STORES - September 2010 - (Page 59)

LOSS PREVENTION / SOFTWARE Staying on Track Charlotte Russe’s LP efforts remain focused on the job at hand BY CRAIG GUILLOT n today’s economy, loss prevention has become even more important as retailers try to control both shrink and their margins. For mall-based retailer Charlotte Russe, which operates more than 500 stores in 45 states and Puerto Rico, LP measures can grow quite extensive. From instore investigations to corporate-level analysis, Charlotte Russe is using a unique software solution to track and analyze all of its efforts. I The company’s asset protection team protection is to combat the shrink from is led by a senior director of asset protecall sides, from supply chain to field loss tion and includes seven field investigaprevention to corporate loss prevention, tors, a supply chain security division and where we investigate any systemic and a team of analysts. From the time an ingross profit margins errors,” she says. vestigation is initiated through the reCharlotte Russe offers fashionable view of analytics, aggregating the inforand value-priced apparel and accesmation is critical. Corporate loss presories for young women in their teens vention manager Dayna Howard says and twenties. It was acquired by private Charlotte Russe takes a equity firm Advent Inter“Our approach on “holistic” approach to LP national in 2009 and is asset protection with a true partnership benow in the process of reis to combat the tween asset protection and launching its brand. shrink from all store operations. The retailer’s loss prevensides … we “Our approach on asset tion team was already investigate any systemic and gross profit margins errors.” – Dayna Howard, Charlotte Russe using case management software by LP Software when Howard joined Charlotte Russe in 2005. Worth, Ill.-based LP Software’s Loss Prevention Management System (LPMS) was designed to monitor incidents from start through resolution. “Incidents can be entered and managed in a centralized database and shared when needed,” says LP Software president and CEO Brian Eskra. “Having all of that information in one spot makes it easier and helps from a litigation standpoint as well.” In the past year, Howard has broadened the use of the solution to record hotline calls and all field activities, from target store investigations and the number of associates they talk to on store visits to the conference calls that they hold. While Charlotte Russe has established its own Retail Underground database for tracking and recording internal ORC incidents, the retailer supplements it with internal information, law enforcement and retail partnerships. Cases run through the restitution and civil recovery processes are also tracked through the system, with information submitted directly to the recovery programs. Without meticulous control over every piece of documentation or evidence, retailers can quickly lose a case — and money, Eskra says. “When we outsourced our civil recovery and restitution collections, with the help of LPMS, we were able to show how much money we were actually getting in relation to what we were getting previously,” Howard says. STORES / SEPTEMBER 2010 59 WWW.STORES.ORG http://WWW.STORES.ORG

Table of Contents for the Digital Edition of STORES - September 2010

STORES - September 2010
Table of Contents
Editor's Page
President's Page
Retail People
Favorite 50
Retail Showcase
Customer Retention
Social Shopping
Gift Cards
Business Intelligence
Networking & Communications
Customer Centricity
Payments & Credit
Return Fraud
Green Issues
ARTS Update
Point of View
NRF News
Retail Industry Calendar
End Cap

STORES - September 2010