Reduce shop shrinkage though understanding
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The simple fact of business is that is the business does not make a profit then we as employees could be out of a job.
Profit and employment are closely related and many private enterprise companies including ours, are having profits squeezed by rising costs and recently, a downturn in the economy.
To stay alive many companies are slashing the costs associated with doing business, developing new markets, applying new technologies and/or when the going gets really tough, laying off employees.
Sales at the Register do not equate to profits.
Some of our fellow employees think that because millions of dollars go into our register each week, that the company is making heaps of money. Not quite the case there is a big difference between our sales and profit.
The difference is called the 'costs of doing business'. These costs include the cost of the goods that we sell, wages, payroll tax, workers compensation premiums, rent, rates, electricity, depreciation, taxes, repairs and maintenance, cleaning, trolley collection, shrinkage and many others.
This rate of profit is one of the smallest in the business sector of this country's economy and well below that of other discount retailers.
In some circles, making profit is seen to be wrong...