Statistically, the retail industry loses $30 billion annually to theft.

Retail stores like Elder-Beerman, excluding groceries, lose 1.7 percent of stock to shrinkage each year.

Shrinkage may be external, internal or caused by paper mistakes, such as incorrectly stating a quantity on an invoice. External stock shrinkage is the industry term for shoplifting or theft. It's estimated that an individual pays more that $150 extra per year as businesses must increase retail prices to cover theft.

Elder-Beerman of Warsaw uses the latest technology to identify theft. Most people know that many retail businesses use ceiling cameras to observe activities in a store, but the newer technology makes those cameras more useful.

Vicki Krueger, Elder-Beerman corporate investigator, Toledo, Ohio, said, "The Elder-Beerman chain is well below the 1.7 percent due to its dedication to reducing shrinkage and security systems that incorporate cameras strategically placed throughout the store. The systems first prevent loss, then assist us to apprehend and prosecute shoplifters. We don't let people get off."

In the case of the security system at the local Elder-Beerman, there are 20 cameras placed throughout the store. Each of the cameras are programmed by the local loss prevention supervisor, Sheryl Hanna, to monitor an area in a fixed position or by a planned scanning pattern of the area. The cameras can scan 360 degrees. All activity seen by the cameras is videotaped, and the tapes are kept for two months.

The room where the video monitors are viewed is staffed whenever the store is open. By watching the various screens, it's possible to track an individual from the front door throughout the store. All customer areas in the store can be monitored - except dressing rooms and the restrooms. With the scan and zoom features, it's possible to closely view the details of a person going and coming from these areas. This would include what items were taken into a dressing room and if a person's outward appearance changed while in the dressing room.

The selected scan and zoom features are operated by selecting one of the individual cameras and moving the image to a large screen that enlarges the image and converts it to color. Using a joy stick, the operator manually can move the camera's view to anywhere in the area visible to the camera, even to hidden corners at the farthest viewing point from the camera. Using the zoom feature, the operator then can focus more closely on an area or object. The zoom has such powerful resolution that it's possible to read a customer's name on a credit card or check as a transaction takes place at a cash register.

Krueger said, "The range and clarity of the larger picture is amazing! We can see into every nook and cranny in the store."

So what do security personnel watch for? Elder-Beerman does not use any profiling of people. Instead, they look for the actions of customers, such as:

• Do they avoid associates?

• Do they avoid center aisles, stay in perimeter areas?

• Do they have shifty eyes, don't appear to be looking for particular items or sizes or look only at high ticket items?

• Does a group come into the store together, then split up?

Hanna said, "The challenge of monitoring store security increases as traffic in the store increases. For example, we know that when school's out, activity increases. Activity is also more closely monitored during specials and sales." [[In-content Ad]]