“The world is a dangerous place to live, not because of the people

Spectacular losses, corporate collapses, and major frauds in recent times have focused the minds of company directors, owners, and regulators on Corporate Governance, the failure of risk management strategies, and the widespread existence of corporate fraud and corruption.

Questions have been asked, and continue to be asked, about how and why fraud and corruption occurs, and why no one acts on the early warning signs. There is broad acceptance in the world that fraud and corruption directly or indirectly accounts for major losses (often estimated to be between 2 and 45% turnover) and severely damages the reputation and morale of companies. Bear in mind that there is no budget for fraud, thus in the event of the unpalatable taking place, a planned activity is foregone.

However, despite being one of the largest unmanaged risks in companies today, many managers still receive virtually no formal training in how to identify the symptoms of fraud and corruption, deal with them and, most importantly, become more resistant to the threat of fraud and corruption. Given effective training and education, adopting a proactive approach and employing good antifraud programs, the fraudsters will PASS on to another organization.

It is therefore vital to take a robust view and establish a proactive approach to fraud prevention, identifying and positively managing fraud risk, developing and implementing strategic and practical deterrent systems and installing an anti-fraud culture.

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1 Comment »

  1. 1
    proactlimited Says:

    wooooooooooooooooo


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