Running a business requires knowledge in various areas including merchandising, operations, finances and human resources to name just a few. The amount of time, effort and money it takes to make a sale is substantial. But what efforts do you make to ensure those sales become revenue? What are you doing to protect and improve your profitability?
Here are 5 items that you can develop to help protect your revenue from costly losses.
- Gather knowledge on how losses occur, methods of theft and ways of detecting and uncovering losses. Know that losses can be caused by error, employee theft and even customers. Don't be naive in thinking losses will not happen.
- Make certain that your location is protected physically with the proper burglar alarm systems and security measures. Break-ins and robberies are often opportunistic events where the victims become prey because of a possible weakness.
- Utilize your technology to protect you against potential weaknesses. Make certain that your Point of Sale (POS) system provides adequate reporting to analyze actions occurring at the register. The biggest loss of profits most often happens at the register.
- Involve everyone on your staff toward reducing and preventing loss. Just like you would include them in understanding your business operations, loss prevention is no different. From store operator down to part-time associates, it takes a team effort.
- Properly train your staff on understanding loss prevention and making them aware of how to prevent and detect losses. You are going to rely on them to protect your inventory and profitability, you need to provide them with the necessary tools and education.
Here are some additional blog articles to help you learn more about these 5 items.
Loss Prevention should be an important but not time consuming aspect of running your business. Education, training and awareness can go a long way to avoiding costly losses to your business.