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Thought Challenge 11-19-12
 


 



"Culture"


by Matt McGarrigle
Loss Prevention Lead
Sears Ontario, Canada


Today in the world of retail we break down shrinkage into groups (External, internal, administrative errors and vendor theft/fraud. We as a group have always been chasing the ultimate goal of reducing the shrinkage in our stores while driving sales to increase profits. If I would suggest that the root cause for each of the above categories on the success or failure relies on the "culture" of your organization would you agree?

Culture within the organization is the heartbeat of any success or failure. It's the willingness of everyone making a positive impact towards success and unfortunately it's also the direct link to failure. If you apply a positive culture towards shrink reduction you address each category at the root cause. Your associates are your number one driving force and if the associates are engaged in that type of culture then they will take ownership in the business. They are your foundation for LP programs. Think of it this way, how would your associates prevent external shrink if you have an internal problem? They won't identify or correct administrative errors or vendor issues because of poor engagement.

Obtaining that positive culture takes a total effort from everyone in the organization starting with your leaders. Associates are not going to buy into the "Do as I say" and "Not as I do" method. Leading by example is the only way. I recently read discussions about paying associates higher wages to prevent internal theft, I disagree. It's like giving an incentive reward asking "please don't steal from me". Paying higher wages because their worth it absolutely. Communication will always be an important key to educate and promote any program you're trying to implement and a big part of that communication is obtaining feedback from the associates. Granted some will challenge just because of change and others will face roadblocks. Find out who or what is creating the roadblock and correct it. Have your corporate policies and job descriptions in place and stick to them. Allowing terms like up to the store managers discretion will only change your culture in a negative way creating poor engagement among associates if the policies only apply sometimes. Remember corporate not store specific policies.

Technology today allows us in so many ways to perform our task without personal contact and yet the most important element we ask from our associates in retail is providing excellent personal customer service with customers, That's what benefits both sales and loss prevention programs is great customer service that we can only obtain from a positive culture.

Positive or negative culture starts with one person, will you be the one? And which one will you be?

Just a thought



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Thought Challenge 11-19-12
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