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How Companies of All Sizes Can Prevent Fraud
The article places its main focus on how fraud has become a major threat to modern business and companies. The article was written on April 26, 2018 by Adam and was posted in business news daily. The article notes that companies are losing about 5% of their revenues through fraud activities by employees, owners, managers and executives. Its notes that companies need to invest more in detection and prevention of fraud by developing and also the review of policies that are already in place. The best way that they note could be helpful is by using the security consulting firms and intelligence.
He offers the following tips as the common tips that can help companies avoid fraud; create management reviews and independent audit committees, have mandatory vacation and job rotation, create a hotline and reward for whistleblowers, offer fraud training for management and employees and offer internal and external audits. He further adds that small business is the ones more exposed to fraud and they should be more vigilant. In relation to this e adds more tips that they should implement in attempt to prevent fraud. Conducting a background check on employees, small companies are more likely to hire hackers or predators and they should be more careful.
The second is run a credit report; it helps the company get a clear view of its employee’s financial responsibility enabling them to get those that are a risk. Social media audit is also very important which will enable them to note the damaging behavior of the new employee against former employers. The final tip that the article offers is implementing policies that protect the company’s reputation, they should create policies that govern all their employees on the ways its employees should behave when representing them.
The article according to me relates to the course in a number of ways, the first main way is informing us on the basic ideas of staring a good background check of employees. Its offers us the learners with a broad ideas of the different ways we can prevent fraudsters in our future companies. The learner is able to get the right idea of the different ways one can prevent fraud in future. We are able to grow a footprint of our growth in business world. We shall be able to develop more knowledge in business and fraud detection ideas. The article thus offers more content on the areas that we might find ourselves exposed to such instances, these are some of the information that might not be available in our course work but they are important.
