The risk of fraud is present in almost every business regardless of size, shape or complexity. The risk can emerge in an employee, a vendor, a client or in the boardroom and can be simple or sophisticated and complex. Fraud prevention requires effective internal controls, a clear policy on an organisation’s attitude towards dishonesty, effective […]
Drafting a fraud prevention strategy – back to basics Read More »
Economic uncertainty and slow growth in many sectors of the South African economy has focused senior management’s attention on improving efficiencies in their businesses. Measuring risk is integral to managing how efficiently organisations expend their money: ‘risk’ covers the management of internal processes around expenditure and the behaviour of management and staff, Alan Low of
5 Procurement risks that need to be made visible Read More »
With so many headlines appearing in the news of controversial tender irregularities, businesses should focus on protecting themselves against the negative publicity surrounding improper vetting of employees and vendors, Rudi Kruger, General Manager of LexisNexis Risk Management, tells SmartProcurement. Market research with a number of South African organisations has indicated that a common concern is
Managing the harm caused by procurement fraud Read More »
LexisNexis Risk Management has launched a web-based system to assist in identifying and preventing fraud and corruption within the procurement environment. The ‘ProcureCheck’ system gathers information needed to conduct due diligence and vetting on vendors and employees, such as information relating to property, people, companies and close corporations, Rudi Kruger, General Manager of LexisNexis Risk
Web-based tool assists procurement’s struggle against fraud and corruption Read More »
In a world of immediacy, it is imperative for the procurement and compliance functions to work closely with suppliers to ensure that conduct throughout the supply chain does not overstep ethical boundaries. Abrie de Swardt, IMPERIAL Logistics Marketing Director tackles this tough topic for SmartProcurement. “The combination of supply chain globalisation and consumer activism presents
Ethics ignorance is not bliss Read More »
Transaction cost economics provides further insight into the total cost of a commodity and offers a guiding hand to any organisation struggling with a decision to outsource, Isak Marais, MD of Total Safety Solution provider Bramhope, tells SmartProcurement. Transaction cost reasoning often involves considering as “transactions” not only the obvious cases of buying and selling,
An outsourcing decision? Turn to economic theory Read More »
Rapidly growing BRIC emerging economies are subject to external shocks as they lack adequate risk management and must synchronise fiscal and monetary policies, a survey of finance ministry officials showed. The survey, released in January by consultancy Booz & Company, said the role of finance ministries has expanded far beyond its traditional fiscal mandate and
Lack of risk management exposes BRIC economies – survey Read More »
Sooner or later most senior Procurement Managers will be faced with an enquiry into procurement practices, levelled at the individual. Robert Cameron-Ellis, Director of ENS Forensics, gave delegates at SmartProcurement World some insight into what to expect and how to prepare for the inevitable. “If you are faced with a departmental enquiry then your best
Risks facing senior procurement professionals in their personal capacity Read More »
A 2010 McKinsey case study on purchasing organisations found that Absa Group Sourcing (AGS) leads the industry average (3.1 vs. 2.5), while excelling in category purchasing processes, where it achieved a higher rank than 80% of the organisations in its industry and well beyond the banking industry average. AGS has delivered sustainable, annualised savings equal
Absa’s proactive supplier management practices – Risk management in procurement Read More »
Several SmartProcurement World 2010 speakers discussed the high levels of corruption exposed daily throughout the African continent – South Africa itself being the victim of many improper business practises within all sectors of the national economy. It was widely agreed that organisations need to reform their policy and procedure handbooks to ensure that positive steps
The contents of an ethical purchasing policy Read More »
