Their crimes and lack of corporate conscience overshadow, and contribute to, similar behavior of their employees. It's much less expensive to prevent an embezzlement than it is to investigate one. These calculations are conservative, and don't take into account the other losses the institution will ultimately suffer. Embezzlements are emotional as well as financial crimes. This cycle generally peaks within six months of the crime, and it may take up to three years for the institution to recover fully.
Mistakes often appear to be embezzlements.
The results of poor training and supervision often appear as clerical errors, as mis-coded or miscounted items, and as misapplied transactions. Appropriate training, supervision and the application of effective loss prevention techniques are necessary to protect the institution and its employees from both mistakes and embezzlements. Honest employees must be protected from suspicion of dishonesty, and embezzlers must be removed. A successful defense begins with a single action demonstrated by one concerned person. Someone must take a stand against the problem, and then become knowledgeable and concerned enough about the problem to persuade others to take a stand.