Regardless of the industry, all businesses should be
vigilant with regards to employee theft. Employee theft can come in all shapes
and sizes, from an administrative assistant pocketing some extra Post-Its to
hardcore embezzlement on behalf of leadership. It can be easy to dismiss
repeated instances of employee theft as isolated incidents, implementing
disciplinary action or termination, and moving on with the work week. However,
many executives and managers may not realize that repeated instances of employee
theft could be indicative of a much larger problem in their corporation or
organization.
From a position of leadership, it’s easy to dismiss a single instance of employee theft; the employee is the one who made a choice to steal from their company or organization, and that employee was wrong for doing so. Discipline or termination typically follows, and leadership walks away feeling confident that they’ve removed a bad apple from their barrel. However, pervasive issues with employee theft are symptomatic of a systematic problem within the business or organization that go beyond a single employee’s bad judgement.
Why do employees steal?
The three most common reasons employees steal are not very
difficult to understand.
employees feel as though their employer has wronged them, or their compensation is inadequate.
employees believe that employers insure such losses—therefore it is a victimless crime.
employees know they will not be held accountable if they are caught
All of these reasons may characterize the employee as “disgruntled,” a term with a cultural context that often absolves the employer of any misconduct. When a corporation or organization has repeated instances of multiple employees committing theft, it’s a sign that the corporate culture of the workplace is less than healthy. A single employee pilfering staplers is not symptomatic of unhealthy corporate culture, but 5 employees pilfering staplers is a sign that employees do not feel valued, and therefore do not respect their employer.
The cycle of healthy corporate culture always begins with happy employees, because when employees are happy, they are more engaged, and contribute positively to the productivity of the organization. This pleases leadership, which incentivizes them to make decisions that raise morale, such as rewarding success with pay-raises, benefits, and thoughtful, constructive collaboration. The cycle begins anew with happy employees. Poor corporate culture means that undervalued employees will contribute negatively to workplace productivity. One of the ways poor corporate culture manifests is through employee theft—and it’s not just about profits or staplers. When employees are disengaged from their duties, they’re more likely to take extraneous breaks, or taking longer breaks than permitted, which is theft of company time. This often comes from a rationalized perspective, in which the employee does not feel their own time is valued within the organization, and therefore will place the same perceived value on company time.
Whatever the type of theft, repeated instances of employee theft cannot be ignored. It may be a sign that your business or organization needs a corporate culture audit. A corporate culture audit is like a check-up—when you go into the doctor for a standard check-up, they evaluate all of your major bodily functions for signs of disease or deterioration, and a corporate culture audit is no different. When investigators conduct a corporate culture audit, they evaluate all of your business’s internal operations, hiring processes, and principle employees for roadblocks that hinder productivity and contribute to poor corporate culture. The identification of these pervasive issues will lead to investigators providing leadership with expert recommendations to dislodge the blockage, allowing the cycle of corporate culture to right itself through cause and effect.
If you think your business or organization needs a corporate culture audit, call Lauth Investigations International today for a free quote on our Corporate Culture Audit program. For over 30 years, Lauth has been providing corporations with solutions to stimulate their business. In pursuit of truth, call 317-951-1100, or visit us online at www.lauthinveststg.wpengine.com.
The ubiquity of smart technology and information technology has made work-life balance more attainable than ever in the United States workforce. Telecommuting has made it possible for single parents to work while also caring for their children, and for single individuals to pursue personal passions while maintaining a sustainable living. However, this blurring of the lines between work and life have also brought work stress closer to home for millions of Americans, severely impacting their mental health.
The conversation surrounding work-life balance and its
effects on mental health has developed significantly over the last ten years.
Leadership in major corporations have become more aware of how their corporate
culture not only effects their workforce, but also their brand, productivity,
and their stock holders. The Health and Safety Executive published national
statistics declaring that 28.8 million work days were lost in 2018 due to both
physical and mental health reasons. While physical helath of employees has
always been one of the priorities for major corporations, mental health has
only recently come to the forefront of corporate priorities. In an article by
Sarah Chilton published by Forbes at the beginning of January, Chilton said, “In
some sectors there are cultural issues which are likely to exacerbate the
problems, or make it harder to openly discuss mental well-being. In particular,
high pressure environments, or night shift work for example, can contribute to
mental health issues. My own sector, the legal sector, with its highly
pressurized and competitive environment where there is a long hours and heavy
workload culture, can significantly affect mental wellbeing, but also the willingness
of employees and business owners to discuss it openly.”
This connectivity that Chilton mentions comes in the form of platforms like Slack, Monday.com, and other telecommuting tools that can be huge assets to corporate communication and productivity. These platforms can connect employees located around the countries, for a seemingly more holistic approach to corporate success. When your work is well-connected to the devices we use in our personal lives, such as our phones, our laptop computers, and home-based artificial intelligence like Alexa and Google Home devices, a bleeding source of stress is introduced that can further disrupt our desire for a work-life balance.
Regardless of an employee’s physical location within the
organization, many corporations are beginning to adopt work ratios that have
been proven to reduce this bleed, such as the 25:5 rule. That means a 5 minute
break for every 25 minutes of work completed. This can come in many forms, such
as walking meetings, meal breaks—anything that would stimulate an employee
physically in order to refocus their minds on their work once they return from
that break. This also reduces the physical impact of jobs that force employees
to sit for long periods of time, which has devastating effects on posture,
eye-strain, and lack of circulation in lower extremities that contribute to
health problems such as blood clots and diabetes.
When corporations invest in the mental health of their employees, the positive ripple effects may surprise even the most seasoned executive. Corporate culture moves in a cycle. When employees feel that their mental health is valued at their place of work, their level of engagement is higher in their capacity. This leads to a better quality of communication between employees and stronger engagement on behalf of individuals, which promotes productivity. This increased productivity not only pleases leadership, but also improves the quality of customer service within the organization, which also has the potential to impress and reassure shareholders.
It’s mind-boggling to think that some of the most controversial scandals in our country’s history have taken place only in the last decade. Corporate scandal is a hot media item, with the misbehavior of employees at all levels facing public scrutiny. Information on corporations and their corporate culture is more visible than ever as experts continue to place more and more importance on work-life balance, and satisfaction in the workplace remaining the driving force behind employee engagement. As technology and the ubiquity of accessible information continues to advance, private United States citizens are becoming more informed about the largest corporations in the nation, how their behavior effects their corporate footprint, and how their own consumerism can affect these corporations.
BP Oil Spil
There’s no better place to start than at the beginning. In April of 2010, the oil and gas conglomerate BP began the new decade with an oil spill so catastrophic that we’re still talking about the environmental impact ten years later. The corporate scandal also involved devastating loss. The Deepwater Horizon rig exploded off the coast of the Gulf of Mexico, which broke open the will, dumping between 2.5 and 4.2 million barrels of oil into the gulf before it could be capped once more. For thousands of miles, the oil slicks contributed to the deterioration of marine life and had cost the corporation in excess of $65 billion dollars before 2020. In an article published in June of 2010, Peter Fairly of MIT Technology stated, “A culture of tighter safety and more experienced regulators might have prevented the BP Deepwater Horizon leak.” Under the terms of a settlement, BP agreed to pay the Natural Resource Damage Asessment Trustees up to $8.8 billion for restoration work to rebuild the natural environment that was damaged by the spill.
Foxconn Suicides
Later in 2010, there was an alarming string of suicides at a plant run by Foxconn, a Chinese corporation that produces roughly 40% of the world’s consumer electronic components—technology that builds our smartphones, gaming consoles, and other forms of smart technology. These tragedies were covered heavily in American media as questions arose to the quality of labor conditions in these Chinese plants. In subsequent investigations, it was revealed that workers could be working 12-hour shifts, with less than a dollar (U.S.) in their pocket for food. While the suicides received a great deal of coverage, and had public relations repercussions for corporations that utilize Foxconn exports, there have been at least 8 additional suicides at the same factor have been reported since 2010.
FIFA Corruption
Few things are more universally loved across the globe than soccer, or football, as it’s known in the rest of the world. In May of 2015, millions of soccer fans were shaken by the FIFA corruption corporate scandal. The Department of Justice indicted the Federation Internationale de Football Association leadership on charges of racketeering, wire fraud, and money-laundering. The indictment outlined various instances of an excess of $15 million dollars in bribes taken by executives for preserving advertisement marketing rights for decades. The scandal lead to the resignation of President Sepp Blatter in June of 2015 after he managed to escape indictment. Millions of dollars in legal costs and loss of corporate sponsorship severely damaged the reputation of the organization, netting losses of $122.4 million.
Theranos & Elizabeth Holmes
The scandal surrounding the health technology company known as Theranos was a cluster 15 years in the making. Once again a corporate scandal that effected public health, both the executive and the corporation were villified in the media. Stemming from a fear of needles when she was a child, founder Elizabeth Holmes was seeking to develop a technology that would lead to higher accessibility of blood-testing throughout the world. Her device supposedly would be able to perform a smattering of biological tests from a single drop of blood. The Wall Street Journal published an expose in October of 2015, exposing more of the company’s deception and further implicating some of Holmes’ colleagues in the scandal. Holmes was charged with massive fraud in March 2018. Formerly thought of as a young genius, she is scheduled to stand trial in 2020, facing up to 20 years in prison and millions of dollars in fines.
Big Pharma & the Opioid Crisis
Corporate scandal is at it’s worst when it comes to public health. The ever-growing opioid crisis in the United States is hands down one of the most pervasive scandals of the last decade. In 2017 alone, there were over 70,000 drug overdose deaths in the United States. Of those overdose deaths, 67% came from an overdose of opioids. From the Midwest to the Northeast, opioid deaths spiked between 2016 and 2017. As of November 2019, six pharmaceutical companies were under federal investigation and were facing federal charges for their responsibility for the opioid crisis. Amongst other big pharma companies, Purdue Pharma reached settled for billions of dollars for communities in 23 states that were affected by their shipment of opioids, forcing the company to ultimately filing for bankruptcy. The settlement set major precedent as the first of it’s kind in our American legal system.
When corporations make the investment to evaluate their corporate culture, it’s important that they choose a vendor who offers a comprehensive audit program. With the rise of the #MeToo movement, the Equal Opportunity Commission (EEOC) saw an overall increase of 13.6% of sexual harassment filings in 2018. That’s not counting other filings for discrimination based on age, race, and sexual orientation. This has placed corporations on high alert as the nation’s capitalist climate gears up for change in their workplaces. This means that when leadership opts for a corporate culture audit, it’s important that their money is well-spent, and one of the best moves to make is hiring private investigators to handle the audit.
Many corporate culture audits are performed by independent risk assessment firms, which is to be expected. Risk assessment firms specialize in identifying the weak points in a business from their workforce background to their brick and mortar security. However, if leadership is going to invest in improving their corporate culture, it’s important that they pick a program that offers comprehensive services. While risk assessment firms might employ highly capable auditors capable of identifying security oversight or performing background checks, every business is different, and it’s important that the program selected fit every business true-to-form. That’s where a private investigator can be an invaluable asset.
Private investigators as a profession have a lurid
reputation for following philandering spouses and people suspected of worker’s
compensation fraud. The same tool chest that allows them to perform those
services is the same one that makes them ideal candidates to perform corporate
culture audits. Private investigators have an eye for detail, diligent drive,
and a meticulous ability to evaluate and make recommendations based on what
they’ve observed. These are the types of professionals you want when it comes
to assessing the culture of your business or organization.
Independent risk assessment firms are just as excellent in
identifying the risk factors that put a business or organization at risk, such
as vulnerabilities in their securities, faulty hiring processes, and at-risk
employees based on their history—but what about the human element within a
corporate culture audit? Corporate culture audits are so much more than
comparing documents and surveying brick-and-mortar locations. It’s also about
understanding how current employees function in a workplace ecosystem. Private
investigators, with a wealth of experience in evaluating human behavior and
emotions, can be the boots-on-the-ground investigators who can speak with
current employees and collect data on their impressions of the current work
environment and how the culture can be improved. Some of the questions private
investigators may address include, but are not limited to:
Is
everyone in the company invested in the same things?
What
are the valued differences between your corporation and the competition?
What
are the key measures of success within your company?
What
is the functionality of the leadership in place versus the leadership required
for success?
What
are the environmental factors that are contributing to the decline in culture?
What
is the history of your company’s culture from its foundation?
What
are the subcultures that have formed in your organization and what is their
role within the company?
By answering these questions and calculating the human responses, private investigators can provide executive leadership with recommendations based on more than what exists on paper; for example, the last item on that list regarding the identification of subcultures. Private investigators do not only look at the behavior of individual employees, but also how those employees relate to each other. In workspaces where there are employees of 10 or more, it is hyper-common for subcultures (or groups) to form. This happens when individual employees gravitate towards one another as a result of their shared interests, goals, or gripes. Their comradery can either contribute to the cycle of corporate culture, or undermine it. When a subculture forms because the employees all have similar degrees of dissatisfaction with their job (regardless of the reason), their validation of one another in solidarity can be a cancer within the organization. This is why it’s imperative to hire corporate culture auditors who have a high level of understanding of human behavior—they can provide a comprehensive picture of how their current employees are contributing to the cycle of corporate culture.
While
private investigators may not be able to dismantle subcultures, they can change
the conversation within those subcultures. Groups of employees who bond over
poor treatment from a supervisor or frustration with current internal processes
will have to find other things to talk about once these issues are addressed
and remedied appropriately. This is one of the ways that we improve the cycle
of corporate culture. When employees see pervasive issues being addressed by
leadership, they are inherently more engaged in the process, which can increase
the quality of communication, the level of productivity, and the overall health
of the workplace. Private investigators are some of the best professionals to perform
these audits ultimately because they have a grasp of human behavior that allows
them to accurately pinpoint the issues and make recommendations to leadership.
When you think of private investigators, you don’t usually
imagine the state of Kentucky as their stomping ground, but the flexibility of
a private investigator’s skills can be applied in any city, any state, as long
as the investigator meets the state requirements for independent licensure—and
Louisville private investigators are never hard-up for casework. The city of
Louisville, Kentucky is synonymous with so many well-known aspects of American
Culture. It’s the home of legendary boxer, Muhammad Ali, the annual Kentucky
Derby, Louisville Slugger bats, and Kentucky Fried Chicken. It’s a vibrant
cultural hub smack in the middle of America that combines metropolis energy
with southern charm. Despite the fact that it’s one of the safest cities in
America, Louisville also experiences a higher rate of violent crime than the
U.S. as a whole. With The speed, anonymity, and geo-social aspects of the city
make it an ideal place for a private investigator to set up shop.
Relative to its size and population, Louisville is
comparable to Baltimore or Glasgow (U.K.). It has a crime rate of 647 violent
crimes per 100,000 people. In 2017 the Louisville Metropolitan Police
Department fielded 4,428 violent crimes, 44% of the entire state total. That’s
an average of 12 violent crimes reported every day. Even police departments
that are well-funded and well-manned have difficulty juggling the caseload per
investigator, and that is where private investigators come in.
Private investigators as a profession have a reputation for seedy
surveillance and cloak-and-dagger tactics, but the same services that expose
cheating spouses and hidden assets can assist in casework for violent crime. In
a 2018 investigative piece, Louisville’s radio station WFPL 89.3 reported that
LMPD closed 51% of its open rape cases over the course of three years. However,
the Louisville station also determined that in a majority of those cases, they
closed them with the classification of “cleared by exception,” a status meant
for cases considered “exceptional situations,” often resulting in no arrests.
This has been characterized as Louisville’s PD attempt to improve their closure
rate. Jessie Halladay, a spokesperson for Louisville Metropolitan Police
Department said, “What it means is that we have done all that we can. We don’t
use that as a marker of success when we use ‘cleared by exception.”
Case closure does not mean there’s closure for the survivors
of these brutal crimes. In the best-case scenario of “cleared by exception,” it
could simply mean that the Louisville police hit a roadblock in investigative
methods such as witness location, evidence-gathering, or jurisdictional
boundaries that prevent them from investigating further. Private investigators
have a similar tool chest to that of law enforcement officers. Survivors of
violent crime without closure in their case can hire
private investigators to pick the case up where law enforcement left
off—locating vital witnesses, performing surveillance, and documenting casework
that can be helpful if the case is resurrected within the justice system, or if
the survivor wishes to face their attacker in civil court.
One of the nation’s foremost experts in missing persons, private investigator Thomas Lauth (Lauth Investigations) recently expanded his independent investigation firm to serve the Louisville population. “When cities like Louisville have difficulty closing cases within their respective police departments, that’s where private investigators can ‘pick up the slack,’ for lack of a better phrase. We can follow leads that law enforcement cannot and we can bring justice to survivors of violent crime who previously had no recourse.” With their autonomy, private investigators can pick up leads that law enforcement might have dropped, or locate witnesses that might have left the jurisdiction. Lauth went on to say that Louisville provides some unique opportunities for a variety of investigations. “Cities the size of Louisville have a level of CCTV surveillance that is beneficial in investigations for locating witnesses, getting accurate accounts of how an incident transpired, or capturing license plates for investigations involving vehicles.”
When police departments are overwhelmed, private
investigators can pick up the slack, and bring closure to victims of violent
crime or otherwise. They possess a similar skill set, juxtaposed with a level
of autonomy not afforded to law enforcement. This means jurisdictional issues
will never be a hurdle to stall case progression. Because private investigators
only have 3-4 cases on average at any given time, that means caseload will
never interfere with their ability to follow a lead in a timely matter. This
can lead to the recovery of new evidence, witness statements, and ultimately,
closure in your case. If you’re the victim of an unsolved crime, call Lauth
Investigations International today for a free consultation, and learn how we
can help you find justice today. Call 317-951-1100 today or visit our contact page.