India Retail News

Looking At the Big Picture to Reduce Shrink

Checkpoint

A year ago, hopes of continued improvements in the global economy gave rise to the optimism that shrink was coming under control. But as economic growth has stagnated in many regions, retailers have continued to come under pressure in their attempts to confront and overcome the causes of shrink. A big challenge for retailers, according to a report, is the increased diversity of threatens contributing to shrink. For instance, the value of retail losses increased in 2011, in each of the four major sources of shrink - shoplifters, employee theft, internal error and supply chain mistakes. However, since theft-related factors make up nearly 80% of shrink, retailers need to step up their vigilance in preventing shrink by taking several important steps.