Employee theft has been going on for so long in some companies and in some cases it is not only going on right under managements nose but is actually condoned.
Consider a retail store as an example where management overlooks employees taking small items such as a candy bar. It goes on for so long that it not only becomes the norm but also actually happens right in front of management who do nothing about it. The employees learn that this is acceptable behavior.
A candy bar that sells for $1.50 (remember when they were $0.50?) stolen by an employee is not just a loss of $1.50. If your store's net profit margin is the average 2%, that employee just ate $75.00 (1.50 loss/ .02 net margin). You will have to sell $75 to BREAK EVEN. Let’s say that same employee does that four times a week for a year. That’s $15,600.00 that you will have to sell to break even on a thief with a sweet tooth.
If management allows that to go on or condones it then others will do the same and "it’s OK” becomes the standard and employee theft becomes the norm. Some companies even have a policy that if a cashier is only short $5.00 at the end of the day that they do not investigate it. That tells the cashiers that it is OK to steal $4.99 and below. To a cashier that is lunch money, gasoline (OK not very much gasoline, but still!).
The problem is that this can simply creep up on a business over time and become a potentially lethal issue. Most employee theft starts out small and after the thief gets bolder we wonder why or how it has happened.
Loss Prevention Systems, Inc. specializes in identifying not only current employee theft issues but procedural and operational "open doors" that can contribute to employee theft potential. Our initial consultation is free, during which time we can give you an idea of what solution may make sense for your particular concerns.
Contact us today to learn more.
