HA340 : The Class : Legal + Ethical : Internal Theft : Bar Observation

Visit a bar, for purely educational purposes, and observe the actions of the bartender(s), the operations and set up behind the bar.

Approach your observation of the bar from the standpoint that you are the new manager hired to solve a perceived internal theft problem. LOOK AT BOTH ACTUAL AND POTENTIAL PROBLEMS.

1. Briefly describe the bar, the location, concept and the target market.



2. Name THREE potential problems that you detect from observing the set up or the bar. Compare what you observe with the material and potential problems that were discussed in class (be specific). What are the potential losses and ways to possibly reduce losses to the bar relative to each problem? Suggest at least THREE ways the set up of the bar could be changed to reduce internal theft.
   
   
3. Watch the following transactions:
   1. bartender and a few customers
   2. bartender and a couple of servers
      
      

   Describe in detail each of the transactions and name two potential problems for each of the observed interactions. For each of the problems that you spotted, describe if you think it either costs the bar by raising the liquor price or defrauding the customer. Explain. If the bartender acted properly during the transactions explain specifically what s/he did.

   What can be done to minimize the risk to the bar for each of the problems that you observed?
   
   

4. What is your overall reaction to the control systems in the bar? Positive? Negative? Be specific! Explain what two of the biggest problems you spotted are. What are two of the strongest parts of the control system that you observed?
   
   
5. Name at least three policies that you would institute in the bar to control some of the problems that you spotted. Explain why you think each policy would work.

Save on a floppy disk. Send a copy to your instructor Wallace.Rande@nau.edu

Go back to Controlling Internal Theft