HOW TO ERADICATE LOSS OF RESOURCES AND GROW YOUR BUSINESS
Most businesses are not performing optimally because they are losing substantial resources on a daily basis through internal theft and waste of resources. As employees and partners engage in diverse theft schemes and syndication such as Larceny, Embezzlement, Skimming etc, the enterprise continues to lose cash, materials, goods and equipments.
A research by the American Business Association revealed that businesses in America loose over $120 billion annually to internal theft and that internal theft accounts for about 30% of business failures. Fortunately, internal theft does not just happen. It is a natural reaction of most people to available opportunities, which are process vulnerabilities.
Internal theft is the greatest impediment to business growth and it’s probability is high wherever the volume of transactions or inventory or both are high. Therefore, entrepreneurs and business managers must begin to take the issues of loss very seriously. The solution to internal theft is effective control and continuous monitoring.
Growing a business is the cardinal responsibility of the Entrepreneur. Starting a business is one thing, the major challenge is growing it. There is no stagnation in business, a business is either growing or declining. Business decline occurs when marginal costs exceed marginal profit and if business decline continues over time, it will lead to business failure. In order to grow a business, it is fundamental to effectively prevent loss of resources.
Most Entrepreneurs believe that business growth only has to do with expanding the customer base. It is important to expand the customer base, but added to that, the business must minimize operating costs.
This is because business success is not calculated in terms of customer base, but in terms of the capacity of the business to generate profits. Three strategic modules are known to determine business growth and ultimately, business success. These are:
Company Based Strategies.
Customer Based Strategies.
Competitor Based Strategies.
Cost reduction is a Company based strategy. There are too many records of failed businesses despite a large customer base. A business may have a large customer base but a lean resource base.
Experience has shown that a significant percentage of operating costs are actually LOSS to the business. Loss is defined as business costs that do not give entrepreneurial value, and can account for as much as 25% of total costs in some businesses.
Therefore, loss prevention is the most effective approach to reducing operating costs in business and thereby driving growth. Loss Prevention simply entails monitoring the transactions and inventories of a business in order to eliminate the conditions that will permit or promote theft or abuse of resources of the business.
LOSMAN is a loss prevention service, designed to eliminate the vulnerabilities for internal theft and waste of resources in businesses.
LOSMAN OBJECTIVE: To prevent internal theft and wastages by enforcing probity and accountability among employees in the handling of business resources.
HOW LOSMAN WORKS: LOSMAN identifies vulnerabilities in the internal processes of an organization through Vulnerability Checks, installs controls and monitors the processes in order to prevent theft and abuse of resources through Enterprise Resource Monitoring Program (ERMP). LOSMAN is an innovative business management solution, designed to strengthen internal control systems and eliminate the risks of mischief, error and other irregularities, by ensuring that resources are accurately recorded and accounted for at every stage of the business process.
1) VULNERABILITY CHECKS: This is the examination of the internal processes of an Organization to identify vulnerabilities. Vulnerability is exposure to violation as a result of a weakness or the absence of an efficient control in a process. When we identify the vulnerabilities in a system, we recommend ERMP as an effective solution to a client.
2) ENTERPRISE RESOURCE MONITORING PROGRAMS (ERMP) This is a security management tool for tracking enterprise resources which predetermines the processes procuring, storing and utilizing etc in order to guarantee probity and accountability, and is engineered through the following processes:
Stage One: Accounts Harmonization: We start by harmonizing the book and physical balances of all assets and resources of the business. If you use a business application, we reconcile your book records with your physical balances and investigate deviations. After which we seek your authorization to adjust the records. This step takes between two and four weeks depending on the volume of transactions and inventories.
Stage Two: Program Design: While we harmonize the accounts of a business, we also design suitable controls for identified vulnerabilities in the client’s business processes. The controls consists of Standard Operating Procedures are compiled into the ERMP and outlines the procedures to guide employees’ work processes for sales and expenditures as well as storage, transfers and utilization of business resources.
Stage Three: Program Presentation: The ERMP when completed is presented to a client’s team for evaluation and amendments. This is to enable team members ask questions in areas that might present conflicts and work impediments. After resolving all issues, the ERMP is taken for final work.
Stage Four: Program Induction: After resolving all identified issues with the ERMP, employees are trained to work with it. The training involves the induction of employees to use the transaction instruments such as invoices, bills, receipts, vouchers etc and records such as ledgers, registers etc.
Stage Five: Business Inspections: Immediately after induction, the program subjected to periodic reviews by our inspectors. The objectives of Business Inspections are twofold:1) To monitor employee compliance with SOP: In order to avert the tendency for employees to breach processes, business inspectors will continually scrutinize employees work processes to identify and resolve errors and other irregularities.
2) To reconcile accounts and inventories: One of the fundamental objectives of LOSMAN is to ensure that records and physical balances are in agreement and that you derive optimum value from your resources. Once again, our business inspectors track payments to store, from store to shop and from shop to bank.
Stage Six: Business Performance Reporting: We send detailed periodic reports to clients on profit and loss analysis.
LOSMAN VALUE PROPOSITION: • More Efficient Business Processes: In the process of designing the ERMP, the employees’ work processes are streamlined for better efficiency. Workers will understand their roles better and job performance will be enhanced. Workflow will have less friction, leading to better cooperation among staff.
• Accurate Business Records: Transactions and inventories will be posted regularly and timely, leading to more accurate reports. Internal and external monitoring processes will help to ensure that employees comply strictly with SOP and that transaction and inventory records are constantly in agreement. As processes become more efficient, records will be more accurate.
• Optimum Utilization of Resources:
As loss is prevented and more resources are available for the business, Management can plan better and the business will be empowered to perform better. Product and service quality will improve and customers’ deadlines will be met.
LOSMAN DELIVERABLES: Reduced Operating Costs: When Loss is controlled, operating costs are reduced and in some instances, business can save up to 23% of total costs. Improved Profits and Growth: As a direct consequence of reduction in operating costs, profits will appreciate, bringing about potentials for business growth.
OUR QUALITY ASSURANCE STRATEGY:
Quality is our hallmark and we are committed to it’s pursuit at all times. Therefore, we strive to capture and remove the minutest internal impediments to business growth. Secondly, we strengthen the integrity of our processes by employing well trained and motivated professionals in the accounting and security specialists. Thirdly, we subject our processes to rigorous quality control procedures. For example, every report is reviewed by separate persons and personnel are rotated from one account to the other after a maximum of two weeks to avoid contamination.
It is our commitment to protect whatever information about our clients and their employees that come to us in the course of our work. Therefore, information about your organization and employees shall be securely kept away from the public.
Simply call us 07061296566, 08088389892 or send enquiries to firstname.lastname@example.org.
call us now on 07061296566, 08023341759 or send enquiries to email@example.com.
In addition to Business Monitoring, we support our clients with the following services:
a) Employee Background Checks: We verify claims by either potential or existing employees as a way of character and competence evaluation to enable clients determine their suitability for employment. We check the following information:
1) Residential Information.
2) Educational/Professional Information.
3) Past Employment Records.
4) Criminal Records.
Losman Services will help you to drastically reduce operating cost, improve the quality of your service delivery and thereby significantly improve profits and growth. call 07061296566, 08088389892 or visit www.morrisroyalsecurity.com.ng/losman. NOW