AP’s Growing Role in Operations
Retail Security’s Growing Role in Store Operations

By the D&D Daily staff

Retail loss prevention and asset protection teams have traditionally been measured by familiar benchmarks: reducing shrink, protecting merchandise and maintaining a safe environment for employees and customers. But as stores become more technologically complex, the security function is increasingly touching areas far beyond traditional loss prevention.

Modern retail locations now rely on an expanding network of connected systems, including video surveillance, access control, electronic article surveillance, alarm systems, smart safes, environmental sensors and other Internet-connected devices. Keeping those systems operating effectively is becoming an important part of protecting the store itself.

That shift is giving some AP and security teams a broader operational role.

A malfunctioning camera, for example, isn't only a security concern. Video may also be used to investigate workplace incidents, verify customer claims, review safety events or provide insight into store operations. Access control systems can similarly affect everything from employee entrances to stockrooms, offices and other restricted areas.

The growing use of remote monitoring is also changing how retailers manage their physical locations. Centralized security teams can increasingly receive alerts, review video and assess potential issues without immediately dispatching someone to the store. Sensors can flag open doors, unusual activity or equipment conditions, while integrated platforms can bring information from multiple systems into a single view.

For LP and AP leaders, the challenge is making sure technology actually delivers the value retailers expect from it. That means considering system reliability, employee training, maintenance, cybersecurity and how effectively different technologies communicate with one another.

It also requires closer cooperation with departments such as IT, store operations, facilities and safety.

As retailers continue investing in connected stores, the lines separating security from other operational functions are likely to become less distinct. The result may be an expanded role for asset protection — one focused not only on preventing losses, but also on helping retailers maintain safer, more resilient and better-managed stores.


Their Work Is Essential - But Is It Overlooked?
Nearly 70% of Frontline Workers Feel Replaceable, Even as Most Take Pride in Their Work

A Fountain survey of 1,014 U.S. frontline workers finds a committed workforce ground down by unpredictable schedules and too little control over their time.

America's frontline workers take pride in their work, but they don't feel seen doing it. Seventy-seven percent are proud to tell people what they do, 68% say their manager regularly or sometimes asks for their input, and 63% feel respected by the customers they serve.

Yet many feel their contribution goes unrecognized. Forty-seven percent say frontline workers are underappreciated given how essential they are to the economy, 56% say most people have no idea how stressful the work really is, and 69% feel at least somewhat replaceable.

The report reveals a portrait of a committed, capable workforce that feels overlooked by the wider public and by a hiring system that too often runs on everyone's schedule but theirs.

The friction is about time and control

Ask frontline workers what wears them down, and they’ll tell you it isn't the work, but rather the lack of control around it. Their biggest day-to-day frictions are unpredictable, last-minute schedule changes (41%), no clear path to advancement (31%), and having little say over when and how they work (30%).

Left unaddressed, this all takes a toll: roughly one in four feel pessimistic about the future of frontline work in America.

Where technology can help

In the survey, frontline workers expressed optimism about the role technology plays in the workplace. And while there is robust debate about the impact of AI technologies on jobs, frontline workers expressed more openness to accepting it when it works for them. Forty-five percent say technology has already made their day-to-day job easier, and their willingness to accept it climbs sharply when it hands them control: scheduling is the task they're most comfortable letting AI handle.  businesswire.com


Preparing Stores for OSHA Inspections
High-Hazard Retailers: Are You Prepared for an OSHA Inspection?
The safety of warehouse workers is a topic of national concern. As the industry has grown, heightened production expectations for warehouse workers could exacerbate potential health and safety hazards such as overexertion, heat, trips and falls, and falling objects. On May 2, 2024, four United States Senators introduced the Warehouse Worker Protection Act (WWPA). This bill is the latest in a line of legislative and administrative efforts to protect warehouse workers. Provisions include a requirement for providing warehouse workers with written notice of productivity requirements and, in specific cases, a written explanation of how an employee failed to perform.

Even if the bill does not pass, employers that operate warehouses or warehouse-like storage facilities—including certain retailers—should maintain a heightened awareness of health and safety concerns in warehouses and remain vigilant regarding the latest regulatory and industry standards.

In particular, employers should be aware of an ongoing Occupational Safety and Health Administration (OSHA) initiative. In 2023, OSHA kicked off its National Emphasis Program (NEP) on Warehousing and Distribution Center Operations (the “Warehouse NEP”). The terms “Warehousing” and “Distribution” should be viewed with caution. Many retailers, like grocery stores, home centers, and warehouse clubs may not realize that they are on OSHA’s list - literally.

The NEP specifically covers “high-risk” retail establishments, which include home centers, hardware stores, building material dealers, supermarkets and grocery stores, and warehouse clubs and supercenters. Despite the higher incident rates of employee injuries in these sectors, many retailers may not have occupational health and safety programs that are as robust as those in some other industries.

When OSHA visits high-hazard retailers, it is looking for common hazards related to forklifts, material handling and storage, walking/working surfaces, means of egress, fire protection, heat, and ergonomics. Under the NEP, OSHA is supposed to limit inspections to just the loading and storage areas of covered establishments; however, the inspector might investigate other hazards identified during their visit. There could be “plain sight” violations, or inspectors might learn about potential hazards through employee interviews and record reviews. Thus, retailers with quasi-warehousing operations would do well to self-audit their safety protocols in advance of a potential OSHA inspection. dentons.com


Economic Headwinds Boosting Dollar Stores?
Dollar stores gain as Americans stretch budgets

Dollar General and Dollar Tree both reported second quarter increases in average ticket and traffic amid a tough macroeconomic backdrop.

The CEOs of both major U.S. dollar stores on Thursday said consumers were focused on “value and affordability” in the second quarter — a dynamic benefiting Dollar General and Dollar Tree’s earnings.

Dollar General’s Q2 net sales jumped 5.2% year over year to $11.3 billion, according to a company press release. Its 3.5% same-store sales increase reflected a 2% increase in traffic and a 1.5% increase in average transaction amount. The company’s earnings exceeded its own expectations even before considering the benefit of tariff refunds, CEO Todd Vasos said in a statement.

Meanwhile, Dollar Tree reported total sales grew 7% year over year to $4.9 billion. Same-store sales increased 3.7% due to a 3.3% jump in ticket and a 0.4% increase in traffic.

Heightened gas prices particularly benefited traffic to Dollar General, which has a stronghold in rural communities across the country. That benefit is expected to continue lightly across the year as gas prices remain somewhat elevated, Saunders added. retaildive.com


Consumer sentiment falls in August on inflation, buying power concerns

Build-A-Bear fires chief growth officer as earnings, sales fall; opening 50 stores


Last week's #1 article --

Retailers Look Beyond Traditional Shrink
Why retailers are moving beyond shrink to measure total retail loss

At NRF PROTECT 2026, loss prevention leaders discussed how total retail loss helps retailers identify and address risks before they affect profitability

Profit erosion no longer solely sits on a shelf in a retail store. Profit loss shows up in ecommerce fraud and lost sales, supply chain theft and discrepancies, across operational breakdowns and broader elements of enterprise risk. As retail organizations have evolved into blended channels and converging environments, a shrink percentage focusing on physical store loss is a limited indicator of total loss. Retailers are increasingly using total retail loss frameworks to measure these interconnected forms of risk across the enterprise.

Why shrink is no longer enough

At NRF PROTECT 2026, retail leaders and industry experts across various educational sessions discussed the value of total retail loss — a framework that measures loss across retail operations, including theft, fraud, inventory inaccuracies, supply chain disruptions and other operational risks that affect profitability.

A traditional shrink metric still has value, but against today’s retail environment it is increasingly limited. Shrink calculations differ from company to company. Certain areas of loss outside of retail stores may not be calculated. Even sales volume can result in an inaccurate accounting for loss.

Shrink is a lagging indicator — useful for describing what happened, but not ideal to determine where losses are building, where controls are weak or preventing loss before it reaches the profit and loss statement.

A broader view of retail risk

Total retail loss models shift the focus and benefits functions across the entire retail business. It can surface theft patterns, inventory inaccuracies and operational compliance in retail stores. It can connect sales and return thefts and anomalies with transactions occurring between stores and ecommerce activities.

TRL metrics can identify supply chain issues across multiple distribution points, helping to identify and determine issues that may rest with third-party logistics, last-mile delivery or within internal distribution channels. Total retail loss provides a broader view of loss and supports strategic decision-making to curtail future loss.

Connecting loss to business performance

Suni Shamapande, principal at PricewaterhouseCoopers, spoke of the need to change the narrative around loss as a panelist on a session on transforming LP/AP to meet today’s retail complexity. “C-suite conversations are driven by metrics such as P&L impact, margin improvement and operational efficiency,” he said. “Total retail loss is a stronger platform for asset protection to speak in those terms and demonstrate how loss insights shape enterprise priorities.”  nrf.com