POS Workings
By floor9 on Jul 25, 2005 in Frost Pre-Roll
So I’m shopping around for a POS solution for the club, and let me be the first to say there are TRILLIONS of POS solutions out there. From standlone solutions like the Micros/RES units to PC-based applications, the sheer number of choices is ridiculous. Our needs, for the moment, are simple:
… 5 workstations, 5 tills, 5 drawers
… central server for data integrity
… speedy UI, be it touch-screen or breakout keypad (no mouse)
… customizable reporting, including several specific anti-fraud requirements
… ability to expand to multiple locations under the same server
… real-time price updating
… key/PIN required for every transaction
… inventory maintenance, forecasting, and ordering
… “honeypot” fraud traps (BAD KITTY!!)
A POS application is a very simple operation, really. Enter items -> verify items are valid -> stupidity check -> present total -> subtract total from tender -> stupidity check -> adjust inventory -> print receipt -> write to logs. The challenge lies in making it resistant to tampering.
For example, say I want to steal Red Bull: If there’s no POS system in place, I can just take the can and nobody gets wise. Theoretically, we know we should go through x00 cans of Red Bull in a week, but that number is just an average, so there’s room to bend. Impossible to track. If a POS *is* in place, I know I can take the can and ring out my next soda as a Red Bull, price adjusted. The markup on soda is so high, loss is practically insignificant. Ringing soda as Red Bull washes the inventory so nobody will see the loss on a count, and it’s not a suspicious “zero transaction”. If I know price adjustments are watched, I take the can and void an earlier Red Bull sale, claiming the customer changed their mind to soda instead. It happens, and I won’t be stupid enough to do this every night. I might even get the other bartenders in on it so we all get free Red Bull, and none of us get in trouble. If I know voids are being watched, I take the can and ring out my next mixed drink that happens to have the same price as a Red Bull, as a Red Bull. Same trick as above.
I can think of at least a half dozen more ways to get my Red Bull fix that don’t involve paying for it, but I’m not about to post EVERY trick in the book. I also know how to catch these, too. 7 years of retail management will do that to you.
The biggest contender right now appears to be Cafe Cartel, a web-based application with full touch-screen and local printer/cash drawer support. We provide all the hardware, and host the webserver on our own local server. Our licensing fee for five terminals would be $50 per month total. Failing that, the average cost of a touchscreen POS with printer, cash drawer, software, and online card processing is around $1100 per unit.

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