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LOOKING OUT FOR NUMBER ONE - EMPLOYEE THEFT

NCJ Number
58482
Journal
Security World Volume: 16 Issue: 6 Dated: (JUNE 1979) Pages: 28-30,32,34,36
Author(s)
E L FUSS
Date Published
1979
Length
6 pages
Annotation
FOLLOWING THE USE OF STATISTICS TO SHOW THE SERIOUSNESS OF EMPLOYEE THEFT AND A DISCUSSION OF MOTIVATIONS FOR SUCH THEFT, SECURITY PROCEDURES FOR THWARTING EMPLOYEE THEFT ARE SUGGESTED.
Abstract
RECENT ESTIMATES BY THE UNITED STATES DEPARTMENT OF COMMERCE ATTRIBUTE 30 PERCENT OF ALL BUSINESS FAILURES TO DISHONEST ACTS OF EMPLOYEES. INTERNAL THEFT OCCURS AT A RATE 15 TIMES HIGHER THAN EXTERNAL LOSSES, SUCH AS SHOPLIFTING AND BURGLARY. OTHER STUDIES INDICATE THAT ANYWHERE FROM 25 TO 80 PERCENT OF EMPLOYEES WILL BECOME INVOLVED IN DISHONEST ACTS IF PROPER CONTROLS ARE NOT ESTABLISHED TO DISCOURAGE THEM. THESE THEFTS ARE MOST OFTEN JUSTIFIED BY THEIR PERPETRATORS WITH RATIONALIZATIONS ASSOCIATED WITH POOR PAY, UNJUST COMPANY POLICIES, AND THE WEALTH OF THE COMPANY. SOME OF THE MOST EFFECTIVE METHODS USED TO MINIMIZE THESE THEFTS INVOLVE THE USE OF ELECTRONIC ALARM AND SURVEILLANCE SYSTEMS. ONE OF THE BEST WAYS TO CONTROL LOSSES IS TO ALLOW EMPLOYEES TO ENTER ONLY AREAS CRITICAL TO THEIR JOB FUNCTION. THE MODERN ACCESS CONTROL SYSTEM, USING AN INVISIBLY CODED CARD AND/OR DIGITAL KEY PAD WHICH ACCEPTS A MEMORIZED NUMBER, IS NOW SUFFICIENTLY COST EFFECTIVE TO SERVE ALMOST ANY SECURITY SITUATION. THE SIMPLEST APPROACH INVOLVES THE LOCALLY CONTROLLED ENTRANCE WHERE A CARD READER, CONTROL PANEL, ASSOCIATED PROCESSOR, AND ELECTRIC DOOR LOCK CAN BE IMPLEMENTED. WAYS TO PROTECT THE VULNERABILITIES OF SUCH A SYSTEM ARE DISCUSSED. STOREROOMS, BY THE NATURE OF THEIR FUNCTION, ARE TEMPTING TARGETS. THE FIRST STEP IN CONTROLLING LOSSES FROM THIS TYPE OF AREA IS TO INSTALL A MAGNETIC CONTACT ON THE DOOR THAT WILL SIGNAL TO A REMOTE LOCATION WHEN THE DOOR IS USED FOR UNAUTHORIZED ACCESS. THE NEXT STEP IS TO APPLY AN INTERNAL SYSTEM TO DETECT BREACH OF THE AREA THROUGH MEANS OTHER THAN NORMAL USE OF THE DOOR. VISUAL SURVEILLANCE OF CRITICAL AREAS WITH CLOSED CIRCUIT TELEVISION IS ANOTHER EFFECTIVE ELECTRONIC TOOL; HOWEVER, CHARGES OF INTRUSION UPON EMPLOYEE PRIVACY HAVE OFTEN BEEN SUCCESSFUL IN ELIMINATING SUCH A SYSTEM. PHOTOGRAPHIC SURVEILLANCE SYSTEMS ARE POPULAR IN BANKS TO AID IN THE APPREHENSION OF PERPETRATORS OF HOLDUPS. THE ADVANTAGES AND DISADVANTAGES OF EACH OF THESE SECURITY SYSTEMS ARE EXPLAINED.