Employee theft is one of the worst problems for a small business. To succeed and make a profit, small retail businesses must stay theft free. Statistics show that almost two-thirds of a store’s loss is caused by theft by dishonest employees. The losses harm the people who are not involved, the customers by driving up the prices. At some point, customers will refuse to do their shopping in the affected store. As a result, companies will enjoy less profit. Undoubtedly, every company must make an effort to prevent theft.
Every small business aims to make a profit and must do its best to prevent theft. The percentage of employee theft varies by company. It depends on the type of store, the type of products and so on. A business that sells expensive products such as computers, stereos, and televisions will suffer greater losses than a business that sells groceries, for example. In such stores, steps must be taken to prevent theft.
Protect your business from theft
Because of all of these issues, leaders need to find effective ways to prevent theft. The only way to avoid problems with employees is to develop a method to prevent theft. The first thing you can do to prevent theft is to make sure that he or she has hired honest employees. An honest employee is worth its weight in gold. However, no matter how confident you are that you have hired honest employees, effective methods to prevent theft are also necessary. To be successful, employees need to be sure that they take all necessary measures to prevent theft.
Before hiring an employee, do a quick search of the employee’s background. Go through a credit check. Check out personality and psychological tests. These are the first steps you need to take to prevent theft and these will be the most effective steps you will take.
When hiring someone, you need to make sure that you can rely on him or her. No matter how clever, a dishonest employee can ruin your business. You have to be demanding when looking for employees and employees should not be offended by your strict selection. A strict selection is necessary if you want to prevent theft.
- Here are some tricks that can help you:
- Supplying employees with uniforms without pockets;
- Only share the combination with the safe with those who must have it;
- Install security cameras over the cash drawers;
You may think that implementing these things will be expensive, but just think of the losses that you will avoid if you do not prevent theft.
Preventing Theft Inside and Out
Let me suggest one more important thing. First of all, you have to be honest. Would you expect your employees to be honest if you are not honest? Be honest in all of your contact with employees, customers and suppliers. If employees see that you are honest, they will try to give you back the favor. Do not make unclear points in your daily dealings. Develop clear rules and reasonable expectations of your employees. Prevent theft by fining employees who don’t follow the rules. Encourage those who do excellent work. No employee will want to work hard without appreciating their efforts. It won’t be easy, but you just have to prevent theft.