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APA Overview of Services


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APA provides nationwide services to retailers for Loss Prevention needs, Integrity Shopping, Mystery Shopping, Operational auditing and guard service.

APA provides nationwide services to retailers for Loss Prevention needs, Integrity Shopping, Mystery Shopping, Operational auditing and guard service.

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  • 1. Loss Prevention Solutions
    An Overview
  • 2. Our History
    In 1999, the Founders of two companies, Corporate Risk Solutions and Asset Protection Associates joined companies to offer a full service operational retail consulting group. The company principals have over 40 years of Operational and Loss Prevention experience.
    The company believes in providing the highest quality of service and cost-effective solutions to our clients. This principal has been the foundation of our success. There is no better feeling than knowing that our business services are helping our clients solve problems and improve their bottom line. Our commitment to client service and our willingness to always go the extra mile to bring our clients results will distinguish us from our competition.
    The company operating now as APA specializes in the following services:
    Copyright @ all Rights Reserved by Asset Protection Associates
  • 3. Loss Prevention Overview
    With losses in the billions, companies are challenged to find the best return on their Loss Prevention investments. To do so, they must have a clear understanding of their Loss Prevention function's performance and choose between focusing their Loss Prevention initiatives in-house or developing a partnership that will suit their unique needs.
    APA’s Loss Prevention team provides proven, senior industry leaders to assist your company in reducing inventory and cash losses and recapturing unreported sales by franchise and licensed operators. Our subject matter specialists identify, prioritize, develop and execute strategies to attack loss and enhance profitability.
  • 4. Our Loss Prevention Team
    Each member of our Loss Prevention (LP) team has senior management experience with a scope of responsibility that led to direct reporting relationships with executive management and Boards of Directors. Our clients are assured best in class, industry expertise, including international and multi-national experience, across the complete spectrum of loss prevention.
    Our team brings strong engagement experience and skills in:
    • Shrink Reduction – We offer a wide array of loss prevention solutions to assist in identifying exposures and opportunities for shrink reduction.
    • 5. Expense Savings – Our solutions are focused on bringing you a favorable return on investment and ensuring your expenses are aligned with industry standards.
    • 6. Risk Mitigation – We help standardize your approach to sensitive issues surrounding theft and loss. 
    • 7. Royalty Assurance – We offer specialized programs to assist in identifying underreporting of sales and brand degradation by franchise and licensed operators.
  • 8. Our Loss Prevention Solutions
    Our Loss Prevention team provides solutions designed to fit any business model, from those with an established loss prevention function to those just starting to build their function. We work with you to determine the right solution to achieve your goals.
    Our solutions include:
    Loss Prevention Strategy and Performance Diagnostic
    Loss Prevention Transformation
    Co-Sourced/Out-Sourced Loss Prevention
    Location Audits
    High Shrink Store Programs
    Data Analytics
    Scorecard Development and Reporting
    Exception Based Reporting
    Revenue Containment / Store Closings
    Training and Development
    Special Projects
  • 9. Out-Sourced / Co-Sourced Solutions
    Full outsourcing is beneficial to the company without an in-house Loss Prevention team. A senior member of the APA Loss Prevention team acts as your Loss Prevention Director and reports to a senior-level executive within your company.
    Co-sourcing is a means of complimenting your existing Loss Prevention team with desired specialists. APA has specialists in all areas of Loss Prevention. Whether you need an exception reporting analysis to support your field team, a training expert to develop Loss Prevention training, field auditors or skilled investigators to resolve theft concerns, APA has the professional experience to meet your needs.
    Strategy / Solution
    • Assess, manage and oversee day-in and day-out loss prevention programs (Out-sourcing)
    • 10. Enhance existing loss prevention program through knowledge , expertise , and / or resources (Co-sourcing)
    Value Add
    • Greater flexibility in augmenting resources as needed for auditing, investigating, etc.
    • 11. Availability of subject matter professionals that you may not have on staff such as exception based reporting or data analytics
    • 12. Improved return on investment
  • 13. Loss Prevention Diagnostic
    This four to six week comprehensive assessment reviews the loss prevention department as a whole to help determine whether the LP service plan, skills, and resources are strategically aligned with both the Company’s and the department's vision. As part of the diagnostic, we review processes and data and identify key areas contributing to loss such as theft, poor controls, systemic flaws, training deficiencies, etc. A remediation strategy is developed for each identified exposure. Our diagnostic service is the best resource to quickly and efficiently identify all areas of loss.
    Strategy / Solution
    • Evaluate the current state and performance of LP measured against the requirements of its charter
    • 14. Assess current spend and review organizational effectiveness
    • 15. Evaluate the desired state and future needs and Identify gaps between the current state and future state
    • 16. Analyze areas of loss to determine root causes and possible solutions to correct
    • 17. Develop short-term and long-term remediation strategies to address the issues in the LP structure and gaps contributing to loss
    Value Add
    • Alignment of Company strategy and LP strategy
    • 18. Identification of strategies, policies, procedures and controls necessary to effectively manage critical processes
    • 19. Identification of shrink root causes allowing for proper implementation of solution
    • 20. Gross margin improvement due to reduced shrinkage
  • 21. Investigations
    We will improve your ability to capitalize on profit recovery through investigations. A consistent, focused methodology to address dishonesty is critical to resolve issues and mitigate risk. Our Loss Prevention team can help you establish the infrastructure necessary to transform your loss prevention program from reactive force to a proactive profit center – feeding your bottom line.
    Strategy / Solutions
    • Provide investigative methodologies
    • 22. Conduct internal investigations
    • 23. Utilize industry recognized interview skills
    Value Add
    • Proven industry experience and knowledge
    • 24. Brand protection
  • 25. Investigations
    We work directly with your legal, human resources, and operations group to establish an investigative protocol that is right for the company's culture. Once these protocols are established, investigative frameworks are built to support the process.
    This process includes:
    • Establishing clear points of contact to determine who will review and assess intelligence gathered and who will make decisions to initiate the investigative process. Typically you are given one point of contact within APA who will act as the liaison.
    • 26. Using and modifying our existing investigative methodology to fit your unique needs, ensuring that you have full discretion on decisions revolving around the investigative process.
    • 27. Developing and implementing the appropriate investigative documents necessary to complete the investigation process, including:
    Consent to interview forms;
    Restitution agreements;
    Admission statements; and
    Witness statements.
    Each investigative resource is trained on these methodologies to ensure 100% compliance with the process. The investigative process is regularly reviewed and all results and findings are immediately communicated to appropriate client contacts.
    Investigative Methodology
  • 28. High Shrink Store Program
    We work with you to determine the target the top 5%-10% of your highest risk locations. From there we create strict programs and processes designed to immediately impact and improve profitability and reduce loss. These programs are implemented, personnel trained, and locations audited for compliance on a regular basis.
    Strategy / Solution
    • Identify high shrink locations based on internal data and industry leadership
    • 29. Develop control programs and processes that address root causes of loss
    • 30. Implement the program, train internal resources as needed and routinely follow up on all processes to validate compliance
    • 31. Monitor improvements
    Value Add
    • Understanding that a small percentage of the locations cause a disproportionate amount of loss and profit drain
    • 32. Exception approach motivates teams to take the necessary steps to achieve improved, sustainable results
    • 33. Improved profitability and operations in under-performing locations
  • 34. Data Analytics
    Excessive voids
    Fraudulent refund
  • 35. Data Analytics
    Dark blue is less than one standard deviation from the mean. For the normal distribution, this accounts for about 68% of the set (dark blue) while two standard deviations from the mean (medium and dark blue) account for about 95% and three standard deviations (light, medium, and dark blue) account for about 99.7%.
    We have the ability to take millions of records of transaction level data and look for trends and outliers. Some examples of data analysis techniques we use include:
    Grouping and summing: This technique is best use to classify and stratify data by group (e.g., region, district, date, etc.). It can be used to stratify the data set.
    Standard Distribution Analysis: Standard distribution analysis uses basic statistics to analyze data. Standard deviation shows volatility around the mean. Using z-scores, or how many standard deviations from the mean a data point is, we can highlight outliers in any data set. These technique makes abnormal data easily visible.
    • Regression:A simple linear regression model illustrates the relationship between an independent variable (x) and a dependant variable (y).
    • 36. Correlation:The correlation coefficient is a quantitative measure of the strength of the linear relationship between two variables.
    • 37. Benford’s Law Analysis: This technique examines the actual frequency of leading digits in a normal data set. The law calculates that numbers in sets of data with low first digits, such as 1, occur with more frequency than numbers with high first digits, like 8 or 9. Valid, unaltered data, without exceptional transactions, will follow the projected frequencies.
    Example of Standards Distribution Analysis
  • 38. Data Analytics
    Exception Based Reporting (EBR) is an essential component to an ongoing and proactive LP Department. EBR assists with the identification of dishonesty, systemic, procedural and training issues. EBR helps identify losses that occur at the point of sale (POS). APA's EBR analysts partner with you to understand your organization's unique business model and zero in on patterns of loss at the POS.
    Strategy / Solution
    • Define the right solution for the organization
    • 39. Conduct profit recovery diagnostic
    • 40. Analyze POS transaction logs
    • 41. Provide EBR analyst training
    Value Add
    • Completely scalable ERB model
    • 42. Detect current losses and prevent future losses
    • 43. Experience in multiple EBR platforms that you
    may not have on staff
    Exception Based Reporting
  • 44. Data Analytics
    We can create interactive, visual and web based dashboards allowing you to identify outliers from the region/division level down to the store and cashier level.
    The dashboards have
    the drill down
    capabilities necessary
    to allow you to obtain
    the information.
    Exception Based Reporting
  • 45. Data Analytics
    A Scorecard is created utilizing your organization's key loss criteria, such as cash shortages, waste/scrap, voids, discounts, refund, etc. We customize the scorecard to your business but also include industry benchmarks. Point values are assigned to more heavily weight the highest risk factors and to allow easy identification of your highest risk locations.
    The scorecard allows you to track the performance of a location, district, region or specific initiative on a monthly basis.
    Strategy / Solution
    • Identify and analyze of available data
    • 46. Verify validity and credibility of data
    • 47. Assign point values and create scorecard
    Value Add
    • Objective and repeatable measurements of business unit activity
    • 48. Identification of contributors to poor performance stores and shrink
    Scorecard Reporting
  • 49. Revenue Containment
    Poor controls and apathy from store personnel around the closing process
    Inventory loss due to operational control issues as well as internal theft
    There is no retail environment more challenging in terms of instituting and managing a loss prevention program than during a liquidation or store closing. This is true for stores, warehouses and distribution centers.
    Our solutions provide strong audit and investigation support as well as create the “standard of control” in order to assist organizations in minimizing losses while shuttering stores.
    Through systematic application of risk assessments, audits, inventory control and monitoring, and theft investigations support we can help reduce inventory losses and avoid unnecessary loss in revenues.
    Primary causes for revenue loss associated with store closing / shuttering
    Create ‘Standard of Control’
    Audit & Investigation Support
  • 50. Revenue Containment
    Value Proposition
    Your Company’s primary objective is to reduce inventory loss exposure and maximize revenue during the store closing process.
    We help you meet your objectives through ourProven Delivery and Exceptional Execution
    By focusing on strategic, systematic risk assessment processes designed to identify inventory control and loss issues, as well as enabling quick response to incidents of internal theft, significant inventory savings can be managed.
    Audit & Investigation Support
    Create ‘Standard of Control’
    Developing Operational Protocols during the Shuttering Process
    Risk Assessments and Audits
    Loss Investigations
    Proven Methodologies and Technologies
    Providing ‘On the Ground’ Resources
    Project Management
  • 51. Training and Development
    We can develop and facilitate training to all levels within your organization on topics such as Signals of Theft, Safety Awareness, New Hire Orientation, etc.. We customize the training to fit your business and develop the materials you need to make an impact. Whether it is long-term or short-term training, we have the industry expertise and experience to develop and deliver world class training.
    Strategy / Solution
    • Identify and assess training needs
    • 52. Determine the best training approach and methodology
    • 53. Develop the training material strategically with industry leaders and client group
    • 54. Keep training materials in line with the organization's "brand reputation"
    Value Add
    • Proven industry knowledge and leadership in designing important training documents
    • 55. Minimize cost and resources necessary to design, develop, and implement training programs
  • 56. Training and Development
    Assess– APA first establishes a baseline of your training plan. This baseline allows us to develop an approach and success criteria that our clients can measure. Additionally, this baseline determines the scope of work needed for clients to reach their goals.
    Plan– In designing solutions, we first focus on meeting fundamental requirements to determine the best mix of people, process and technology. We will plan training delivery deployment based on a more detailed understanding of your timing plan.
    Deploy– Implementation of the resources involves more than scheduling. Effective change management is critical to manage client expectations throughout deployment.
    Operate– Effectively delivering the training is critical. During this stage we also focus on delivering the required documentation.
    Training Methodology
  • 57. Compliance Audits
    When executed properly, audits are a catalyst for change. We develop audits specific to your needs and customized to your environment. We deploy a model to develop, deliver, analyze, and monitor audit compliance and performance. As audits are conducted, continual enhancements are made to optimize performance and ensure continual process improvement.
    Strategy / Solution
    • Identify audit program objectives and create the audit
    • 58. Schedule audits and train the trainer
    • 59. Deploy and execute audits
    • 60. Monitor results
    Value Add
    • Verification of compliance with company policy
    • 61. Gauge and improve consistency throughout the organization
    • 62. Measurement of effectiveness of existing policy and procedure
    • 63. Increase visibility to store operational practices
  • 64. Compliance Audits
    APA uses a tool and software platform designed to automate form collection, management and reporting for multiple-similar-unit organizations. The forms could be audits, checklists, reviews, or assessments where there is a template of questions that require answers, comments, and possibly corrective actions.
    Historically, organizations have used paper-based auditing systems which are time-consuming, labor-intensive, error-ridden, and outdated. Our solution harnesses the power of mobile technology and applies it to the operational assessment process. Simply collect assessment results using a mobile device. Then click a single button to upload your audits to a Web-based reporting system providing real-time analysis and distribution throughout the enterprise.
    Why our solution?
    Support multiple audit scoring models with 15 different question types for data collection from yes/no and free from to formula questions and file attachments.
    Collect data with an industry standard device including a Smartphone (Blackberry), handheld Windows Mobile devices, laptops, Tablet PCs, or any computer with an active Internet connection.
    Analyze operational audit performance and trend by location, auditor, audit, question and time, or build custom reports using the step-by-step report building wizard.
    Integrate your approach to managing operational risk with enterprise-wide deployments automating multiple audits and allowing you to share insights with a team, department or cross-functionally within the organization.
    Mobile Audit Software
  • 65. Mystery Shopping Services
    On Site Evaluations
    This includes customized shop programs to monitor and evaluate your Stores and Sales Associates performance in the following areas;
    Acknowledging Customers.
    Product Knowledge
    Product Recommendations / Upsell skills
    Promotional Awareness / Sales and Credit Promotions
    Customer Service and Determining customer’s needs
    Checkout Experience / Wait Time
    Management Presence
    Employee Professionalism
    Returns / Refund Policy
    Location Appearance /Cleanliness / Signage
    Inventory Standards / Vendor replenishment
    Merchandise Exposure Standards / Electronics / Jewelry / Designer
    Competitive Price Shops
    This includes gathering competitive intelligence most commonly with inventory and price comparisons.
    Recorded Phone Shops
    Our system uses a sophisticated recording module to capture conversations to insure quality phone customer support and professionalism. This is service is available in states where law permits and with clients that have privacy waivers on file with each employee.
    Video Shops
    Where law permits, we use a special equipment vendor to ship video equipment directly to video shoppers upon request. Shoppers trained on using Video covert equipment are in high demand and require advanced notice. Video shopping should always be discussed with your legal department before initiating a program.
    Copyright @ all Rights Reserved by Asset Protection Associates
  • 66. FAQ’S About Shopping Services
    Where can APA conduct shops for my organization?
    APA currently provides Integrity and Mystery Shopping Services for many retailers Nationwide, including Puerto Rico, Hawaii, portions of Canada.
    Where does APA find Shoppers to perform my shops?
    APA uses a combination of Mystery Shoppers, Investigators and Auditors to conduct many types of shopping. APA has spent years recruiting and building a database of individuals with a variety of backgrounds and experience. We are also members of the MSPA – which is a worldwide Mystery shopping training and recruitment organization.
    Upon registering to work as a Mystery Shopper for APA, each applicant must provide a detailed summary of qualifications which outlines their level of Retail experience, Loss Prevention experience, and Mystery Shopping experience. In addition, the Shopper is required to answer many questions about their specific demographics. The database is searchable by specific demographics of a shopper and by the level of experience. This allows us to match up the best qualified shoppers with each assignment.
    How do you keep our investigation details and shop requests confidential?
    APA will not post out sensitive client information or assignment details on any Internet postings. Postings are initially only sent out to qualified individuals within the APA internal database. APA shoppers are under strict contracts to protect confidentiality of all assignments. In addition, all client data is stored on our secure SSL server, which is the same type of security used by banks and financial institutions.
    How much notice does APA need from me to perform a shop?
    APA can schedule shops in most cases within 72 hours notice. Many of our shoppers book their week schedule far in advance. The more notice that we give them, the better chance we have to secure a shopper for each assignment. In addition, shop requests provided less than 72 hours are considered “emergency” shops and tend to require higher shopper fees and client billing.
    Copyright @ all Rights Reserved by Asset Protection Associates
  • 67. Integrity Shopping Services
    Integrity Shopping
    Unfortunately every retailer is faced with employee dishonesty issues. Integrity shopping is a great solution for investigational support. Integrity shopping is a specialized service focused on recreating scenarios in which the retailer is subject to loss by the employee actions and suspected activity.
    Every retailer faces different challenges. APA will customize a shop scenario to best fit each client’s needs and retail environment..
    Cash shortages? Fraudulent Refunds? Higher than average void ratio or cash refund ratios? Merchandise shortages? Unauthorized discounts? Below are some of the most common types of shops we perform for Loss Prevention retail clients.
    Cash Drops
     Receipt Drops.
     Impulse Buy Shops
     Lost and Found Shops
     Price Negotiation Shops
     Pickup / Delivery Shops
     Profiling Shops
    Unauthorized Merchandise Sales
     Operational Testing
    Employees that are non compliant with some operational policies can create large company losses. Most commonly we see issues with merchandising standards. For example, do they walk expensive software, electronics up to the front checkout per policy or allow customers to walk off with merchandise? Do they follow policy with showing jewelry and diamond testing? Do they check bills for authenticity? Do they gather the proper ID /Documents for opening store credit accounts? Do they follow proper refund procedures? Do they determine the correct prices /sku for unmarked merchandise? Do they ID to prevent under age Tobacco / Alcohol sales?
    APA is often asked to conduct these types of shops on a regular basis throughout the industries of TELECOMMUNICATIONS and BIG BOX RETAIL.
    Copyright @ all Rights Reserved by Asset Protection Associates
  • 68. FAQ’S On Integrity Shopping
    What Information do I need to provide to APA to schedule am Integrity shop?
    APA will provide an order sheet that can be used to complete online or emailed for each request. The order sheet is customized for each client’s needs and will basically request the following:
    • Subject Name & Description
    • 69. Subject Schedule and Specific dates and times that would allow the best opportunity for shop to be successful.
    • 70. Subject’s area of work and related tasks and responsibilities
    • 71. General suspected activity
    • 72. Type of shop scenario client feels would best support their investigation
    • 73. Contact name, phone number and location meet (if applicable) to communicate shop results.
    • 74. Shopper Special demographics client would like to perform the shop (if required) Female or Male? Age? Language preference?
    How and When will I receive Reports and Results?
    APA currently utilizes an Industry leading web based format to customize each client’s report format to capture the needed critical shop data. Our system allows confidential real time reporting and distribution. Our average turnaround time for a basic the shop report is 48-72 hours. However, in the case of sensitive and urgent issues, such as Integrity shopping, same day or 24 hour reporting is available.
    Copyright @ all Rights Reserved by Asset Protection Associates
  • 75. Reporting System
    Copyright @ all Rights Reserved by Asset Protection Associates
  • 76. Thank You!