Fraud is still a taboo subject for most businesses. We know it’s there, the statistics tell us that it represents more than 5% of revenues lost, and every organization suffers, and yet it is very rarely, if ever discussed.
Sometimes the excuse for dismissing the fraud topic is related to perceived ‘materiality’ of potential losses. But be in no doubt, in todays work of heightened demands for transparency, fraud is a reputational and cultural risk for the organisation.
Fraud in the corporate landscape continues to grab headlines, and both the occurrence and impact of fraud continues to rise according to studies. However, separating fraud, waste and error can be misleading. Based on extensive academic research into prevention, detection and the impact of behaviour and culture, together with observations and experiences from corporate internal controls for fraud prevention and detection, our panel shared some new insights into the levers behind the fraud threat.
Consider Solutions is pleased to present a discussion with Dr Devendra Kodwani, Professor of Financial Management and Corporate Governance at the Open University Business School. He shared his expertise from academic research and experience with fraud detection and prevention, specifically around the culture and behaviour that drives, causes and allows fraud to occur.
Our panel went beyond the headlines, looked past the standard internal controls, and grappled with why fraud is still able to be so prolific in a modern society with all the latest tools and technology to prevent such occurrences.