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Employee Theft In

Restaurants – Telltale Signs


Your Restaurant Is Plagued By
Internal Theft And Pilferage

Internal pilferage and employee theft in restaurants is so much


widespread that it has almost become a common practice. While most
restaurateurs are aware that some misappropriations is happening,
they are often unable to identify the exact incident and the culprit
behind the theft. 

No matter how well your security measures are, there are still
possibilities of internal theft in restaurants. 

A study concluded that seventy-five percent of employees have


at least stolen once from their workplace and are more likely to
do it again.

In order to better manage internal thefts in restaurants, you need to


understand how your employees are handling the cash and the
inventory.
This article will help you reckon why internal theft in restaurants are so
prevalent in the restaurant industry and how one can prevent it.

What’s Leading To Internal Theft In


Restaurants And How To Prevent It
Understanding why your employees steal can help you prevent internal
theft in restaurants. Recognizing the signs are important to prevent it
from happening again. Here are some reasons why some employees
steal from your restaurant.

 No one is watching – The major reason why employees


resort to stealing is the stark opportunity that presents in the
restaurant business – ‘no one is watching’. The people who
steal are often opportunist and look for the right moment to
steal from the restaurant. 
 Low Remuneration – When employees are not
acknowledged for the hard work they do or are not paid well,
they may be tempted to steal when the opportunity arises.
 Lack of concern or involvement of the management
– When the restaurant owner or the top management is not
involved in the business and doesn’t audit the system and the
processes, the employees find it an easy opportunity to steal
from the restaurant. 

Warning Signs Your Employees Might Be


Stealing From Your Restaurant
There are various signs that indicate the employees might be stealing
from your restaurant. You shouldn’t ignore them and keep an active
look-out for the signs mentioned below.

1. High Variance Between Ideal Stock And Physical


Stock
At times your Ideal and Physical Stock might vary but if you start
noticing this trend often then your employees might be stealing from
the inventory. 
The ideal stock is the amount of stock you should have
remaining with you after serving your guests. The ideal stock is
based on the calculations you make. The physical stock is the
actual stock you are left with after serving your
customers. Sometimes the amount might not coincide with your
calculations.

A Variance between 5-7% is acceptable and can be accounted


to regular wastage. However, if the Variance is consistently high,
then there are high chances that your restaurant staff might be
stealing from your inventory or not recording the served items in the
POS. 

If you start noticing a huge disparity between the Ideal Stock and the
Physical Stock, you should consider tightening the security and look for
any evidence of internal theft in your restaurant.

2. High Number Of Edited Bills Or Void Bills 


There are times when your cashier needs to edit the order in the POS
after the bill has been generated. But if you start noticing a pattern
and find a high number of edited or void bills, it’s about time to
investigate possible internal thefts.

A high number of edited and void bills is a clear indication that


someone is stealing from your restaurant. Therefore keep a close
check on the number of bills produced each day. This will prevent you
from getting robbed and keep any internal thefts at bay.

3. Making A Point To Work Independently


If you find an employee going out of his way and scheduling odd shifts
when few people are around he/she might be stealing from your
restaurant.

A person who is habitual of stealing looks for safe


opportunities. Changing their shift timings or working overtime
would allow them to steal easily. Therefore, keep a close check on
people who often come early or leave late when there’s no one around.

4. Frequently Damaged Or Missing Products


If you feel that products are being damaged or are going missing often
then something might not be right.
Your employees might be purposely damaging the products or
taking it home. You need to keep a check on all the products from
the raw material for cooking to the equipment. Everything needs to be
accounted for if damaged or missing.

5. A Low Record Of Sales


If you find that the sales are not being recorded properly then
someone might be stealing from you.

Not maintaining the proper sales record is a clear sign of


internal thefts in restaurants. If someone is manipulating the sales
record and editing it they might be stealing from you.

How To Prevent Internal Thefts And Pilferage In


Restaurants
Internal theft in restaurants can be of various forms, including giving
away freebies to customers in the hope of getting a good tip, stealing
food or alcohol for themselves, etc.

Several employees are opportunists and look for the right opportunity
to steal. But you can prevent that by being alert and by using the tips
mentioned below.

1. Install A Smart POS System


If you install a POS system half of your work is already done. A smart
POS system will help you in keeping track of the total sales and the
bills you have generated for an entire day.

You can keep your system password protected and only give a
few people access to it. This will prevent employees from
manipulating the bills and making changes. Even if some
discrepancies occur you know whom you should be catching hold of!

2. Keep All The Liquor Locked


It is easiest to steal liquor if left unattended. You need to ensure
that liquor bottles are never left unattended and should be
locked away safely.
Only give a few people like the restaurant manager and the bartender
the key to the lock. You can also check through the POS system to
ensure if a particular kind of alcohol is always running low.

3. Install Security Cameras


If you do not have a security camera installed at your restaurant you
might want to reconsider that.

Having a security camera installed keeps your staff under the


supervision and prevents them from stealing. It is a clear way of
letting your staff know they are being monitored. Even if you aren’t
there your employees won’t attempt to steal due to the fear of being
watched.

Restaurants end up losing a lot of money because of internal theft and


pilferage which may invariably lead them to shutting down. It is highly
recommended that you set the best practices to ensure operational
hygiene and keep your restaurant staff happy and motivated to
prevent employee theft in restaurants.

Do you think your restaurant staff is stealing from you? We can help
you out!

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