Believe it or not, employee theft is more of a threat to your business than the shoplifters.
Thefts by employees accounted for about 45 percent of retail losses in 2010, and averaged $999.36. Compare this to a 31 percent loss for shoplifters and organized crime, averaging at $337.50 per case. Another significant portion is administrative error, which accounted for 14 percent of shrinkage.
“Despite advances in technology and tactics to detect theft, stealing by employees is not a problem that’s easy to remedy.” The most common problems occur when employees:
- Conspire together to steal merchandise
- Discount retail items and “sell” to friends
- Pocket money from gift cards transactions or the cash register
- “Work the system” to receive full refunds for stolen items
What Can We Do to Combat Theft?
“Security measures have helped cut losses.” There are many security technologies listed below that can help you combat theft.
IP Cameras: These cameras produce sharp image quality, and have the ability to zoom and enlarge far better than analog- imperative for identifying clear details of faces, items being purchased, license plates, forensic detail, loss prevention, and general surveillance. They also have increased motion detection and clear picture, even in poor lighting.
Remote Monitoring: Remote monitoring allows for management, owners, employees, etc to observe the conditions of their store, warehouse, parking lot, etc from any remote location that has Internet access, even your Smartphone or tablet.
Video Verification: VinTech even offers video monitoring services that includes video verification (for incidents), supervision of scheduled events (ex. opening a safe), and general surveillance.
Video Analytics: Analytics pick up unusual behavior such as a large amount of over-the-counter medication bottles disappearing into the coat of a shoplifter. The system can also follow a suspected shoplifter throughout the store recording movements and alerting store management.
Above all, be alert and limit opportunities! “The cause of most thefts, internal and external, is greed, not need”. Make sure your employees understand that there is surveillance present, and that the company takes internal theft very seriously. A strict policy and the presence of security cameras will discourage employees from stealing from their employer.