What is the role of loss prevention? What may seem a relatively simple question often takes on a life of its own as the LP community and those we serve debate various functions, philosophies, tasks, and responsibilities. But perhaps more importantly, what will the role of LP be as we move forward? How can we use what we’ve learned and what we foresee in the coming years to help make us better at what we do?
Ten years ago, LP Magazine asked LP leaders, key solution provider partners, and other thought leaders to share their insights on where they thought the profession would be ten years down the road. Providing anonymity to those who responded, we were looking for their honest and candid predictions on what the future might hold and how the industry might unfold in the years to come. So, how did we do? Let’s take a closer look.
Through the Eyes of a Different World
The past ten years have proven to bring a massive wave of growth, changes, and challenges. From an incredible surge in technology to the tragic setbacks and resilient innovations that resulted from a global pandemic, how we live our lives, conduct business, shop for goods and services, and even communicate with one another has transformed in meaningful and measurable ways.
While it might not seem like that long ago, a world of change has taken place in a relatively short period of time. As our expectations shift with the needs and expectations of an accelerated global community, we may not notice this pace on a day-to-day basis. However, a snapshot of the world today compared to ten years ago will paint a much different picture. How we see things is as different as the tools that brought us here. But despite circumstances and events that we could have never expected, many of the opinions shared a decade ago have proven perceptive and quite insightful.
Technology in General
- 2014: Ten years ago, we recognized that technology was changing society, and society was changing retail. In general, rapid technological changes were seen as a primary driver that would impact the role of LP in the years to come. However, the tools alone wouldn’t get results in the minds of most participants. Instead, it was the ability to adapt to technology that was seen as having the most significant influence:
“The most significant changes will center on business intelligent tools and, more importantly, how LP executives embrace and utilize them to impact additional parts of the business.”
“The capacity for an LP professional to adapt to technology trends will define their career—early adapters will increase their value while laggards will struggle.”
- 2024: Technology has impacted every business area, including LP. Today, practically everyone has a computer in their pocket or on their wrist, with a wealth of information at their fingertips. Innovation has become essential to business survival and profitability, and the ability of LP practitioners to adjust, adapt, and develop has been a driver of professional success.
Online Retailing
- 2014: The emergence of online retailing as a growth driver was predicted to have a substantial impact on the role of LP:
“As the retail industry continues to consolidate, increase in complexity, and expand omnichannel solutions, the role of LP will change significantly.”
“Retailers are going to continue to find creative ways to conduct business and sell to customers. LP will need to stay very close to these creative methods and retailing channels to ensure LP practices are appropriately woven into the strategies that our merchants and operators develop.”
- 2024: Online opportunities have dramatically altered the customer shopping experience. Many challenges remain, but strides continue to be made. One aspect that was not foreseen in our earlier survey was the role that online marketplaces would have on the growth of organized retail crime, which today is seen as a significant threat to retail organizations and communities across the globe. While strides have been made, this remains an area of opportunity and an issue that will continue to require our diligence and attention.
A Wealth of Information
- 2014: The role increased data and analytics would play in the future of retail was predicted to create a shift in thinking that would change roles across the industry. Retail leaders who were capable of navigating this flood of information with skill were envisioned as those who would plot the most successful course as we sailed into the next chapter of retail:
“When it comes to retail, data volume will become massive, and the speed at which data becomes available will increase exponentially and be instantaneous. Success will be measured by how retailers use it for competitive advantage and higher store performance metrics of all kinds.”
“Having the LP organization partnered with the IT security organization will be the most effective way to improve the security of both the actual data and the physical devices that collect and manage the data.”
- 2024: As is often true with predicting future progress, ambition often amplifies expectations. This appears to be a path that we will continue to follow but it requires patience and planning to find the best answers. Work remains; however, companies continue to build toward these solutions to protect retail organizations and customers.
New and Expanded Responsibilities
- 2014: The pace of change has always demanded the evolution of professional standards. As the retail landscape continued to change, it was projected that LP roles would likely evolve to meet the growing needs of the business.
With omnichannel retail expanding, it was further predicted that LP would adapt to better understand the entire supply chain operation, from systems to processes. Retail violence was also seen as a growing concern, as was shifting the focus of teams to address the safety of retail customers and employees.
“I see the profession changing into a risk management role. Not in the way risk management is thought of today (managing insurance claims), but identifying potential risks to the business, then deploying countermeasures to minimize those same risks.”
“Our research findings indicate significant traction available for all-hazards risk management in the leadership space. Many corporate risk mitigation elements have grown organically, including asset protection, business continuity, compliance, crisis, critical incident, LP, risk, and security. We are now witnessing a trend to align strategic initiatives.”
- 2024: Over the past ten years, there have been many changes to the roles and responsibilities within LP programs, primarily based on the needs and culture of the retail business. Additional safety functions, de-escalation programs, active assailant training, and similar tasks have assumed greater emphasis in many departments. As predicted, the expansion of online retailing has also added new responsibilities. Additional roles continue to develop as programs evolve to meet the needs of the business.
Training and Education
- 2014: The curriculum of the future LP professional will be business-based. Leaders will need to be strategic thinkers rather than tactical thinkers. There is a greater need to understand the broader context of the overall organization to identify the risks that affect the company. This includes the ability to converse with anyone in the organization about basic business principles such as sales, finance, inventory management, and technology.
In the same respect, with technology developing at such a rapid pace, solid and effective training programs are just as critical as formal education programs. Sensitivity training, negotiation, communication, and social media skills are just a few advanced skillsets to consider.
“Education will be key, whether through industry-based educational materials or formal education and advanced learning programs.”
- 2024: Professional development has continued to set the pace for today’s LP practitioner, with educational and training programs taking precedence as part of the evolution of the career field. Both retail leadership and LP departments value the investment in skill enhancement and professional growth, with high expectations to keep stores safe, secure, and profitable. Professional certifications such as LPC, LPQ, and CFI have become industry standards, with many organizations now listing these as “preferred” requirements on job postings. Career training initiatives based on other industry needs are also underscored and will continue to play an essential role in professional development for the foreseeable future.
New Positions Support Change
- 2014: Ten years ago, we recognized that technologically savvy teams were vital to the ongoing success of LP programs, and various technical support positions would likely be a part of LP departments moving forward:
“The future of LP is heavily immersed in technology on multiple levels. Tomorrow’s—and quite frankly today’s—LP organization should have those on the team that understand and have a working knowledge of that technology.”
“We need people who understand e-commerce and today’s technology from a cultural standpoint. Our teams must be able to accept and use the common tools of the time such as smartphones, apps, tablets, and similar resources.”
“There will be some incredible advances that will cause us to rethink how we operate in LP. I believe that, fundamentally, technology will be the foundation of almost everything we face going forward.”
- 2024: Many of the tools considered “cutting edge” ten years ago have become part of our daily lives today, but staying current on the latest advancements in technology remains a critical aspect of being relevant in 2024. Perhaps more accurately, in today’s LP world, success is a product of innovation—and all that it implies. It’s more than just the tools. The ability to adapt and remain relevant isn’t simply a product of the ability to master technology, but rather a mindset that allows more creativity and flexibility in the performance of job functions.
Technology and innovation have not only resulted in new positions, but fundamentally changed the way we do business and manage our teams. Just think about the ways the mandated isolation of the pandemic influenced everything from home offices to home learning, or the way that video conferencing has changed the way we manage so much of what we do. Some changes may not happen as quickly as anticipated, but they can eventually take us in other directions that we didn’t expect.
The Approach to Leadership
- 2014: Participants in the study agreed that a different leadership approach shouldn’t be necessary. Leaders must possess the ability to work in harmony with the overall business plan, constantly looking for ways to add value. This was seen as essential at all levels of LP leadership:
“Leaders who aren’t currently modifying their approach based on new information and new technologies aren’t leading. Great leaders aren’t managing change, they’re leading it.”
“If they’re not interested in learning more about how their team can help drive the business, how can they expect others to see them as leaders?”
- 2024: This remains just as true today. It’s important that we make decisions that are fluent and flexible. Our approach should include living strategies that can be modified as necessary and do not become obsolete as the evolution continues. We can no longer rely on “the way it has always been done” to achieve our objectives.
Partnering with Solution Providers
- 2014: Questions about partnering with solution providers prompted some of the study’s more vocal and passionate opinions. Industry leaders believed that solution providers who could forecast where retail was headed would have the greatest long-term success, but that those who could help the LP practitioner to use these resources best, educate teams, and communicate with IT departments would be at a premium. This opinion was echoed by the solution providers participating in the study as well:
“As solution providers, we need to be experts in next-generation technologies, as well as experts in next-generation LP. We need to apply this expertise and continue to meet and anticipate the needs of our clients by providing them with tools that are cutting edge and continually evolving.”
However, many industry leaders also believed a substantial gap existed between what retailers needed and what the solution providers believed they wanted. This was a common theme shared by industry leaders and pointed to a clear area of opportunity. LP leadership was looking for true partners who were willing to be students of the business.
“I am continuously amazed at how little solution providers know about our business and the complexity of what LP professionals deal with daily.”
“Solution providers are generally still trying to sell old technology and not spending enough time integrating technologies to impact future trends.”
“We are often presented with solutions that don’t fit the current issues we face.”
As one might expect, there was another side to the discussion. Many of the solution providers surveyed felt that progress needed to be made in the development of collaborative partnerships:
“If retail LP teams and technology buyers are more open, then their problems may get solved faster and more creatively. Collaboration is a much healthier approach.”
- 2024: Following the initial study, this became a common topic of discussion, with many articles, webinars, conference sessions, and social media posts focused on the topic. Both industry leaders and solution providers needed to take steps to broaden their understanding of each other and reach across the table to work together and take action.
Significant strides appear to have taken place in this area over the past decade, with vendor-retailer summits, greater participation in industry events and initiatives, solution providers hiring industry leaders and subject matter experts, articles, whitepapers, webinars, expo events, focused meetings, and other initiatives to bring LP leadership and solution provider partners together to find common ground and improve these relationships in a real and meaningful way.
Not only has the retailer-solution provider relationship shown significant improvements, but solution providers are now working together in “eco-systems” to collaborate and tackle the problems facing the industry today. The ongoing development of these relationships will continue to lead the way toward innovative solutions that will power consequential solutions for years.
Our Biggest Hurdle
- 2014: Ten years ago, the ability to adjust and adapt while embracing change was viewed as the biggest hurdle for industry leaders to overcome. We recognized the need to step out of our comfort zone, expand our education and experience, and build upon existing leadership roles. We also realized we would face new and different threats and would need to keep pace to remain part of the solution. New roles and responsibilities would come and go, but our commitment to flexibility and self‑improvement would remain key.
As part of the bigger retail picture, LP being seen as “relevant” was no longer good enough. As an essential aspect of the business, our versatility and creativity needed to grow with the needs of the retail industry. This was seen as the path forward.
- 2024: This remains as true today as it was then. Our ongoing need for goods and services ensures that retail will remain deeply embedded into the fabric of every community and must continue to evolve with the day’s culture. Success will always be a product of growth. In a world that is both shrinking and expanding at any given moment, reinvention must be a constant.
How Did We Do?
So, how did we do? How close were our predictions? Perhaps more importantly, did we learn anything by taking steps to help prepare ourselves for what lies ahead? Trying to predict what might happen ten years from now may appear to be a leap, but that doesn’t mean that thinking through what we believe might happen won’t make a difference. One might argue that exercises like this can prepare us for what may come and help lead us in the right direction.
Change is something we can worry about—or look forward to. What matters most is not how we respond but how we prepare. As we said ten years ago, we can choose to lead the parade or watch it pass us by.