Involving Staff in Reducing Organization Risk

As I’ve spoken about in previous posts, it is important to implement internal controls.  Internal controls are processes in procedures put in place to prevent and deter fraud, errors, and waste. 

Frontline staff know firsthand what is going on in the day-to-day operations of an organization.  They see where mistakes can be made, how processes can be improved, and potentially fraudulent activity.

Sometimes when management and executives are creating internal controls, it is a strong possibility they may miss important details because they are far removed from everyday activity.  What’s worse is they may implement policies in an organization and that policy doesn’t address the root of the potential risk that could incur.

So, when discussing the creation of internal controls, involve at least 1 or 2 staff in the process to gain a full understanding of what is going on in the organization.  Then, you can identify more risks and address them properly.