Businesses are plagued with theft that is from paid employees, staff and in some cases management. Loss control is a day-to-day necessity and is accounted for in the business plan as "shrinkage."
Employee theft costs businesses billions of dollars a year and must be managed to make sure it doesn't do irreversible financial damage. It isn't a matter of eliminating it - a business owner's only hope is to control and contain it.
The sad truth is that when interviewed many employees feel they either "deserve" what they were stealing -citing poor wages - or they didn't realize they were doing anything wrong, as in the case of product "gifting" to customers or taking food or merchandise for themselves.
Regardless of the motive, loss prevention and the aggressive management of employee theft is a mandatory part of doing business these days.
Service-dependent Businesses Highly Vulnerable
Customer service-dependent industry associations have claimed that employees are responsible for up to 75% of all theft. Employee theft is realized in many forms - inventory shortages, personal use of products or services, and cash mishandling.
To manage this risk to operations and revenues, companies first need to determine if they have a problem and the extent of their losses, then identify the solution that will work for them. Loss prevention solutions can include:
Instituting Employee Theft Management Programs will deter individuals who are approaching an ethical "gray zone," educate employees on what is acceptable behavior, and discover employees responsible for your losses.