Fraud Detection and Prevention: Key Internal Controls

This course provides techniques to prevent and mitigate fraud within core business systems. After defining fraud and establishing the universal scope of the problem fraud presents to organizations worldwide, participants will explore the major schemes used to defraud organizations and individuals. In addition, understanding the psychology and motivations of fraudsters will help participants understand and develop strategies for prevention and detection.

This course covers how to create fraud risk statements, assess fraud risk, and create the right internal controls for your organization. By understanding the fraud risk universe facing organizations and the natural vulnerabilities that exist in their internal controls, participants will be better able to design fraud prevention, detection, and deterrence controls. There is also coverage of fraud analysis and investigations.

Other topics covered include techniques of fraud risk assessment, continuous monitoring, and key internal controls. Armed with a thorough understanding of how fraud occurs in disbursements, procurement, and payroll, participants will leave this course prepared with the knowledge needed to create an effective anti-fraud internal control environment.

Why you should take this course.

For users with an introductory knowledge of this topic, and are searching for additional information and its application.

Here are the learning objectives we'll cover.

• Define fraud and different fraud theories.
• Analyze and apply fraud theories to diverse situations.
• Interpret behaviors to determine what psychological factors are indicative of fraudulent activities.
• Classify fraud and fraud schemes into categories to better assess how to manage their risk.
• Identify specific strategies for prevention and detection of fraud.
• Determine the steps to take when using the fraud risk assessment to define the scope and potential risk to an organization.
• Develop, implement, and evaluate internal controls in key business processes.

Here are the topics we'll cover.

1. Overview and Introduction

   • Key Terms
   • Define Scope of Fraud
   • Fraud Prevention and Detection
   • Fraud Triangle
   • Fraud Psychology
   • Other Fraud Theories

2. Major Categories of Fraud

   • Overview of Categories and Hierarchy
   • Corruption
   • Asset Misappropriation
   • Financial Statement Fraud
   • Fraud Categories Comparison

3. Various Strategic Responses to Fraud Risk

   • Three Strategic Approaches

4. The Fraud Risk Structure

   • Definition, Key Terms, and Concepts
   • The Role of the Fraud Risk

5. Fraud Prevention Strategies and Techniques

   • Prevention as a Primary Objective
   • Tone at the Top
   • Employee Education
   • Fraud Risk Assessment and Internal Controls

6. Strategies for Detecting and Deterring Fraud

   • Recognizing the Symptoms and Red Flags of Fraud
   • Internal Control Weaknesses and Anomalies
   • Behavioral and Lifestyle Symptoms
   • Data-Driven Fraud Detection

7. Fraud Risk Assessment

   • The Role of Fraud Risk Assessment
   • The COSO Model
   • Fraud Risk Assessment Techniques, Strategies, and Tools

8. Fraud Risk Mitigation in Disbursements

   • Inherent Fraud Schemes
   • Symptoms and Red Flags
   • Risk Mitigation via Internal Controls

9. Fraud Risk Mitigation in Procurement

   • Inherent Fraud Schemes
   • Symptoms and Red Flags
   • Risk Mitigation via Internal Controls

10. Fraud Risk Mitigation in Payroll

    • Inherent Fraud Schemes
    • Symptoms and Red Flags
    • Risk Mitigation via Internal Controls