Reasoning Behind Employee Theft is Complex, But Asset Panda Addresses it Simply

By November 16, 2018Asset Tracking, Blog, Use Case

Reasoning Behind Employee Theft is Complex, But Asset Panda Addresses it SimplyEmployee theft costs U.S. businesses $50 billion annually, which begs the question: What’s the reasoning behind employee theft? The study by business insurance company Hiscox, which uncovered the staggering figure above, also found that small and midsize businesses accounted for 68 percent of all U.S. employee theft cases, and the median loss for these companies in 2016 was $289,864. Across the board, the average U.S. business lost more than $1 million in 2016 due to employee theft. Hiscox studied data available from almost 400 U.S. federal court cases in 2016 involving alleged employee theft.

By “theft,” we’re referring to everything from slipping a few office supplies into a briefcase to all-out funds theft and check fraud. Those cases are often several years in the making, as an employee diverts small amounts of money over time. The reasoning behind employee theft varies and includes such motives as revenge against one’s employer; low morale; personal financial mismanagement and perceived (or actual) need; two very basic (yet no less compelling) reasons: because everyone else is doing it and because the opportunity is there; and perhaps most significant, lack of preventive measures to control theft. Many organizations have never done the math to determine just how much they’re losing each year to employee theft, and often, that’s because they think their employees couldn’t possibly steal from them. Unfortunately, no organization is exempt from the risk of theft. And once company leaders view the sobering reality of losses to their bottom line, they’re likely to be inspired to take corrective action.

The International Foundation for Protection Officers recommends that organizations take the following measures to curb employee theft:

  • Select employees carefully. This may seem obvious, but background checks are essential.
  • Supervise employees on a regular basis.
  • Improve your accounting system. Separate accounting tasks so that the same employee doesn’t have the keys to the entire kingdom, so to speak.
  • Establish specific guidelines for dealing with employee theft.
  • Ensure that employees understand your policies and the consequences for theft.
  • Conduct surprise audits.

Two additional suggestions: Create a culture of transparency, which can help breed trust; and find yourself a powerful and reliable asset tracking system.

Try as you might to understand it, the reasoning behind employee theft is complex. An employee who looks picture-perfect on paper could steal from your organization if the opportunity presents itself. You don’t want to create an environment in which employees feel they’re being watched at every moment, but you need to protect your best interests, as well. It’s a balance. Asset tracking software can help you better manage your investment and protect your bottom line. The great news is that it’s never been easier to track and manage your assets thanks to advancements in mobile and cloud technology. All you need to monitor the exact location and condition of your vital assets is your mobile phone or tablet. It’s that simple.

Asset Panda’s powerful mobile platform delivers the best of all worlds: complete customization, an intuitive interface, the ability to add unlimited users, and access to 24/7 real-time data, thanks to cloud synchronization. You won’t need additional hardware to use Asset Panda’s free app; it includes a mobile barcode scanner, giving you the ability to track and manage the complete lifecycle of your vital assets from the palm of your hand, curb theft and increase accountability throughout your organization.

To learn more about Asset Panda, or to begin your free 14-day trial, visit

 Contact Us 
Guided Tour
Price Quote

You might also like...

The Real Cost of Using Free Database Software for Nonprofits

| Asset Tracking, Blog | No Comments
Running a nonprofit means you have to manage your money very carefully. That’s why the idea of using free database software for nonprofits is so tempting. After all, you only...

Equipment Management Tools Help Healthcare Institutions Boost Quality Standards

| Asset Tracking, Blog, Use Case | No Comments
Healthcare has never been more competitive. An emphasis on preventive care, an aging population and an environment in which peer reviews can go viral in seconds all have produced this...

Texas’ top 10 fastest-growing tech companies, according to Deloitte’s Fast 500 list

| About Us, Asset Tracking, Blog, Press Room | No Comments
Software firms made up the majority of Texas’ winners in 2019, according to Deloitte’s analysis. Frisco-based software company Asset Panda topped the list of the 500 fastest-growing tech companies in...

Why Businesses Are Moving to the Cloud and How to Do It

| Asset Tracking, Blog | No Comments
As society becomes more dependent on the Internet, many businesses are moving their operations to the cloud. Ninety percent of businesses plan to use cloud technology to create and support...

Helping The World Work Smarter™

Sign up for your FREE Guided Tour