Retail Loss Prevention and Security Can Protect Your Company's Profits From:
|
Internal and External Theft of Merchandise
An employee or customer who steals an item that is for sale
Larceny
Theft of property within the business that is not for sale
Embezzlements
Withholding assets for the purpose of theft by someone to whom the assets were entrusted, either to be held or to be used for specific purposes
Billing and Payroll Schemes
Falsifying timecards, or writing payroll checks to non existent employees
|
Operation Errors
Staff not following company policies set up to reduce loss
Time Theft
Using company time to conduct personal business
Return Fraud
Defrauding a store via the return process
Information Theft
Supplying proprietary information such as customer lists or trade secrets to a competitor
|
How Big is Retail Loss and Fraud?
The Association of Certified Fraud Examiners’ (ACFE) 2012 Report to the Nations on Occupational Fraud and Abuse shows how this problem is affecting companies around the world. This is some of their findings on retail loss and fraud:
- The typical organization loses 5% of its revenues to fraud each year.
|
- The median loss in the cases in their study was $140,000. More than one-fifth of these cases caused losses of at least $1 million.
|
- The frauds lasted an average of 18 months before being detected.
|
- The smallest organizations suffered the largest losses because they typically employ fewer anti-fraud controls. In addition, fraud affected small businesses disproportionately because they have fewer resources to act as a financial cushion.
|
- Perpetrators with higher levels of authority tend to cause much larger losses. The median loss among frauds committed by owner/ executives was $573,000, the median loss caused by managers was $180,000, and the median loss caused by employees was $60,000.
|
- The longer a perpetrator had worked for an organization, the higher fraud losses tended to be. Perpetrators with more than 10 years of experience at the company caused a median loss of $229,000. By comparison, the median loss caused by perpetrators who committed fraud in their first year on the job was only $25,000.
|
- Most occupational fraudsters are first-time offenders with clean employment histories.
|
- Occupational fraud is more likely to be detected by a tip from another employee than by any other method. Nearly half (40-50%) of victim organizations never recover any losses due to fraud
|
Our retail loss prevention program works with you to create and implement plans that will minimize your losses. With our extensive experience in retail loss prevention, we are skilled at identifying what is causing this at your work place. We have the training and experience to prevent, investigate, respond to and resolve your retail loss prevention problems.
Our retail loss prevention program will provide or assist you with:
- Trained retail loss prevention officer
- Hiring procedures
|
- Establishing a code of ethics
- Loss and Prevention hotline
|
- Industry and technology updates
- Customized internal controls
|
Michigan's Top Security Guard Company for Hire