Thursday, January 21, 2010

New Study Claims Fraud May Increase in the Next Year

Senior executives expect fraud to pose a significant challenge over the next 12 months, according to a new study conducted by KPMG. Nearly one-third of the senior executives surveyed said they expect some form of fraud or misconduct to increase in their organizations. A majority said that fraud and misconduct poses a significant risk to their industry today.

What is their greatest concern if such wrongdoing is experienced? More than 70% were concerned with the potential loss of public trust at a time when market confidence is at a premium.

The executives reported that inadequate internal controls or compliance programs at their organizations enable fraud and misconduct to go unchecked, and they identified the following areas in need of the most improvement in antifraud efforts: employee communication and training, technology-driven continuous auditing and monitoring techniques and fraud and misconduct risk assessment.

If you are concerned with the possibility of fraud in your organization, feel free to give us a call so we might help you achieve peace of mind.

1 comment:

  1. I can't imagine if there is rampant fraud committed against most small businesses! Many online payroll services providers include background checks of employees to avoid fraud within the workforce. This is also applicable with the small business payroll service these firms offer.