The Consumer Goods Council of South Africa (CGC) is claiming a major victory against theft – or shrinkage, as it is commonly known in the retail industry. Theft in retail stores has been a problem which has repeatedly defied solutions. No sooner has an apparently effective system been found to combat crime than enterprising individuals have found ways of circumventing it. Now, however, the CGC is finding innovative measures to reduce shrinkage through its Crime Prevention Programme.
Since its implementation in March, 2001, the CGC Crime Prevention Programme has notched up a number of successes, enabling retail chains to reduce shrinkage while also stimulating sales significantly. The Programme’s most recent initiative is the introduction of an Employers’ Reference Site (ERS) in conjunction with ID cards for personnel handling goods and operating within stores.
Simple but ingenious, the system enables participating companies to register the names of all employees leaving their organisation – without, however, stating the reason for their departure. Companies employing new staff submit an enquiry to the ERS concerning that individual, automatically generating a reference number. The enquiry will produce information on the particular employee, providing a work history detailing dates and companies. Alternatively, no record is shown, thus indicating that the candidate has no prior history on the database. Currently, there are over 125 000 names on the database.
The database holds no information of a discriminatory nature on any individual.
The Big Seven food and grocery chains in South Africa, New Clicks Organisation, Metro, Pick ‘n Pay, Shoprite Checkers, Spar, Massmart and Woolworths all participate in the ERS. They have implemented a common identification card for personnel that carry the ERS reference number, together with personal data and company contact details. All sales and merchandising staff have been required to carry these cards since October 2004. The seven groups have now decided to expand the initiative to delivery staff. As from 31 March 2005, all staff involved in the delivery of goods, from drivers to unloading personnel, must have these cards.
Pre-screening in this manner has proved highly effective in the USA, Europe and Australia, since employers are able to obtain a detailed work history of those who handle goods and in many cases, represent the company to customers. As a means of checking references, it has demonstrated its effectiveness when used in conjunction with the more conventional methods.
All categories of individuals who work inside the stores (cleaners, security, maintenance etc.) will be required to conform to these requirements by the fourth quarter of 2005.
Publisher: Cape Business News
Source: Cape Business News
