Establishing detailed and thorough cash protocols is key to keeping retail profits and preventing employee theft.
Cash management may seem like a basic skill in your retail business, but cash can be mismanaged easier than you think.
Whether cashiers are working too quickly or they are distracted at the cash register, cash can disappear faster than that Halloween candy you purchased the first of October.
Take control of your cash management by creating specific cash protocols at the register and for cash deposits.
Cash Protocols for Cashiers
- Always receive cash from the customer before giving them change.
- Place the cash received on the drawer or the POS terminal ledge until the customer has received their change in full.
- State the amount tendered from the customer. For example, say “out of fifty” when making change from fifty-dollar bill.
- The change should be counted out to the customer as it is displayed on the register screen.
- Always ensure the cash drawer has been closed before turning your back to the register. Avoid being distracted from closing the register drawer.
- If there is a dispute with a customer over cash, contact a manager for an immediate cash count.
- Only close register(s) after the scheduled closing time and after all customer(s) have exited the business.
- Never leave any cash in any drawers at the close of the business.
Cash coming into your business is one opportunity for loss. Cash leaving through banking deposits is another opportunity for employee theft.
Tighten up your banking deposit procedures to keep a firm grip on your retail profits.
Banking Deposit Procedures
- Money to be deposited should be kept in a locked safe at all times.
- Send two employees to make any banking deposits to ensure the veracity and safety of the deposit.
- Use a verified deposit slip.
- Match banking deposits to your daily sales, not just deposit totals.
- Periodically spot check all of the deposit paperwork
- Match your bank statement to your retail sales
Creating and enforcing cash management and deposit protocols are key to avoiding employee theft. These loss prevention policies also send the message to your employees that you’re keeping a close watch on all of the cash coming in and out of the business.
Utilize DIGIOP loss prevention software to monitor activity at the POS terminal, pairing video with exception reports.
Jim Close is the Director of Loss Prevention at DIGIOP, bringing over 25 years of experience in all facets of Loss Prevention.