Fraud Awareness Tip of the Week Corruption fraud schemes account for 33% of all workplace fraud and the average fraud loss due to organizations is $200,000. Industries such as construction, manufacturing, financial and professional services are more susceptible to this type of fraud and far exceed these statistics. Most corruption fraud schemes occur outside the… Read More »
Category: Fraud Prevention
Expense Fraud is Costly but Preventable
Expense Fraud is Costly but Preventable It is just a few dollars here and there, right? An employee may take a carefree stance on the use of the company credit card or expense reimbursement policy. The reality is, expense fraud is very common within organizations of all sizes. The median impact of each fraudulent expense… Read More »
10 Red Flags of Payroll Fraud
Payroll Fraud Payroll fraud occurs nearly twice as often in small organizations with less than 100 employees than in large companies. The average instance of payroll fraud lasts about 30 months. This occurs because many business owners do not take time to review the payroll ledgers. All to often the person entering in the new hires… Read More »
How to Prevent Hiring an Unethical Candidate
Statement Analysis as a Pre-employment Screening Tool Most people have probably heard of handwriting analysis, but many aren’t familiar with the process of Statement Analysis for pre-employment purposes. Statement Analysis is an advanced investigative technique administered to guide employers during the selection and hiring process. Since 53% of all job applications contain inaccurate information and… Read More »
Is Your Employee Lapping The Receivables?
What is Lapping? Lapping is an asset misappropriations fraud scheme and is one of the most common methods of concealing receivables skimming. Lapping is the fraudster’s version of “robbing Peter to pay Paul”. It is the extraction of money from one account to cover shortages in another account. For example, customer A’s payment comes in and… Read More »
Fraud Tip of the Month
Billing Fraud Schemes Fraud of any nature can quickly drain company profitability. Billing schemes account for 28.7% of all fraud and is one of the more common types of schemes we see in organizations. In smaller organizations, billing schemes are easy to pull off due to the lack of separation of duties or management oversight.… Read More »
Fraud Awareness Week Nov 16 – 22, 2014
International Fraud Awareness Week is November 16 – 22, 2014 Employee theft and fraud plagues all organizations, regardless of industry and size. What is unfortunate is that most companies do not take the time to implement preventative and detective strategies to protect the bottom line from these kinds of losses. It’s not a matter of… Read More »
Assumptive vs. Behavioral Based Interviewing
Are You Hiring Ethical Employees? When discussing interview techniques I often get asked, what’s the difference between assumptive and behavioral interviewing. Most interviewers use the behavioral based interview style. When looking to assess a persons integrity, their background and overall character, I recommend using more of an assumptive based interview approach to get closer to… Read More »
How Corporate Culture Can Prevent Fraud
Did you realize that companies that create a positive culture and ethical management style could prevent fraudulent activity? Fraud prevention is greatly reduced when upper management establishes a proper ethical code of conduct valuing integrity, encouraging open and honest communication. Surveys conducted to measure employee satisfaction show that those employees happy with company culture are less… Read More »