Corporate Culture aiding in the Minimisation of Fraud, Bribery and Corruption

Hello All,

It is time we address the issue of Corporate Culture...Take a read below to find out why CC is important in any organisation...Including ours! 

It is a corporation’s responsibility to establish a low-risk environment and provide both formal and informal rules for ethical behaviour by its executives, managers and employees. To create an environment where the possibility of fraud, bribery and corruption is unlikely a corporation must examine their own corporate culture and tailor customised approaches to suit their individual corporation (Raftery, H & Holder, F.L, 2014). Many corporations make the mistake of focusing solely on internal control measures and ignore the potential influence that their culture may have on individuals who are susceptible to committing fraud, bribery and/or corruption.

I believe that the culture of an organisation is crucial in preventing these crimes. An environment in which the social normality is zero tolerance for illegal and unethical behaviour ideally controls the potential risk of such activities and provides an environment where fraud, bribery and corruption goes against the corporate culture.

It is recommended that organisations implementing anti- fraud, bribery and corruption policies. By implementing these policies, the organization will publicly condemn unethical behaviour and will say moral misconduct will not be tolerated. Managers setting an example on attitudes towards fraud, bribery and corruption play a large role in the prevention of these crimes. Sometimes when managers put pressure on employees to meet unrealistic goals to produce profit for the company they force their employees to do whatever it takes to achieve these objectives whatever the cost (Lex Mundi, 2014). 

References 

Raftery, H. & Holder, F.L. (2014, September 23). Business Fraud: Culture is the Culprit. FTI Journal. Retrieved 10 Jun. 2016 from http://ftijournal.com/ 

Lex Mundi, 2014. Best Practices in Preventing Fraud and Corruption in a Global Business. Retrieved 10 Jun. 2016 from www.lexmundi.com/Document.asp?DocID=6647