Creating a Fraud-Resistant Organization Workshop #3
In creating a fraud-resistant organization, by only addressing "the numbers”, the touchy-feely matters that are more emotional, like culture, burn-out, or employee resentment, remain hidden and neglected. These unaddressed matters then enable fraud to flourish and continue to harm the organization. Recognizing what is psychologically material to employees and customers provides an enlightened senior leadership team a strong competitive advantage.
“It ain’t what you don’t know that kills you; what kills you is what you think you know, but ain’t so.” – Mark Twain
- What is “psychological materiality” and how can we use it to mitigate fraud?
- Insight on what happened at Silicon Valley, Signature Bank, and First Republic – with a focus on the human side of these financial disasters.
- How does a Board relate to the CEO and CFO?
- How does an organization support values-based leadership?
- What checks and balances were missing or abused?
- Would active sensitivity to psychological materiality have helped? How?
- How do you protect your organization against fraud (culture, inoculation, taking ethical temperature)?