switching on a fraud control dashboard for your organisation stephen horne managing director iab...
TRANSCRIPT
![Page 1: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/1.jpg)
Switching on a Switching on a
Fraud Control DashboardFraud Control Dashboardfor your Organisationfor your Organisation
Stephen HorneStephen HorneManaging DirectorManaging Director
IAB Services IAB Services (a NSW GTE)(a NSW GTE)
CorruptionPrevention Network
![Page 2: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/2.jpg)
The origins of our current approach to fraud control in NSW can be linked back to this 1990 policy directive.
But few can remember it, or have ever seen it!
It was not a formal circular or Memoranda.
![Page 3: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/3.jpg)
The NSW Audit Office 1994 Better Practice Guide has become a popular product.
![Page 4: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/4.jpg)
2005 update for the 10-point 2005 update for the 10-point fraud control strategyfraud control strategy
Integrated Macro Policy
Notification Systems
Responsibility Structures
Detection Systems
Fraud Risk Assessment
External Notification Systems
Employee Awareness Investigation Systems
Customer and Community Awareness
Conduct and Disciplinary Systems
![Page 5: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/5.jpg)
Building a Fraud Control DashboardBuilding a Fraud Control Dashboard
.
![Page 6: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/6.jpg)
Area 1 Area 2 Area 3 Area 4 Area 5 Area 6 Area 7
1. Integrated Macro Policy
2. Responsibility Structures
3. Fraud Risk Assessment
4. Employee Awareness
5. Customer & Community Awareness
6. Notification Systems
7. Detection Systems
8. External Notification Systems
9. Investigation Systems
10. Conduct & Disciplinary Systems
No Data
Urgent Action Required
RESULTS FOR INDIVIDUAL WORK AREASFraud Control AttributeOVERALL RESULTS FOR
THE ORGANISATION
Good Performance
Action Required
Overall Work Area Results :
![Page 7: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/7.jpg)
![Page 8: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/8.jpg)
1993 Audit Results1998 Audit Results
2004 Audit Results
On the bright side, things have On the bright side, things have been improvingbeen improving
These are the ones that matter most
highly effective
effective
![Page 9: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/9.jpg)
2004 Audit Results
Highly Effective
13%Ineffective2%
Partly Effective16%
Generally
Ineffective6%
Effective37%
Fairly Effective26%
After 14 years only
50% at “effective” or better
So 50% not up to par??
But is it enough?But is it enough?
![Page 10: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/10.jpg)
Breaking the results down shows up key problems
0%
20%
40%
60%
80%
100%
1 2 3 4 5 6 7 8 9 10
Fraud Control Attribute
Res
po
nse
NotApplicableExcellent
Very Good
Good
Fair
Basic
VeryBasic
= risk assessment; employee & customer awareness; investigations
Looking more closely, there are Looking more closely, there are some major concernssome major concerns
![Page 11: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/11.jpg)
Fraud Control Improvement KitFraud Control Improvement Kit“By using this kit an
organisation can:– assess whether, and where, the
implementation of its fraud control strategy needs to improve
– develop a targeted plan for improving the implementation of its fraud control strategy
– monitor the ongoing extent of implementation of its fraud control strategy across all work areas within the organisation”
![Page 12: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/12.jpg)
A simple method of data collectionA simple method of data collection
.
if the fraud control framework was working effectively, it would generate a testable “fraud control environment”
this seeks to test that environment through staff perceptions
it is not an audit “of fact”, it is a test of the operating reality
takes staff just 5 minutes
![Page 13: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/13.jpg)
A simplified management reportA simplified management report
.
download spreadsheet from Audit Office website
has been calibrated to be sensible and usable
input the survey data into a spreadsheet and the report is instantly created
dashboard indicator report to the Audit Committee
Audit Committee recommends action to the CEO
![Page 14: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/14.jpg)
Leading to targeted action Leading to targeted action (cost effective)(cost effective)
![Page 15: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/15.jpg)
Attributes Needing AttentionAttributes Needing Attention
• flagged by the Healthcheck as needing attention across the organisation
• refer to a relevant “organisational owner” for action
• lets have a look ….
![Page 16: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/16.jpg)
Which Attributes Need Attention?Which Attributes Need Attention?
.
![Page 17: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/17.jpg)
Work Areas Needing AttentionWork Areas Needing Attention
• flagged by the Healthcheck as needing attention
• initiate a “fraud control improvement workshop”
• lets have a look ….
![Page 18: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/18.jpg)
Which Work Areas Need Attention?Which Work Areas Need Attention?
.
![Page 19: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/19.jpg)
Improvement WorkshopImprovement Workshop
• only initiated where necessary • independent facilitator• 10 modules, takes about 3 hours• there may be substantive issues, or there
may just be a lack of awareness. Either way there is a problem and this can fix it
• produces an improvement action plan that is then monitored by the Audit Committee
![Page 20: Switching on a Fraud Control Dashboard for your Organisation Stephen Horne Managing Director IAB Services (a NSW GTE) Corruption Prevention Network](https://reader036.vdocument.in/reader036/viewer/2022062409/5697bfc51a28abf838ca6bbe/html5/thumbnails/20.jpg)
Switching on a Switching on a
Fraud Control DashboardFraud Control Dashboardfor your Organisationfor your Organisation
Stephen HorneStephen HorneManaging DirectorManaging Director
IAB Services IAB Services (a NSW GTE)(a NSW GTE)
Ph: 9261 1090 email: [email protected]: 9261 1090 email: [email protected]