Wow! Last week's post regarding embezzlement produced an avalanche of responses and pleas for help. I figured I would follow up with a few posts outlining additional information which could assist with reducing the instances of embezzlement in the dental office. One way a dental office could reduce theft in their practice is to implement better hiring standards. In particular, the dental industry as a whole does not routinely utilize background checks when hiring new team members. Hiring someone who is responsible for managing hundreds of thousands of dollars for your business without a background check is the equivalent to playing business roulette. Protect your practice! Contact us for guidance on improving your Human Resource systems.
*The Society for Human Resource Management states 45% of all resumes contain one major fabrication.
*The Wall Street Journal states 34% of all application forms contain outright lies about experience, education and the ability to perform essential functions of the job.
*The Small Business Administration said that employees at all levels falsify their backgrounds.
*According to the Bureau of National Affairs, from $15-25 billion is lost each year due to employee theft.
*33% of employees admit to stealing a product or money from jobs in the last three years. The U.S. Chamber of Commerce estimates dishonesty by employees costs 1%-2% of gross sales. It is estimated that 30% of business failures are directly related to employee theft.
*8.9% of applicants have a criminal record.
*The cost of hiring, training, and then terminating one employee can be very expensive. According to William M. Mercer, Inc., turnover costs a minimum of $10,000; 20% of respondents indicated turnover costs exceed $20,000.
