Product Overview

Summary: This SOP sets out a clear, practical framework for preventing, detecting, and responding to fraud in Australian tyre retail businesses. It standardises front-of-house and back-office processes so you can protect margins, maintain customer trust, and demonstrate strong governance to insurers, auditors, and regulators.

Tyre retail operations handle high volumes of transactions, cash and card payments, discounts, warranties and stock movements every day. This environment creates multiple opportunities for internal and external fraud, from unauthorised discounts and voided sales, to stock theft, invoice manipulation, misuse of customer details and warranty scams. The Fraud Prevention in Tyre Retail Standard Operating Procedure provides a structured, easy-to-follow system that closes common gaps in the sales counter, workshop, warehouse and back-office processes.

Developed for the Australian tyre and auto service sector, this SOP translates good governance and risk management principles into practical steps your team can follow. It defines clear controls for quoting, invoicing, payment handling, stock control, refunds, loyalty programs and supplier dealings, while aligning with privacy and consumer law obligations. By implementing this procedure, tyre retailers can reduce financial leakage, support accurate reporting, and create a culture where suspicious activity is quickly identified and escalated. The result is a more resilient business that protects its brand, its people and its customers.

The document is written in plain, operational language suitable for busy retail and workshop environments, and is designed to integrate with existing WHS, HR and quality systems. It supports training, induction and performance management, and provides evidence of due diligence that can be valuable in insurance claims, franchise audits and regulatory enquiries.

Key Benefits

• Reduce financial losses from internal and external fraud through clear, repeatable controls.
• Strengthen governance and demonstrate due diligence to owners, insurers, auditors and franchise networks.
• Standardise front-of-house, workshop and back-office processes to minimise errors and opportunities for manipulation.
• Protect customer data, loyalty programs and payment information in line with Australian privacy expectations.
• Improve staff accountability and ethical culture through defined roles, approvals and escalation pathways.

Who is this for?

• Tyre Retail Store Managers
• Automotive Service Managers
• Dealer Principals
• Franchise Owners
• Finance and Administration Managers
• Internal Auditors
• WHS and Compliance Managers
• Operations Managers
• Front-of-House Team Leaders
• Workshop Supervisors

Included Sections

• 1.0 Purpose, Scope and Objectives
• 2.0 Definitions and Key Fraud Risk Areas in Tyre Retail
• 3.0 Roles, Responsibilities and Segregation of Duties
• 4.0 Customer Quoting, Invoicing and Job Card Controls
• 5.0 Point-of-Sale, Discounts, Refunds and Voided Sales Procedures
• 6.0 Cash Handling, EFTPOS and Online Payment Controls
• 7.0 Stock Management, Inventory Adjustments and Warranty Claims
• 8.0 Supplier Relationships, Purchasing and Accounts Payable Controls
• 9.0 Customer Data, Loyalty Programs and Privacy Protections
• 10.0 Fraud Indicators, Red Flags and Monitoring Activities
• 11.0 Reporting, Escalation and Investigation of Suspected Fraud
• 12.0 Staff Training, Induction and Code of Conduct Alignment
• 13.0 Recordkeeping, Audit Trails and Documentation Requirements
• 14.0 Review, Continuous Improvement and Management Reporting
• 15.0 Links to WHS, HR and Information Security Procedures

Legislation & References

• Corporations Act 2001 (Cth)
• Australian Consumer Law (Schedule 2 of the Competition and Consumer Act 2010)
• Privacy Act 1988 (Cth) and Australian Privacy Principles (APPs)
• AS 8001:2021 Fraud and corruption control
• AS ISO 31000:2018 Risk management – Guidelines
• Payment Card Industry Data Security Standard (PCI DSS) – as applicable to card handling
• Fair Work Act 2009 (Cth) – in relation to staff conduct and disciplinary processes