Think It Won’t Happen to You?

Think again. Every two years the Association of Certified Fraud examiners publishes its Report to the Nations on Occupational Fraud and Abuse. It’s amazing to me to see how consistent the results are from period to period and across industries. The report also reminds me how dangerous and costly blind trust can be to organizations. Many of our clients tell us, and truly believe that fraud is just not a significant risk for their organization. After all, fraud is something that only happens in large corporations.

If that’s true, why is it that the smallest organizations in the Report suffer the largest median losses? Research consistently shows us that small businesses can be even more vulnerable to fraud compared to larger companies.

We often let our desire to trust other people cloud our judgment. Especially people we hired personally and have spent years building relationships with Monday through Friday. Deep down, we all believe we’re exceptional judges of character.

And that’s when it happens.

If the most important fraud control in place in your organization is the ability to judge character in the people you hire, you may already be a victim.

If you’re concerned that you may be the victim of a fraud, or want more information on preventing fraud, we can help.

Posted by Jay Shellum

Back to articles

All accounting and consulting firms are not alike. We invite you to compare.