As part of our Executive Roundtable Interview Series, we sat down with ISCPO Board Member Liz D’Aloia. Liz is Founder & CEO of HR Virtuoso,  an HR and employment law consulting firm that also helps companies optimize their employment application processes and increase their candidate pool with its proprietary mobile recruiting software system (SaaS). Prior to launching HR Virtuoso, Liz rose through the ranks of transportation, retail, and mortgage companies as a Senior Employment Attorney and VP of HR.

An active ISCPO board member, she provides a unique perspective on the many facets of HR management—from complex project management such as restructurings, compensation plan design and implementation, and staffing models to FLSA compliance strategies,  employee relations training, diversity, and other recruiting strategies to support affirmative action plans. She holds a BA from Hampshire College and a JD from Brooklyn Law School.  She is admitted to practice in Texas, New York, New Jersey, Florida, and Kansas. Liz is a nationally recognized blogger, speaker, and HR practitioner.

Liz D’Aloia – HR Virtuoso

We asked Liz to share where the industry is going as it related to people resources, dealing with staff shortages, and best practices in advocating the LP profession within organizations.

How has the industry evolved since you started out, especially related to the tight labor market within the supply chain domestically?

Given your expertise what three things can LP leaders implement to create effective LP departments in a retail or eCommerce channel?

• Since HR and LP are both support roles, I think the best thing that leaders in these areas can do is to understand the business and its goals and to become trusted partners throughout the organization. LP and HR often work very closely in terms of safety and security, but we also need to work closely with finance, legal, and of course, operations.

• LP practitioners often deal with public sector law enforcement and precarious situations that involve criminal activity. On a day-to-day basis, HR gets involved in loss prevention in supporting safe work practices and employee theft investigations. HR and LP must coordinate closely when the heartbreak and tragedy of domestic violence seeps into the workplace in the form of anger issues, restraining orders, and active shooter crises. While all areas of a company share the responsibility for a safe working environment, great communication and collaboration between LP and HR are essential.

• While LP identifies and mitigates risk to employee safety, it’s up to HR to help communicate those risks, and what we’re doing to alleviate them. Building a culture of safety is a responsibility that’s owned by everyone, but HR can definitely help in explaining the “whys” and with other communication initiatives.

Why did you participate on the ISCPO board?

As part of our Executive Roundtable Interview Series, we sat down with industry veteran Wayne Hoover, CFI, Senior Partner, Wicklander-Zulawski & Associates. Wayne has personally conducted over a thousand interviews and interrogations on incidents ranging from arson to theft over the last 27 years. He also helped create the Certified Forensic Interviewer (CFI) designation that holds interviewers to a higher standard of obtaining the truth. In this capacity, he oversees all the divisions of CFIs, of which there are over 1800 CFIs around the world, as well as the members of the International Association of Interviewers.

Wayne Hoover CFI

An active ISCPO board member, he provides a unique perspective when it comes to setting best practices in interview and interrogation techniques. We asked him to share his take on where the industry is going in combating crime and how LP practitioners can effectively work with law enforcement to mitigate loss.   

ISCPO: How has the industry evolved since you started out, especially related to how technology aids in interviewing/investigations?

When I started in 1991, I had no interviewing experience whatsoever.  WZ taught me from the ground up in all things interviewing.  Luckily, we were ahead of the curve in that we video recorded every interview we conducted.  I knew as soon as I got back to the office, I would be sitting down with my peers to review the interview.  Once I started training others, I noticed we were unique in regard to the recording of the interviews.  Many people were sent to our seminars and approved to do interviews after attending with no follow up to help them get better.  This has always been a concern for us as trainers, and recently the technology has enabled us to start to provide the opportunity for interviewers to go online and practice interviewing without the legal liability that happens in real life situations.  Now using Artificial Intelligence and coaching, an interviewer can practice over and over in different types of scenarios and different type of personalities to get better.  The Link has been instrumental in providing feedback for interviewers to take the knowledge they learn in a seminar and then to implement with feedback, in the same manner, I learned so many years ago.

In the same area, we noticed an attack on interviewing from many different sides, both internally and externally.  We had already seen the change from the Polygraph being a tool in helping solve cases to being pretty much eliminated from the polygraph act of 1989.  That led to the creation of the Certified Forensic Interviewer (CFI) designation.  This created a designation that held interviewers to a higher level of professionalism, with the idea that interviewers will hold themselves through the association to that higher standard to then press that forward to others in our field before we saw legal changes being forced to the industry.

While those are some changes, I am still perplexed that the recording of interviews is still a minority in both the private and public sectors.  I also still see people doing interviews without any real accountability, whether it be through mentorship or certifications.  Interviewing is an area of the profession that can have the highest legal ramifications and many people do not even know the regulations/laws that apply to them.  Like anything, when it goes bad, that is when people start asking what we can do different, that is too reactive in my opinion.  While I have seen a lot of changes over my years, we still have a long way to go to establish standards and consistency in our profession.

ISCPO: Can you share the best techniques to conduct an effective interview and/or interrogation?

There have been several changes over the years regarding interviewing.  An interviewer hopefully realizes there is no one way to interview that is always going to be successful.  An interviewer must remain flexible to case facts, personalities, and the goals of the conversation.  The 3 main techniques that we use currently are the WZ Non-Confrontational Method, the Participatory Method and the Cognitive Interview.

The Cognitive Interview is a great way to obtain information from a victim, witness or suspect.  It is a way to obtain more information through the technique.  Studies show much more information is obtained using this technique that can help gather information that can be useful to a case.

The Participatory is useful when trying to gather information that will give the interviewer an idea of the person’s understanding of a process, policy, or to obtain an alibi.  We find this technique to be beneficial as part of investigation.

The WZ Non-Confrontational Method is used mainly on an individual when you are trying to obtain a truthful account of their involvement with a situation.  It works across many case types, personalities and environments.  As the name says, it is very non-confrontational, rapport driven, while treating an individual with dignity and respect.

ISCPO: Given your depth of experience, what are the top three tips LP professionals should remember when working with Law Enforcement when conducting interviews/investigations?

This seems so basic to me, obviously understanding what their job is and how it differs from yours, but also the similarities.  Your job is to protect the assets of your company…their job is to protect the assets of the community in which they serve.  Obviously similar jobs.  Police deal with laws and some policies, you deal with policies and some laws.  Out of respect, understanding the laws and policies of the other is beneficial to all involved.  You have a boss to answer to, and so do they.  Difference is your boss is within the actual organization.  Theirs is within their organization, but also within the prosecutor’s office, and then a judge’s courtroom.

I believe you can take the three tips from my answer.  Respect, understanding, and know the laws that your case involves.  This helps remove any animosity and thoughts of any side feeling superior to the other.

ISCPO: What are the biggest challenges facing supply chain protection & security professional, specifically around how Ecommerce has changed the landscape of criminal behavior?

Every person may feel differently from their experience and I will give a brief idea of the areas that come to mind.  I could expand on these greatly, but I believe everyone can see the point just by me mentioning them.

I find the proliferation of cell phone cameras, cyber, and even GPS being a concern for Ecommerce.  While these things are all beneficial in everything we do during an investigation, they are also used by the criminals in a way that makes our job more difficult.

One area that is overlooked is the Vendor Fraud of this part of the business. Many relationships are created without proper investigation upfront. I think many would be shocked if they ran a state report on their vendors to find how many have been classified as irresponsible partners and even forbidden to do work within federal, state and local governments.

Why did you participate on the ISCPO board?

I have followed ISCPO since it was created and was always impressed with their goals, uniqueness and leadership.  Last year I attended the conference for the first time and that solidified how I felt about the ISCPO.    I am always trying to expand my knowledge and I believe this group can provide that continuing education in an area that I would like to know and understand more.  On the other side, I believe I have some experiences that I can add value to the board and the membership.

Thanks Wayne!

As part of our Executive Roundtable Interview Series, we recently sat down with industry thought-leader Aaron Henderson to get his point of view on the challenges, trends, and developments facing the LP / AP industry. We had the privilege to have Aaron on the ISCPO Exploratory Board, where he helped to shape our organization and drive best practices across the supply chain. Aaron is presently Director Loss Prevention at Penske Logistics & Brigade Command Sergeant Major (CSM)/MP Retired.

ISCPO: Please share a short summary of your background and experience in supply chain protection.

I’ve been in the Retail Loss Prevention / Asset Protection sector since 1990. For a large portion of my career, I’ve been responsible for LP primarily for large national retail brands. From 1990 to 2001, I grew my career and the LP functions at Macy’s and Saks Fifth Avenue. In 2001, I joined Circuit City and was responsible for all loss prevention within the supply chain, which included distribution, logistics, reverse logistics, service centers and e-comm. In 2009, I joined Penske Logistics and was brought in to start a loss prevention department, growing a one-person department to a group of seven. Before and throughout my corporate career, I’ve had the privilege to serve in the US Army on both the active side as well as The National Guard retiring in 2014 as a Brigade Command Sergeant Major. This experience particularly provided me with the required leadership skills to build teams and to articulate the importance of LP at the C-level. It’s also served me well while participating in industry-wide initiatives like the ISCPO.

ISCPO: How has the industry evolved since you started out?

When I first started out, most people, including myself, started on the retail side of the business. Reacting to retail theft was the main part of my job but I quickly got exposed to supply chain management, taking on added responsibilities regarding safety and protection – from developing standards that secure cargo/distribution and maintaining supply chain protection, to dealing with employee safety and workplace violence. Companies now recognize the importance of maintaining security and protection processes, both internally and externally as it affects all areas of the organization.

Two areas that I’ve seen change immensely are:

TECHNOLOGY – Everyone will tell you that tech continues to grow and evolve over time; something new today is outdated in 12 months or sooner with the next best thing. For example, monitoring has come a long way. VHS tape analog cameras evolved into digital video recorders and now CCTV cameras have the capability to record digital footage thru IP so we can look at an area via a mobile device in real-time, anywhere. Biometrics is starting to become standard process with swipe cards being replaced with thumbprint technology, which cuts down on fraud or enables a lock down in an instant.

The big challenge is balancing ROI and staying up to date. I’ve found that it helps to look at technology from an organizational standpoint and how it can improve processes within other areas of the business. For example, a camera system obviously is a must-have from a security standpoint; but, it also can be used by marketing to analyze end-consumer foot traffic or by management to monitor staff productivity or safety.

C-SUITE SUPPORT – Another area I’ve seen a shift is at the C-Suite level. I have seen over the years that the C-Suite now understands the value that a LP /AP team brings to the table. Security touches so many aspects of the business today that we didn’t see 10 to 15 years ago. A dedicated LP/AP team can save a company money in the long run. And, leaders are taking external factors very seriously. For example, protection of staff is a priority. There need to be programs in place for every contingency such as active shooter protocols or dealing with situations within the community, like protests, that can disrupt your supply chain.

ISCPO: What are the three most important elements a company must do to maintain a high standard of supply chain protection?

1. Maintaining a ‘Being Aware’ mind-set: It’s important to always think about how a company’s environment or how every business decision or process can be affected from a security or protection point-of-view. Always stay on top of the industry trends that effect your business-from technology advances to cargo theft trends. A leader must be aware of their environment and how to communicate standards effectively, especially if you have several locations. For example, Los Angeles is known for cargo theft, so it’s vital for staff to be aware by following security protocol and mitigating exposure. Or, if there’s a business disruption, such as a protest, cargo should be re-routed to keep drivers safe and to protect the cargo.
2. Inventory Control: You must have strong inventory control programs implemented within your supply chain. Maintaining accurate inventory is key to success from the minute you receive it in the door from your supplier to the moment the end customer receives it. We play a big role in trying to shrink the window of inventory sitting on the books, which is tied to training, warehouse management systems, and the enterprise system itself.
3. Security: Security is prevention in its simplest form. It’s your job to evaluate, implement, and monitor the best security plans and systems across the entire business and the industry you work in. Ultimately, by establishing the proper security across all departments of a business you’re protecting your brand, protecting your product and most importantly protecting your people.

ISCPO: What is THE biggest challenge to supply chain protection & security, from a holistic industry level?

Speed. Everyone is trying to beat the competition with getting product to the store/customer in the fastest, most cost-effective way possible. Customers today order online and want the product that day. The speed of LP needs to be faster, not merely keeping up with the speed of the business. We need to anticipate and be one step ahead of the next link in the supply chain. Any weak links slow down the chain and increase risk which could impact shrink.

ISCPO: Why did you participate on the ISCPO exploratory board and what do you get out of being an ISCPO member?

I joined the board because I see the value the ISCPO brings to the industry. Within my own [retail] industry we have several organizations, but most focus on the retail environment. I would attend conferences that had little to do with supply chain management.

In my industry, the first step in preventing shrinkage and improving the customer experience is to make sure that the product makes it from the DC / Vendor to the store or customer, so you have to get it right, every time. Within the industry, we have several challenges on the supply chain side of the business. We need groups like the ISCPO to facilitate networking where Supply Chain LP practitioners can get educated on best practices as well as share knowledge and problem-solve.

It pays to participate in these kinds of organizations. During my time at Circuit City, I reached out to my LP counterpart at my #1 competitor. We both were dealing with the same industry trends and organizational issues. By sharing knowledge, we were essentially creating our own industry best practices. That’s where the ISCPO comes in.

As an ISCPO member, I’ve met colleagues to discuss potential solutions, vendor options, and to get the latest trends. Lately, I’ve used my ISCPO connections to expand my knowledge on international issues, given my global mandate at Penske Logistics. With any professional organization, it’s the opportunity to network that’s priceless. It’s education too. When I went to ISCPO’s 2016 conference I met a lot of people and vendors that sparked new ideas plus hearing about cases on a federal level that affect my business. Having this knowledge and bringing it home to my team, and my C-level executives enable me and my organization to stay current.