Recognising the significant number of procurement fraud and corruption risks that can impact an organisation - including roles and people who have the potential to influence or manipulate projects and the procurement life cycle that might include a lack of trained personnel, procurement and financial controls, and compliance measures in place - can undermine the design and implementation of an anti-corruption and counter procurement fraud approach. Since procurement fraud and corruption continue to develop in scope, scale and creativity, the risks, typologies and routes to mitigation should be regarded as part of a constantly assessed and updated approach.
Creating an anti-corruption and counter procurement fraud approach should provide an awareness of the criminal risks within an organisation's procurement and associated processes and reinforce the importance and vital role of leadership, ethics professionals, staff and other stakeholders in building an anti-corruption culture to protect organisational revenues and reputation.
The 4-pillar framework approach to counter procurement fraud contains 16 steps to identify and prevent corruption and procurement fraud risk. It examines how a risk mitigation framework created with a foundation of education, data collection, risk assessment and a coordinated response and change management process can help identify and mitigate risk. Planning and following this approach one step at a time, collecting all available data, will assist in assessing the challenges and performance measurement in each area and help create a strategic response to identified risk.
By:
Stephen Tosh
Imprint: Grosvenor House Publishing Ltd
Country of Publication: United Kingdom
Dimensions:
Height: 297mm,
Width: 210mm,
Spine: 12mm
Weight: 572g
ISBN: 9781803814186
ISBN 10: 1803814187
Pages: 172
Publication Date: 15 June 2023
Audience:
General/trade
,
ELT Advanced
Format: Paperback
Publisher's Status: Active
Background to the approach Global figures The 4-Pillar framework Chapter 1 Risk Assessment Planning Process Risk planning Structure Chapter 2 Policies and Procedures Gifts, hospitality and expenses Conflicts of interest Procedures and fraud risk Codes of conduct Policies and procedures Chapter 3 Building an Anti-corruption Culture Cultural framework Communication barriers Ethical response vs anti-corruption culture Designing out corruption Common corruption barriers Vendor counter-fraud and corruption system Reporting procedures and guidance Connecting strategy to anti-corruption culture Creating a counter-fraud culture Success measurement Chapter 4 Current Counter-fraud Framework Risk mitigation framework Chapter 5 Typologies of Procurement Fraud and Corruption Defining procurement fraud Procurement fraud typologies Scope of procurement fraud Elements of procurement fraud Insider threat in asset management External threat in asset management Corrupt practices How are contract funds diverted or laundered? Procurement corruption and associated money laundering External threats Chapter 6 Organised Crime Groups' Infiltration of Procurement Defining organised crime groups Impact Enablers-why is it made possible? Organisational enablers The value of corruption to organised crime groups Organised crime tactics, illicit activity and supply chain Corruption within procurement Intermediaries Counterfeiting and the links to organised crime How corruption is used Why organised crime groups move into legal business Organised crime proceeds invested in the legitimate economy White-collar crime and links to organised crime Bid rigging and cartels Motivation How criminals infiltrate public procurement Covid-19 use of opportunity Areas targeted Political and personal connections Corruption and the insider threat within procurement Organised crime networks Cartels and corruption Risk indicators within the submission and assessment phase Emerging trends Chapter 7 Risk Areas Within Projects Project planning Project risk framework Project manipulation Project fraud risk Chapter 8 Counterfeit Product Risk Terminology Distinguishing counterfeit products Law, regulation and legal protection Counterfeit pharmaceutical mortality rates Impact of counterfeit pharmaceuticals Threat to life Sector impact from counterfeit products Trade in counterfeit and illegal pesticides Trends in trade in counterfeit and pirated goods Global routes Transit nations Global enablers Organisational enablers Process risk factors The use of corruption Forged labels and documents Chapter 9 Data Collection Ability to collect data Chapter 10 Procurement Fraud Risk Assessment Global themes Risk assessment process Risk appetite Assessing culture Vendor counter-fraud system Chapter 11 Risk Assessment Model Risk model elements Tactical Response Disruption Types of risk assessment Individual risk factors Process and control risk factors Chapter 12 Prevention Approach Risk mitigation Common procurement fraud barriers and controls Audit approach and control Prevention awareness and training Communicating policy Prevention policy and procedures Financial and quality controls Human resources and recruitment Asset misappropriation controls Bid rigging controls Due diligence controls
