Assign student to different seating if possible, if not use odd and even test with same questions but different answer seclection. Essay form of questions are the best choice due to the fact that students cannot copy from each other. Also having students answer short essay questions make them bring back part of the lecture and apply it to real situations.
Students who cheat are only hurting themselves, and give the story about now is a pratice , but who knows the next time will be at there job and their pay will be depend on the results of their effort.
Once you have discovered a cheating student, ask him to stay after class and get him to addmit of his cheating, confront him one on one.Explain the loss of trust and make him feel guilty of cheating. Usually this will make student know you are aware and he will not repeat this action again in your class. Make student aware that you are required to follow the school policy and this will volate the Acdemic Intergry policy.