Shoplifting Risk Management

A retail chain has asked an outside security consulting team to perform a Threat and Risk assessment for one of its branches. The consulting team has identified the following Threats and accompanying Risk levels for this particular store:

1. Fire (medium) 2. Internal theft (high) 3. Shoplifting (medium) 4. Burglary (high) 5. Bomb (low)

The retail chain has decided to respond to these Threats in the following manner:

For threat #1, management has decided to take no further precautions because the store is currently up to code and the insurance policy the company carries fully covers it in the event of fire.

For threat #2, management has decided to implement background checks for all new applicants
Losses due to shoplifting are expected and have been included in the store’s budget.

For threat #4, management has installed a comprehensive alarm and surveillance system in all stores, with around-the-clock security monitoring. Now, break-ins at this store cannot occur without detection.

For threat #5, management intends to institute no countermeasures. With several other branches throughout the region, the company overall would suffer only minimal losses even if this threat were to materialize.

In the following table, identify the type of Risk Management Option (i.e. Eliminating Risk, Mitigating Risk, Transferring Risk, Spreading Risk, or Accepting Risk) the company has employed for each Threat. NOTE: Each of the five Risk Management Options is used ONLY once.

NOTE: Use the TAB KEY on your computer keyboard to move the CURSOR from one section to another. DO NOT USE THE ENTER KEY.

|Threat |Risk Management Option |
|Threat #1 |Transferring Risk
Explain why you either Agree or Disagree with the company’s responses to each of the five threats.

• Threat #1: I agree with the company's responses to this. I think that there is on;y so much that you can do to prepare for a fire and to make sure that everything is up to code like they have done in that situation. • Threat #2: i agree with this one also there is only so much that you can do to the employees to make sure that they are crediable and will be good workers in your store. • Threat #3: I disagree with this I think that there are more things that they can do to prevent shoplifting in their store. • Threat #4: I agree with this situation I think that it is good to have security so that when breakins do occur they are being watched by cameras so they can be caught later. • Threat #5: i disagree I think that you should care about everything that is involved with your store no matter where it is. I think that if you are going to do something for one store you should do it for all of