People working in retail know the term “shrink.” It refers to a store’s loss of inventory through accident or theft. Causes of retail shrink include shoplifting, employee theft, administrative mistakes, and return fraud. A loss prevention manager oversees all efforts to reduce shrink, from stronger security measures to training employees on best practices for loss prevention.
While many associate loss prevention management with catching shoplifters, the role is much broader, focusing on protecting company assets and boosting profitability. This unique job demands a specific skill set and is becoming increasingly vital in the retail industry.
Graduates of NMU’s Global Campus Loss Prevention Management program emerge with the skills and knowledge needed to excel in this challenging business area.
Loss Prevention Managers Do More Than Prevent Theft
Preventing theft is a key component of a loss prevention manager’s job. But the career field includes many other facets that focus on reducing company losses. The field is growing as more companies see its value, according to The Balance.
Key Responsibilities of a Loss Prevention Manager
- Investigate theft, policy violations, and compliance issues.
- Communicate with management about loss prevention strategies.
- Conduct audits to ensure proper inventory handling.
- Develop and implement loss prevention policies.
- Train staff in best practices to reduce shrinkage.
- Minimize financial losses from theft, vandalism, accidents, and injuries.
- Collaborate with local law enforcement and government officials.
Loss prevention managers also need strong computer skills. Forbes reports that retailers increasingly use advanced software to detect loss prevention. It’s a necessary step as shrink losses totaled more than $61 billion in 2019. Data analysis, for example, helps retailers better determine when, where, and how specific items go missing.
An Example of Loss Prevention Management in a Large Retail Chain
Retail shrink, the loss of inventory due to theft, fraud, and administrative errors, is a significant concern for major retailers. An article by The New York Times highlights the measures taken by Home Depot to combat this issue.
With over 2,300 stores in North America, Home Depot employs advanced loss prevention strategies, including state-of-the-art surveillance, data analytics, and dedicated loss prevention teams. These teams consist of regional specialists, store-level officers, and corporate staff working together to prevent loss and ensure safety.
Home Depot’s loss prevention team trains employees, develops policies, and conducts investigations into theft and fraud. They also analyze metrics to monitor and reduce shrink, maintaining the company’s profitability and efficiency.
Home Depot’s investment in loss prevention extends to its distribution centers, addressing inventory discrepancies comprehensively. This approach effectively mitigates losses and ensures a secure shopping environment for customers.
NMU Global Campus Loss Prevention Management Degree
NMU Global Campus offers an online Loss Prevention Management bachelor’s degree program designed for traditional and non-traditional students. The degree can be earned online and NMU provides students the flexibility to further their education while maintaining professional and personal obligations.
The program continually evolves to keep up with changes in loss prevention best practices. NMU accomplishes this through instructors who have experience in the industry, as well as through graduates who provide the latest information on the most current loss prevention threats and trends.
Students in the program learn management theory and how to apply it in real-world situations. They also develop skills in investigative techniques and learn best practices for applying data analytics to loss prevention.
Loss prevention is a fascinating career field that continues to grow. Those who aspire to excel in this unique career can take the first step toward their career goals by earning a bachelor’s degree in Loss Prevention Management.
