Rob Suddaby
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Retailers are having to dedicate more time and resource to managing cash than ever before — which is proving costly to their business.  

Taking care of cash processes occupies shop staff before the start of business, during the day and after opening hours with tasks such as float preparation, till skimming and reconciliation.

This is hurting retailers for a number of reasons ranging from the cost of cash-counting errors to the risk of internal theft and in-store robbery.

How to Reduce the Cost of Cash

The Pain of Manual Cash Handling

Operating a completely manual cash handling process in the front and back office is the least efficient and highest risk option available to retailers.

8 Disadvantages of Manual Cash Handling

1.  The risk of cash differences is high

2.  Cash counting and reconciliation is expensive in terms of time and resource

3.  Counting errors are difficult and costly to track

4.  There is a high level of staff and managerial involvement in cash processes

5.  The risk of internal theft and fraud is high

6.  The risk of in-store robbery is high

7. Retail managers have no online overview of in-store cash levels

8. CIT collections have to be made according to a planned schedule regardless of cash levels

Achieving Cash Management Efficiency

There are multiple types of cost for retailers involved with processing cash but these can be reduced.

Automated cash management cuts the time spent working with cash, lessens the number of cash-related procedures and limits the number of people required to be involved in cash processes.

Staff no longer need to focus purely on the cash transaction

Closed cash management, for example, is a method of combining front and back office systems which removes the necessity for cash to be handled manually by shop staff.

closed-cash-management-front-office-supermarket

As well as the obvious security benefits, advantages include the elimination of cash differences, automatic reconciliation and the refocusing of resources on more value-driven activities.

Download our Guide on How to Reduce the Cost of Cash in Retail or find out more about smart cash management solutions at gunnebo.com