Distribution Business

One of the most common risks in distribution business warehouses is internal theft. Employees may try to take items under the radar cutting into the business’ bottom line. Here are three ways to deter employee theft.


As seen on https://hilbgroupfl.com/, employee theft is responsible for up to $400 billion in losses for businesses. One of the reasons is the opportunity that employees have to take items. Making sure they understand that there is someone watching them can limit the opportunities they have to steal something.


Annually bring in an outside firm to do a complete audit of the business. Using an outside firm to perform the annual audit frees up employees for other tasks and ensures someone not responsible for the inventory list checks the inventory. In addition to this annual audit, consider doing random internal audits to verify any shrink in the business.


Security systems are great not only for deterring criminals outside of the business but also for those within. Use added security on computers, consider installing security cameras in key locations and make theft reporting a part of the job.

These tips can help deter internal theft, but it is one of the risks in distribution business that won’t completely go away. Knowing your employees and separating out tasks can help streamline the business while deterring theft.