Finally, the last theory deals with the type of controls put on employees by the company and management. If the controls are weak, and employees don't have much respect for them, then controls prove ineffective. If one read the entire article, you would find the theories in much more detail than the writer penned. Four formal controls establish the organization's culture and how it handles theft. Policy control deals with the company policy about employee behavior.
Inventory control serves as a deterrent, because missing merchandise can be detected.
Security control depends on what emphasis the security department places on theft, such as preventive measures. 2 Punishment controls explain and show the consequences the company and management place on those who commit crimes. Through research, certain solutions occur on how to stop and prevent employee theft. When hiring a potential employee, background checks prove beneficial. Management assumes the most critical role.