Procure-to-Pay Fraud: Detecting and Preventing Purchasing, Receiving and Disbursement Frauds
OVERVIEW For many organizations, the procure-to-pay cycle offersextensive opportunity for increased operational efficiency. However, it also provides potentially numerous opportunities for fraudsters to exploit control deficiencies in all three stages—purchasing, receiving and disbursements. One common management mistake in the P2P cycle is adhering to a reactive anti-fraud posture. A criminal act committed in, for example, the purchasing department through a kickback scheme, may be detected and dealt with on an “emergency” basis. Meanwhile, equally, if not more costly frauds may be going unnoticed in the receiving and account payable areas. Anti-fraud experts urge a proactive, comprehensive P2P anti-fraud approach. It should include assessing fraud risks in all three phases ... conducting regular audits that comprise testing for these risks and ... following up with effective internal control design and monitoring. P2P Procurement WHY SHOULD YOU ATTEND Fraud is gro...