Shrinkage Is Moving From Cctv Aftermath To Ai Intervention
Shrinkage Is Moving From Cctv Aftermath To Ai Intervention.
Computer vision is changing loss prevention from reviewing incidents to identifying suspicious events while they are unfolding.
Traditional supermarket CCTV has one big weakness: it often becomes useful after the money has already left the building.
Vision AI is trying to change that. Systems can combine video, transaction data and behavioural patterns to flag possible missed scans, product switching, walk-offs or unusual activity at high-risk shelves.
Ever seen says its retail vision platform works across staffed and self-checkout lanes as well as selected aisle environments, using machine learning to identify loss patterns and trigger interventions.
Badger’s newer autonomous platform also lists security monitoring among its possible store functions.
For South African supermarkets and bottle stores, the attraction is obvious.
Shrinkage is rarely one dramatic theft. It accumulates
through customer theft, employee theft, receiving errors, unrecorded waste,
incorrect transfers, sweet hearting, void abuse, scan errors and poor controls.
Computer vision can strengthen one part of that system by making certain events
easier to detect and review.
It can also create new risks.
Once cameras are used for machine analysis rather than passive recording,
owners must know what information is being processed, where it is stored, how
long it is retained, whether individuals can be identified, which third parties
receive it and whether automated decisions are being made about customers or
employees.
South Africa’s Protection of Personal Information Act places duties on
responsible parties processing personal information and contains specific
provisions dealing with automated decision-making that substantially affects
people.
There is a labour-relations dimension too. An algorithm that flags an employee
transaction should be treated as evidence to investigate, not a substitute for
a fair disciplinary process. A false positive processed badly can create a CCMA
problem faster than it creates a shrinkage saving.
The operational standard therefore needs to be disciplined: define the loss
event, define the alert threshold, preserve the evidence, require human review,
record the decision and measure whether the intervention actually recovers
value.
Retailers will be tempted to buy “AI theft detection” because the demo looks
impressive. The serious owner will ask a harder question: does the system
reduce proven loss without creating privacy, labour or customer-service damage
that costs more somewhere else?
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