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4/9/18

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The D&D Daily's Live in NYC at the NRF Big Show Reception - Jan. 16th

Honoring the NRF LP Council

Leading & Developing the LP & AP Community & Helping Keep America's Stores Safe & Secure

Front Row, Left to Right:
Tony Caccioppoli, VP, Corporate Asset Protection, Hudson's Bay Company
Eliot Green, Director, AVP and National Investigations The TJX Companies, Inc.
Steven Bova, Director, Asset Protection, Taco Bell
Dan Faketty, VP, Asset Protection, Southeastern Grocers; and Chairman of the NRF LP Council
Chad Mcintosh, VP, Loss Prevention & Risk Management, Bloomingdale's
Jim Cosseboom, Manager, Investigations & Corporate Security, Ahold USA, Inc.
Gabe Esposito, Director-Security, Loss Prevention & Business Continuity, Verizon Wireless
Don Rufo, Senior Retail Investigations Manager, Global Security, Microsoft Corporation
Kevin Colman, Group VP, Asset Protection, Macy's

Middle Row, Left to Right:
Sean Bennett, Director, Loss Prevention, Tory Burch LLC
Van Carney, National Director of Safety and Loss Prevention, Domino's
Megan Curtis, Executive Director, Global Loss Prevention & Safety, Disney Consumer Products, Inc.
Rosamaria Sostilio, Vice President, Loss Prevention, Barnes & Noble, Inc.
John Velke, SVP, Risk Management, Total Wine & More
Bert Flores, Director, Loss Prevention, Express Inc.
Robert LaCommare, Vice President Asset Protection and Safety, Ascena Retail Group Inc.
Robert Moraca, VP, Loss Prevention, NRF

Back Row, Left to Right:
David Johnston, Sr. Director, Loss Prevention, Dunkin' Brands Inc.
Gregg Smith, Senior Director of Asset Protection, Five Below
Steve Welk, Director, Loss Prevention, Barnes & Noble College Bookstores, Inc.

Honoring the NRF LP Council

For well over 25 years, the NRF’s LP Council, comprised of over 40 senior Loss Prevention and Asset Protection executives, has been focused on elevating, developing, and inspiring this industry. And while the faces have changed from generation to generation, their mission and commitment has never faltered. If anything it’s gotten stronger – which is reflected in the growth and attendance of their signature event – The NRF Protect Conference.

Over the last 34 years, conference attendance has grown over 650%, averaging 19% yearly. Which is a number every retailer would love to see.

As everyone knows growth, and especially at 19% a year, is a direct reflection of the product it delivers and the leadership that drives it, with the main, most visible product, being the Protect Conference and its sub entities within it. Such as the content of the sessions, the educational value it drives, the industry recognition and awards, the focus on legislation and ORC and the importance it places on diversity and women in loss prevention.

For the last 13 years, the NRF has had some great leadership in Joe LaRocca and Bob Moraca and supporting them is the Council itself and the Chairperson leading the group.

They’ve had some great people on the council over the years and some fantastic Chairs helping lead the group.

Read our full recap from our annual NYC reception and party here.

Read our series of articles on the NRF LP Council leadership - in their own words - here.

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News Brief
Sponsored by WG Security Products, Inc.

CEC Responds to Anti-Shoplifting Opinion
Issued by Indiana Attorney General
On April 3, 2018, Indiana Attorney General Curtis Hill issued an opinion critical of anti-shoplifting programs designed to lower crime, reduce recidivism rates and improve consumer safety by classifying restorative justice programs as potentially noncompliant with Indiana law. In response to the IAG opinion, Corrective Education Company issued the following statement:

“The opinion issued by the IAG does not identify any wrongdoing on the part of CEC. Instead, the opinion identifies a number of “potential issues” based on a flawed analysis that misconstrues CEC’s program, omits material facts, and fails to provide clarity to a patchwork of Indiana laws that are inherently confusing in meaning. While we respect the authority of the IAG to issue opinions applicable in the state of Indiana, we strongly disagree with the conclusions reached therein and believe strongly in the merits of our program, including the positive outcomes we were able to reach while working with our retail partners in the Hoosier state.

The foundational premise of the IAG opinion classifies CEC’s program as a “deferred prosecution” program prohibited by Indiana law. CEC’s program is not a prohibited “deferred prosecution” program. A “deferred prosecution” program can only be offered after an accused person is arrested or charged with a crime. CEC designed its educational program as a prearrest option. The program is only offered to persons suspected of shoplifting prior to being arrested and charged with a crime. CEC is not aware, nor does the IAG cite in its opinion, any Indiana statute that specifically prohibits a retailer from entering into a private agreement with a suspected shoplifter in order to resolve shoplifting incidents prior to arrest.

CEC’s Restorative Justice program is rooted in a desire to offer free-market solutions for the benefit of a larger public policyproblem—retail theft. Today, shoplifting and other types of retail
theft cost retailers an estimated $50 billion annually, a cost that is ultimately passed to consumers. Likewise, the drain on law enforcement and our judicial systems is immense.

Read Full Press Release

The real world of loss prevention
Rosamaria Sostilio, VP LP, Barnes & Noble Featured in Retail Gets Real Podcast
In the world of loss prevention, truth is sometimes stranger than fiction. The job involves “so much more than catching the bad people,” says Rosamaria Sostilio, vice president of loss prevention at Barnes & Noble. That will always be a component of the job, she says, but it comes down to understanding and supporting the company’s initiatives. In 35 years of a loss prevention career, Sostilio has seen the industry go through many changes, frequently because of technological advances.

Ahead of her appearance at NRF PROTECT 2018, Sostilio joined Retail Gets Real to reveal this hidden side of retail and what it takes for a woman to rise to the top in the industry.

The role itself wasn’t the only thing to evolve in loss prevention — the makeup of the people in those jobs evolved as well. “When I started, I was one of very few female executives,” Sostilio says. Luckily, times have changed for the better and women aren’t scarce in the leadership ranks today.

What does it take to succeed in LP? Curiosity and diversity in thought, Sostilio says. Technology is driving many changes, especially in monitoring and detection, and retailers today are prioritizing cybersecurity and the need to constantly try to keep ahead of possible breaches.

Sostilio believes one of the most important things loss prevention officers can do is form partnerships with entities like local law enforcement.

Listen to this episode to learn more about the loss prevention field and how technology has changed the profession. To hear more from loss prevention leaders like Sostilio, register for NRF PROTECT 2018 from June 11 - 13 in Dallas. nrf.com

Retail loss prevention priorities in 2018
From the impact of emerging technology to reducing shrink and fraud, retail loss prevention teams today face increasingly difficult challenges. As the retail landscape continues to evolve, we rely on our most innovative LP leaders to pave the way. Ahead of the NRF PROTECT 2018 conference to be held June 11 – 13 in Dallas, we asked a few of our LP Advisory Council members to weigh in on their top-of-mind priorities and challenges in 2018.

John Velke, SVP of risk management at Total Wine & More, is not only focusing on driving improvement in shrink, but in strengthening the enterprise risk management function.

Five Below senior director of asset protection Gregg Smith is also focusing on reducing shrink and fraud in 2018. “Our strategy consists of four components: field engagement, education, metric management and technology,” he says. Along with developing new program initiatives to increase engagement among field leaders, he strives to provide the tools and resources they desperately need.

As the vice president of loss prevention and risk management at Bloomingdale’s, Chad McIntosh is also interested in new technology. Although his team works on traditional issues like workplace violence, reducing shortage and enhancing company profitability, a newer priority is “finding and testing technology that will assist us with these challenges.”

Loss prevention leaders from across the country will come together to learn strategies and tactics for meeting these challenges and more this June at NRF PROTECT in Dallas. nrf.com

Home Depot Reorganizes Asset Protection
Continues to Build CIT at Corp. Office
Last year Home Depot eliminated two thirds of the single store Asset Protection Managers and according to multiple sources this week they may be eliminating over 50 APM's, with 20 in the Ney York Metro Market will be eliminated and offered either hourly positions within the organization or will be offered severances.

This past January, District level changes were put in place both in Asset Protection and Human Resources. The Multi- Unit APM role will continue. Asset Protection will be adding approximately 20 positions at the Corporate Office in Atlanta handling Internal Investigation, Organized Retail Crime and real-time video surveillance operations.

Corp AP has had very good success in centralizing resources around CIT and internal investigations. It only makes sense to continue to fuel that progress.

So, besides hourly/severance, the best APMs will fill the slots in Atlanta. That may open up a few multi unit slots around the country.

Sally Beauty Reorganizes Company - Cuts Around 450
Cuts Distribution LP Team
LP/IT/Risk Management and many others were affected – I heard that it was around 450 people. Included VP’s, Directors, as well as senior mangers and line as well.

Risk Management lost their VP and senior claims adjuster. in LP five executives were cut. Including the entire team that covered their 15 distribution centers.

The LP team covering the stores was not impacted and remains covering around 270 stores per LP executive according to sources.

The Returns Story Continues into the Third Week
Watch those store returns because they are watching you
Companies are now collecting information on consumers and creating “return profiles” of customers at big-name stores such as Best Buy, J.C. Penney, Victoria’s Secret, Home Depot and Nike. That is because the electronics giant is one of several chains that have hired a service called Retail Equation to score customers’ shopping behavior and impose limits on the amount of merchandise they can return.

Lisa LaBruno, senior vice president of retail operations at the Retail Industry Leaders Association, says organized retail crime is costing retailers tens of billions of dollars each year.

LaBruno says the problem goes way beyond the small-time shoplifter and involves organized groups of criminals that make a living from the large-scale theft of merchandise.

“There should be no secret databases. That’s a basic rule of privacy practices,” says Ed Mierzwinski, consumer program director at the U.S. Public Interest Research Group. “Consumers should know that information is being collected about them.”

“It’s not to invade the privacy of legitimate customers at all,” LaBruno said in an interview. “It’s one of many, many, creative solutions out there to help combat a really big problem that affects retailers, honest customers, the entire industry and the public at-large.” current-movie-reviews.com

N.J. Panera is being eyed as possible source of E. coli
There are now 8 confirmed E. coli cases in outbreak with possible link to Panera
New Jersey health officials have confirmed two more E. coli cases in the state amid a cluster of cases spanning four counties and possibly linked to a restaurant chain.

The Warren County Health Department on Thursday confirmed that it -- along with the state -- was investigating certain Panera Bread restaurants at the potential source of exposure

At least eight E. coli cases have been reported so far in Hunterdon, Middlesex, Somerset and Warren counties, the New Jersey Department of Health said in a statement on Friday.

"The Department is investigating a possible association with a chain restaurant, but the association may be broader than a single chain restaurant," the state health department's statement said. nj.com

ASIS Physical Security Council Reacts to YouTube Shooting
Perimeter Security Failed at YouTube HQ
The ability of the shooter to gain access to YouTube's office courtyard via the parking garage raises questions about the building's physical security. ASIS International Physical Security Council secretary David Pedreira, a Distinguished Architectural Openings Consultant (DAOC) and door opening consultant for ASSA ABLOY, tells Security Management that when it comes to Deter, Detect, and Delay security principles, the role of perimeter security is to deter—and that didn't happen at YouTube headquarters.

"I wonder why there wasn't more electrified locking access control doors to keep people out at the parking garage," Pedreira says. "Why was it free entry, why was she able to get right in?"

With properly-function fail-secure electrified locking devices at perimeter points of entry, authorized personnel would gain entry through an access control card or their mobile device, and visitors would be rerouted. Pedreira notes that many companies leave doors unlocked during normal business hours to cater to visitors.

"In this day and age, we don't need to do that," Pedreira says. "There's video doorbells, there's so much that could be done with intercoms and video surveillance cameras that could easily be set up so that a visitor could be at any location and be allowed in via the remote unlocking of a door."

Pedreira advises organizations to make sure all points of ingress are locked regardless of business hours, but to make sure points of ingress are never blocked, which would prevent the quick escape of people during an incident like Tuesday's shooting. asisonline.org

The days of the retail clerk are over
Doug Stephens is one of the world’s foremost retail industry futurists. This piece is an excerpt from his book Reegineering Retail: The Future of Selling in a Post-Digital World.

What does the future hold for retail employees? Well, there’s just no way to put it gently. The days of the retail clerk are over. By clerk, I’m referring to the millions of retail workers who operate checkouts, greet customers at the door, count inventory, look up prices, scan bar codes, corral shopping carts and do their best to remember snippets of product information about the vast assortments they carry. These jobs will all but disappear within 20 years, perhaps sooner. theglobeandmail.com

Announced job cuts surged in March, a 71% increase from February, report says
A harbinger of the economy potentially slipping is being sounded by a new report about job cuts.

The amount of employment reductions announced by U.S.-based companies jumped 71% month over month—60,357 in March compared to 35,369 cuts announced in February. In fact, last month’s total is the highest monthly tally since April 2016, when 64,141 job cuts were announced, according to a report by Challenger, Gray & Christmas. A look at the bigger picture shows an 11% increase in job cut announcements at the end of the first quarter of this year compared to the first quarter of 2017.

“In 2016, cuts in retail and oil drove announcements in the first quarter,” said Challenger. “This year, we are likewise seeing cuts in retail, as that industry continues to pivot to meet consumer demand.”

It’s not just the employees of the companies that are affected by layoffs. Job eliminations have a halo effect that impacts companies that work with those doing the layoffs. fierceceo.com

Editor's Note: It's all how you spin it and how you look at it. As seen in the next article.

March Retail Jobs Down from February but Up More Than 30,000 from 2017
Jobs Down in General Merchandise - Clothing & Accessories - Grocery Stores Led the Way
Amid fluctuations in weather and spring holidays, retail industry employment fell by 6,400 jobs seasonally adjusted in March but showed an increase of 30,800 unadjusted year-over-year, the National Retail Federation said Friday. The numbers exclude automobile dealers, gasoline stations and restaurants. Overall, the economy added 103,000 jobs, the Labor Department said.

"March was weaker than February but the trend is in the right direction,” NRF Chief Economist Jack Kleinhenz said. “This time of year can be quirky given weather and the timing of Easter and Passover. We should be pleased with the broader picture because the economy is growing, creating substantial job gains at this time during the expansion. Even with this month’s dip, retail employment is still substantially higher than the beginning of the year and this time last year. Retail has not taken a step backward.”

March’s numbers followed a monthly increase of 42,400 jobs in February over January. The three-month moving average in March showed an increase of 14,200 jobs. There were 711,000 job openings in the retail industry in January, the highest monthly figure ever.

Monthly gains were seen in non-store, which includes online and was up by 4,300 jobs from February; miscellaneous stores, up 4,100; furniture, up 2,000; building and garden supplies, up 1,900; and electronics and health/personal care, which were each up 1,700. Declines were concentrated in three sectors that had shown significant gains in February – general merchandise stores, down 12,600; clothing and clothing accessory stores, down 7,300; and grocery stores, down 3,200. businesswire.com

Does Diversity Pay Off?
CFOs Look to Quantify Inclusion Initiatives
CFOs are naturally focused on the bottom line, and promoting diversity can be tough to quantify. The short-term benefits that typically drive many corporate initiatives can be elusive when it comes to building a more inclusive work environment. However, in supporting inclusivity in corporate decision-making and broader opportunities within the executive ranks, finance executives do expect the benefits to show up in the form of improved financial outcomes.

Progressive senior finance executives are eager to invest in diversity with an eye toward long-term gains. In a recent survey of 204 senior finance executives, 44% cited diversity and inclusion as a “top priority” within their companies. The question was part of an online questionnaire fielded by CFO Research, in collaboration with Hiscox, the global insurance provider. More than one-third (36%) of finance chiefs categorize their D&I efforts as a lesser priority but confirm they are “making clear progress” toward creating a diverse and inclusive workplace. The remaining 20% of survey respondents reported either an uneven or completely lacking approach to diversity and inclusion at their organizations. cfo.com

VP, Loss Prevention for Tractor Supply Company in Brentwood, TN.
The VP, Loss Prevention is responsible for leading the company's loss prevention program and managing the loss prevention team. Key duties include developing and implementing strategies and programs to (i) reduce the Company's financial losses resulting from internal and external theft; (ii) improve the company's receiving and inventory control processes and procedures to reduce financial losses resulting from administrative errors; and (iii) identify and investigate fraud and theft of company assets.

Tractor Supply Company (TSCO) is a $7+ billion growth organization and the largest operator of retail farm and ranch stores in the United States. We are positioned to grow to 2,500 domestic Tractor Store locations from our current 1,700+ stores in 49 states, and we boast a cutting edge e-commerce website at TractorSupply.com. adp.com

Manager, Global Security Operations and Protective Intelligence for Visa, in Ashburn, VA.

10,000 to 12,000 Stores Will Close in 2018

Rattled by two shootings in a week, Danville, VA., shopping center owner says ‘it’s like a warzone out there’

Bon-Ton Inc. Warns Of 2,200 Possible Layoffs In Wisconsin

Sheetz Plans Hiring Spree 2,500 full-time and part-time positions

Supervalu considering options, including sale

Mount Prospect, IL: Detective William Ryan named as Officer of the Year; playing a major role in the investigation of an ongoing fencing operation

Last week's #1 article --

Harvard Study Proves Circle K Canada LP Drives Revenue
"Technology, Creativity Aid Loss Prevention"
Historically, loss prevention in any organization is seen as a source of spending. There seems to always be the need for new cameras, alarms or other equipment.

But a case study prepared by Harvard University Business School revealed that Circle K (formerly Mac’s Convenience Stores) in Canada was able to increase average sales by $62,371 per store, above and beyond the average annual sales increase of roughly $30,000 per store, at locations where one of the company’s community-based initiatives, a mural program called StreetART, was put into action.

Under StreetART and other programs developed by Sean Sportun, manager of security and loss prevention for Circle K—Central Canada, in-store robberies fell by 49% between the fiscal years 2007 and 2017 and associated losses by 90% from $117,467 Canadian dollars to $11,538. Incidents of robbery and other crimes decreased from 184 to 93 over that same period.

When a robbery occurs, an even greater expense than the loss of products and/or cash is the $100,000 average cost to the company’s worker’s compensation premiums for each employee who takes a leave of absence due to trauma. Read Full Story Here cstoredecisions.com

ECR RETAIL LOSS CHALLENGE IS OPEN FOR APPLICATIONS

Applications are open for the Retail Loss Challenge; a competition to find the hottest startups and innovative companies with scalable solutions to tackle retail loss while improving the customer experience. Companies are invited to apply against one of five challenges for the chance to trial their solution with leading retailers including John Lewis, Tesco, Sainsburys, Lidl and Aholddelhaize.

The shortlisted companies will be invited to join a live pitch event in London on 21 June to present their solutions to industry experts. The challenge is being organised by the ECR Community Shrink and OSA group part of the ECR Community network.

For more information, contact info@ecr-shrink-group.com

All the News - One Place - One Source - One Time
The D&D Daily respects your time
and doesn't filter retail's reality

Solutions Spotlight

Cash management technology helps deter internal cash theft

Part 1 of 2

By Dave Lunn, Group Sales & Marketing Director, Tellermate

Retail crime is up, regardless of where you look. And as you already know, this theft is being committed not only by customers, but by employees, too. In fact, one in 27 employees was apprehended for internal theft in 2016 – according to the 29th Annual Retail Theft Survey by Jack L. Hayes International.

A simple Google search will bring up one article, report or survey after the next that provides information and statistics regarding shrink and the costs it has on businesses. Most of those figures have to do with inventory theft. What’s harder to pinpoint, however, is the cost of cash loss retailers suffer.

Businesses are reluctant to admit to cash loss problems for various reasons. Oftentimes, they have limited visibility as to how or where cash loss occurs – at the point of sale (POS), the back-office or somewhere between the two. Businesses also fear that admitting to cash loss problems – particularly in-house – is also an admission of failure to prevent it. Plus, they don’t want to divulge that they’ve failed to invest in retail technology that reduces and even prevents cash loss.

But sweeping this cash loss conundrum under the rug won’t make it go away.

The British Retail Consortium’s 2017 Retail Crime Survey showed that employee theft grew by 36% since the previous year’s survey. A separate LPM Special Report entitled Employee Theft, points out the reasons U.S. employee-thieves engage in stealing time, money or products from their employers:

● Enjoyment – they think stealing is fun
● Entitlement – the world owes them more than they earn
● Desperation – they experience extreme debt or suffer a drug/gambling problem – both of which can be exacerbated by a weak economy
● Opportunity – money in plain sight will be taken

Page 11 of this report further states, “Many times, retailers have very relaxed merchandise and cash controls, which can provide opportunity to an employee that, in different circumstances, would not steal…all too often these retailers do not dedicate any resources to preventing dishonest behavior.”

Yes, retail technology costs money to implement – and there are innumerous solutions from which to choose. But what is the cost of not investing in measures to prevent cash loss? What is the cost of continuing to do business the same-old way and pretending cash loss isn’t an issue?

I think we can all agree that most retailers are living on razor-thin margins and have no choice but to “get with the times” by implementing helpful retail technology. Particularly in an era when customers can shop from home.

Intelligent cash management technology can prevent cash loss. Plus, it can be integrated to work in tandem with a company’s security cameras, POS systems and even smart safes. And Tellermate offers a suite of cash management solutions – including intelligent cash drawers – that can help keep cash in a retailer’s pockets instead of the pockets of employee-thieves. How?

Check back tomorrow for part 2 and learn more about the common cash scams threatening your business and the ways that you can avoid them.

Data Breach Epidemic Hitting Retailers
Retailers face criticism for failure to protect customer data
Despite lessons learned from past data breaches from Target, Home Depot and others, an epidemic of breaches is hitting the retail industry.

The 2018 Trustwave Global Security Report found breaches affecting checkout systems in stores comprised 20 percent of incidents investigated by the firm in 2017, down from 31 percent the year before. The improvement was attributed to the arrival of chip-enabled credit cards and other defensive steps.

E-commerce incidents, however, expanded to 30 percent of cases, up from 26 percent in 2016. Increased connections with third-party firms, including vendors and credit card processors, was seen adding vulnerabilities to e-commerce.

Many reports reprimanded retailers for not protecting customer data. Chris Hoofnagle, a professor of information and law at the University of California at Berkeley, told The Washington Post, “Security is difficult and expensive, and no one wants to do it.”

Writing for Bloomberg, Sarah Halzack believes retailers aren’t incentivized enough to clamp down on breaches because share prices are rarely affected. The social media backlash has been minimal because consumers have grown used to the hacks. Wrote Ms. Halzack, “Consumers should not accept these conditions as ordinary. Retailers and the payments industry will surely do better if they sense their customers will flee — or at least be indignant — if they do not.” retailwire.com

Best Buy: Some customers affected by data breach of third-party vendor
Same vendor, [24]7.ai, may have exposed Sears and Delta customer data
Best Buy is the latest company to say that some customers' payment information may have been exposed in a data breach of a third-party vendor that runs the retailer's online chat services.

Best Buy spokesman Jeff Shelman said the number of customers potentially affected is similar to that of Delta and Sears, which have said hundreds of thousands of customers could have been affected.

"As best we can tell, only a small fraction of our overall online customer population could have been caught up in this [24]7.ai incident, whether or not they used the chat function," the company said. "We are fully aware that our customers expect their information to be safeguarded and apologize to the extent that did not happen in this case." startribune.com

Zuckerberg: Facebook Will Apply Europe's GDPR Privacy Standards Globally
Editor's Note: This may influence other online tech firms and eventually even retailers. politico.eu

Walmart's 2nd Annual Sp4rkCon IT Security Conference
Walmart held information security seminar in Arkansas Saturday; retailer's focus was to protect data
Walmart Inc.'s Tim MalcolmVetter used a professional football analogy when describing one of the reasons the company hosted an information security conference in Northwest Arkansas Saturday

Every defense strives to be the best in the sport, but there's no way to know for sure until it goes toe-to-toe with a prolific offense. MalcolmVetter, who leads a team of "ethical hackers" in the company's information security department, believes the same is true for cybersecurity professionals as they try to defend their organizations against data breaches.

"You need to see what that offense looks like," MalcolmVetter said. "So the more people we can get exposed to what that offense looks like, the better they can be at their jobs."

Education is the goal of Walmart's Sp4rkCon, a one-day event that will be held at the company's David Glass Technology Center in Bentonville. Walmart has invited information technology and cybersecurity professionals into their tech office to participate in the free conference, which will feature in-depth discussions from industry leaders about a variety of security-related topics.

The second year for the event is timely, too, coming amid a recent rash of reported data breaches or other issues that have affected companies and consumers across retail and other industries.

Jerry Geisler, Walmart's global chief information security officer, said the volume of reports is a "good indicator of how vulnerable organizations are" to breaches. But he believes the chance to engage with peers and exchange ideas is important in efforts to ensuring the industry grows stronger.

Geisler said Walmart will give attendees a chance to learn about the company's tech operations and its own information security practices. He also said the opportunity to host the conference in Bentonville also provides outsiders with exposure to the region as Walmart continues to recruit tech talent.

Walmart said last year about 350 people attended the inaugural information security event, but more than 700 had registered for Saturday's conference. Offensive and defensive strategies, emerging technologies and the latest tools to secure data will all be featured in discussions.

Walmart also held a smaller conference, called Sp4rkCon By the Bay, in Sunnyvale, Calif., last Friday. nwaonline.com

Businesses Fear 'Catastrophic Consequences' of Unsecured IoT
Only 29% actively monitor risk of third party connected devices
Businesses' concern about risk from the Internet of Things (IoT) is evolving faster than their security practices, according to a new survey about the danger of third-party devices. Risk management is still relatively immature, and it's posing a threat to sensitive and confidential data, researchers report

The new survey, conducted by the Ponemon Institute and commissioned by Shared Assessments, polled 605 people who work in risk and corporate governance and who are familiar with their organization's use of IoT devices. Of these, 21% say their business suffered a data breach directly resulting from an unsecured IoT device or application — up from 15% last year.

Connected devices are cluttering the enterprise. Forty-four percent of experts polled say their organization keeps an inventory of IoT devices, and the average number of devices in the workplace is 15,874. Sixty percent of respondents say their business considers IoT devices to be endpoints to their networks or enterprise systems.

There's an almost universal recognition that the risk associated with IoT devices and apps could create a catastrophic security incident," says Charlie Miller, senior VP of Shared Assessments, echoing the thoughts of 97% of survey respondents.

The Danger of Third-Party Risk - While businesses are being more diligent about monitoring IoT devices used internally, they often fail to recognize the risk of external devices.

Where Risk Management Falls Short - Part of the problem is a gap between those who approve the use of IoT devices and those who manage the risk. Forty-three percent of respondents say the general manager/line-of-business VP approves IoT devices, but 35% say they manage the risk of those devices.

"There is a big disconnect," says Miller. "We still see immaturity in the third-party risk management IoT space." darkreading.com

RSA to acquire insider threat detection startup Fortscale

Innovators in
EAS, Video & RFID

WG Security has made its mark in the industry as being the solution provider for chronic shortage problems for many retailers who look to them for answers. Ed Wolfe, Vice President of Business Development for WG, gives us a few examples of the chronic problems they’ve helped their customers solve, and tells us about the development of the Ninja Tag, their remote monitoring capabilities, and the new 5-alarm tag program WG developed.

Tony D'Onofrio of Tyco
Retail Solutions Predicts
the Future of Retail

Tony D'Onofrio - Chief Customer Officer for Tyco Retail Solutions, Top 20 Retail Influencer on LinkedIn, and Digital Futurist - talks about where shopping is headed in 2020 and beyond. Learn about the importance of social media platforms, tips on professional branding, and a few travel tips to help you along the way.

Miss an episode? Catch all our "Live in NYC" 2018 videos here.

Get involved in our next broadcast in June at NRF Protect in Dallas. Contact us!

e-commerce
Sponsored by The Zellman Group

E-commerce could account for 13% of retail sales by 2020
Online retail sales will account for 13% of global retail by 2020, or $3.8 trillion out of a global retail market of nearly $30 trillion, according to a new study by England-based digital commerce and fintech consulting firm Juniper Research.

The report, "Mobile & Online Remote Payments for Digital & Physical Goods: Opportunities & Forecasts 2018-2022". retaildive.com

Installation Fraud Prevalent for Shopping Apps
#1 Worldwide for Mobile App Install Fraud
Fraudulent app installations were up sharply in Q1 2018, according an AppsFlyer report, and shopping apps were particularly hard hit. App installation fraud occurs when an installation is recorded and paid for, but no real user has actually downloaded the app.
Fraud is widespread across a variety of categories, but those that have a cost per install (CPI) tend to attract illicit activity, as each installation registers a higher payment. Meanwhile, apps in categories with broad reach are also vulnerable, thanks to the large potential audience.

That puts shopping apps, for which the CPI is 40% higher than the average, at high risk for installation fraud. AppsFlyer found that the cost of fraudulent shopping app installs reached $275 million in the first quarter of this year. Shopping apps' overall fraud rate was 35% higher in Q1 2018 compared with the final quarter of 2017. Additionally, they had the highest number of fake installs due to bot and hijacking attacks, and of installs rejected due to behavioral anomalies. emarketer.com

Some Amazon Key features, including keyless entry, go nationwide
But don't expect nationwide in-home deliveries just yet.

That means you can now use the service anywhere in the country for keyless entry, remote lock and unlock, and guest access, the company said Thursday. Plus, five more locks now work with Amazon Key, for a total of eight locks available for Amazon Key customers.

Amazon introduced Amazon Key in October as a system that includes a smart door lock, its own Cloud Cam security camera and the Amazon Key app. Using these elements, people can open and close their doors without a key or give a guest a code to enter their homes. But the most interesting -- and controversial -- part of Amazon Key is its in-home delivery capabilities, allowing delivery people to open your door, slide packages inside and then lock the door. cnet.com

"Fraud is not a person - it is a dynamic grouping of statistics that deviate from the norm."
Stuart B. Levine, CFI, CFCI
CEO, The Zellman Group & Zelligent

ORC News

River Dale, NJ: Jeweler Fenced $1.25M In Stolen Bling
A jeweler from River Vale fenced $275,000 worth of bling from an Englewood jewelry store and $1,000,000 worth from one in Westchester County for a tri-state area burglary crew. Frank Lashvili, 56, remained held Friday in the Bergen County Jail pending a detention hearing Monday in Hackensack, Acting Bergen County Prosecutor Dennis Calo said. He's charged with fencing, receiving stolen property and accomplice liability. Also arrested were two 55-year-old Brooklyn men: Kevin Lyde and Kevin Young. Both men were part of a crew that sold the jewelry to Lashvili for resale, he said. Lyde and accomplices cut a hole in the roof of Le Cristal Jewelry in Englewood on Oct. 22 before making off with $275,000 in goods, Calo said. Then, this past Feb. 2, Lyde and Young participated in a burglary at New Rochelle Coin, Stamp and Jewelers in New Rochelle that netted $1,000,000 in jewelry, he said. dailyvoice.com

Corpus Christi, TX: Repeat Home Depot Shoplifter threatens LP with a gun; wanted in multiple robberies in the area
Corpus Christi police say they have arrested a man accused of robbing multiple businesses, allegedly since the beginning of the year. Police say 40-year-old John Charles walked into the Home Depot improvement store around 2:00 pm Sunday afternoon. Charles walked into the store and grabbed some merchandise. As he was walking out of the store, employees tried to stop Charles, but he claimed he had a gun, and the employees stopped following the suspect investigators said.

Police say Charles got into a car and fled the scene. Police reviewed the surveillance video and were able to find the vehicle's owner. Police say after two hours of investigating the robbery case, police were able to find Charles, arrested him, and charged Charles with armed robbery. Lieutenant Jay Clement, with the Corpus Christi Police, says Charles is suspected of being involved in multiple business robberies since Charles' motives remained consistent with each separate theft. "Basically he would walk into the stores in broad daylight, grab merchandise, and says he had a gun," Lt. Clement said. "The last two weeks he really ramped it up, and we have been trying to get this suspect behind bars," Lt. Clement continued. kristv.com

Evergreen Park, IL: Photo-Shopped Driver's License lands man in Jail; 11 prior Felony convictions
A man tried to purchase over $2,000 worth of merchandise at an Menards using a photo-shopped driver's license. Darnell Murry, 43 appeared in court on felony charges of theft and possession of a fraudulent ID. Murry is currently on parole for financial crimes, according to state records.

According to the charges, Murry went to the Menards in Evergreen Park around 12:40 p.m. April 4. The prosecutor said Murry tried to purchase $2,566 in merchandise using a Menard Big Card application with another person's information. Murray allegedly presented a fake driver's license with his photo but the other person's information. patch.com

Yorkville, IL: Three Ulta Beauty Shoplifters apprehended with $785 in merchandise
Yorkville Police say that three female suspects were identified though no arrests have yet been made after nearly $785 in cosmetic items were stolen from a Yorkville cosmetics shop. Police say the Retail Theft happened around 6:15 p.m. at the Ulta Beauty Supply on Wednesday where Loss Prevention agents identified the suspects. wspynews.com

75 year old Woman arrested for 4 Walmart thefts in a week
Arrested in December for failed ORC scam at CVS. wtxl.com

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Shootings, Stabbings & Deaths

Arnold, MO: Man shoots estranged wife in front of three kids, kills self at shopping center
The shooting happened at Arnold Commons, located near Interstate 55 and Highway 141, around 7:30 p.m, Friday evening. Police said the man shot his estranged wife inside a vehicle with their three children also inside. He then got out of the car and shot himself. The wife was taken to a hospital in critical condition. Authorities said the shooter was confirmed dead. kmov.com

Burlington, NC: Security Guard disarmed and killed, 2 injured at Sweepstakes Cafe
A security guard was killed and two others were seriously injured Sunday following a robbery at a sweepstakes venue. According to officers with the Burlington Police Department, officials responded to Gone Fishing Sweepstakes, around 9:15 p.m. in response to a robbery and a shooting. When they arrived, they found three victims. An employee of the venue and a patron were suffering from head wounds after being hit multiple times, security officer was suffering from a single gunshot wound to the torso. The security guard was later pronounced dead. Police say the guard was "bludgeoned and shot in the back" after his own weapon, provided to him for store security purposes, was stolen from him. wral.com

Syracuse, NY: Stabbing reported at Destiny USA
The stabbing was called in at 11:35 a.m. inside VILLA, a clothing and shoe store inside the mall. The Syracuse Police Department, the Syracuse Fire Department and American Medical Response rushed to the scene. syracuse.com

(Update) Memphis, TN: C-Store Owner will Close his store after Clerk admitted to fatally shooting a 17 year old for stealing beer

Philadelphia, PA: Fight ends in shooting outside 7-Eleven store in Tacony section

Robberies & Thefts

Fort Collins police officer under investigation for use of force after Target $419.00 shoplifting arrest
Concerns about a Fort Collins police's officer's use of force during a shoplifting arrest have spurred investigations into the incident.

He was the first officer to arrive on scene. When he arrived, a woman suspected of shoplifting was fighting with staff in the store's loss prevention office area, according to police. The officer tried for six minutes to arrest her, despite verbal and physical resistance.

A second officer arrived on scene, and the pair used "less-lethal tools" to take the woman into custody after an additional two minutes of effort. Officers used a taser and pepper spray.

The suspect was injured, police said, but it's unclear how. Police said the suspect also injured a Target employee. The officer under investigation was not wearing a body camera, but the second officer to arrive was. That camera captured only part of the incident, but store surveillance footage captured the entire interaction. coloradoan.com

Orlando, FL: Fireworks set off as diversion for Florida mall robbery
Fireworks apparently set off as a diversion so thieves could rob a jewelry store sent mallgoers fleeing at the Florida Mall Sunday. range County sheriff's deputies responded to the shopping center at just before 6 p.m. after reports of gunfire. Once at the mall, officials determined the sound was actually fireworks. At least 11 were injured as the terrified crowds raced out of the mall. Five were taken to the hospital for treatment. The fireworks are thought to have been a distraction for a jewelry store robbery. There were no further details. wftv.com

Elk Grove, CA: Shoplifting Suspects in Custody After Threatening Hobby Lobby Employee With Stun Gun

Lubbock, TX., man arrested for four robberies - Family Dollar, Subway, EZ Mart, & 7-Eleven

Fort Worth, TX: Man Dressed in Domino's Uniform Tries to Rob Domino's Store

Bomb Threats

Man acted alone to set off two explosives in LA Sam's Club not believed to be linked to any felony or extremist teams, police stated Friday

Abilene, TX: Walmart resumes business after bomb threat

Counterfeit Goods

Jamaica: 6 arrested in relation to the seizure of estimated $300-million worth of counterfeit goods

Sentencings & Charges

Jose Rojas pled guilty to killing Jonathan Murphy in Jan. 2017 Rolling Oaks Mall deadly Kay Jewelers robbery
He pled guilty to avoid capital murder charges and was given life in prison. He also pleaded no contest to an aggravated robbery charge and was sentenced to life plus 20 years.

Police said Rojas and Jason Prieto were robbing the Kay Jewelers in the Rolling Oaks Mall when Jonathan Murphy, a bystander, was shot and killed.

Rojas was injured after a shopper with a license to carry was able to shoot him. ksat.com

New Rochelle, NY: Two Arrested in Million-dollar Jewelry store Burglary
Two Brooklyn men are under arrest in connection with the February 2 burglary of the New Rochelle Coin, Stamp and Jewelers on Division Street in that city. Merchandise worth $1-million was stolen. midhudsonnews.com

Solano County, CA: Jury finds man who flashed knife at Lowe’s guilty of robbery; scheduled for sentencing May 4

Martinsburg, WV: Man convicted of attempted murder, related charges in Sheetz store shooting

Man who shot, robbed Brinks security guard & a Walmart in Sacramento sentenced to 36 years to life

Houston, TX: Lone female robber of two auto parts stores sentenced to 51 months in prison

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