. Based on statistics, the retailers are burning over $36 Billion annually. The loss in retail industry is seriously affected with theft. Whether it be from external sources, for example, shoplifting, or by means of internal staff theft, a retailer without a sufficient loss prevention function will incur larger loss than a retailer who practices a well organized approach to targeting loss.
The retail market should have and cultivate a well organized and effective loss prevention program no matter what company size and should offers a strategy that will concentrate on the prevention, detection and resolution of loss.
Loss Prevention Program will give you any retailer the ideal opportunity to encourage an environment of profitability and prevention. This program should have pillars on awareness, conformity, prevention, detection, investigation and resolution.
As a perception, this program should work in combination with a pure approach to loss prevention. Considering beyond theft and error, a robust loss prevention function should also pay attention to margin erosion, supply chain management and other areas that can cause profit loss.
Loss Prevention is a matter of culture that needs to be cultivated in the company from top management to the bottom staff. It is a fact that everyone should understand and be trained on loss prevention culture, if the company is losing, each of staff in the company is losing at the end.
It is never too late to build a loss prevention culture in the business. We always ignores the losses, however if we sum all of them statistically, we will see how much we are losing, and believe me it is huge. You cannot stand for losing in the long run. You have to take meausure before it is too late.