Alpha Landsteinar get the measure of shrinkage
At this year's GLEE, the International Garden and Leisure exhibition, systems specialist K3 announcing the development of a Fraud Audit Management by Exception Solution (FAME) to help Garden Centres tackle inventory shrinkage from administrative errors, employee theft and vendor fraud.
Administrative errors account for 17.5% of shrinkage, employee theft 44.5%, shoplifting 32.7% and vendor fraud 5.1%. Using FAME, K3’s internal audit engine, Garden Centres will be able to spot exceptions and use the data to prompt further action.
In the case of employee theft, which accounts for the bulk of shrinkage, retailers can set business rules to spot these exceptions - Administrative Rules, Transaction Rules and Operator Rules. They can then set business alerts on specific failures of those rules. Prompts to fraud prevention officers are then created to determine whether employee training is required or further enquiries.
The rules can spot all common sources of theft, including warehouse theft, not scanning at the till, abuse of coupons/vouchers, giving extra discounts, voiding, cashing up errors, suspended transactions, abuse of staff cards, and family and friends.
Data provided by FAME will enable retailers to analyse the number and value of refunds, voids, coupons, discounts, no sales; provide comprehensive search facilities on product code, credit or switch card number, loyalty card, transaction number; and, enquire by operator number, till number, activity, audit roll.
About K3
K3 Limited specialises in the implementation and application of business management software, primarily the Microsoft Business Solution, formerly Navision, suite of business management applications. Navision was acquired by Microsoft Corporation in May 2002, and represents a key part of its enterprise technology solutions strategy, moving into the SME market developing a broader base of applications working within their .NET architecture.
K3 is the major provider of the award winning Microsoft Business Solution throughout the UK, Ireland, Dubai and Singapore, covering business sectors including Financials, Retail, Warehousing/Distribution, with the ability to harness the World Wide Web. Through the Landsteinar Group and the company’s international network of consultants, the company services over 150 clients worldwide from 7 offices.