Learn how you can keep your company safe from a fraudulent employee.
While a good employee can be your business’s biggest asset, a bad one can negatively impact your business on multiple levels. While it’s relatively easy to protect your business from external threats, it’s harder to keep it safe from internal ones stemming from an employee you know and trust. Luckily, there are things you can do to ensure your business isn’t vulnerable to employee fraud. Here are some precautions you should take around your business.
Hire Smarter
One of the best ways to prevent employee fraud is by making sure you are only hiring good, honest people. To do this, you should establish stricter screening protocols for every potential employee. For instance, you should subject applicants to background checks and follow up with all their references and previous employers. Oftentimes, a little research on your end can help you avoid hiring unwisely.
Conduct Surprise Inspections
Another way to protect your business is by conducting random inspections of your employees’ work. For instance, you should occasionally review your company’s books, check your accounts, and monitor your inventory. Not only will surprise inspections increase your chances of catching irregularities, but they will also make employees less likely to engage in fraud for fear of being caught.
These are some of the precautions you should take to prevent your business from falling victim to a fraudulent employee. Want another way to protect your company? Make sure you have the proper commercial insurance protections in place. For assistance with your business insurance, contact the team at Weaver & Associates in Arcadia, California today.
