For almost two decades, KPMG has been undertaking research in the growth and extent of fraud in corporate Australia and New Zealand. Over that time respondents have reported a rise in fraud to almost $373 million, despite enhanced risk mitigation procedures.
Given the high cost of fraud to public and private sector organisations in Australia and New Zealand, it is imperative to bring some clarity to a problem that tends to flourish in business cultures where transparency is poor.
Some key findings in this years' survey include:
Bribery and corruptionIn our latest report we've also gleaned some insight into the problem of bribery and corruption.
Almost three quarters of respondents reported that their organisation has experienced behaviours that are defined as bribery or corruption.
The most common form is preferential treatment – the least tangible form of corruption. Passive management is a clear contributor. A top down approach to creating the right bribery and corruption framework is vital particularly for companies with operations outside of Australia and New Zealand in jurisdictions with strong anti-bribery legislation.
Fraud is fluid. It is critical for organisation to understand that their responses to fraud cannot remain static. Company frameworks must evolve as creatively as the crime evolves. We believe that our survey of fraud, bribery and corruption provides an invaluable perspective on the ever-changing fraud landscape and is essential reading for business leaders – we trust you will find it insightful.
KPMG, an Australian partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved.
KPMG International Cooperative ("KPMG International") is a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm.