“Prevention is the key to minimizing warehouse theft. With a good security system and continual monitoring, you can make it difficult for thieves to be successful. That means management should make sure everyone follows security procedures every day,” states Rich Hite, President of QC Software, a leading provider of warehouse control systems for the material handling industry.
Guidelines for a More Secure Warehouse:
Screen potential employees. Perform background checks before hiring and set access levels according the individual’s need to perform their job. Periodic screening is important, especially for employees in sensitive positions.
Secure the Building. Make sure every door has a lock and only authorized personnel have keys. In high crime areas, it may be necessary to install a steel gate. Install a security system in key locations. Fixed RFID readers can monitor locations throughout the facility, especially where expensive items or sensitive materials are stored, and they limit access to authorized personnel with a keyless card swipe system. Use safety mirrors and install closed circuit video systems in key areas.
Assess the layout. Make sure the physical layout is inconvenient to potential thieves. Limit doors and entranceways. It is easier to monitor one accessible entrance rather than multiple ones. Back doors should not be too close to staging areas, and staging areas should be located away from loading docks. Make sure restrooms, break rooms and visitor lounges are not near inventory. The parking lot should be a comfortable distance from warehouse doors. Keep bushes and dumpsters away from entrances since they can be used to hide merchandise.
Secure the Shipping / Receiving Dock. This area is especially vulnerable to theft, where an estimated $10 billion per year in merchandise is stolen. Restrict access and use security partitions or cages to lock up cartons until loading them for shipping. Don’t keep items near the dock door unattended and unlocked. Keep all doors and windows locked.
Perform frequent warehouse audits. Train supervisors to conduct daily security checks. A security team should conduct unannounced walk-throughs to make sure security procedures are followed. Frequently monitor inventory with cycle counting and randomly check employees for stolen items. Placing RFID tags on inventory provides another layer of security.
“Theft lowers profitability and raises insurance premiums. You may not be able to eliminate theft, but you can substantially reduce your losses by using a combination of strategies outlined above,” states Rich Hite.
QC Software is recognized as an industry leader in providing innovative and adaptive software solutions for order fulfillment and distribution centers. Their Warehouse Control System software provides advanced management capabilities for inventory control, resource scheduling and order management. For over 15 years, their solutions have enabled customers to streamline their warehouse operations with the lowest total cost of ownership in the industry.
For more information, contact Jerry List
# # #
QC Software is a leader in innovative software solutions for order fulfillment and distribution centers. These solutions enable our customers to streamline their warehouse operations with the lowest total cost of ownership in the industry.