Six Principles Of Loss Prevention

By LP Innovations

Each segment and individual organization in the vast retailing community is completely unique, with its own corporate culture, store layout, policies and processes. Therefore, certain functions of each retailer, including its loss prevention program, should be as unique as the culture dictates; however, there are key principles and best practices that are universal, and transcend segment and store type.

A well-structured loss prevention function should include a program designed around the six key principles of loss prevention. These six individual but symbiotic principles provide an approach that focuses on the prevention, identification, and resolution of loss. Embracing these principles within your loss prevention function, structure and program will ensure you the best opportunity to promote an environment of profitability and prevention.

The six principles Prevention, Awareness, Compliance, Detection, Investigation and Resolution. As the circle moves clockwise, each principle has a relationship with the next principle, starting with and circling back to the primary principle and objective of any loss prevention program – Prevention. As a retailer builds or monitors their loss prevention function, the overall goal is to include as many of these principles with each program element, resource or technology.