What is one major factor that can lead to theft in a business?

Prepare for the Jersey Mikes Phase 3 Exam with our comprehensive quiz. Study with detailed questions and explanations to ensure your success. Feel confident and ready for your test!

Poor inventory management is a significant factor that can lead to theft in a business because it creates opportunities for discrepancies and enables dishonest behavior. When inventory levels are not accurately tracked or maintained, it becomes easier for employees or external parties to manipulate records or steal without immediate consequences.

Weak inventory practices could include inconsistencies in stock counts, lack of regular audits, or unclear procedures for handling inventory. These shortcomings can foster an environment where theft goes undetected for longer periods, making it a tempting prospect for individuals who might exploit these gaps.

In contrast, high employee morale, effective training programs, and strong customer relations generally contribute to a more positive and secure work environment, decreasing the likelihood of theft. These factors promote trust and accountability within the team and with customers, which can deter dishonest behavior.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy