Purchasing and Stock Fraud: Detection, Avoidance and Control

Purchasing and Stock Fraud: Detection, Avoidance and Control

*Overview of the Purchasing Cycle

. Discuss the responsibilities of a typical corporate purchasing group and the purchasing business cycle

· Understand who is involved (internal and external)

· Identify differences in the purchasing cycle depending on the industry and company size

*Overview of the Purchasing Cycle

. Discuss the responsibilities of a typical corporate purchasing group and the purchasing business cycle

· Understand who is involved (internal and external)

· Identify differences in the purchasing cycle depending on the industry and company size

*Purchasing and Stock Fraud Schemes

· Classifications of purchasing and stock fraud

· Corruption and Asset Misappropriation 

· Purchasing and stock fraud schemes

*Risk-Based Strategy to Fight Purchasing and Stock Fraud

· Purchasing and stock fraud risk assessment

· Fraud opportunity reduction through purchasing process improvement

· Internal controls to reduce purchasing and stock risk

· Proactive risk-based approaches to detect purchasing and stock fraud

· Investigations of purchasing and stock fraud identified

*Purchasing and Stock Fraud Detection Processes

· Risk-based purchasing and stock fraud detection audits

· Using CAATS to detect purchasing and stock fraud

Stock Fraud Management

· Types and causes of stock fraud

· Fraudulent shortages and supplies

· Fraud-free management of returned and used parts/spares

· Falsification of stores and supplies documents

*Detecting Particular Purchasing and Stock Fraud Schemes

· Scheme-based purchasing and stock fraud symptoms and detection methods

· Special considerations for off-book purchasing fraud schemes

· Special considerations for contract bidding schemes

· Special consideration for stock fraud

· Vendor monitoring: major contracts and stores