Trade Associations, Conferences & Series

2012 International Organization of Black Security Executives (IOBSE) Spring Conference

The Face of Loss Prevention - Bill Titus, VP Loss Prevention & Safety


 

Bill Titus, VP Loss Prevention & Safety, Sears Holdings Corp., Part One  In this five part series, titled The Face of Loss Prevention - The Accidental Warrior, Bill Titus speaks about the evolution of loss prevention: the people, the processes and technologies, and the bad guys. This presentation was given at the International Organization of Black Security Executives (IOBSE) Spring Conference to current and future loss prevention professionals. Bill discusses how to go about choosing the right kind of career and company, and he compares public and private sector jobs, including salaries and job functions. Filmed April 2012. Stay tuned tomorrow for part two.
 

Submitted by Christopher Giunta
AP Operations Analyst
Ralph Lauren


Despite retail consumption being responsible for about two-thirds of America's GDP, we are far behind the curve of other business segments in developing concise and objective units of measurement. We need to set a higher standard for the term analysis in Loss Prevention. Too often we look to our experience to create KPI's and identify sources of shrink to determine our strategic mission. And, quite often, we mistakenly refer to aggregating data as analysis.

True analysis is based in statistics and must be elevated from the realm of descriptive statistics, such as percent change or averages, to relational and causal models. Relational statistics would include the Pearson's Product Movement Correlation or simply correlation, a phrase often misused and misunderstood in our industry. Have you ever heard some say, There is a direct correlation between? Truth is, direct correlations do not exist; they are either positive or negative. Those who understand the concept also know that with the correlation comes a probability of error the chance that the relationship between your variables is random and otherwise inconclusive.

However, the correlation itself is simply the first step. By elevating our analysis, we will begin to come closer to identifying cause and effect, which will result in the creation of meaningful KPI's and predictive analytics. This is where multivariate analysis comes into play, which essentially quantifies the impact one metric has on your problem, while simultaneously controlling and calculating the impact of several other metrics. What we are talking about here is equation building.

Do you remember that equation from back in high school algebra class, Y=mx+b? It was last period, as you were struggling to remain conscious, and the teacher kept talking about slope and the intercept and the axis. It's a little something like that old thing. Let's stop sacrificing calculated conclusions for convenience. We must realize that our experience in itself is subjective, but math is not. Though our interpretation of the results will cater to our individual biases, this is completely understandable and expected. However, with the foundation of our thought processes elevated, we can begin to uncover the true causes of shrink and tailor our resources toward much more effective, cost reduction strategies.
 

Job Opening

Company

Location

Origination

Kevin Valentine has been named Vice President of Internal Audit and Risk Management for the parent company for Sterling Jewelers, Signet Jewelers Ltd.
Mike Battles, CFI, PI was promoted to Divisional Director of Loss Prevention For Stage Stores, Inc.
John Brocar, CFE, CFI was named Director of Fraud and Forensic Recovery Practice for Ryan.
Pankaj Aneja was named Manager - Loss Prevention for The Body Shop - India Market.
David Furr has been named Regional Loss Prevention Manager at Bed Bath & Beyond.
 

"You're not a candidate for the position"

Part 2 - Be careful what you wish for - A chance to interview for your boss' job

It's been a tough couple of months. You've put in hours that your family is noticing. You've touched, reviewed, and rethought every aspect, every team member, and every program of the entire LP effort. You've pushed your relationships to the max and you've spent virtually every waking moment trying to figure out how to rebirth and refine a program that's been working for years. Or at least in your eyes it has been. And that's been one of the hardest feats. To step away from a program that you've been a critical part of and create a new one that actually takes it to the next level. You've studied the company mission statement and goals, you know the culture and management philosophy and you've incorporated it in everything you've created. You've researched, benchmarked, studied, authored, and chaired committee reviews in pursuit of your new direction.

Your team is questioning you, with some on board and some teetering on the verge of challenging you, and a few may have done so. But yet you've kept them united and you've convinced them this new path - this new effort - will bring better results. And now your wish comes true and you have an interview. You haven't pushed the executives or HR for the interview, you haven't politicked it, and you haven't broadcast it. You've just quietly, very intentionally, and with only a few serious but casual conversations with the executive it reports to, shown them the beginnings of a new path, a new direction and they've watched you and listened while you've become that new leader - and you've started creating that new fresh approach that every organization looks for when they have a chance to. It's human nature to gravitate to new and fresh the very minute the opportunity to do so presents itself. And now you have that opportunity you've fought for and in your own mind deserve. The chance to interview for your boss' job. There's only one wall left and it's the biggest one of all. It's called "Perception."

Perception is reality and changing the perception will change reality. You already started changing it when you started the process of rebirthing - reinventing the LP program, you just didn't realize it. But now it's more personal. We're talking about changing their individual perceptions of you professionally and quite frankly personally as well, based on one-on-one interviews. Up close and personal. You knew their perception of you a couple of months ago when they said you're not a candidate, so you already know they viewed you as part of the old. Now your job, your mission, is to show them, is to communicate to them that you realize this is a unique opportunity for the organization and that you can orchestrate and deliver that fresh new approach that ultimately will deliver improved results. Bring up the text book fact that senior management change offers an opportunity to revitalize, re-energize, and re-motivate teams and organizations. Then share your vision of where you think the team and the effort should go and more importantly how it's going to get there. You've got to be able to show, discuss, and debate the merits of the new revitalized direction you believe best fits the organization. From the 35,000 foot level down to the minute detail. And while it's impossible to redefine an entire program in such a short time frame, it is possible to draw the blueprint, begin the process, and communicate the direction. The issue is that it has to fit within the vision the senior management team has for the organization and for the team as well, and you have to be able to show them that you can draw the line between the old and the new.

Drawing the line between the old and the new and starting fresh, which is the absolute objective of all external executives, is probably the most difficult task of all for the internal executive, especially one that's been labeled "not a candidate." As it is certainly one of the major questions and concerns for senior management in that it forces you to immediately evaluate and resolve the weaknesses and inefficiencies that exist in every program and in every team quickly and cost effectively. And given human nature, senior management needs to be reassured that your team will be absolutely committed to increasing performance and improving results in every facet of the business and that every program and team member will be held accountable to those standards. Countering this concern further, developing formal Individual Development Programs* (IDP's) for each executive on your team, a program that goes well beyond the typical review process, is a wise investment and response and shows your team that you're willing to invest in their career development. It also separates the personal from the professional and gives both parties the tools needed to facilitate improvement and change.

Overcoming or changing perceptions is not an easy task and quite frankly most are only successful when indeed they change jobs and join new companies. But this is a topic that books are written about and today we just got started. Stay tuned for this series when we take the next step and talk more about "perception: the game of changing" - can anyone really do it? Part three next Monday!

Just a thought,
Gus Downing

  


* There are outside Human Resource companies that specialize in the development and management of Individual Development Programs. Your HR department should be able to provide you with more information.