A recent study by the Association of Certified Fraud Examiners (ACFE) found that U.S. organizations were losing about 5% of their revenues to fraud, which equates to approximately $3 billion dollars annually. And the vast majority of these crimes – 75% – are conducted by insiders, which are the very employees that leaders believe they can trust.
It’s challenging to detect embezzlers, but the financial health of every business depends upon it. Putting proper internal controls in place can make all the difference.
First, create an anti-fraud culture within your company. The most important part is the tone at the top—that tolerating fraud is not an option.
Secondly, design a formal fraud policy for your business with specific fraud prevention tactics designed to expose any fraudulent activity. Train managers and employees to recognize any fraudulent activities within your business. And it is vital to set up an easy and comfortable process for managers and employees, as well as vendors and customers, to report fraud suspicions.
At CRI, we offer years of combined forensic experience and credentialed forensic accountants dedicated to creating and implementing a plan for fraud prevention that will enhance your organization’s success.