Abstract: The invention disclosed provides a system for theft deterrence in a retail establishment having an inventory control system, a set of transceiver enabled storage units, and a set of RFID tags placed on stocked items. A stream of system logs and system alarms is compiled by a centralized computer which executes inventory database updates under normal inventory movement through a typical business cycle. The inventory is tracked from reception, to storage areas, to service areas, to point of sales. The system alerts operations management when abnormal inventory removal is detected. As the inventory moves from storage areas to service areas, the items are associated to a person and tracked until the inventory is properly checked in at its intended destination. The items may be associated to employees via a continuously monitoring video surveillance system, smart card identification system, or RFID tags on each person containing identification and credential information.