Concept OF Asset Protection AND LOSS Prevention PDF

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Asset protection and loss prevention management INTRODUCTION Asset protection and loss prevention management can be viewed as an appreciable development in the world of retail and business. In retails for example, we speak of selling of goods in quantities for use. Retailing is therefore a business process; The concept of asset protection grew in the field because of the need to secure entities and prevention of harm from hazards. Over time there have been advancements in technology and crime that has further heightened the security strategies and measures to be undertaken in the field. This is due to the revolutionary aspect of the retail businesses, changing economic times and general change in crime patterns in the world. DEFINITION OF TERMS An asset is any entity that is owned by an organization, group or individual which is of value. Human beings are also considered assets. Asset protection can be defined as all means and strategies taken to secure a person’s entities; tangible and non-tangible from people who may have claims over it or possible destruction of property. Loss prevention on the other hand collectively encompasses strategies that are formulated to prevent or reduce business hazards from being beyond control Most retail business and companies have different approaches to loss prevention programs, dealing with them in accordance to their culture, cost effectiveness and clearly outlined needs.

The main objective of these strategies is to make profits and to reduce loss in terms of theft and shrinkage. Therefore, companies which have loss prevention departments look at potential risks that can predispose them to a hazard and formulate strategies to combat possible losses in the business. In as much as retail organizations try to adopt preventative strategies, most of these measures clearly relate to security and some aspects of disaster management. Arguably, security entails provision of safety to prevent loss while disaster management’s main goal is to enhance sustainability whilst reducing vulnerability and managing risks. It is expected that a successful business thrives if there is security and proper management of loss therefore our primary goal as retail business owners is to make profit while minimizing the causal effects of loss.

CONCEPT OF ASSET PROTECTION AND LOSS PREVENTION MANAGEMENT HISTORICAL OVERVIEW For a long duration of time even up to date retail organizations adopted the concept of physical security as a means of preventing loss and protecting assets. In terms of physical security, we talk of people in uniform who were used to perform frisking and from a psychological viewpoint were to make people feel secure and to deter crimes such as shoplifting which was a major problem at the time (Turner, 2017). With time the retail business organizations begun to realize that losses were not from petty shoplifting alone and this further called for an advancement in prevention. Gradually retail businesses begun fostering departments that were to offer security to the organization. They dressed differently from their uniformed counterparts and took charge of their predecessors. In the early years a business organization would measure its successes based upon the number of dishonest employees and shoplifters that were caught and apprehended. It then became a noticeable improvement for the business if they catch many perpetrators early. This led to the growth of hidden monitoring, provisions of better means of communication like the use of radios, the onset of alarm systems and generally more enhanced strategies to catch perpetrators.

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With time, the retail business owners begun to use even more advanced equipment for surveillance like the closed-circuit television camera systems (CCTV). Thanks to this development, it was possible to cover surveillance of a large scope and reduce the load of workmanship who could merely provide physical labor based on their ability to see, frisk and catch (Turner, 2017).Systems were further developed that could be used to capture videos which could serve as evidence in court systems. Furthermore, the CCTV cameras were helpful to strict employers who could monitor their employees without need of physical presence. It proved to be an effective method as shoplifters who were not spotted by the physical guards could always be caught on camera. Despite these commendable achievements, crime continued to graduate and investigative measures were difficult to conduct. White collar crimes in organizations like fraud and theft heightened. Incidents of counterfeiting, online shopping threats and other forms of organized crimes called for a more informed approach from the loss prevention departments. This was countered by effective training and awareness from the prevention teams. With further consultations ideally a reactive approach bound to be seen ineffective and thus proactive means had to be adopted. Deterrence and awareness became the new tools to combat losses. Awareness programs were meant to engage sales force and support loss prevention management. Audit programs were developed to aid in the operational teams. Electronic article surveillance systems were established to monitor and investigate products while improving access. Many loss prevention departments were housed based on the business needs like the emergency management, human resource management, customer care services as per the needs of the retail organization. Now in modern times, loss prevention is considered the core of any business and retail organizations. Essentially, the loss and asset protection departments have evolved from merely fighting crime to more advanced techniques like prediction and structural management. MODERN LOSS PREVENTION STRATEGIES TECHNOLOGICAL ADVANCEMENTS SURVEILLANCE SYSTEMS

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The general move towards using technology has led to a reduction in work force thus proving to be a cost-effective measure. The regular watch dogs and patrol men have now been replaced with CCTV footages (Purpura, 2013, p. 35). The use of closed-circuit television cameras in today’s retail enterprises is common. They help in monitoring of employee performance from a hidden eye, watching out for shoplifters as well as proper viewing of employees who steal from the organization. IDENTIFICATION OF PERSONELL Most enterprises use identification through biometric scanning, use of identification cards, facial recognition scanning, iris scanning just to improve the internal security of an organization. These measures prevent interference from the external environment hence the public are unable to access places where only staff are allowed entry. Identification also eliminates idlers who may be found outside the business premises thereby making it easy to control entry and exits of people. USE OF GLOBAL POSITIONING SYSTEMS These systems are common in supermarkets for example whereby there is a point of sale system that tracks where goods are in the supermarket. In a situation where a junior employee may want to access items not within their reach, they ought to contact their supervisors in order to gain access to them (Wikloan, n.d.). The global positioning systems are also used in online shopping sites that enable any person who makes an order track the location of their goods before delivery or just know at which stations has the shipment been taken to. INTERNET OF THINGS Internet of things as the name suggests, provides internet security to goods or items of a supplier from harm physically. For example, a retailer may be involved in selling valuable commodities that he can not showcase them physically due to the commodities being more vulnerable to physical theft. So, the retailer may decide to use the internet through online shopping and marketing where he or she provides pictures of the commodity they are selling and then a willing buyer may place an order for the item to be delivered to them from the transit stores. RADIO FREQUENCY MONITORING

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Courier services nowadays employ the use of both radio frequency monitoring and global positioning systems to enhance delivery of goods (Wikloan, n.d.) The radio frequency monitoring systems are used to track goods in small locations whereas the GPS are used for international locations. OTHER INNOVATIONS DEPARTMENTAL DEVELOPMENTS Many organizations have adopted departmental organizations that help in developing proactive measures when faced with emergency situations or risks. Departments like the customer care service, human resource department (personnel management), security departments and disaster management have all been put on guard to help an organization manage risk and thereby preventing loss. Gone are the days when retail owners had to wait for a hazard to occur in order to foster a response. The training of employees in these departments has been improved manner of handling risk. EMPLOYEE EMPOWERMENT As internal threats begun to thrive, the concept of employee motivation and appreciation begun to be essential in order to raise their morale. Employees could feel the need to increase workmanship efficiency by receiving monetary and non-monetary incentives as a way of regarding the work they provide the organization hence it minimizes loss by preventing workers turnover. CUSTOMER CARE The importance of customer care to an organization became relevant especially in terms of feedback. In order to foster good relationships with clients, the retail organizations saw the importance of collecting views from their clients in order to protect the company’s reputation and still improve on service delivery by considering customer preferences. WORKPLACE VIOLENCE TRAINING Some organizations have gone further in training their employees and departments on combating workplace violence in their organization (Kelloway et al., 2006, p. 40). This ensures that if the

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situation occurs then such departmental intervention van be employed to prevent further damage to an organization’s assets therefore it becomes manageable. THE FUTURE OF ASSET PROTECTION AND LOSS PREVENTION MANAGEMENT The field of Loss prevention and asset protection is one that is dynamic in nature. As the industry tries to keep up with threats in terms of theft, and loss we must also consider other factors such as the principles, culture and purpose of an organization. An organization cannot solely depend on theft and loss prevention strategies in order to realize its goals and objectives. Looking at the technological advancements in terms of loss prevention, the future promises us on proactive approaches in dealing with threats. Furthermore, we expect a reduced manual skilled labor due to future advancements in technology. The development of departments that improve service delivery, reduce workplace violence and employee turnover, credits well done jobs and enhances communication are all steps that the retail market has been able to use to realize its objectives. The retail business should therefore be able to employ all encompassing strategies that could ensure that they keep up with the revolutionary nature of the retail market. In brief therefore, the loss prevention department should consider being on point with the objectives and expectations of the retail organization. The retailers should be open minded and fully knowledgeable about innovation plans and ideas in the retail world that build and improve efficiency. Due to financial constraints many businesses are subject to failure however a retail business that thrives is one that can fight the challenges. With the prediction of even tough economic times in a country like Kenya for example, retailers should be able to adjust and turn to cost effective measures that they may be able to get the desired output without necessarily shouldering exorbitant costs that they cannot manage. ANALYSIS AND RECOMMENDATIONS Due to the growth of artificial intelligence, the future will most likely be one of high mechanization if indeed the country will attain the vision 2030 dream. Mechanization is beneficial, however depending on technology might lead the country down the drain. Crimes will continue to thrive due to lack of employment since the manual labor force would be replaced by machines. Therefore, I suggest that the retailers prepare in advance for such situations that they may not create large losses to retailers. 5|Page

Further retailers should employ what they are able to manage since growth is gradual. The average population in the country consists of more youth than old people. The young retailers should change their immediate profit mindset so that they are able to work with the available resources to realize their retail’s objectives and aims. They should also realize the importance of awareness and use creative thinking and ideas to help the business grow. Crediting the contribution of technology, we are ambitious looking at a time when software developers create an all in one solution to reduce fraud, theft, shrinkage and other threats that may affect the retail business. Establishment of developed means of assessing risk, determining vulnerabilities providing possible reduction strategies to be employed when in a hazardous situation can all be means of protection and enhancement of security. Ultimately, the dynamic nature of the retail business gives it the capability to grow. Innovators should be fierce in facing the revolutionary world since it is only with such resilience will they survive in their endeavors.

REFERENCES Kelloway, E. K., Barling, J., & Jr., J. J. (2006). Handbook of Workplace Violence. SAGE. Purpura, P. P. (2013). Security and Loss Prevention: An Introduction. Butterworth Heinemann. Turner, B. (2017, February 7). From Security to Loss Prevention to Retail Asset Protection to Profit Enhancement. Loss Prevention Media. https://losspreventionmedia.com/fromsecurity-to-loss-prevention-to-retail-asset-protection-to-profit-enhancement/ Wikloan. (n.d.). Shielding Your Wealth: Asset Protection Vs. Loss Prevention — WikiLoan. WikiLoan. Retrieved March 6, 2020, from https://wikiloan.com/info/shielding-yourwealth-asset-protection-vs-loss-prevention-1.html 6|Page

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