In the bar industry, there is such a fine line that separates success and failure when it comes to profits and costs. The industry competition is fierce, and new concepts emerge all the time, which forces bars and restaurants to adapt and maintain a certain level of expectation to survive and thrive. Inventory shortages can be crippling to your establishment when everything counts towards staying in business. While mistakes happen and things don’t always go according to the plan, some internal factors may be an area of high-risk for your bar that you are not aware of. According to a study from the National Restaurant Association, 75% of bar and inventory shortages are a result of employee theft.
While this may sound a bit extreme like every employee is out to steal, but the most common case is that the employees aren’t acting maliciously on purpose. In most cases, the employees are unaware that their actions are even considered to be theft like over-pouring or giving away free drinks. But don’t write off all inventory shortages as unintentional though because there are likely to be cases where the intent is deliberate. Regardless of the intent or method, there are various measures that you and your establishment’s management can take in order to prevent, reduce or hopefully eliminate employees stealing inventory entirely.
In theory, the best way to prevent any and all employee theft is to hire the right people from the beginning. While this is easy to say, it is nearly impossible to know who is going to steal from your business from an interview. However, past employers may shed some light on behavior patterns. At the end of the day, you need to trust your gut instinct when it comes to hiring the right employees but sometimes it doesn’t work out, and that’s the nature of the industry.
Spot Check the Tabs
Keeping an eye on your bar’s activity periodically can be a great measure to take to catch any behavior that doesn’t follow SOP. Utilizing your POS system to spot check your employee’s tabs can be a great way to keep up with what’s going on. Being able to check the record compared to what you’ve seen going on is an excellent way to catch potential theft.
Over-pouring can be extremely costly, and your employees may be doing it unintentionally. There are a few options that you can consider for implementing a process for controlling the pours more effectively. Ball pour spouts, computerized pour spouts and standard pour spouts with jiggers are the best ways to control pours accurately. While each method has its pros and cons, no method works without the proper training and consistent adherence.
Make the Consequences Clear
Managing by fear is not the best strategy, but that doesn’t mean your employees shouldn’t understand what happens if losses occur and theft happens. Explaining that you have safety measures in place to monitor their actions will likely keep them from potentially trying anything. If an employee is caught committing theft, be sure to follow through on the consequences in order to provide an example.
Perhaps the most efficient and effective measures you can take is installing cameras to monitor your bars activity and employees. Cameras can be beneficial for finding out the cause of a problem after it happens but Glimpse can provide your bar with something a little more proactive. By analyzing digital images that match up with POS transactions, Glimpse can identify areas of high-risk during the SOPs of your bar. Whether your employees are providing less than acceptable customer service, POS mistakes or even theft, Glimpse will be your eyes. To learn how Glimpse can help your bar capture more profit and reduce costs, schedule your free trial today!