A Short Guide to Fraud Risk: Fraud Resistance and Detection

This book is aimed at directors and managers who: bull; would like to implement a practical fraud risk management strategy so that they can demonstrate to shareholders, regulators or other stakeholders that they are managing the risks, rather than just reacting to incidents; bull; want to improve transparency and reduce hidden fraud losses which are directly impacting the bottom line; bull; and would like to add value by building fraud resistance into their organisation. Effective fraud risk management requires that top management first sets the ethical framework for the conduct of an organisation's business: employees are influenced by the behaviour of their leaders. However, as recent corporate collapses have demonstrated, there is an increasing occurrence of fraud at top management level - where directors have set a high ethical standard for the organisation, but have then ignored it themselves to commit fraud for their own benefit. This book does not aim to add to the extensive discussions on issues such as ethics or corporate governance which boards and directors should consider when creating or restructuring an organisation. However, it does suggest some practical steps to enhance a risk management framework in order to reduce the risk of fraud right across an organisation, including those committed by executive directors.