assuring the effectiveness and adequacy of internal controls by 86%. Certifications are necessary for any person responsible for assessing and mitigating fraud risks. According to the CBOK (2010), only 6% of internal auditors had the fraud examiner certification globally. North America had the highest fraud examiner certifications at 15 % and the Middle East followed at 8%. The average for the remaining global regions was 3%. According to the survey, 11% of the respondents indicated that they were planning to pursue acquiring the necessary certifications. However, most of them did not follow through with that plan. Certification is important as it equips the fraud examiners with the right skills and also keeps their knowledge and exposure up to date. Organizations such as ISACA offer various certifications such as Certified Information Systems Auditor (CISA), Certified in Risk and Information Systems Control (CRISC), Certified in the Governance of Enterprise IT (CGEIT) and Certified Information Security Manager (CISM) among others. Certifications that feature IT are also becoming increasingly important seeing as concepts such as artificial intelligence and the Internet of Things are increasingly being used practically in business. Innovations in technology have become extremely complex and fraud risk examiners need to equally equip themselves to be able to operate on the same level of excellence and vigilance to curb fraud risks that may come even in form of cyber-attacks. In conclusion, the importance of managing fraud risks cannot be overemphasized. It is paramount that all the key components, i.e., fraud detection and deterrence, internal controls and certifications, be streamlined at all levels of any business organization. Companies need to be
more proactive in keeping up with the standards and best practices of fraud risk management. Creating access to the right skills in fraud detecting and deterrence should be a key component in all business entities and should be set up as an internal control and budgeted for as well.
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- Summer '18
- Brett Gordon