We would all like to think that our most valuable assets, our employees, are all honest, and have our company’s best interests at heart. Although an overwhelming majority of employees do not steal from their employer ( Approximately 97%), those who do steal (3%, or 1 in 28), usually steal around 7 times as much, on average, as the typical shoplifter. ($851.44 vs $128.71).

Now, you may think that, based on these numbers, retailers should focus all their resources on deterrence and apprehension of internal, or employee theft, but that is not necessarily the case. You also must take into account the frequency of the two types of incidents. By some accounts, 1 in every 11 people will shoplift. If you compare this to the 1 in 28 who will steal from their employer, you see that the number of people who will shoplift is a little more than twice the number who will steal from their employer. Still that would leave an average of $257.42 in shoplifting incidents for every employee theft of $851.44.

The answer is, because every dollar counts, you have to have programs in place that deal with both issues. It is important that retailers understand that theft is largely a crime of opportunity. Take away the opportunity, and you will greatly reduce the theft. That is why you see fitting room attendants in many retailers today. They count what you take in, and count it again when you exit the fitting room. That is also why a good deal of merchandise is tagged with security devices designed to deter theft.

As for employee theft deterrence, the key is awareness. Again, the opportunity to steal must not be presented. Everyone is tempted at some point. If the cost outweighs the benefit, most people won’t take the chance. So, retailers must do a good job of communicating the cost, or consequences of being caught stealing to their employees.

However, there is always somebody who will steal. Some employees and shoplifters go to great lengths to steal merchandise, money, or even services from retailers. That is where a good loss prevention program is critical. Having a network of loyal employees who are watching for, and reporting, suspicious behaviors goes a long way toward curbing losses. Add to that experienced, dedicated investigators and interviewers who can apprehend the thieves, and you can attack both problems at once.

“Information and statistics provided by the National Association for Shoplifting Prevention (NASP) a nonprofit organization providing research-based shoplifting prevention initiatives including education, prevention, justice and rehabilitation programs. Contact NASP: email nasp@shopliftingprevention.org; or visit www.shopliftingprevention.org.”

Technorati Tags: loss prevention,retail loss prevention,asset protection,shoplifting,retail theft,lp best practices

Popularity: 5% [?]