Business Security Marketing II Unit II

I. Why Businesses Need Security Protect Buildings EquipmentFixturesRecordsGoods Protect against theft of money or valuables Loss of life Protect against business failure

II. Employee’s Role in Business Security Recognizing the importance of business security Follow employer’s recommended safeguards

III. Identify and Explain Areas of Security Problems ShopliftingPilferageBurglaryRobberyFraud

Shoplifting – Theft of goods by customers

Pilferage – Theft of small sums of money or inexpensive items from the business

Burglary – Any illegal entry into a building to commit theft

Robbery – Theft that involves the use of force, violence or fear

Fraud – Deceiving or cheating a business out of money or property Fraud – Deceiving or cheating a business out of money or property

IV. Distinguish Among The Common Types Of Fraud

Common Types of Fraud Price ticket switching Internal theft (Embezzlement) Point-of-sale fraud (bad checks) Point-of-sale fraud (credit cards) Point-of-sale fraud (cash)

Types of Cash Fraud By Customers Customer distractions Split bills Marked bills Counterfeit bills

By Employees Pocketing cash from a customer’s sale Overcharging customers Stealing money from the register Undercharging family and friends Abusing discount privileges

Record Keeping and Payroll Fraud Issuing padded payroll checks Increasing wage rates and number of hours worked on time sheets Making out unauthorized checks Entering false payments in the company books to hide stolen funds Creating false credit card accounts for their own use

Computer Fraud Gaining access to product development plans, market research data, etc. Gaining access to and revealing personnel information Stealing money Altering computerized business operations records Altering computerized business operations records

V. Various Security Devices to Prevent Business Security Problems

I. Devices That Help To Prevent Shoplifting Electronic Sensors Ink Tags Closed-Circuit Television Locked Display Cases Chains And Locks Convex, One-Way, And Two-Way Mirrors Security Guards

II. Methods Used to Prevent Security Problems Shoplifting Greet Customers Entering The Business. Keep A Watchful Eye On Customers. Monitor Dressing Rooms And Hard-To- See Areas On The Sales Floor. Observe Customers As They Leave To Make Sure They Aren’t Wearing Or Hiding Goods They Didn’t Purchase. Be Familiar With Security Devices.

Preventing Pilferage Preventing Pilferage Be Alert And Attentive. Be Honest, And Follow Company Rules. Don’t Take Excess Goods And Supplies Home Unless You Are Told To Do So. Ask Your Supervisor About Rules Of Which You Are Unsure.

Preventing Burglary Know The Proper Procedures For Closing A Business At The End Of The Day. Never Leave Cash In The Register Overnight. Don’t Keep Large Amount Of Cash Anywhere On The Business Premises. Check Every Room In The Business Before Closing. Turn Lights On Inside And Outside The Business At Closing Time, Or Have Them Set To Come On Later In Order To Reduce The Risk Of Burglary. Know How To Operate The Business’s Security System.

Preventing Robbery Handle Cash In A Systematic, Cautious Manner. Turn In The Contents Of Cash Drawers Every Hour Or Whenever The Cash Level Reaches A Specified Amount. Use Drop Boxes. Vary Routes And Times When Making Bank Deposits. Don’t Travel To The Bank Alone When Making Deposits. Avoid Discussing The Business’s Cash Procedures In Public Places.

Preventing Fraud Price-Ticket Switching –Be Familiar With The Prices Of Items Sold By The Business. –Check Prices When They Don’t Seem Correct. Internal Theft –Follow Policies And Procedures Established By The Business. –Know What Steps To Take In Order To Report A Dishonest Employee. –Know What Steps To Take In Order To Report A Dishonest Employee.

Point-Of-Sale Fraud Point-Of-Sale Fraud Remember There Are 3 Types Of Fraud, Which Deal With Credit Cards, Checks, And Cash.

For Checks Make Sure That The Check Is Filled Out Completely, The Amount And Date Are Accurate, The Signature Matches That Are On A Driver’s License Or Other Acceptable Form Of Identification, And That Another Form Of Identification Is Recorded On The Back Of The Check. Have A Manager Approve The Check If The Amount Of The Check Is Higher Than A Specified Amount. Have A Manager Approve The Check If The Amount Of The Check Is Higher Than A Specified Amount.

For Credit Cards Check The Status Of The Card, The Card’s Expiration Date, And The Signature On The Back Of The Credit Card. Obtain An Approval Code From The Credit Card Company By Telephone Or By Passing The Card Through A Machine Designed For That Purpose If The Amount Of The Purchase Is Higher Than The Floor Limit. Obtain An Approval Code From The Credit Card Company By Telephone Or By Passing The Card Through A Machine Designed For That Purpose If The Amount Of The Purchase Is Higher Than The Floor Limit.

For Cash Be Aware Of Various Bill Tricks Used By Con Artists. Follow The Procedures You Were Given By Your Supervisor In A Consistent, Step-By-Step Manner. –Unfold All Bills And Straighten Edges. –Examine Every Bill On Each Side. –Place Bills In The Cash Drawer Facing The Same Direction. Know How To Detect Counterfeit Bills. Never Turn Your Back On An Open Cash Drawer. Lock Your Register If You Need To Leave The Sales Counter. Wait Until You Have Completed Making Change Before Talking With A Customer. Wait Until You Have Completed Making Change Before Talking With A Customer.

For Embezzlement Adopt a policy of mandatory vacations and mandatory duty rotations. Adopt a policy of mandatory vacations and mandatory duty rotations. Establish a hotline for whistleblowers and train employees how and when to use it. Establish a hotline for whistleblowers and train employees how and when to use it. Don’t hire thieves. Always check references Conduct periodic surprise internal audits. Conduct periodic surprise internal audits.

Record Keeping And Payroll Record Keeping And Payroll Be Honest. Follow The Steps Learned For Record Keeping And Payroll When You Are Trained. Follow The Steps Learned For Record Keeping And Payroll When You Are Trained.

Computer Understand How To Operate Your Hardware And Software. Use And Protect Your Own Identification Codes And Password Regularly Copy Your Computer Work So That It Will Always Be Accessible To The Business.

Report Any Suspicious Computer Conditions to a Supervisor. Protect the Business’s Sensitive Computer Data. –Do Not Allow Unauthorized Individuals, Such as Customers, to See The Computer Screen. –Exit a Confidential File Or Turn The Computer Off If You Need To Leave Your Terminal. –Exit a Confidential File Or Turn The Computer Off If You Need To Leave Your Terminal.

Analyze Current Laws Regarding All Areas of Business Security Guest Speaker