Winning the risk game

COSO and the ACFE release new guide on managing fraud risk

 


Organizations can prevent massive, paralyzing frauds. And they can detect small frauds before they become massive frauds. Practical anti-fraud support is available in the new COSO/ACFE Fraud Risk Management Guide.

"Fraud can't happen to us." Tell that to the C-suite of Wells Fargo. Or the devastated Madoff investors. Or the managers at Lehman Brothers. Or the more than 20,000 former employees of defunct Enron. Or the millions of fraud victims around the world.

In spite of evidence that fraud can occur in organizations when individuals are motivated in that direction, many organizations sometimes underemphasize the importance of fraud deterrence, prevention and detection.

Fraud is almost always devastating to an organization. It's not just the monetary and reputational damage; the sense of betrayal and loss of trust in employees and leaders can have long-lasting impacts.

Organizations can prevent massive, paralyzing frauds. And they can detect small frauds before they become massive frauds. Fraud risk management guidance is available for well-run organizations that commit to protecting stakeholder assets. Managing fraud risk is a systematic process that has benefits beyond protecting assets and reputations.

Now, many of you work for organizations that have been intensely looking for ways to prevent fraud for years. But just as many of you (possibly more) have been trying to persuade management to learn the techniques of fraud examination and construct realistic measures to fend off fraud in its many forms. This article is for both groups — and all those in between.

Here's renewed hope for organizations of all sizes: the new COSO/ACFE Fraud Risk Management Guide. (Visit ACFE.com/fraudrisktools.)



For full access to story, members may sign in here.

Not a member? Click here to Join Now and access the full article.