
August 2007
Volume 21
Issue 4

Tax Benefits
Of Losses

Turning Prospects
Into Clients
Reverse
Mortgage

Preventing Theft

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Preventing Theft
Theft comes in many guises - shoplifting, pilfering, burglary and robbery - to name a few. How much is theft costing your business?
The implementation of effective theft control procedures is a sound business investment. It is far less costly to prevent a crime than to deal with it after the fact. Here are some security measures that can help you reduce the risk of theft.
Access
- Install an alarm (preferably both audible and monitored).
- Have a designated person (or persons) open up and lock up your premises at the start and end of the business day. Restrict the number of individuals who have the security alarm access code.
- Secure all office doors, windows, desks and file cabinets each night.
- At the end of day, the last person to leave should routinely check that all office and plant areas are secure before activating the security alarm.
- Install and use adequate exterior and interior security lighting.
- Maintain strict key control access and designate a person to maintain a log detailing the issue and return dates of keys and the name and signature of recipients.
- Ensure keys are always kept in a secure place. Never label them with a name and address or building/room number.
- Establish a procedure for collecting keys from employees who are terminated or leave for any reason.
- Keep cash on the premises to a minimum and keep it secured - for example, in a safe.
Visitors
- Make eye contact and greet everyone who enters your business.
- Maintain a visitor log book, issue visitors' tags and limit access to certain areas and hours of the day.
- Have the person with whom visitors are meeting come to the reception area and escort them to the meeting area.
- Never assume that a stranger wandering in the office or building is a client, staff member or service provider. Politely ask, “May I help you?”
- During lunchtime and meetings, make sure a staff member is on hand to question visitors who enter the office or building.
- If a full-time receptionist cannot be fiscally justified, install a restricted-use telephone, internal telephone directory and appropriate signage outside the access door.
- Do not disclose information about your social life or vacation plans and those of your co-workers to people visiting or calling your business.
Intellectual Property and Other Sensitive Data
- To help prevent theft of proprietary information, establish a 'clean desk' policy. Sensitive or classified information should be placed in locked cabinets or desks every night.
- Shred paper documents containing sensitive information. Do not discard in the trash or the recycling bin.
- Lock up company letterhead and business cards to prevent use by unauthorized people.
- Establish and enforce policies for password confidentiality and other security measures for protecting computer data and applications.
- Restrict computer access to sensitive information and maintain an access log. Base each employee's level of access on his or her job description.
Personal Belongings
- Do not leave valuables, purses or wallets on desks. Lock them in a drawer or cabinet or take them with you.
- In plant areas, provide lockers with keys or combination locks for storage of personal belongings.
Equipment and Supplies
- Place the company's name or some identification number on all company-owned items, e.g., office equipment, tools and machinery. This can be done by engraving or etching, or by using a permanent adhesive.
- Retain inventory records of equipment serial numbers, values and dates of purchase.
- Designate an individual to be responsible for issuing and keeping track of office supplies.
- Lock up the postage meter, cheque writer and company cheque books when they are left unattended.
- If you have a safe or a special security room for valuables, make it a rule to keep it locked even during business hours.
Reducing the opportunity for the theft of funds and assets is an ongoing responsibility for everyone in the company. It is also a very important consideration when you modify or develop business processes and procedures. Your chartered accountant can provide knowledgeable advice on your company's policies and procedures for minimizing the risk of loss from theft.
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