Too often, theft is an accepted part of a jewellery business. This should not be the case. Theft should be tracked, managed and addressed in every retail jewellery business. If this is not done, businesses will lose more than they can afford, some will close.
Based on our years of experience working with jewellers, here are the best ways you can combat theft in your jeweller business:
- Use your Jeweller software to order inventory products. Being diligent about this will uncover inventory theft and this is a good indicator of wider employee theft.
- Use the theft tracking tools in your Point of Sale software. If you don’t know what they are, find out.
- Balance cash at odd times in the day. Employees stealing cash know how much they have to take from the register before the end of the day. Try and catch them off guard. Set $5 as the maximum amount your register can be out.
- Ask Tower Systems to look at your data and advise whether they see activity which could indicate theft. This service should be free.
- Ask all potential employees for permission of a police check. You will find that some will become unavailable for the role.
- Undertake spot stock takes regularly to gauge possible shopper theft activity. These also show employees that you are serious about theft.
The single most important steps to reducing theft are to use your commuter system to manage stock and to be diligent in tracking and managing cash. Do this and you will certainly avoid theft.
I know of several jewellery businesses experiencing theft costing more than $100,000 recently where the crime would have been detected much sooner had just some of the measures noted above have been followed. In two cases, just using stock control on one or two stock items would have saved each business many thousands of dollars.
Theft is manageable in any retail business. What it costs you in terms of cash and inventory is a commentary on the professionalism and discipline of your management of the business.