No business owner wants to think that their employees might be stealing from them. But unfortunately, employee theft is a genuine problem that costs businesses billions of dollars every year. So, if you suspect your employees might be stealing from you, here are five signs to look out for.
Drop in Productivity or Sales
If you notice a sudden drop in productivity or sales, it could be a sign that your employees are stealing from you. Of course, there could be other explanations for a decrease in productivity or sales (such as a slow season or an economic downturn). Still, it’s always worth investigating further to rule out theft.
Inventory Losses or Shrinkage
Inventory loss occurs when inventory is damaged, destroyed, or stolen. If you notice an increase in inventory losses or shrinkage, it could signify that your employees are helping themselves to your products.
One of the main reasons your employee is stealing from your inventory is that they may have access to it quickly and are not closely monitored.
If you notice that equipment or supplies are regularly going missing, it could indicate that your employees are stealing them for personal use or to sell for profit. Keep track of inventory and monitor who has access to the items so you can pinpoint any suspicious activity.
Suspicious Activity on the Time clock
If you notice employees punching in late or taking long breaks, it could signal that they’re stealing time from you. Employees often stay later to survey the area and determine the best time to steal from you. So keep an eye out for employees staying late at work at unusual times.
Unexplained Expenses
Sometimes your employees are stealing from you in other ways. One of these ways is by using company funds. Employees can create fake expenses or submit inflated invoices for reimbursement.
If you notice an employee living beyond their means, it could signify that they are stealing from you to maintain their lifestyle. This could include buying luxury items, taking expensive vacations, or driving a new car.
If you notice unexplained expenses on the company credit card or inflated invoices, it could signify that your employees are using the card for personal purchases. To combat this, consider implementing a policy whereby employees must submit receipts for all expenses charged to the company credit card.
Increase in Customer Complaints
If you notice an increase in customer complaints, it could signify that your employees are providing poor-quality service to get customers to leave so they can steal from them. To combat this, consider increasing the supervision of employees during work hours and conducting regular quality control checks.
No business owner wants to think that their employees might be stealing from them—but employee theft is a genuine problem. If you suspect that your employees might be stealing from you, keep an eye out for these five signs. If you’re sure this is happening in your company, then it might be time to install and implement an access control system.
What is an ACS?
An access control system is a system that allows for the monitoring and regulation of who can enter and exit a particular area. This can include using keycards, biometric scanners, or facial recognition technology. By implementing an ACS, you can monitor and limit employee access to areas where theft may occur, such as inventory storage or the cash register. Here are the essential things you need for your ACS.
Conduct a Risk Assessment
The first step in implementing an access control system is to conduct a risk assessment. This will help you identify areas of your business that may be vulnerable to security breaches. Once you’ve identified these areas, you can take steps to mitigate the risks.
Secure Entrances
After your risk assessment, you start securing your doors and entrances to vulnerable areas. There are various ways you can do this. Here are some of them.
Electronic Doors
One of the best ways to secure an entrance is by installing electronic doors. These doors often have electric strikes. These strikes are activated through a card reader or keypad, allowing only those with access to enter the area. Additionally, they lock doors automatically so they cannot be forced open.
CCTV and Cameras
Along with electronic doors, it’s important to have CCTV cameras monitoring entrances and other vulnerable areas. This can act as a deterrent for potential thieves and provide evidence if theft occurs.
Keycards or Biometric Scanners
Employees will need keycards or biometric identifiers such as fingerprints or retina scans to gain entry into secure areas. These identification methods ensure that only authorized individuals can access certain areas of your business.
Training and Policies
Implementing an ACS, training your employees on its use, and establishing policies for accessing secure areas are essential. Regularly remind employees about the importance of security and remind them to keep their keycards or biometric identifiers safe. Additionally, ensure you regularly update access levels and revoke access for former employees.
By implementing an access control system and following these steps, you can effectively combat employee theft in your business and keep your assets secure.