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July 16, 2013

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7-Eleven Asset Protection News
 

7-Eleven's "Operation Chill" hands out more then 11 million Slurpees to good kids in more then 600 neighborhoods nationwide  Big-city police departments and small-town forces alike receive the Slurpee coupons, redeemable for a free small Slurpee drink at participating 7-Eleven stores. This year, the convenience retailer will distribute coupons to more than 600 agencies across the U.S. as part if this as part of the award-winning community service program introduced 18 years ago in Philadelphia before launching nationally the following the year. Since then, police officers have given away millions of Slurpee drinks to reward children and youth for "good behavior." Uniformed police officers sometimes need a positive reason to interact with children and youth, and giving kids free Slurpee coupons for doing good is a great way to build a relationship," said Mark Stinde, 7-Eleven's vice president of asset protection. "Recognizing kids with a favorite summertime treat can reinforce good conduct, which might have a long-lasting impact." Operation Chill was developed by 7-Eleven to encourage kids' good behavior during the hot summer months when communities may experience increases in loitering, shoplifting and graffiti. Law enforcement agencies' also use the coupons to support other community relations projects. (Source yahoo.com)


Zimmerman protesters raid LA Wal-Mart, stop freeway, 14 arrested  Protesters ran through Los Angeles streets Monday night, breaking windows, attacking people on sidewalks and raiding a Wal-Mart store, while others blocked a major freeway in the San Francisco Bay area in the third night of demonstrations in California over George Zimmerman's Florida acquittal in the killing of Trayvon Martin. Fourteen people were arrested after multiple acts of vandalism and several assaults in Los Angeles' Crenshaw District. Several protesters ran into a Wal-Mart store and knocked down displays before store security chased them out. Police began guarding the door. (Source Associated Press)

G4S faces fraud investigation over tagging contracts in the UK  The Serious Fraud Office has been called in by the justice secretary to investigate the private security company G4S for overcharging tens of millions of pounds on electronic tagging contracts for offenders. Chris Grayling told MPs the overcharging included billing for tracking the movements of people who had moved abroad, those who had returned to prison and had their tags removed, and even people who had died. He said he had made the decision after G4S refused on Wednesday to co-operate with a voluntary forensic audit of its billing practices and to withdraw as a potential bidder for the next generation of tagging contracts worth up to 3bn [pounds]. "At this time I do not have evidence of dishonesty by G4S but I have invited the Serious Fraud Office to investigate that," he said. Whitehall sources say that a new forensic audit will look at a central allegation that the justice ministry was being billed for the tagging of 18,000 offenders a day when only 15,000 were actually being monitored – raising the prospect of being charged for 3,000 "phantom" offenders or one in six of all those on tags. (Source guardian.co.uk)

Store Opening Train Starting to Roll? Openings Seen Reaching New High  Demand from retailers, as evidenced by planned store openings, continues to grow while plans for new supply, either among regional malls or community centers, remains subdued with little uptick in planned deliveries in sight, according to analysis by RBC Capital Markets. Retailers in the financial services firm's database are planning to open 83,749 stores over the next 24 months, and another 42,757 stores are planned to open over the next 12 months. Both of those levels are five-year highs. (Source costar.com)

Should Barnes & Noble Turn into a Mini-Mall? The Dean of the Rotman School of Management at the University of Toronto's opinion  What would I do if I were running B&N today? Good question. I probably would take a close look at what Indigo, the B&N of Canada, is trying to do. It is attempting to become a lifestyle shopping destination in categories in which books play a consequential part but extending far past books. It is probably a long shot and B&N probably has a lot more locations than this approach could support. But it is a way of utilizing the book heritage to provide a shopping experience that no one, including Amazon, would be able to match. And if I were to do it, I would use the approach that Harrod's employs. Most people do not realize that while Harrod's looks like a store, it is actually a mini-mall with each merchandise area leased out to an independent seller — an extension of the model that department stores use with their cosmetics/skin care floor. would turn each B&N into a mini-mall in which each individual category is run by a lessee who is expert in that particular category. B&N would act as the systems integrator, putting together a multi-category offering that attracts sufficient customers into the mini-mall. It would also use its book-buying experience and power to stock each lessee with the book inventory required for their category assortment. Would I bet my own money on this approach? I probably would not. But it may be superior to the other legitimate alternative, which is to liquidate B&N now. (Source hbr.com)

Best Buy’s Unlikely Return From the Dead
In November, Best Buy’s newest CEO, Hubert Joly, announced his “renew blue” turnaround plan, and since the beginning of the year, Best Buy stock has been on a tear, ranking as one of the best performing S&P 500 stocks so far in 2013. What a difference a leader makes. Editors note: And story be told, sources indicated that the new CEO, who has no retail background, got the former ousted Chairman's support, during the former Chairman's attempt to regain control of the company, by literally taking his resume into his first meeting with him and selling him on his approach. A humble approach even at the top. And what they've done in the first six months with matching online prices, in-store tech shops, etc. has worked at an incredible speed. Great news for such a brand. (Source time.com)

Retailers keep inventories low for back-to-school sales
  Stung by leftover inventory because of a wet, cold spring and unsure about consumer spending, many retailers are ordering conservatively for the second busiest selling season of the year behind the end of the year holiday period, according to executives in shipping, banking and manufacturing. Better inventory tracking tools also enable retailers to wait longer than usual to place back-to-school orders. That could mean higher profit margins in the back half of the year as retailers will likely not have to offer as many discounts to get rid of excess inventory. But they also risk not having enough stock if consumers spend more than anticipated. (Source reuters.com)

U.S. Census shows retail trade sales up 0.6% in June
  The U.S. Census Bureau released a report showing an increase of 0.6% in retail trade sales for June when compared to May. Sales were up 6% when compared to June 2012. The data also shows Americans are buying more cars and buying merchandise online. Non-store retailers were up 13.8% compared to a year ago. The CEO of the National Retail Federation said things could be worse and better. "Consumers remain wary," said Matthew Shay. (Source retailingtoday.com)

Federal Grand Jury Investigating Pilot Flying J Leadership for Fraud
  Three months after federal officials raided the headquarters of Pilot Flying J, a federal grand jury is now investigating allegations of fraud in connection with the company's fuel rebate program. Five sales executives have already made deals with the Fed's for understating refunds to truckers for filling up at Flying J and the lawsuits are mounting up from companies who were cheated. Now a grand jury is investigating the senior management team, including the owner of this private company, who also owns the NFL football team the Cleveland Browns. Now the grand jury is hearing testimony from witnesses connected to the fraud. (Source csnews.com)

Michael Kors sues Costco.
Michael Kors is suing Costco saying the business illegally used pictures of its luxury bags in ads to attract customers without being authorized to sell the designer's wares. Costco used images of Michael Kors handbags and logos in an ad touting the discount retailer's "designer handbags starting at $99.99 delivered" — but, allegedly, not actually offering any Michael Kors handbags for sale. (The company checked Costco's Web site and 19 Costco stores for the bags in the ads, but found no Michael Kors merchandise at all.) Tiffany & Co. recently sued Costco for alleged illegal use of its trademarks.
(Source racked.com)

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Retail Crime News
 
Two "burqa raiders" plead guilty to million dollar smash and grab at Selfridges in the UK June 6th  The duo, from Islington, will appear at the same court next Monday to be sentenced for their part in the smash-and-grab attack, in which a six-strong gang dressed in burqas made off with 1 million pounds of luxury watches. Scotland Yard said the raiders used the religious garments to disguise themselves and the tools they were carrying during the raid. These two are the only ones charged so far in the smash and grab. (Source standard.co.uk)

Police Impersonators Wanted In Attempted Robbery of Center City Jewelry Store  Authorities are investigating after two suspects allegedly dress like police officers and tried to rob a Center City jewelry store. With the word “police” on what appeared to be bullet proof vests, one of the men points his gun directly at two employees who were scared for their lives. Just before noon yesterday two men walked in and robbed the jewelry store in Philadelphia. An alert employee quickly pushed the silent alarm to notify police – the would-be robbers suspected the real police were on their way. The two imposters fled with the two other men before they had a chance to steal anything. (Source cbslocal.com)

Jewel thieves target Kay’s in Livermore Premium Outlet with $100,000 smash and grab.  Police are investigating an outrageous jewelry store heist at one of the East Bay's newest upscale shopping destinations and the thieves are still on the loose. The metal security doors of the Kay Jewelers, at the brand new Livermore Premium Outlets, were smashed early Monday morning when thieves drive their car right through. Three suspects wearing hoodies and masks rush in and get to work. They use sledge hammers to smash display cases, filling bags with pricey jewels and gold. But police say these bandits were discriminating, knowing exactly what they were looking for. The thieves were inside the store four minutes and made off with $100,000 in loot. Mall security was on duty, but only saw a white station wagon and a tan sedan speeding away. It's the first major burglary at the outlet mall which only opened last November. (Source nbcbayarea.com)

Sonora Police wait out Walmart shoplifters, make two arrests.  A little patience paid off for Sonora police, who waited while two thieves allegedly stole more than $700 of merchandise from a local store Sunday. Police said the men, later identified as Charles Bowers, 23, and Bart Salazar, both of Sonora, had put merchandise including electronics, beer and clothes, in shopping cart. They then took shopping bags from a closed checkout area and walked to a separate part of the store, where they put the merchandise in the bags. They went through a checkout stand and paid for a single pack of cigarettes, then left the store with the cart full of stuff. Outside, officers arrested both without incident on charges of burglary and conspiracy. Bowers also was arrested on two outstanding warrants on theft and another for vandalism charges. (Source mymotherlode.com)

Wisconsin shop owner used his vehicle to chase and strike a thief on a bike.  A Racine shop owner must pay $2,000 in fines for running over a suspected cigarette thief riding a bicycle away from his store in fall. Rany N. Kong, 55, was sentenced to the fine on Friday for running over Joseph Mallon on Oct. 10. Kong hopped the curb in his Jeep in the 700 block of Wisconsin Avenue in Racine, and ran over Mallon, who was riding a bicycle. Kong suspected Mallon of stealing from Kong’s business. According to Kong’s criminal complaint, Kong’s wife told police she suspected Mallon of trying to steal tobacco from the store and confronted him and called police. Mallon then reportedly attempted to flee on his bicycle. (Source fox11online.com)

Shoplifter takes a 30 foot fall trying to escape from Walmart LP in Riverdale, New Jersey.  Two suspects were apprehended by Walmart Loss Prevention and being process by Police, but a third suspect managed to flee the scene. The third suspect ran across the parking lot, jumping a fence and disappeared from sight. The fence is to protect a 30 foot drop down a hill which leads to the interstate on/off ramps. A search of the area did not discover the suspect who was later identified by his accomplices. While officer were taking the two suspects off to jail, they saw the third suspect walking along the interstate. The suspect was hampered with a knee injury, but processed for theft. The suspects admitted to Police that they returned stolen merchandise for gift cards which they sell for cash. (Source northjersey.com)

Payless Shoe in Lake Worth robbed Sunday, Police release sketch this morning. Detectives are seeking the identity of a suspect wanted for armed robbery of the Payless ShoeSource store in Lake Worth, which occurred on Sunday at 5:30pm. The female employee said a man entered the store, demanded cash then fled on foot. No one was injured. (Source palmbeachpost.com)

 

RILA Retail Industry Leaders Association
 

David Lund's Executive Profile:
Leadership, Life and Loss Prevention

In this executive profile, David Lund shares his wisdom on life, the loss prevention industry, and being a leader. As you continue to read, David shares information on his Loss Prevention experience, his leadership roles during his youth, and provides lessons on leadership that everyone can learn. Read his executive profile here.


1. Tell me about your first job in retail.

My first job in retail was when I was 15 years old and entrusted to open and operate an annex skateboard shop in Virginia. I was very entrepreneurial at the time and I was looking for something beyond paper routes and mowing lawns. It was a great experience because I was able to be involved in all aspects of the shop - opening and closing, replenishing inventory, scheduling employees, etc. The shop was only open when I was not in school.

2. What excites you most about the field of loss prevention?

I am most excited about the technological advances I have seen during my career -- things such as video analytics and exception reporting. When I think back to my early days, I remember conducting surveillances from inside a cardboard box in a stock room and reviewing paper journal tapes against (non-synchronized) time lapse video. Those were cutting-edge tactics. What we are able to do today with data mining and video technology is amazing. I can’t wait to see where else the industry will go.

3. What is the biggest challenge your LP department faces today?

We are very fortunate to have senior leadership’s support in every aspect of the LP business. We want for very little. That said, our company’s growth strategy is very aggressive and we will have to continue to leverage innovative ways to identify and onboard talent – internally and externally. People are the most important part of our program. Getting the right people on the team and providing development opportunities for all to grow along with our program is a priority.

4. What new or recent trend will have the biggest impact on LP, and why?

The traction for Loss Prevention industry certifications – LP Certified, LP Qualified and Certified Forensic Interviewer have been great. Industry professionals and institutions continue to recognize that loss prevention has significant career path opportunities. Certifications create professional tiers that employers appreciate and provide great credibility for those who are willing to invest in their development.

5. What attributes does / did your mentor possess that you emulated to be the leader you are today?

Be a retailer first – LP practitioner second. Being a student of the business is important. Talking first about initiatives important to the top line and the bottom line, before the shrink line, will create strong partnerships and allies. Retailers look at risk through the lens of a customer, while LP professionals tend to see it from the criminal’s perspective. To be successful, you have to act as an independent “consultant” and find balance. It hurts, but you have to realize that some loss has to be acceptable to improve the experience for the majority good population.

6. What is one of your favorite quotes?

Character is much easier kept than recovered. – Thomas Payne

7. What’s your favorite non-job-related pastime?

I love to spend time with my family and love to run.

8. What’s one thing most people you work with don’t know about you?

I was still actively skateboarding and sporting a mohawk during my freshmen year of college.

9. What’s the last book you read?

I just finished reading “Kill Shot” by Vince Flynn. I really like a good political thriller. Flynn, who unfortunately died recently, was a master!

10. If you could invite any four people (dead or alive) to a dinner party, who would you invite and why?

Jesus Christ for obvious reasons; Abraham Lincoln – I think that he is a fascinating, historical leader; Jimmy Buffet because I love how he has been able to entertain while blending his lifestyle with an entrepreneurial spirit; and my wife, Deb, because she is a lot of fun at a dinner party!

 
ORC News
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ORC male duo hits Walgreens for 3 cases of liquor in Port Charlotte, Fla. last Thursday  Store video showed that last Thursday between about 5:30 and 6:00 pm, two Black males had entered the store together. While one of the men went elsewhere in the store, the second man seemed to ask the clerk about merchandise behind the counter. While the clerk was distracted, the second man was seen signaling the first who wheeled a shopping cart with three cases of merchandise out of the store. Anyone with information in this case is asked to please call the Charlotte County Sheriff’s Office at (941) 639-2101, or Crime Stoppers at 800-780-TIPS. (Source fox4now.com)

Brooklyn ORC duo busted hitting Palisade Center Mall in West Nyack  Clarkstown Police have arrested two Brooklyn residents on charges that they possessed close to $4,000 worth of merchandise stolen from stores at the Palisades Center Mall in West Nyack. They were arrested inside the Hollister store after they allegedly stole 18 fragrance items valued at $792. They were also found in possession of two stolen fragrances from Abercrombie and Fitch valued at $108. During the investigation, police found 62 other items worth $3,026 in their car, which were stolen from the Victoria Secret store at the mall. (Source midhudsonnews.com)

Atlanta duo hit for $10,000 with stolen Visa debit card.  In just two day the man and women were able to charge $10,000 to a stolen Visa card in Atlanta. Department Stores in the Southlake Mall, Grocery stores and convenience markets were all targets, many time the charge would be for small items, with cash given back charged to the card. The couple and their vehicle were captured on video surveillance at Kroger. (Source myfoxatlanta.com)

Two Cuban Nationals busted at Polo Ralph Lauren outlet in Victorville to face a judge in Las Vegas. Two Cuban Nationals were stopped in Victorville last month along the I-15 freeway, suspected of shoplifting. Nearly $4000 worth of stolen merchandise was recovered ($600 from Polo) from the car and the two suspects were arrested. U.S. Immigration and Customs Enforcement (ICE) has requested that the two suspects show up in Las Vegas (where they live) to face charges. One suspect showed for the pre-preliminary hearing, the other is now on the run. Police also recovered EAS tag defeating tools. (Source desertdispatch.com)

Thief in Albany, Georgia grabs expensive necklaces and runs.  The Owner, Steve Allen says the man was looking at two necklaces worth about $4,000 Monday afternoon at Allen's Jewelry when he grabbed them, ran out the store. Allen said shortly before the theft, Albany Police called and warned him about a similar crime at another jewelry store. He said police told him they know the name of the suspect. Albany Police would not confirm that. (Source mysouthwestga.com)

Three charged with $1000 baby formula theft for Clarksville Walmart.  Over 100 cans of baby formula was found in plain view during the stop of three suspects believed to be shoplifters from the Clarksville Walmart. Police also recovered a plastic bag with suspected crack rocks and several crack pipes, later the substance did not test positive for cocaine. (Source newsandtribune.com)

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Vendor Spotlight
 

Retail--The Big Business of Small Systems

No one size fits all, but there's a solution for everyone


By Jackie Andersen
Business Development Manager, Retail
Axis Communications

It’s estimated that 60 percent of today’s surveillance installations fall into the fewer-than-16-cameras ecosystem. While integrators might be drawn to large national footprint retailers, selling security systems into small business environments is a market you can’t afford to pass up.

Today there are a number of small IP-based solutions that are far simpler and more cost-effective than analog—even for locations with fewer than five cameras. So embrace the small systems sale. There’s an IP solution for every application.


Small, independent owners/operators

Instead of a traditional analog camera/DVR system, steer first-time users to IP cameras with edge storage (in-camera SD cards) and video management software. Piggybacking IP cameras on the same Category 5 structured cabling used for other data technologies running in-store eliminates the DVR and expensive cable runs to a head end. Plus, they can monitor the cameras remotely over the Internet after store hours.

For those with existing analog CCTV systems, don’t jump right ahead to a forklift upgrade to IP technology. Instead, consider small manageable steps that respect their bottom line, yet still provide tangible IP video benefits (scalability, intelligent functionality, ditching the cumbersome DVR, etc.). If there are viable, un-depreciated, quality analog cameras on-site and coaxial cable that is still in good condition, offer media conversion and video encoders to bring the system into the network age. Encoders will digitize their analog camera signals, while media conversion will turn existing coaxial into Cat-5 cable that is capable of accepting those digitized signals.

It’s a DVR-busting strategy that offsets their real risk point for security: a failure-prone technology requiring regular maintenance. Moving toward an open IP solution also enables owners/operators to integrate video surveillance with other security systems, such as access control and burglar alarms, for tighter oversight of store activity.

Applications for franchisees

If the franchisee is a single-location operator, assess the existing system and if it’s in good shape, offer a migration path to IP surveillance in small incremental steps: media conversion, encoders and then a lightweight, decentralized video management system running at the edge.

If the franchisee operates two or three locations, consider a lightweight, decentralized video management system with recording software and edge storage. This would involve gradually replacing aging analog cameras with IP cameras that include onboard storage. It eliminates the need for outdated equipment at the head end and allows the franchisee to be more flexible and nimble with onsite equipment.

Growing chain with multiple, small footprint locations

As the small independent business or franchise grows, consider introducing a hosted video solution to store mission-critical recorded video in the cloud. With a hosted solution, every location receives the same quality end-result. The chain doesn’t need to hire technology experts to manage the surveillance system because the host provider takes on the burden of maintaining, upgrading and troubleshooting. By shifting surveillance from a capital expense to an operating expense, the franchise owner can control the monthly outlay and achieve greater functionality from the system.

Being a network-based solution, management can remotely access video from any location in the chain for operational oversight and business intelligence. So the surveillance system can provide additional value to the organization beyond loss prevention—from consistent branding to adherence to safety procedures and the quality of customer service.

Something for everyone

Video surveillance isn’t a one-size-fits-all solution. Whether it’s strictly for loss prevention or a tool for broader business oversight, the solution needs to fit the budget and provide value to the bottom line. If you can show how IP video can give users more bang for their buck, you’re one step closer to closing the deal.


Jackie Andersen has more than 25 years of experience in retail video surveillance and intelligent analytics and is the North America retail business development manager for Axis Communications. To request more information about Axis, visit www.securityinfowatch.com/10212966.

 

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Leadership Secrets from Successful CEOs  There is no one way to be a good or successful leader, everyone has different styles of leadership that work well for them and for their company that might be not as effective elsewhere. Here are some of the successful leadership secrets from CEOs belonging to the Young Presidents' Organization that you can adapt for your own organization. (Love your company)

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Rethinking the Word of Leadership
According to the 2013 Edelman Trust Barometer, less than 20% of respondents believe leaders are actually being truthful when confronted with a difficult issue in their organizations. What does that say about leadership today? Leaders should, as CIO of Equitable Life Insurance Company of Canada puts it, 'lead without authority.' (Engage your workers)

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Handling the big question – Why did you leave? is the hardest of them all if, in fact, your departure was involuntary. Like Bum Phillips, the old Houston Oilers coach, once said at a luncheon I attended, "There's two types of coaches – those that have been fired and those who are waiting to be fired." And quite frankly he was almost dead-on as over 70% of executives will face involuntary departures from an employer during their career. The best position to take is one of absolute straightforwardness. Be open – be honest – and be reflective right from the beginning. But get it over quick and deal with it right at the beginning of the interview and don't make it a long-winded response. Certainly review it – rehearse it – make sure it answers the question. But get it out of the way and move on in your own mind. Look to the future and leave it behind you.

Just a thought,
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