Simple organizational structures often suffer from lack of segregation of duties and fewer levels of oversight. According to the ACFE Manual:
“A simple or poorly designed structure can inhibit accountability and effective oversight. Lack of defined roles and responsibilities can increase the likelihood that fraud will go undetected.”
[Reference: ACFE Fraud Examiners Manual, 2020 International Edition – Fraud Prevention and Deterrence, Section 4.611., , , ]
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