Case Study – Loss Prevention

Nationwide Retailer Seeks Loss Prevention Help

A U.S. retailer with around 200 stores faced two distinct types of loss: disappearing merchandise, which was then being sold on websites like eBay and Craigslist, and service fraud, where employees would claim rebates for customers that the customers didn’t get.

This company hired very charismatic, extroverted people, primarily via interviews only, and they were worried that if they controlled the service fraud, they’d be left with people who couldn’t sell. They came to Orion Systems for help.

The company decided to do a four-month pilot program in the fall, during the holiday hiring season, using the Orion pre-employment assessments in just a percentage of their stores. They customized the assessment to fit their hiring needs, and stuck to the results during their process.

Here’s how the Orion assessments worked for them:

  • They had a 7 percent decrease in turnover for the Orion stores, as opposed to a 1 percent increase in turnover in their non-Orion stores.
  • Orion stores had a sales increase of 17 percent over the regular stores.
  • Orion stores had a .1 percent inventory loss, where the regular stores had a 3.7 percent inventory loss, representing a savings of at least $1 million over the course of the pilot program.

Every company will assess their employees – it’s just a question of whether it’s done before or after you hire them. Let Orion help you save time and money by doing it before.

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