3 Pertinent Tips For Preventing Employee Frauds
Every business is heavily reliant on its employees for the proper execution of its commercial operations. But there is an old saying that ‘to err is human’. As per the latest research conducted by the U.S department of commerce, businesses lose millions of dollars every year due to unscrupulous activities of their employees. This blog offers some pertinent tips that will enable the business entrepreneurs to prevent employee thefts and enhance their business profitability:
- Carefully check the credentials before hiring an employee- In order to make sure that upright people are selected for a job, you must carefully verify the education and employment details. You must make sure that the selected candidates don’t have a previous criminal record.
- Create an honest work culture- You must prepare and implement an ethics policy for your company. Make sure that the ethics policy is followed strictly. Employees should be guided against indulging in corrupt practices and should be encouraged to report any doubtful activities carried out by other employees to the higher management. Regular audits should be conducted to keep the employees under check.
- Utilize latest software or outsourcing for accounting- By using the latest bookkeeping or accounting software you can keep a constant eye on the various financial transactions in your organization. Another option that can be used is outsourcing the accounting activities to a third party. This will definitely remove the chance of any unscrupulous activities being carried out. As an entrepreneur, you must also keep a record of the various financial transactions in your organization.
By following the above mentioned tips stringently you will definitely be able to control frauds in your organization.