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LP Challenges and Objectives as Seen by Joe LaRocca

Monday, 22 August 2011 15:45 Derek Rodner, Agilence

Tell me a little bit about your role at NRF and your history in retail.

I joined NRF in January 2005 after spending nine years with the Walt Disney Company's retail division. At Disney Stores, I was responsible for directing strategic and tactical loss prevention, crisis management and business continuity programs. I also served on the National Retail Federation's LP Advisory Council and other industry groups, so it was a natural fit to come work at NRF. My role has evolved over the past six years serving as an intermediary between NRF members and various private and government entities and serve as the NRF spokesperson on loss prevention issues. Our industry partners do the real work and my role is to make sure you, and everyone else hears about the accomplishments...and shall we say...challenges.

 

For loss prevention, what were the biggest challenges in 2010 and how do you see retailers addressing those challenges in 2011?

In the past 90 days we have seen some of the most devastating disasters of our time. The earthquake and tsunami in Japan, flooding along the Mississippi River, and tornadoes ripping through the heartland (especially Joplin) and Northeast, have impacted our friends, neighbors, associates, and business operations. Our industry, as it always does, stepped up in so many ways providing information, disaster assistance, and prayers for those impacted. By the way, for a list of ways you can help, visit: http://www.fema.gov/rebuild/recover/howtohelp.shtm

The battle against organized retail crime continues on multiple fronts and was a hot topic at the LP conference. The NRF LP Legislative Committee met with senior executives from ICE, FBI, and Capitol Hill last month, discussing a host of options to better address the problem in the months to come. At the state level, we're excited about Texas House Bill 2482 which is headed to the Governor's desk to be signed, and Illinois House Bill 6460 signed into law by Governor Quinn this February.

Our industry is dynamic as evidenced by the constant changing needs of our business and the new functions and roles loss prevention acquires regularly. With improving sales, retailers are starting to spend on LP headcount and systems. Both are taking on a slightly different form in 2011. Traditional job responsibilities for new hires and capital purchases are being tightly integrated into the operation. To "earn" a slice of the pie, there will be give and take with some internal partners.

In other big NRF news, our Public Relations team launched a nationwide campaign aimed at ensuring that a new federal law saving retailers and their customers more than $1 billion a month by lowering "swipe" fees will take effect in late July as scheduled. Swipe fees, officially known as interchange fees, are a charge averaging 1-2 percent for debit cards and 2-3 percent for credit cards taken by banks each time a card is used to pay for a purchase. The fees have tripled over the past decade to about $50 billion a year.

 

Everyone seems to be cautiously optimistic about the recovery and the numbers seem to confirm that retail is once again in a growth phase. What are some of the new technologies that are on the horizon and how will they impact loss prevention?

It's an exciting time to work in retail. Sales increased for the tenth straight month in April, further evidence that the retail sector and consumer spending continue to lead the economic recovery. In addition to strong sales (for most), we've seen a steady increase in container traffic, which serves as an indicator of future volume and LP positions along with capital spending are on the rise.

One of the biggest shifts we are seeing right now is a conversion to mobile and wireless everything. Whether it's cloud based storage, mobile POS, or touchless pay systems (NFC or Near Field Communications), everyone has wireless, wants to be wireless, or is working on rolling the technology out. As a consumer, I want to be on the leading edge, and loss prevention experts should also have a seat at the table to stay ahead of the game and mitigate risks that are inherent to the mobile arena.

 

What are some of your objectives over the next five years in terms of the NRF and LP?

We have started some fantastic new programs throughout the industry and I hope to see them continue and grow. The LP community is well respected, better connected, and achieves results at every turn. Technology has enabled the evolution of communication and intelligence sharing, and I'm convinced retail LP executives are the single best connected business partner internally, externally, and through our public-private sector relationships. How we leverage these relationships, such as the ones created with the International Council of Shopping Centers (ICSC) and eBay, will make a difference in our profession and industry.

Many of the technology changes being implemented are going to change the threat landscape as it relates to fraud. There is an opportunity here to enhance our relationship with groups like the International Association of Financial Crimes Investigators (IAFCI), large banks and card issuers, along with the financial crimes investigators at many law enforcement agencies.

The expectation for an open architecture network will allow improved integration between disparate vendors. The work being done between the Agilence and the Evolution Robotics teams, can serve as an example of how these endeavors might work. The benefits... a fully automated early warning system tied into video, POS and telecommunications, all leading to profit improvement.

 

What were some of the highlights of this year's event?

The conference was a game winner and exceeded all expectations. We had record attendance, and the NRF LP Advisory Council had developed first-class educational sessions. In the spirit of partnerships, there was a new track dedicated to mall/shopping center security. And, of course, our EXPO hall was sold out, with vendors who displayed a broad array of services and the newest technologies.

 

Let's finish up with something a little more fun to give people a little insight into the person behind the title. What are your hobbies? What do you like to do in your free time?

I do a lot of reading about technology and politics. My gadgets are full of news shows from the right (FOX), center/left (CNN), international (BBC), and don't even get me started about public radio. Until recently, I was addicted to a game called World of Warcraft (if you've never heard of it, forget about it; trust me). I'm a hockey fan, Kings AND Caps, optimistic about the 2011-2012 season (smile). Having the opportunity to spend time in DC every month, my weekend walking path down the mall includes the Vietnam Memorial, Lincoln Memorial, up to Capitol Hill and back. When it's cold, I'm at the National Archives, Newseum, or one of the Smiths. Armed with a copy of Rosetta Stone, someday spero di parlare italiano (I hope to speak Italian).

 

Any final thoughts?

Hopefully people find this more interesting than watching paint dry. Seriously, thank you for the opportunity and all of your support this year. I want to thank the NRF LP Advisory Council and our committees for their counsel and support this year. They are a committed (volunteer) group, and I marvel at their leadership and industry insight. We have the opportunity to impact every part of the company from the c-suite to the big "C" (customer). Now's the time – sky's the limit – GO!

 

About the Author:

Derek_Rodner_AgilenceDerek Rodner is Vice President of Product Strategy at Agilence, a loss prevention technology provider for retailers. In this role, Rodner utilizes his vast expertise in marketing and technology to drive the strategic direction of the company. Prior to joining Agilence, Mr. Rodner served as Vice President of Marketing at PERFMAN, a cross-platform systems management software provider. In addition, Derek has served in several senior-level marketing positions across organizations such as EnterpriseDB Corporation and Unisys Corporation, where he where he delivered open source solutions to enterprise clients.

 

About Joseph LaRocca:

LaRoccaJoseph LaRocca joined NRF as Vice President of Loss Prevention in January 2005 with over 18 years of retail loss prevention, security and operations experience. In 2009, LaRocca became the Senior Asset Protection Advisor. LaRocca also acts as an intermediary between NRF members and various private and government entities and serves as an NRF spokesperson on loss prevention issues. LaRocca serves on a U.S. Department of Homeland Security, Commercial Facilities Sector Coordinating Council and Food-Agriculture Sector Coordinating Council and the Homeland Security Intelligence Network, National Advisory Board, in addition to working with other Federal, State and Local Law Enforcement agencies around the country. Prior to joining the National Retail Federation, he was Director, Loss Prevention, for the Walt Disney Company Retail Division, where he spent nine years directing strategic and tactical loss prevention, crisis management and business continuity programs.

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