"Fraud management is a fraud that is committed by the management, for example, on the financial side or something like that."

In accounting, there are two types of errors and frauds. The difference between these two types of errors is a very thin line, the presence or absence of intent. The standard also recognizes that errors are often more difficult to detect than management or employees will try to hide.

What is Fraud Management?

Different types of fraud that can occur within the company, fraud is the misappropriation of money and this is a criminal act in the form of deceiving someone in the management of company finances, both private and public.Fraud itself is generally an unlawful act committed by people inside and/or outside the company with the intention of obtaining personal and/or group benefits that directly harm other parties.

Ordinary people often act narrowly, that fraud is a crime or corruption. The occurrence of fraud is caused by several reasons and factors that can affect it.Basically, fraud is an irregularity and against the law (illegal act) committed by outsiders or insiders in the company to benefit and harm others.

The Factors of Fraud

By using the best CRM system in Indonesia, you can ensure that the calculation results are more accurate. However, you need to know that fraud does not just happen. There are several factors that influence a person or party to commit fraud, including

#1 Opportunity

Perhaps "finding opportunity in adversity" is the right expression for those who make mistakes when opportunity presents itself. Opportunity is one of the factors that creates opportunities for fraud. The absence or weakness of internal controls can be an opportunity. This opportunity can come at any time, from anywhere, and to anyone, regardless of their position in the organization.

#2 Bad Attitude

A person's outlook on life, morality and character also affect the occurrence of fraud in the company. People who are greedy, avaricious, and only care about their own lives will look for loopholes and opportunities to commit crimes and misdemeanors, and it doesn't matter if they know they are criminals as long as they get the results they want.

With the BPO contact center KPI evaluation system, you can easily assess employee evaluations and performance. This system will help you identify the nature of each employee as soon as possible. Thus, business operations will not be disrupted. To find out the costs you need to prepare, you can download the scheme of the command center system.

#3 Weak Legal Action

Because the current laws are weak, not onerous, and do not have a deterrent effect, people who intend to do wrong sometimes underestimate the legal sanctions they can receive. If caught, the perpetrator can only be prosecuted under civil law, and the court will require the perpetrator to return the money he or she has taken. This is particularly advantageous in the case of a high-profile event, as it may even provide immunity from prosecution.

Read More: Kenali dan Waspadai Potensi Fraud dalam Telecollection

The Types of Fraud

#1 The Person

Employee Fraud is a form of fraud committed by employees of a company or work organization. Management Fraud is a form of fraud committed by management using financial statements or financial transactions as a means of fraud, usually to deceive stakeholders associated with the company. Investment Fraud is a form of fraud perpetrated by investment fraud.

Vendor Fraud is a form of company goods by issuing expensive rates, for example, in terms of shipping. Customer Fraud is a form of fraud committed by customers who deceive so that they get something more than they should.

#2 The Action

• Misappropriation of Assets. Misuse of assets is the intentional use of company assets for personal gain, usually by employees. Examples include misappropriation of company funds, use of company facilities for personal gain.
• Fraudulent financial reporting. Fraud in financial reporting is the misstatement or omission of amounts and user reports used to deceive users, usually by internal company management. Examples include overstating assets and understating liabilities.

Summary

Fraud management is an action that must be eradicated because it will certainly harm the company and employees at work. You can control this action by using a BPO contact center that is structured and easy to use.