Loss Prevention Loss prevention generally describes an activity that is conducted within the organization on multiple levels in order to identify the organization's weak points. Some of these weak points are the result of failures in current work processes, including:

• Managerial mistakes
• Improper product-chain management
• Employee theft

International data shows that companies loss 0.5-3 percent of their sales due to organizational failures. This data applies to companies in Israel just the same. The National Security Unit's Security Consultation Department specializes in the field of loss prevention. Loss prevention techniques are applied using smart technologies to hinder theft inside and outside the organization. We at the National Security Unit provide a "security suit" that is tailored to the organization's unique requirements. Upon the completion of the training program for the organization's security and prevention units, the National Security Unit's specialists monitor the application of the relevant work procedures.

Theft Investigation

Employee theft is quite common and often involves individuals or groups outside the organization. Experience shows that in organizations with many employees who are in constant contact with external organizations or customers, the possibility of theft occurring at different levels is high. The theft triangle connects between the three key reasons that encourage employee theft:

• Stress: financial stress due to gambling losses, gray-market loans, business losses, diseases, vengeance, greed, or fear of failing.
• Justification: deliberate theft due to what is conceived by the employee as a gap between his or her contribution to the company and his or her salary has become a widespread norm. Other justifications include stealing on the pretence of returning the money in the future, claiming that the damage to the organization is not significant, and deciding that the risk is worth it.
• Opportunity: the employee is considered to be trustworthy and has free access to the organization's assets and records; in addition, the organization lacks proper control over such assets and records and tends to overlook such incidents.

The National Security Unit's Security Consultation Department offers regular inspection services based on an annual work plan and conducts ad-hoc investigations whenever damage is done to the organization or to its assets. The National Security Unit's specialists provide a report that summarizes the findings and conclusions of the investigation to prevent further financial losses and similar incidents from occurring. Theft Prevention in the Supply Chain A supply chain is a coordinated system that comprises people, activities, information, and resources, all of which are involved in the provision of products or services to customers. In the supply chain raw materials and components are turned into the product that is delivered to the customer. Supply chains are intended to minimize the overall product-supply costs in order to increase the company's profits. Interruption of the supply chain by anyone who has the interest to do so may cause a company heavy losses and affect its future business connections and its financial stability (loss of merchandise and profits). The National Security Unit offers its customers methods of monitoring and protecting the supply chain to enable them to run their businesses without any disturbances and obtain their financial objectives. The services offered by the National Security Unit include:

• Protection of raw materials and products through constant monitoring throughout the supply chain
• Monitoring of raw-material providers throughout the manufacturing process
• Monitoring of inventory
• Monitoring of the final products that are delivered to the customer
• Monitoring of returned products and factory-terminated products
• Identifying opportunities to interrupt the supply chain and establishing the proper security procedures

Applying the proper work procedures can minimize the difference between the inventory and the actual stock in warehouses and stores and reduce consequential losses.