The POS Software Blog

The POS Software Blog

News from Tower Systems about locally made POS software for specialty local retailers.

CategoryEmployee Theft

Helping small business retailers cut employee theft in any type of business

October 7, 2016
3 Min read
H

Employee theft is a challenge for any small business retailer. The cost of theft depends on how the business manages the theft situation. To minimise the cost of theft, retailers are advised to follow these simple to implement strategies. They have been developed by our small business retail support team here at Tower Systems over many years of helping small business retailers through our POS software.

  1. Pay above award wages. The quality of your employees is up to you. If you’re doing your job you have good employees. Value them. Pay above award. HR and business psychology experts say this will reduce theft.
  2. Talk to them. Ask for their honest comments about the business.       The more they feel, genuinely feel, valued, the less likely they are to steal from you.
  3. No employee bags at the counter.
  4. Clear refund policy. Type the policy up and put it on the wall for customers and employees to see.       Cover, for example, age of transaction, management approval, that you need their name, address, phone number and signature – such requirements will stop abuse.
  5. Offer good discounts to employees. Let employees buy products from you at your cost or just above it. This respects them as part of your team and it reduces the chances of them being tempted to steal what they want from you.
  6. Don’t take cash out of the til yourself. If employees see you take money out for items like a coffee or your lunch they will feel invited to do the same.
  7. Roster mix up. Change your roster regularly. It is common that a roster change will show you a theft problem you never thought was there.
  8. Roster rules. Don’t have friends working with friends if they are the only ones rostered on.
  9. Speed humps. Have a day where you turn on receipts for ALL customers. Then a day where you require that everything is scanned (as opposed to using hot keys and the like). These changes will keep employees and customers off guard and make it easier for you to spot problems. It will also keep you on your guard and that’s good for the business.
  10. Spend more time at the counter. The further you are from the action in your business the greater the opportunity for you to be ripped off. Spend time where the action is – unexpectedly.
  11. Balance the register during the day. Do this every so often. Again to keep people on their toes. It is also good practice.
  12. Don’t let employees ring their own purchases up.
  13. Don’t let employees sell to family and friends.
  14. Your local council. Many local councils offer theft prevention training and help as do some local police.       (Local U.S. police stations are considerably more active in this area.)
  15. Beware of popularity. There is anecdotal evidence that the more popular the employee the more likely they are the one stealing from you.
Read onRead later

HELPING SMALL BUSINESS RETAILERS CUT EMPLOYEE THEFT

May 26, 2016
1 Min read
H

The theft reduction training video we produced in-house – How To Steal From A Retail Business – is being used by business groups to train their members on measures to take in retail shops to reduce the opportunity for employee theft.

In addition to the YouTube views, this video has been packaged and provided outside that platform for people to embed in conference presentations, one-on-one training and elsewhere.

Using your POS software small business retailers have excellent tools with which to reduce the opportunity for theft. These have existed for years. In addition to our software work, we act as expert witnesses in investigations and proceedings that successfully prosecute employee theft cases.

What matters is that theft can be reduced and even eliminated with good management oversight in any retail business using our POS software.

Read onRead later

FREE POS SOFTWARE TRAINING: HOW TO CUT THEFT IN YOUR RETAIL BUSINESS

May 6, 2016
1 Min read
F

Screen Shot 2016-05-06 at 12.53.10 pmNext week, we run another of our popular Howe to cut theft in your retail business workshops. Run many times over many years, these free live workshops help engaged retailers to protect against theft, especially employee theft. Retailers using our POS software who encounter employee theft, especially expensive employee theft, have not undertaken this free and easily accessed training.

Our commitment to our small business retail customers is that we provide regular access to free live training workshops. This session is another of these free weekly opportunities.

Read onRead later

SUNDAY SMALL BUSINESS RETAIL MANAGEMENT ADVICE: HOW TO KEEP YOUR BUSINESS MORE SECURE

April 10, 2016
3 Min read
S

Security is important in any business but especially in a small independent retail business. Here is a list of actions we recommend you consider to ensure your business is secure.

  1. Know how many keys there are to your premises and who has them.
  2. Keep a spare key in a safe place away from the business.
  3. Keep a current data backup off site. Regularly check that you can restore the data from your backup and that the data is current.
  4. Regularly check the use of your business software for the deletion or alternation of sales as this could indicate employee fraud.
  5. Have current reputable virus protection on all your computers.
  6. Have current reputable firewall installed on your network.
  7. Never open a zip file sent by email.
  8. Never open an email from a bank, the ATO or the police.
  9. Change the most powerful / valuable password for your computer software monthly and share it sparingly. Passwords should be complex. Check the strength of your password here: https://howsecureismypassword.net
  10. Be discrete when talking about the business and its performance.
  11. Do not do the banking at the same time every day or every few days. Do not follow the same route. Do not carry the same bag.
  12. Have a camera system installed to get a good shot of the faces of everyone entering and leaving the business.
  13. Consider registering your CCTV with the local police – this is an option in some jurisdictions.
  14. Ensure customers can see they are being filmed.
  15. Train employees to make eye contact with customers.
  16. Train employees on emergency procedures for handling: theft, aggressive people, shoplifters.
  17. Use the full stock control facilities of your software to understand the financial cost of shoplifting.
  18. When doing magazine returns, check discrepancies weekly to understand magazine theft.
  19. Ensure your windows are not cluttered. The police advise cluttered windows are a security risk because of what they can hide.
  20. Ensure there is good lighting outside if the store is locked up when it is dark.
  21. Ensure you have the best possible sight lines of the shop from the counter.
  22. Have a no personal items at the counter policy.
  23. If you catch someone in the act of shoplifting ask them to wait in the store, and call the Police. Also (advice from NSW govt. Crime prevention):
    1. Tell them who you are.
    2. Tell them why they have been asked to stay in the store. o Advise them that Police have been called
    3. Ask the person to surrender any property that doesn’t belong to them. Remember, retailers and other citizens have no legal right to search a person.
    4. Most importantly, do not put yourself at risk.
  24. Have a clear refund processing policy and ensure all employees are trained on this.
  25. Track all sales by employee code.
  26. When hiring: ask if applicants agree to a police check, check their references, do not hire friends of employees, explain your commitment to zero tolerance re employee theft.
  27. Have an employee theft policy in full view.
Read onRead later

SMALL BUSINESS RETAIL MANAGEMENT ADVICE: HOW TO CUT EMPLOYEE THEFT

February 14, 2016
3 Min read
S

Okay so we have shared advice on cutting employee theft before, many times in fact. The things is – employee theft continues in small business retail, too often. It can be reduced in any retail business if you follow this simple advice:

  1. Use stock control. Enter new stock as it comes in, scan all sales and only reorder based on what you software says. Every month do a stock take. Popular item stock discrepancies are an indicator of theft.
  2. Scan everything you sell. Do not use department keys as this makes it easier for employees to steal since they know there is no trackback to stock on hand.
  3. Do your end of shift through your software and have a zero-tolerance policy on being over or under. Reconcile banking to your computer software end of shift.
  4. Do spot cash balancing. Unexpected checks can uncover surprises.
  5. Change your roster. Sometimes people work together to steal. One retailer found a family friend senior and their teenage daughter stealing consistently.
  6. Check your Audit Log. Look at cancelled sales, deleted sales and items deleted from a sale.
  7. Check GP by department. If GP is falling outside what you expect, research it further.
  8. Setup a theft policy. Put this on a noticeboard in the back room. Get staff to read it and sign up to it. See the last page of this advice.
  9. Keep the counter clean. A better organised counter reduces the opportunity for theft as it makes detection easier.
  10. Have a no employee bags at the counter policy. This makes it harder for them to hide your cash.
  11. Beware employees who carry folded paper or small notepads. These can be used for them to keep track of how much cash is in the register that is theirs – i.e. not rung up in the software.
  12. Beware of calculators with memories at the counter.
  13. Do not let employees sell to themselves. If they want to purchase something make them purchase it from the other side of the counter.
  14. Be professional in your management of the business. The more professional your approach they less likely your employees will steal as they will see the risk of being caught as high.
  15. Advise all job applicants that you will require their permission for a police check.
  16. Do not take cash out for your own use in front of employees. If they see you take cash for a coffee or lunch some will see this as an invitation.
Read onRead later

Sunday retail management advice: how to cut employee theft in retail

August 30, 2015
2 Min read
S

Employees can steal from retail businesses in a variety of ways. Often, such theft goes undetected because of poor or unmonitored business processes.

The best way to cut employee theft or fraud is to commit to a consistent approach to theft management:

  • Ask prospective employees if they object to a police check. Those with something to hide will let you know they have found a job elsewhere.
  • Implement zero tolerance for abuse of systems. For example, ensure that every item sold is scanned.
  • Implement zero tolerance for an end of shift discrepancy of, say, $5.00 or more. Once employees know you will be fierce about this sales will be more accurate.
  • Reduce manual eftpos transactions – connect your eftpos terminal to your point of sale.
  • Change responsibilities – sometimes changing who handles money can uncover fraudulent behavior.
  • Change your timing. Habits are what allow people to think they can get away with theft.
  • Modify your counter policies:
    • No refunds.
    • No credits without management approval.
    • No employee bags at the counter.
    • No jackets or cardigans with pockets.
    • No calculators with memories – I have seen these used to record how much cash in the register is theirs.
    • Track every sale by employees – using a card with an employee barcode and making it harder for an employee to use the system as someone else.
  • Track all cash movements from the sale through to your bank account. Many retailers do not do this and open themselves to blatant and regular theft. Employees do it because they know they can get away with it.

Cutting employee theft can be achieved with vigilance. A small time investment in developing and following processes will find you with more money in your bank account.

Read onRead later

Small business retail employee theft advice helps cut theft

June 17, 2015
1 Min read
S

Screen Shot 2015-06-11 at 8.13.31 amThe employee theft advice Tower Systems provides its users goes beyond our smart POS software and well into the area of small business management. Offered as part of our comprehensive Knowledge Base, our advice is based on years of work with business owners, police in various jurisdictions and prosecutors to bring people to account for theft in retail businesses in which they work.

This type of advice covering business management goes beyond what is typical for a POS software company. It demonstrates a level of commitment from Tower Systems that is unique, a commitment of which we are proud.

The best feedback we have received is from those following this advice who have successfully detected earlier than otherwise might have been the case theft by an employee, detection that enabled them to gather the necessary evidence to act.

Every day here at Tower Systems we are involved with our customers beyond what is traditional for a POS software company. While we are happy to help with POS software queries, we are equally happy to help with business management advice beyond the software. As our motto say, We’re here to help.

Read onRead later

Helping small business retailers confront a theft situation

June 3, 2015
2 Min read
H

If you believe you are being stolen in your retail business from and not sure what to do next you can turn to us for help. Sure, we are a software company – but we are also experts at helping small business retailers deal with and confront theft.

We provide a service to retailers using our POS software as part of our Tower AdvantageTM service where we will go through your data and look for patterns consistent with theft.

Our senior management team has been helping clients uncover theft for over 20 years and we know all the signs to look for. We will give you a report on all of our findings, make some recommendations and have in the past appeared in court to give evidence on theft matters.

Contact our support team and let them know you would like a theft check performed and we will guide you from there.

We will treat your contact serious and immediately escalate it to a senior member of our team who will discuss with you your situation and suggest the next appropriate steps. We handle theft reports outside the usual help desk area of the business for your security and to bring to the report our most experienced people.

Read onRead later

Sunday retail management advice: how to cut employee theft in retail

April 26, 2015
4 Min read
S

Theft is something to be managed in your business. You will be stolen from. Good management is about reducing the opportunity for and instances of theft.

Follow this advice and the opportunity for theft will be lower and the certainty of detecting it higher.

Unfortunately, many retailers read up to here and think this will to happen to them.  Too many of these business owners are the ones who do experience the hurt of employee theft.

If you are still reading, well done. Here are simple steps you can take to catch and manage employee theft:

  1. Use stock control for a high volume high interest category (if not all stock). Enter new stock as it comes in, scan all sales and only reorder based on what you software says. Every month do a stock take. Stock discrepancies of the right item are an indicator of theft. Had one retailer we know of been doing this they would have caught their $250 a day employee theft months earlier.
  2. Scan everything you sell. Do not use department keys as this makes it easier for employees to steal since they know there is no trackback to stock on hand. Using department keys is an invitation to steal.
  3. Do your end of shift through your software and have a zero-tolerance policy on being over or under. Reconcile banking to your computer software end of shift. One retail business where this was not done was being skimmed regularly for $200 a day.
  4. Do spot cash balancing. Unexpected checks can uncover surprises. One retailer needing to do a banking during the day uncovered a $350 discrepancy that lead to discovery of systematic theft.
  5. Change your roster. Sometimes people work together to steal. One retailer found a family friend senior and their teenage daughter stealing consistently.
  6. Check your Audit Log. Look at cancelled sales, deleted sales and items deleted from a sale. Leaving a cash drawer open from the previous sale, scanning items, taking the cash and cancelling the sale is the most common process used by employees to accrue cash they then take from you. Good software tracks cancelled sales and what was in them. This can be matched with video footage.
  7. Check GP by department. If GP is falling outside what you expect, research it further.
  8. Setup a theft policy. Put this on a noticeboard in the back room. Get staff to read it and sign up to it. See the last page of this advice.
  9. Keep the counter clean. A better organised counter reduces the opportunity for theft as it makes detection easier.
  10. Have a no employee bags at the counter policy. This makes it harder for them to hide your cash.
  11. Beware employees who carry folded paper or small notepads. These can be used for them to keep track of how much cash is in the register that is theirs – i.e. not rung up in the software.
  12. Beware of calculators with memories at the counter. One employee used the memory function to track how much cash had to be stolen prior to balancing for the day – cash from sales not rung up.
  13. Do not let employees sell to themselves. If they want to purchase something make them purchase it from the other side of the counter.
  14. Be professional in your management of the business. The more professional your approach they less likely your employees will steal as they will see the risk of being caught as high.
  15. Advise all job applicants that you will require their permission for a police check. From the outset this indicates that you take your business seriously. In many situations applicants who have been asked for permission to do a police check advise they have found a job elsewhere.
  16. Do not take cash out for your own use in front of employees. If they see you take cash for a coffee or lunch some will see this as an invitation.

These steps work – based on decades of helping newsagents to reduce and manage employee theft.

Theft, employee and customer, costs a typical retail between 3% and 5% of sales revenue. Management attention can cut this dramatically. It does not take much time. No, it is more about having professional processes in place which everyone in the business follows.

Read onRead later

POS software company provides more help to small business retailers reducing theft

April 4, 2015
1 Min read
P

Tower Systems has been helping more retailers using its POS software POS software to deal with employee theft situations. We have a structured process for independently checking evidence without being influenced by stories. The process has been praised by police and prosecutors. It has been on show in court rooms where we have provided expert witness evidence.

Employees in retail businesses using our software are on notice. We have tools you will never find which can uncover behavior which indicates without a doubt that theft is occurring. This evidence has stood up scrutiny and resulted in successful action.

Our advice to retailers is to use the facilities in our software for theft reduction. If you have a concern, ask us for a free Theft Check service.

We’re here to help. That’s our motto. When it comes to employee theft, we’re in your corner and there to help you deal with it and get through the emotional and operational challenges of discovering a theft situation.

Our theft related work is undertaken at senior levels within the business. It is highly confidential. Our most cases are never discussed until completely closed and even then only ever without identifying details.

Read onRead later

POS software company offers help to retailers impacted by theft

February 17, 2015
1 Min read
P

POS software company by Tower Systems helps retailers who have been hit by theft with investigative services that meet the needs of police and prosecutors.

Developed over years of work with law enforcement, our evidence gathering work can help provide certainty about theft perpetrator(s) and the possibility of conviction.

Better still, our work helps retailers prevent theft by employees and customers. This is where real savings can be made by retailers – in reducing theft.

People can be clever in their approach to stealing from retailers. Techniques used change. This is where our specialist services can and do help.

Tower Systems helps retailers in many ways. Our theft reduction work is particularly valuable.

Read onRead later

Sunday retail management advice: cut employee theft in your shop

February 8, 2015
1 Min read
S

Through its Point of Sale software and retail business support services, Tower Systems helps small and independent retailers cut employee theft. In the last week, the company has helped with another free training workshop offered to retail business owners. We showed how employees steal, when and explored why. This information will help cut theft in businesses.

Our advice today is for retailers: use your POS software to cut employee theft. If you are not sure what tools are available to you – ask. Such advice should be free and confidential.

Employee theft can cost between 3% and 5% of sales. Tower Systems has a track record of helping retailers to cut theft using extensive and valuable tools in its POS software.

Read onRead later

Free POS software training: How employees steal from retail businesses

January 28, 2015
1 Min read
F

stealHow employees steal from retail businesses is a free training workshop from the POS software experts Tower Systems. Delivered by our COO, this training is vital for retail business owners. It will draw on expert advice from one who helps police, prosecutors and insurance companies deal with employee theft in retail businesses.

With just a few places left, this training will fill up for sure.

Tower Systems leads its marketplaces with live online training opportunities – helping retailers to learn more about their software and how to save their businesses time and money.

Read onRead later
The POS Software Blog

Categories

Categories

Categories

Recent Comments

Monthly Archives