InConsult is proud to be a supporter of International Fraud Awareness Week which runs from the 16th to 22nd November 2014.
International Fraud Awareness Week is a global effort dedicated to fraud awareness, detection & prevention. It is organised by the Association of Certified Fraud Examiners (ACFE). Click here to visit the official website.
Why is fraud awareness so important?
The ACFE estimates that a typical organisation loses 5% of annual revenue to fraud. In term of cost, that translates to a global average of nearly A$3.7 trillion dollars annually. Statistically, most fraud is discovered internally by staff…so effective and regular fraud awareness strategies are a critical fraud control measure.
What can your organisation do for International Fraud Awareness Week?
There are many things organisations can do during International Fraud Awareness Week, but here is our top 7 things to do to help raise fraud awareness in your organisation.
1. Review your Fraud and Corruption Prevention Policy and Plan
A key element of any Fraud Management Framework is an overarching Fraud and Corruption Prevention Policy and a concise and relevant Fraud and Corruption Prevention Plan. When was the last time your policy and plan reviewed and updated? We suggest the plan be reviewed at least annually and during International Fraud Awareness Week is the perfect time.
Want to achieve best practice? Schedule an independent review of your Fraud Management Framework every 3-5 years.
2. Update your organisations fraud risk profile
Which areas in your organisation are most exposed to fraud? According to research, theft of cash during cash receipting processes is most common. Credit card and Electronic Funds Transfer frauds were also popular with fraudsters. We suggest reviewing your risk register/ risk profiles and your incident register during International Fraud Awareness Week and scheduling some fraud risk assessment workshops for locations and business processes where risks are high.
3. Conduct a crisis management exercise involving a major fraud event
If a major fraud is discovered in your organisation, it is likely that the crisis management team will be invoked. How well are you prepared? How will you handle the crisis? What will you say to the media? For something a little different, why not plan a surprise crisis management desk top exercise during International Fraud Awareness Week.
4. Read and circulate relevant publications to staff
Awareness is about engaging with staff in different ways. Most professionals appreciate an informative, easy to ready publication to improve their knowledge and raise their technical competency to another level. Check out these publications.
- Looking Out for the Fraud Red Flags Source: InConsult
- Scepticism Key To Winning The Fight Against Fraud Source: CPA Australia
- 8 signs your staff may be stealing from you Source: In The Black
5. Schedule fraud awareness training
InConsult offers a public training course, Fraud and Corruption Awareness. The course is designed to help managers and staff understand the types of fraud and corruption risks, identify the early warning signs of potential fraud and develop strategies for designing effective internal controls. To book your place, click here.
Prefer in-house training? Please contact us to discuss your specific training needs.
6. Watch One Minute Risk Manager
No time to read articles or attend a training course! Grab a drink, pop-corn, sit back, relax and tune in to our One Minute Risk Manager YouTube channel to watch a number of episodes about Fraud including “5 Tips to Protect Your Organisation from Internal Fraud” and “Understanding Fraud Red Flags”, click here to watch.
7. Stay informed
Frauds occur every day and one way we can learn to improve fraud controls is through the errors and experiences of others. Stay up to date with the latest news and developments in fraud prevention, risk management, governance and internal audit, by following InConsult us on Twitter.
Find out more
For more information about how you can prevent fraud in your organisation, visit our Fraud and Corruption Prevention services page. If you would like to discuss our fraud and corruption prevention services, please contact us.