Negosentro.com | As the Circumstances Dictate: What is the Effect of Crime on Retail Businesses? | Retail businesses must follow more stringent practices to prevent crime inside and outside of their business. Circumstances often arise that require the owner to launch more costly investigations to identify how these crimes occurred and how to prevent them in the future. Reviewing the effect of crime on retail businesses shows the owners how to protect their stores as the circumstances dictate.
Property Vandalism and Safety Hazards
Broken glass in windows and doors give intruders an access point into the retail store after-hours. While, yes, breaking the glass will engage the alarm, but it won’t stop the perpetrators from getting into the property and taking what they want before law enforcement arrives. A better practice for reducing break-ins and securing the property more effectively is to install Safety film for windows and doors.
The right film can prevent the glass from shattering and giving the thieves an access point. It can also lower the risks of personal injuries for workers and others who enter the store before the glass is repaired. Premises liabilities and customer-related injuries can present major losses for the company, too.
Customer-related theft is a serious problem for the retail industry. Today, most retail stores have alarms that detect sensors on products and alert workers to the would-be thieves as they approach the door. These practices can lower the risk of customer-related thefts if the workers can prevent the customers from escaping through the doors.
The major issue of customer-related theft for the stores is that even with the right insurance coverage, the store won’t recover from every theft. The financial losses to the store can lead to price increases to compensate for the loss in inventory. Overall, the law-abiding customers suffer due to this domino effect, and some cannot afford to pay more for the products. If customer-related theft isn’t managed properly, some stores will shut down due to financial losses and a loss of customers because of necessary price increases.
Cashier-related theft is a serious issue for retail stores especially when the cashier isn’t monitored more closely. The practice of skimming from the cash drawers enables the cashier to steal from the company without immediate detection. What happens is the cashier doesn’t enter sales for the items when they know the exact price with the tax included. Instead, they collect the money from the customer and place the cash into the drawer.
At the close of the business day, the extra money won’t show up on their daily tally. The money isn’t detected through any of the paperwork, and the cashier pockets any overage for the day. Unfortunately, the store owner doesn’t become wise of the theft until their inventory totals don’t match the sales for each of these items.
At this point, the cashier has stolen large sums of money from the company, and the owner doesn’t have any direct proof of the theft. To investigate all instances of potential cashier-related theft at the later time presents a higher loss of time and money for the company. Retail store owners must implement better security measures to track their workers.
In retail, businesses must conduct risk mitigation on an ongoing basis. It is necessary for the owner to consider all crimes that could happen in and around their stores. Reviewing each potential crime and its effect prepares the owner and their workers for the unexpected.