Fraud prevention is often treated as a cost centre rather than a strategic business unit.what can anti fraud professionals do to change the perception.i truly believe that if collections can be treated as a line function then Fraud prevention cell too should be treated as a line function rather then a support function.I feel that this unit is always treated as a supprt unit due to which it doesn't get it's dues.I feel that if goal sheet for the unit is revised to show more of tangible results then it may help in changing the perception.At the same time repositioning is required to move potential savings to actual savings.one step could be to conduct fraud checks at the end of all process so that true savings can be shown.for eg post credit sampling would highlight cases with ctaual savings as all these are approved cases.would like to hear other thoughs about this
It is always challenging to identify rotten apples in corporate sector but just like kitchen, these can be identified by smelling (Red Flags), occasionally picking a apple (top performers/poor performers) and at times by tasting it (Mystery shopping). I think all this sounds easy but must be difficult to implements, that's the only reason i can think of, why organizations don't do this regularly. Of course background checks remain the 1st part of this whole process.
Satyam chief confesses to cooking the books By Joe Leahy in Mumbai Published: January 7 2009 08:03 Last updated: January 7 2009 08:03 The chairman of India’s Satyam Computer Services B Ramalinga Raju Wednesday confessed to fixing the company’s books for the past “several” years in the country’s first major fraud case to emerge following the global financial crisis. In a letter to Satyam’s board, Mr Raju resigned after admitting to wildly inflating the company’s margins to paint a picture of good performance and retain his management position in one of the worst scams to have hit India’s outsourcing sector. “It was like riding a tiger, not knowing when to get off without being eaten,” Mr Raju said, explaining how the fraud got out of control over a period of years. India’s fourth biggest information technology outsourcing firm by revenue with listings in New York and Mumbai, the scam at Satyam has rocked the country’s business world. India generally gets high marks for corporate govern...
Comments