Sample Management Paper on Risk and Reward Assessment

Risk and Reward Assessment

Investing in improvement of technology may have considerable advantage to Family Dollar stores including improved surveillance of theft for further investigation as well as demotivating employees to get involved in fraudulence cases (DeMers. (2013). Also, surveillance increases clients’ and employees’ level of trust and safety while in the store or regarding the safety of their personal belongings. However, it poses some risks to Family dollar too. First, to increase monitoring and surveillance, the store will need to dig deep into their resources to purchase advanced surveillance equipment as well as the installation cost. Consequently, advancement in technology will lead to additional employees to monitor and maintain the improved technology, as well as additional cost to training employees on how to handle such technologies. Such additions encompass changes in departments as well as specialization which further lead to additional costs.

Surveillance and monitoring jeopardize the working relationship between the management and its employees based on trust, hence, this would consequently limit the level of trust and communication between employees and management. Ultimately, working in a monitored and surveilled environment intrude employees’ and clients’ privacy which may result to reduced morale and subsequent decrease in level of performance.  In Family Dollar, surveillance is perceived as the absolute basis the management use to gain power over employees. Hence, employees are denied ungoverned space, hence jeopardizing their need respect and workers become mortal robots who does things at the whims of the employer rather than to the best interest of the clients or general organization.

Focusing on management to enhance communication motivate employees to address their dissatisfaction and as well enhance internal relationships between the employees and the management (Dawson, 2017). Consequently, it improves communication within Family Dollar and hence enhance quick and informed decision making process. However, it possess some risk in that, exceeded interaction between the management and its immediate employees may jeopardize the chain of command and subsequent employees’ performance (Dawson, 2017). Also, continuous integration and interrelation of the management may as well further increase the cases of theft due to reduced monitoring and surveillance based on the notion that the dual interaction has built up trust. Hence, uncouth employees may take advantage of such trust to further pursue their theft escapade without being suspected. Consequently, Lack of supervision from senior management and poorly appointed branch supervisors could result to poor recruitment and workers performance assessment strategies (Dawson, 2017). This will have significance implications to the business as the management is unable to identify poor or high performing employees.

Discouraging theft by offering financial incentive increases employee’s job satisfaction and increased fear of losing a well-paying job (Girard, 2012).  Offering such incentives will increase the general employees’ performance and thus increase the total output of the Family Dollar store. They also boast the social norms so that employees are less likely to collude to steal from the enterprise (Girard, 2012). However, such a strategy require significant resources which may limit the store’s ability to invest and, consequently, the ability to do business. Also, employees may misinterpreted such incentives as the normal part of their wages and salaries. Therefore, when such initiatives are withdrawn from their paychecks, adverse effects may be experienced such as reduced performance and to some extent workers strikes. Additionally, the significances of paying higher wages to reduce employees’ theft cases accounted for by decline in cash or inventory does not outweigh the cost of pay premiums (Ciciora, 2012). Ultimately, offering such incentives will compel Family Dollar to increase pay roll surveillances to avoid illegitimate incentives.




Ciciora, P, (2012). Higher Retail Waged Correlate with Lower Levels of Employee Theft. Internet source. Retrieved from

Dawson, C. (2017). Temporary employment, job satisfaction and subjective well-being. Economic and Industrial Democracy, 38(1), 69-98.

DeMers, J. (2013). 5 Technologies to Help Reduce Employee Theft. HuffPost. Retrieved from

Girard, K. (2012). Pay Workers More So They Steal Less. HBS Working Knowledge. Retrieved from