Krispy Kreme integrates video and POS to enhance operations

Monday, July 11, 2011

WINSTON SALEM, N.C.—Video surveillance as a loss prevention and store operations tool isn’t new to the doughnut giant, Krispy Kreme, said Mark Reasor, vice president of retail operations for Krispy Kreme Corporate. The company has been using video surveillance for a long time—starting with VHS tapes that needed to be regularly swapped out—to monitor door access and cash registers. The company eventually upgraded to a digital-based platform, but each store still operated as a standalone system, making it difficult for regional managers and corporate administrators to evaluate overall corporate performance. It wasn’t until recently that Krispy Kreme started using video surveillance to improve its business operations, companywide.

The company launched a corporate security initiative to improve video surveillance and implemented a camera system integrated with its point-of-sale system from DTT Surveillance, which can be accessed by district and corporate managers remotely.

Krispy Kreme uses this system to identify areas of loss, improve business operations as well as identify customer-service issues, Reasor said. “We also use the system to investigate slip and falls or worker comp claims and make sure they are valid,” he said.

In addition to enhancing its video surveillance capabilities, Krispy Kreme also developed a new business intelligence system that used POS data and other company information to generate reports to help the loss prevention team identify suspicious transactions. “We do more than review video, we use those reports to highlight suspicious activity and that helps direct the loss prevention team to take a look at certain areas of the video to see if there’s an issue,” Reasor said.

While franchise owners aren’t required to implement this system, Reasor said there’s good reason to. After using the DTT system in the initial stores for six months, Reasor said the results justified moving forward and implementing the technology in its new stores as well as updating existing stores.