LPQ Course 1 Gopher NotesLPQ Course 1 Gopher Notes|2023 LATEST UPDATES|GUARANTEED SUCCESS

Why do so few individuals consider looking at Loss Prevention as their chosen profession when they first begin their careers? - Old security guard stereotypes - Reminds people of a High School bully/Retired Cop - Thought of as Dull or Unexciting - Lack of Exposure How was success measured in the early years of Loss Prevention? Success was measured based on the number of dishonest employees and shoplifters that were apprehended each year 00:36 01:18 What is the role of Loss Prevention? Our role is to enhance the profitability of our company What primary concepts do the lion's share of our Loss Prevention responsibilities revolve around? The lion's share of responsibilities revolve around prevention, training, awareness, and technology. What are some of the contributions that are made by the Loss Prevention department on a daily basis that add to the success of an organization? - Employee training and awareness programs - Performing audits - Conducting investigations - Performing apprehensions - Building business partnerships What are some of the more common methods that companies will use to reduce the opportunity for an employee to become involved in dishonest activity? A combination of awareness programs, training and technology solutions. What are the general steps that must be followed in order to make a shoplifting apprehension? Step 1: You must see the subject ENTER the department or merchandise display area. Step 2: You must see the subject SELECT and remove store merchandise from its place of display. Step 3: You must see the subject CONCEAL the merchandise or take other actions that demonstrate the intent to steal. Step 4: You must maintain continuous and unbroken surveillance of the subject throughout the process up to the point of apprehension. Step 5: You must allow the subject to exit the store whenever possible or proceed toward the exit if the intent to steal has clearly been established. List the five primary subcategories for Loss Prevention retailers... 1.) Department Store / Big Box Retailers 2.) Specialty Retailers 3.) Category Killers 4.) Grocery Stores 5.) Restaurants/Fast Food List some of the more specialized retail functions where Loss Prevention professionals can pursue career options: i. Distribution/Logistics ii. Business Services & E-Commerce iii. Organized Retail Crime iv. Special Investigations v. Protective Services vi. Internal Audit vii. LP Operations and Support Services viii. Training Services How does Loss Prevention identify historical areas of loss, and areas of potential loss? By tracking and analyzing inventory data, shoplifting statistics, in-store activity and a variety of other means. What are some of the most important qualities that we should look for in a potential Loss Prevention candidate? Character. Intelligence. Enthusiasm. A willingness to listen. A willingness to learn. An open mind. Maturity. A positive attitude. A strong work ethic. Leadership. Respect. Strong communication skills. Strong interpersonal skills. High integrity. What are the three primary methods that goods travel from the manufacturer to the consumer through the supply chain? 1.) Manufacturer - Distributor - Retail Company - Consumers 2.) Manufacturer - Retail Company - Consumers 3.) Manufacturer - Consumers 00:01 01:18 What is a Profit & Loss Statement? The Profit and Loss statement (also known as a trial balance report, "the P&L," or monthly statement) is the ultimate indication of how well a store has done financially over a given period of time. Typically, this report is created monthly and will consist of two main sections: revenue generation and expenses. What is a Daily Sales Report? Daily Sales Reports will compile key financial data that will provide the company with a means to analyze trends in the stores regarding general and specific sales information. What is an Inventory Management Report? Inventory Management Reports provide a powerful tool to strengthen the efficiency of several sales support functions as well as directly enhancing the effectiveness of our sales efforts in the stores. What is an Exception Report? Exception Reports, or Error/Exception Reports have in many ways revolutionized the way we track store intelligence information and conduct investigations in the retail environment. What are the primary functions of the POS terminal? - Document customer transactions - Maintain inventory management - Collect customer information. What are the three initial steps that a service desk associate will take when merchandise is returned to the store by a customer? 1.) Determine if the merchandise is resalable. 2.) Determine if the refund meets their refund policy. 3.) Determine and record any additional required information that needs to be collected from the customer. What store functions are typically conducted in the Cash Office? - Cash drawer reconciliation - Bank deposit preparation - Daily report analysis - Safe fund reconciliation What is a Layaway? A customer's agreement to make payments over a period of time in order to purchase a specific item. What is a Special Order? A transaction for a product that is not immediately available for the customer to take home with them What is a Stored Value/Gift Card? A gift card is essentially a credit card that has been loaded with a set dollar amount. What does the term "pencil whipping" documents mean? Approving transactions without witnessing or validating that they actually occurred What is Sweethearting"? "Sweet-hearting" is a term commonly used to describe a theft incident that involves a customer and a sales associate working together to remove merchandise from the store without payment, while presenting an image of legitimacy at the register. What are some of the primary responsibilities of the Loss Prevention department in today's retail environment? - A trainer - An auditor - A customer service specialist - An operator - An agent of change What is the formula for Cost-Plus pricing? Cost of Goods + Markup = Retail Price What is the formula for determining Net Sales? Net Sales = Gross Sales - Returns and Allowances What is Gross Margin? Gross Margin = Total Sales - Cost of Goods What is Contribution Margin? The Contribution Margin defines the difference between total sales revenue and total variable expenses other than the actual cost of the item. Contribution Margin = Total Sales - Variable Expenses What is Net Margin? Net Margin = Total Sales - Cost of Goods - All Variable Expenses Margin % = (Retail Price - Cost) ÷ Retail Price