MANAGING BUSINESS FRAUD

Managing Business Fraud and Unethical Behaviour

Managing Business Fraud and Unethical Behaviour

Introduction

The pupose of this study is to expand the boundaries of our knowledge by exploring some relevant facts and figures relating to our topic i.e. Managing business fraud and Unethical behavoiur. Ethics in the business world deals with the evaluation and the creation of moral standards that are needed in a specific economic sector. It has a fairly long history and is a type aspect of research ethics. It focuses on human activity in the sphere of business, not dealing with other spheres of his life. Important issues get presented in the form of questions: Such recognition of the most critical issues is a very practical and efficiency of this approach is that through this activity was even better. Ethics in business uses the following concepts:

Justice

Honesty

True

Right

The concept that have not been transformed, still form the basis for reflection on contemporary issues of ethics in the business world. The concept of ethics can be summarized in other words it is a science of morality, a set of rules and social norms of conduct which were found to be valid at the time and place (Justin, 2000, pp. 56-90).

Fraud is defined as the use of deception by a person with intent to gain advantage for themselves or others, avoiding an obligation or causing loss to another person. The term fraud is used to describe crimes such as but not limited to, fraud, bribery, forgery, extortion, corruption, theft, conspiracy, embezzlement, misappropriation, false representation, concealment of material facts and collusion. In the next section, we will discuss how to manage business fraud and ethical behaviour. (Justin, 2000, pp. 56-90).

Discussion & Analysis

Some business frauds occur due to lack of adequate policies and procedures of internal control in the organization. Others fraud may be the result of failure to implement proper control procedures, neglect in reviews, inadequate separation of staff functions, or to ignore management override of internal controls (Greenberg, 2002, pp. 985- 1003). The organization can reduce opportunities to commit fraud through the design, implementation and proper operation of a good system of internal control, directly proportional to risk.

Managing Business Fraud

Everyone in the organization have the responsibility and obligation to contribute to the fraud risk management. Starting at the top, the organization's Council, the Director General, Management Team, set the tone and lead the promotion of management risks, internal controls and fraud prevention culture across the length and width of the Union (Frazee, 1996, pp. 21-56).

Good management must be coupled with governance structures that demonstrate and strengthen leadership, governance, ethical conduct, transparency, accountability and performance. It is hoped that all persons and organizations associated with it lead with honesty and courts his relations with the Union, its members and their associates (Collier, 1995, pp. 6-12).

Any detected cases should be thoroughly investigated and applied disciplinary or penal sanctions to proceed, and will use any legal means available for recovery of any losses. It is also required to ensure that the organizational opportunities for fraud ...