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August 4, 2014

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Moving Up's
 

In Case You Missed It

Here are the 12 Executives 'Moving Up' as reported in the Daily in July

Amtel, LLC named Robert Sanchez Jr, CFI Director, Operations/Loss Prevention.
Books A Million promoted Curtis Stoves, CFI to Director of Loss Prevention.
Dollar General promoted Sergio Martinez, CFI to Divisional LP Director.
Modell's Sporting Goods named Jamal Evans Director of Loss Prevention.
NIKE, Inc. named Laroussi Elyaddasse Director of North America Loss Prevention
Pep Boys named Michael McCarthy VP Operations, Administration and Fleet Services.
Pricewaterhouse Coopers named Suni Shamapande Director.
Ralph Lauren named John Lubin, CFI Asset Protection Director Europe.
The Great Atlantic & Pacific Tea Co. promoted Brad Reeves to promoted Director of Loss Prevention.
Turning Point Justice named Christopher West Director of Compliance and Community Relations.
Turning Point Justice named Lauren Danchick Director of Client Development.
Under Armour named Frederick Bealefeld Vice President & Chief Global Security Officer.

 

News Brief
Sponsored by WG Security Products, Inc.

Jim Carr, CFI was promoted to Global Director of Loss Prevention for Rent-A-Center.  In his new role Jim will have enterprise responsibility for all loss prevention initiatives servicing over 4700 locations in the United States, Canada and Mexico. Jim has spent his last 14 years in Director and Assistant Vice President Roles with Pep Boys Auto and Rent-A-Center. James joined Rent-A-Center in August 2009 as the Director of Loss Prevention Western Division prior to being appointed Director of International Loss Prevention. Jim designed the International Loss Prevention and Security departments from the market entry strategy 4 years ago to 185 locations today.

Jim holds a Bachelor’s degree in Law & Justice from Rowan University and is a Certified Forensic Interviewer. Jim is a member of International Supply Chain Protection Organization, the ASIS Retail Loss Prevention Council and CSO Roundtable, LP Magazine Editorial Board, Certified Forensic Interviewer Continuing Education Committee and the Loss Prevention Foundation Coursework and Content Review Committees. Congratulations Jim!

Green Dot's MoneyPak - The Preferred Laundering Vehicle for Criminals - With Retailers Caught in the Middle - Green Dot Has Technological Answer - Coming Soon In All 92,000 Locations  Thousands of consumers have been lured into sending money through the card, called MoneyPak. For online fraudsters, the reusable green-and-white paper card that can be used to quickly “reload,” or transfer, hundreds of dollars in cash onto another prepaid card is often the money conduit of choice, regulators and law enforcement officials say. The abuses are mounting as the market in prepaid cards is increasingly finding favor with Americans who don’t have access to a traditional bank account or credit card. The roughly $80 billion that consumers are expected to put on prepaid debit cards this year is double the amount put on those products in 2010. Green Dot, the owner of MoneyPak says it now has a technological answer to address the worst of the illegal uses. A new electronic cash-transfer system it is installing in most of the 92,000 retail stores that sell its products will ultimately replace the MoneyPak altogether, the company says. In most cases, the victim is directed to go to a Walgreens, CVS, Duane Reade or another big retailer that sells prepaid cards, buy a MoneyPak and have the cashier put as much as $500 on the card. By early next year, most stores will be able to let consumers add money directly onto an existing prepaid card by swiping the card through a machine connected to a Green Dot data-processing center. The new system, already in place in Walmart stores that sell Green Dot products, will render obsolete the kind of access codes presently on the back of every MoneyPak card. Customers will be charged the same $4.95 transaction fee as with a MoneyPak now.  (Source nytimes.com)

P.F. Chang's Says Data Breach Affected 33 Locations - Breaches Date Back to October, Span U.S.  P.F. Chang's China Bistro Ltd. said Monday that a data breach involving customers' credit and debit cards affected 33 locations in the continental U.S., although its investigation into the problem is ongoing. The company said the problem has been contained, and it has been securely processing credit and debit card data since June 11, a day after the U.S. Secret Service flagged a possible security problem. It hasn't been determined whether any specific customer's data was stolen, P.F. Chang's added. (Source wsj.com)

PCI regime has bred complacent tick-box security among retailers, survey finds  Retail and financial services organizations have become over-reliant on high-level compliance regimes such as PCI DSS to shore up their networks against data breaches, a survey of 400 UK and US organizations by security firm Tripwire has suggested. Given the record number of public data breach notifications in the retail sector in the last year, the confidence expressed by many of the 407 retail and financial organizations that took part in the survey sounds paradoxical. A surprising 84 percent believed they would detect a data breach within three days despite third-party reports (Verizon, Mandiant) based on real-world incidents suggesting a figure closer to weeks or months. According to Tripwire, the danger of any compliance regime is that it leads to tick box security and becomes a psychological crutch. It says little about how well an organization has tested security controls or modeled attacks. So PCI is making people feel more confident than they should feel. PCI is also about defending one type of data, credit card data, and building controls around that defensive line. A lot of other data falls outside its remit. (Source csoonline.com)

Card fraud on the rise in Europe - Over $2 Billion in card fraud in 2013 
A study of 19 European countries by software company Fico suggests that card fraud losses in 2013 reached 1.55 billion euros - or nearly $2.1 billion. The UK, Russia, France and Italy were among the countries to experience a year-on-year increase in card fraud losses in 2013. While the UK experienced 450 million pounds in losses, the highest level since 2008, both France and Greece had higher ratios of fraud losses to card sales, at seven basis points. The fastest growth of card fraud losses in Europe occurred in Russia, where losses reportedly jumped 28% compared to 2012. (Source essentialretail.com)

Plastic bag bans may contribute to increased shoplifting  City ordinances meant to help the environment may actually be helping criminals too. Law enforcement officials say plastic bag bans - passed in Long Beach, Los Angeles and elsewhere - have enabled criminals to walk off with goods that are easily concealed in reusable shopping bags carried while walking around in stores. “I’ve noticed since the plastic bag ban, it’s made it a bit more challenging to spot someone who may be trying to steal some of these items,” said Long Beach Police Sgt. Robert Woods. Popular theft items include liquor, name-brand cleaning products, baby formula and diapers, he said. (Source presstelegram.com)

Michael Kors Shares Fall Despite Sales That Explode; same store sales up 24% Shares of Michael Kors are lower in pre-market trade despite the retailer reporting earnings and revenue that crushed expectations. For its fiscal first quarter, the luxury accessories maker earned $0.91 per share on revenue of $919.2 million, topping expectations for $0.81 and $851.66 million, respectively. Comparable store sales in the first quarter also surged 24.2%. (Source businessinsider.com)

Retail Industry Added 27,000 Jobs in July
The National Retail Federation calculated retail industry (excluding autos and gasoline) employment increased by 27,000 jobs in July. NRF calculated that retail gained 232,000 jobs year-over-year. The healthy and steady increase in retail employment was due to improved economic and seasonal factors in the second quarter and should provide for stronger growth in the second half of the year. (Source nrf.com)


New app offers employees access to pay as they earn it  A new app-based service called Activehours gives you access to your pay as you earn it. Users can get an advance on their next paycheck for hours they've already worked - up to $100 a day. And here's the novel twist: there's no interest and no fee required. (Source cnbc.com)

Wal-Mart ups the ante against Amazon

Study: Three-fourths of C-Level Execs Undervalue CISO leadership

Spurned Whistleblower Gets $400K SEC Award

Last week's most popular news article --

Retail Sector Loses Two Senior LP Jobs - The Rental Business hit hard - Aarons closing stores & continuing cost-reductions & Two other rental retailers cut senior LP jobs & more  Aaron’s Inc. last week said it plans to close 44 underperforming stores in the third quarter of fiscal 2014 and continue other cost-reduction initiatives in response to disappointing core business performance. This week both Rent-A-Center and United Rentals in Stamford, CT. cut their top LP positions. Along with Rent-A-Center cutting 3 other Regional LPM's. That industry seems to be not doing well across the board. With Rent-A-Center's most recent Quarterly results showing a 4.7% decrease in U.S. Core segment same store sales and for the last six months a 5.5% decrease in same store sales for their U.S. Core segment.  (Source chainstoreage.com)

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Sears Holdings Corporation's Supply Chain LP Team at Corporate HQ
 
 

RLPSA 2014 Conference
 

Top 5 Reasons Attendees are Fired Up for RLPSA


By: Amber Virgillo
Owner & Brand Strategist
Calibration, LLC


The Restaurant Loss Prevention & Security Association (RLPSA) kicked off its 35th annual conference yesterday boasting another year of record-breaking registrations with nearly 300 attendees. Opening day featured a golf outing and welcome reception at the conference venue, the Caribe Royal in Orlando, Florida.

Wondering what all the buzz is about? Here’s the top 5 reasons attendees are fired up to attend RLPSA this year, according to Jim Forlenza, executive director for RLPSA:

5. Social Events with a Purpose
Every good conference knows how to throw networking receptions. But RLPSA combines networking with making a real difference for a local charity. This year RLPSA hosts an evening of food, drink and music at Jimmy Buffet’s Margaritaville, followed by a casino night benefiting the Second Harvest Food Bank of Central Florida.

4. Ramped Up Safety Involvement
“Over the years we’ve seen loss prevention and security executives continually being given new responsibilities,” said Forlenza. “Primarily, this has been safety. To address this growth, we’ve added a new safety committee and we continue to add more safety education to our program.”

3. Franchise Development
Franchisees have been a growing audience segment for RLPSA and this year is no different. RLPSA’s growing attendance is due, in part, to its broadening franchisee base which adds another valuable voice among peers learning from each other at the conference. “It’s phenomenal to have franchisees attend RLPSA because they are facing the same issues, and now they can be seen and heard in a helpful forum,” said Forlenza.

2. Powerhouse Networking
With an attendee list of who’s who in the restaurant industry, RLSPA is where it’s at for networking. From quick-service to table service, some of the nation’s best chains are represented, such as McDonald’s, Dunkin Brands, CKE Restaurants, Bob Evans Farm, and YUM! Brands.

1. Valuable Education
Attendees looked forward to today’s keynote from the Chairman and CEO of Bob Evans Farms, Inc., Steven A. Davis. Other day-two sessions included, “A Moment in Leadership”, from Kurt Reinhart and “Interview and Interrogation Strategies”, from Wayne Hoover, CFI, from Wicklander-Zulawski & Associates.

Stay tuned to the D&D Daily for more news about RLPSA.
Why wait? Follow us live via Twitter @DandDDaily or #RLPSA

 

Loss Prevention News Network
"Live in Ft. Lauderdale at the NRF Show 2014"

Axis Communications

Hedgie Bartol, Retail Business Development Manager for Axis Communications - North America, discusses the evolution of the camera and its application in retail loss prevention. As the market leader in network video, Axis offers network video solutions for professional installations featuring products and solutions based on innovative and open technical platforms. Hedgie tells us why migration strategy is so important for retailers, especially when upgrading from analog to digital IP video technology.

Episode Sponsored By:

 


LPNN Quick Take #3

In this LPNN Quick Take, MC's Joe and Amber discuss what they love hearing about from service providers at the show. They also talk about the importance of retailers and law enforcement collaborating. Lastly, they share their thoughts on the NRF conference and what is the most valuable takeaway for them.


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e-commerce
Sponsored by The Zellman Group

Fraud victims - less confident in the businesses where their data was compromised  72% of consumers affected by fraud have also been victims of data breaches, which points out a powerful connection between breaches and fraud, according to recent findings. Data from the National Consumers League and US research company Javelin Strategy and Research show that consumers are less confident in businesses’ ability to protect their identities and want more government action on fraud prevention measures. According to the study, the consequences of consumer fraud have a serious ripple effect: fraud victims report losing trust in the businesses where their data was compromised. For example, 59% of respondents whose data were breached at a retailer expressed “significantly decreased” trust in retailers who failed to protect their information. (Source thepaypers.com)

Comment: How online grocery will grow in the next 5 years  Online will be the fastest-growing channel over the next five years, according to IGD's recently published annual UK grocery forecasts. By 2019, 8.3% of total grocery sales are expected to be online, compared to 4.4% currently (IGD's channel forecasts are for to the year ending April). But where is the growth coming from and how is it likely to evolve? The latest data shows that 27% of us now shop online for groceries, with 10% buying the majority of our groceries via the internet Online grocery searches from smartphones jumped 94% over the past year, with grocery searches overall up 22%, according to recent Google research. (Source essentialretail.com)

Consumers Comfortable Using QR Codes For Payments

"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 & Zellman Fraudnet

 

ORC News
Sponsored by Security Resources

ID theft criminals score during back-to-school time  Individuals ages 29 and younger represent 26 percent of all ID-theft victims. And as the back-to-school season revs up and students in this age bracket begin registering and enrolling in classes, completing health forms and sharing emergency contacts, ID-theft criminals are ramping up efforts to steal personal information. According to the Federal Trade Commission, 6 percent of identity-theft complaints involve victims who are 19 years old and younger. Another 20 percent of complaints involve victims who range in age from 20 to 29, a demographic that includes those who are entering college or are new to the workforce. Those percentages mean that some 786,000 people 19 years old and younger and 2.6 million 20- to 29-year-olds will become identity-theft victims each year. (Source azcentral.com)

Three women sought for shoplifting from Victoria's Secret in Taunton, MA  Three women allegedly targeted Victoria’s Secret in the Silver City Galleria Thursday night, making off with items an employee told police were worth $870. The employee told police she noticed three young Asian women standing near the lingerie store’s panty area. She said, when she saw one of them place a shirt in her handbag, she warned the woman to leave the item at the register until she was ready to pay and leave. She told the officer she did an inventory check and found that as many as 60 pairs of panties were missing. (Source wickedlocal.com)

Shoplifting Attempt at Walmart in Corpus Christi Lands Three in Jail  In an effort to shoplift some items from a Wal-Mart store got three people taken down at gunpoint. It happened outside this store at SPID and Greenwood. A CCISD officer working security saw 4 people walk out of the store with a variety of items without paying for them. As she confronted them, three of them tried to run away and one of them took out a hatchet, the officer then drew her gun as she called for help. Two men and a woman in her 20's was arrested. The fourth person turned out to be not involved. Store officials say they tried to steal over $200 of clearance items, including that hatchet. (Source kristv.com)

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Retail Crime News
Sponsored by NuTech National

Philadelphia GameStop requires fingerprint scans for game disc trade-ins; held to Pawn Shop standards  Philadelphia resident? You might want to think twice about trading in that copy of Titanfall. At the request of local police, several Philadelphia GameStop stores have implemented a new security measure. Anyone wishing to trade in a used video game at one of these stores is required to submit to a fingerprint scan. The security measure has been in effect since the beginning of July 2014, and many patrons have expressed skepticism and resentment when their fingerprint is requested. The fingerprinting comes at the mandate of the GameStop corporate office, which received a request from Philadelphia's police department to implement stronger security measures. The method of using scans came from GameStop's headquarters, who found out that local laws allow retailers to collect fingerprints. Why do the stores need stronger security? As it turns out, Philly's GameStop stores are legally classified as pawn shops. (There is some dispute over this.) Apparently having a trade-in program in a Philadelphia store means that you have to follow the same rules and regulations that pawn shops are subject to. This isn't unique to Philadelphia; GameStop stores in other parts of the United States are following similar kinds of rules. The fingerprint scanning technique, however, is new. After scanning, the fingerprints are uploaded to Leads Online, the nation's largest database used by law enforcement investigators. The idea is that having customers' fingerprints on file will help police track criminals who use GameStop to unload goods. If you shop at one of these stores, you can no longer trade in your games unless you submit to a fingerprint scan. (Source techtimes.com)

Jammers Aid Cargo Theft
More and more cargo thieves may be using technology known as a jammer to help them avoid detection, according FreightWatch International. A jammer is a device that blocks the signal from a wireless phone, a GPS device or any signal-based communication. Jammers are prohibited by the FCC. Cargo thieves use jammers to interrupt and block the signals put out by GPS-based tracking devices in stolen tractor-trailers in order to prevent companies or authorities from tracking their location. In the high-profile theft of a multimillion dollar load of pharmaceuticals last month, a GPS tracker in the trailer played a key role in locating the stolen load; however, authorities found evidence that the thieves attempted to use two jamming devices to hide their location. Both attempts failed. (Source gobytrucknews.com)

2nd Beauty Supply store in heist in Houston in less than a week  Thieves smashed into a beauty supply store and grabbed hundreds of dollars' worth of wigs and weaves. The entire crime was caught on tape, and now the store owner wants to know if the robbery at his business is connected to another hair heist from earlier this week. The smash and grab happened at KY Fashion on west Mount Houston near Veterans Memorial. (Source abc13.com)

Shoplifting Flash Mobbers hit 2 stores in Federal Way, WA  Federal Way police are looking for a group of about 40 teenagers who stormed a Shell Station in Federal Way Sunday around 12:30 a.m. The clerk was alone at the time and couldn't do anything to stop the crowd. The clerk, Sukhvinder Singh, at first tried to stop the teens at the door but they pushed through. Then Singh tried to grab one of the teenagers' jackets, but another teen threw a soda at him and just missed. According to Federal Way police another group of teens targeted a 7-Eleven store about a mile away, only an hour and a half after they stormed the Shell Station. In that case, the store owner said a group of about 15 teenagers stole bottles of wine and beer. (Source kirotv.com)

Wheelchair robber strikes Stamford mall jewelry store  A robber entered a mall jewelry store in a wheelchair on Saturday, but made his getaway on foot after snatching a $25,000 watch and pepper-spraying two employees. The brazen robbery occurred shortly before 3 p.m. at the Sidney Thomas jewelry store on the fifth floor of the Stamford Town Center mall. Stamford police Capt. Richard Conklin said the thief asked a store employee to see a Rolex watch, and then he leapt out of the wheelchair, pepper-sprayed the employee and then sprayed a security guard who rushed over to catch the man. Conklin said the man knocked the security guard down and ran up to the mall's seventh floor parking garage, where an accomplice is believed to have been waiting with a car. (Source stamfordadvocate.com)

ULTRA Diamonds on State Street in Chicago hit with a Grab and Run of an $8000 men’s diamond bracelet

Zales in Pineville, NC. The victim of a Distraction theft team; $5068 Diamond ring stolen


O’Reilly’s in Pauls, Valley, OK the victim of an Armed Robbery; 2 employees tied-up

Sears employee in Waterloo, IA accused of stealing over $10,000 in merchandise

Lexington woman accused of shoplifting, running over friend

Robberies and Burglaries

Champs - Staten Island, NY - Armed Robbery - police release photo
Cumberland Farms - Rochester, NH - Armed Robbery
CVS - Struthers, OH - Armed Robbery
CVS - Piscataway, NJ - Robbery
Dollar General - Baton Rouge, LA - Armed Robbery
Dollar General - Dyer, IL - Armed Robbery - suspect identified
Family Dollar - Louisville, KY - Armed Robbery
Kum & Go – Iowa City, IA – Armed Robbery
Lowes Food – Raleigh, NC - Armed Robbery
Rite Aid - Portland, OR - Armed Robbery - suspect charged
Rite Aid - Manchester, MN - Robbery
Rite Aid - Shippensburg, PA - Armed Robbery - 3 arrested
Verizon - Houston, TX - Robbery
Walgreens - Brown Deer, WI - Armed Robbery
Walgreens - Roanoke, VA - Robbery - suspect arrested

 

Vendor Spotlight
 




PCI and Exception-Based Reporting

While all retailers are now familiar with the Payment Card Industry (PCI) Data Security Standards (DSS), some are still working on how best to protect cardholder data within their exception based reporting (EBR) application. Ultimately, the answer on how this data will be protected may depend on company-wide decisions or chosen protection methods. However, how your company chooses to protect the data may affect your ability to also effectively utilize reporting to detect exceptions.

The most common methods of cardholder data protection currently in use are: Masking, Encrypting, and Hashing. Each of these techniques has its benefits and limitations as they relate to their ability to provide adequate reporting within an EBR application.

Masking
Masking is the method most consumers are familiar with since many retailers, restaurants, etc., began "masking" credit card numbers on receipts, even before PCI-DSS was a requirement. Masking involves "hiding" certain numbers within the credit/debit card number. Businesses that mask credit/debit card numbers can show up to the first 6 digits and the last 4 digits of the number, with all digits in between "masked" (usually shown as "X" on a receipt).

While this method is the easiest to implement, and can provide valuable information for the merchant, it has also been found to be the least "safe" method for protecting cardholder data. Since the majority of credit/debit card numbers most commonly used in the United States consist of 14-16 digits, a hacker need only to identify 4-6 digits in order to obtain a complete, valid credit/debit card number. Research suggests this can be accomplished in a matter of a few hours.

Read more here. 

 

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Why Your Employees' Happiness Matters -- And What To Do About It  Happiness makes people 12 percent more productive, yet 63 percent of employees today are not "engaged" in their jobs. Whether it's lack of passion or being unhappy, your employees are a driving force, so keeping them happy will take some motivation. (Don't just pay more)

If You're Always Working You're Never Working Well  In today's age of technology,  smartphones and the ability to always stay connected, there's not really any downtime. We say that we're happier, and more productive, for it, but is that true? (Busy does not equal effective)

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12 Weak Habits Every Leader Must Break  Everyone has their bad habits, whether it's chewing with your mouth open or maybe biting your nails. Leaders have bad habits too, and these are the ones you should work on breaking now, before it's too late! (You don't have to yell)

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Jim Carr, CFI was promoted to Global Director of Loss Prevention for Rent-A-Center.
Todd Mace was promoted to Regional Loss Prevention Manager, West Region for Harbor Freight Tools.

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Tip of the Day
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Being too close to the trees to see the forest is an expression that also fits not appreciating the role you play on your own team. With the needs of the day seemingly always taking priority, it's difficult for some to step back and truly see the value you can add to your own team. Realizing it and accepting the responsibility as a team member is half the battle. But doing something with it and truly adding value is what helps the team win the game. Every group, every department is in fact a team and every member plays a vital role towards the success and the survival of that team. That's why that old expression - One for all and all for one - took such a hold in literature. Because it is that simple. The hard part is taking responsibility for it.

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