The,Tendering,Fraud,Environmen business, insurance The Tendering Fraud Environment Part II
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Departmental Acceptance Departmentalculture is a factor, which both contributes to the opportunity for corruptaction and aids in the continuation of such action. Aspects of departmentalculture conducive to fraud include: Unclear messaged about what isacceptable When adepartment or procurement agency does not clearly specify what is acceptable,there is more scope for employee deviance, including fraud. For instance, the definition of bribery or conflict ofinterest may not have been sufficiently worked out in terms of the operation ofthe particular department, leaving scope for employees initiative to redefinewhat is personally acceptable. Attitude of colleagues Whatattitude of co-workers affects the willingness of an employee to act in anunethical way as well as the persons willingness to report Fraud. Unlikelihood of Detection Since it isoften the employees themselves who are in the best situation to know what isgoing on, and agency is unlikely to detect procurement fraud if it is does nothave in place appropriate reporting mechanisms. An employee is unlikely to usethe reporting system if it is known the management has failed to take affectiveaction on such matters in the past. Lack of Leadership and support Messagesabout the importance of ethical behavior are not likely to be accepted byworkers where the head of the department or senior management is seen to beacting in a way which can be perceived as unethical. Management must be seen tobe abiding by correct practices themselves.
The,Tendering,Fraud,Environmen