Health, Safety, Security and Loss Prevention in Retail
What this domain tests
Statutory and practical safety duties, emergency response, store security systems and the sources of shrinkage - with numerical questions on shrinkage and loss.
Safety and emergencies
Shops must comply with the Shops and Establishments Act of the state, fire safety norms, electrical safety and, for food retail, FSSAI hygiene requirements. Know extinguisher classes: water for wood, paper and cloth; foam for flammable liquids; dry powder and CO₂ for electrical and flammable gas fires - never water on an electrical fire. Use PASS: Pull the pin, Aim at the base, Squeeze, Sweep. Keep exits and fire equipment unobstructed; know the assembly point; report every incident; keep a first-aid box and trained staff. Prevent slips by cleaning spills immediately and using wet-floor signs.
Security and loss prevention
Systems: CCTV, EAS tags and pedestals, security guards, bag checks at entry and exit, key control, access control, POS exception reports. Shrinkage = book stock − physical stock. Sources: shoplifting and organised retail crime, employee theft, vendor or delivery fraud, and administrative error such as wrong receiving or pricing.
Worked example
Book stock at retail is ₹8,00,000; physical count is ₹7,60,000. Shrinkage = ₹40,000, and shrinkage % = 40,000 ÷ 8,00,000 × 100 = 5%. Reasoning: the denominator is book stock, and shrinkage is measured in rupees and as a percentage so stores of different sizes can be compared.
Traps that cost marks
Using water on an electrical fire; physically restraining a violent shoplifter instead of following the store's safety-first procedure; counting only shoplifting and ignoring employee theft and paperwork error; leaving fire exits blocked by stock.