The Four Components of a Holistic Security Strategy
Shoplifting, organized crime, digital fraud and employee dishonesty are some of the biggest security threats facing the retail industry right now. It’s a lot to confront at once, which is why IT leaders should focus their efforts on these four tactics:
- Embrace AI technology. AI is critical to loss prevention tools such as enhanced video surveillance, radio-frequency identification (RFID), license plate readers, autonomous security robots and cash automation technology. And the global AI retail market is growing: It was worth $8.41 billion in 2022 and is expected to reach $45.7 billion by 2032, according to a study by Precedence Research.
- Invest in IoT security. Connected IoT security devices are easy entry points for cyberthreats, so “if you deploy IoT, make sure it’s segmented in the network with a zero-trust policy,” says Mark Scanlan, retail global industry lead at Cisco. But many retailers forget this step. In fact “over 84 percent of organizations use IoT devices. However, less than 50 percent have taken solid security measures,” notes a 2022 Forbes article.
- Increase the number of POS cameras. The more security at the POS, the better equipped retailers are to review patterns of exit from the store. Retailers can also use the cameras to analyze how procedures are followed and scan for security blind spots.
- Leverage data analytics to identify losses. With advanced detection of anomalies and real-time insights, IT leadership can identify where losses occur. This intel ensures that any change to a retailer’s security strategy is rooted in data-driven decisions. Data analytics can be used for loss detection, employee monitoring, fraud detection, predictive analytics and supply chain tracing.
How to Raise Your Security IQ
Building a holistic security strategy requires that IT leaders raise their security IQ. This means continually educating themselves on the newest tools and deploy and integrating them thoughtfully so as not to detract from the store experience.
Prioritization is key. Start with the biggest revenue loss area first. If retailers are experiencing loss at checkout, deploy POS cameras. If it’s lost inventory within the supply chain, try RFID. And if a retailer can’t track the exact source, try full-scale data analytics with AI to locate your vulnerabilities.
Look for two-in-one solutions. Any two-in-one technology will result in cost and time savings. Take for example the Cisco Meraki MV series smart camera, which can record store activity and also serve as an IoT security device if integrated with an AI model.
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