Procurement Fraud Prevention Strategies in Ghanaian Gold Mining

Section 1: Foundation of the Study

Businesses worldwide are vulnerable to fraud within their procurement setup, and

this affects revenue and corporate image. Although some managers in the Ghanaian

mining industry have implemented strategies that have effectively detected, controlled,

and prevented procurement fraud, others lack these strategies. Exploring successful

strategies used to detect, control, and prevent procurement fraud in the mining industry

will help save organizational revenue and reputation.

Background of the Problem

Procurement encompasses the acquiring goods and services required for the

organization’s operations (Rahmani et al., 2017). The incidence of procurement fraud in

today’s business environment is prevalent and has a far-reaching impact on the

company’s profitability and cost performance (Maniam & Peters, 2016). The complexity

of the networks in the supply chain exposes companies to procurement fraud.

Procurement fraud is cross-sectorial and the costliest white-collar crime (Horne et

al., 2018). Procurement fraud is a term for illicit acts like forgery, corruption,

misappropriation, false representation, concealment, and conspiracy perpetrated by

employees (Mufutau & Mojisola, 2016). The direct cost involved is enormous, but, in

most cases, the indirect costs of time and resources required to deal with reputational

damage and legal liabilities are higher (Chava et al., 2018). Declining commodity prices

and escalating production costs affect the margins of gold mining companies (KPMG,

2017). The risk of procurement fraud further threatens the survival of the mining

business. In this study, I explored successful strategies some procurement managers in

gold mining used to detect, prevent, and control procurement fraud.

Problem Statement

Procurement fraud has been rated second among the five most frequently reported

forms of economic crime, and it represents a potentially significant risk in most

organizations (McMahon et al., 2016; McNeal, 2019). In 2010, research estimated that

businesses worldwide lose over $2.9 trillion annually to economic crime (Maniam &

Peters, 2016). A survey conducted by PricewaterhouseCoopers (PWC, 2014) found that

procurement fraud constituted 29% of the losses from economic crime. The general

business problem is that managers in the mining industry lack strategies to detect control

and prevent fraudulent procurement practices resulting in loss of revenue. The specific

business problem is that some Ghanaian gold mining industry managers lack the

strategies to successfully detect, control, and prevent procurement fraud.

Purpose Statement

The purpose of this qualitative multiple case study is to explore the strategies used

by managers in the Ghanaian gold mining industry to detect, control, and prevent

procurement fraud successfully. The target population for this study was six procurement

managers from the major gold mining companies in Ghana who have successfully

detected, controlled, and prevented procurement fraud in their respective organizations.

An implication of this study that could affect social change is that managers in the gold

mining companies can increase funds budgeted for their corporate social initiatives by

reducing revenue lost through procurement fraud. Such funds can provide schools, roads,

hospitals, and portable drinking water required for the social wellbeing of the people in

communities.

Nature of the Study

I employed the qualitative methodology and a case study research design for this

study. Using the qualitative method gives the researcher insight into social life, the

experience, and people’s attitudes (Arseven, 2018; Creswell & Creswell, 2018; Popescul

& Jitaru, 2017). Nassaji (2015) argued that a researcher could collect quality data from

diverse sources because the qualitative method is broad. It is on this premise that I chose

the qualitative approach for this study. By contrast, the quantitative study method is about

numbers and is more appropriate when the researcher examines the relationships among

variables (Edmonds & Kennedy, 2017; Leavy, 2017). I did not intend to show

relationships among variables, making the quantitative method inappropriate for this

study. Lotte et al. (2018) explained that the mixed-method approach combines

quantitative and qualitative methods. The mixed-method approach, however, was not

appropriate for this study because it requires more significant resources and time than

those needed to conduct a single method study.

A case study design is an empirical inquiry into a contemporary phenomenon in a

real-world context (Mishra, 2018). Yin (2018) stated that the case study approach is more

explanatory and deals with traceable operational links. Yin further suggested three

situations where a case study design would be a preferred method, compared to the

others: (a) answering “how and why” research questions, (b) where the researcher has

little or no control over behavioral events and (c) where the focus of the study is

contemporary as opposed to entirely historical phenomenon. A narrative design is

concerned with stories of individual lives (Mohajan, 2018). A phenomenology design

helps determine a participant’s experience of a phenomenon (Pisarik et al., 2017), and the

object of ethnography design focuses on the culture of a group (Sharpe, 2018). The other

three research designs were not appropriate for this study because this study is about a

real phenomenon in the business environment, it is not about the culture of people or

about telling stories individual lives.

Research Question

What strategies do managers in the Ghanaian gold mining industry use to

successfully detect, control, and prevent procurement fraud?

Interview Questions

1. What is your understanding of procurement fraud?

2. What specific strategies do you have to detect, control, and prevent fraudulent

procurement activities?

3. How are these strategies documented and communicated to stakeholders?

4. How were the strategies accepted as a working took for detecting, controlling,

and preventing procurement fraud?

5. What challenges have you encountered implementing the strategies to detect,

control, and prevent procurement fraud?

6. How did you address the challenges of implanting the strategies to detect,

control, and prevent procurement fraud?

7. How have you assessed the effectiveness of the strategies for detecting,

controlling, and preventing procurement fraud?

8. What other comments or information would you want to share regarding

managerial strategies in detecting, controlling, and preventing procurement

fraud?

Conceptual Framework

Cressey created the fraud triangle theory in 1953. Cressey (1953) used the fraud

triangle to explain the factors that must be present for fraud. There are three key features

present when people commit fraud: (a) rationalization, (b) motivation or pressure, and (c)

opportunity (Prabowo et al., 2016). The theory serves as a framework to assist managers

in focusing on prevention and deterrence efforts.

Cressey (1953) suggested that rationalization is the primary trait of people

committing fraud for the first time. It may not apply to individuals who have consciously

planned to commit fraud or steal from an organization. Motivation or pressure examines

the driving forces behind the one committing fraud. Pressure or incentive is a push factor

for an individual to act illegitimately. Lastly, there should be an opportunity to commit

fraud and hide it to avoid being punished. Opportunity is the right of entry to a situation

where fraud occurs, such as weaknesses in internal controls, necessities of an operating

environment, management styles, and corporate culture (Rodgers et al., 2015). Detection,

prevention, and control of fraud require that management understands the causal factors

present in any fraudulent situation. Successfully preventing and controlling procurement

fraud would mean that management directs strategies towards the fundamental causes.

The fraud triangle applies to this study because it would be impossible for management to

have the necessary tools to deal with procurement fraud if the motivational factors for

committing fraud are unknown.

Operational Definitions

Corporate fraud: A sequence of illegal activities consciously and premeditatedly

carried out by members of an organization to serve their interests and harm others

(Gartner & Machado, 2018).

Economic crime: Includes all crime or illicit activities in the sphere of economics,

crime against property, and crime against the interest of service in commercial and other

organizations (Belousova, 2016).

Fraud: A situation where one person knowingly misrepresents a fact which

induces another to act or fail to act, causing damage to the party, relying on the

misrepresentation (Huber, 2017).

Procurement fraud: this is a situation where stakeholders within the procurement

process engage in activities against the procurement policy resulting in financial losses,

reputational damage to the entity they represent (Caulfield & Steckler, 2015).

Assumptions, Limitations, and Delimitations

Assumptions

A researcher’s assumptions are facts considered accurate but not verified (Mir,

2018; Schoenung & Dikova, 2016). The first assumption of this study was that qualitative

research is the most appropriate methodology for the study. Secondly, I assumed that the

chosen participants and case study companies would be helpful with identifying the

strategies required to detect, prevent, and control procurement fraud in the gold mining

industry. I assumed that the chosen participants understood the phenomenon under study

and would answer questions sincerely. Finally, I assumed that the phenomenon under

study is common to all gold mining companies.

Limitations

Limitations are circumstances in the research process beyond the researcher’s

control (Marshall & Rossman, 2016). One of the limitations of this study was that I

focused only on gold mining companies for strategies to detect, control, and prevent

procurement fraud. There may be more strategies for detecting, controlling, and

preventing procurement fraud from other business sectors. Another limitation was the

participants’ reluctance to answer the questions honestly without fear of losing their jobs.

I assured the participants of confidentiality to prevent such an occurrence. Lastly, the

potential for researcher bias during data analysis was another limitation as I work in the

same environment.

Delimitations

Delimitations are the scope or boundaries determined by the researcher for the

study (Isenring et al., 2016; Yin, 2018). One of the delimitations of this study was

interviewing procurement managers with experience in the subject matter from the case

study companies. Their designation and expertise in procurement and commercial

transactions for their respective companies portray their understanding of strategies to

detect, control, and prevent procurement fraud. One other delimitation was the

geographical coverage of the study; I limited the study to Ghana to have easy access to

the research participants during the interview and questionnaire distribution.

Significance of the Study

Managers and procurement practitioners can benefit from the results of this

research by understanding the nature of procurement fraud, the motivators, and strategies

to avert its occurrence. The study results might highlight strategies for corporate

executives to improve their corporate fraud detection and prevention efforts and serve as

a reference for procurement managers in the mining industry.

Contribution to Business Practice

Procurement fraud affects businesses in several ways: negative cost performance

metrics, the reputational damage that will negatively affect the external business

relationship with suppliers and customers alike, and loss of investor trust (Maniam &

Peters, 2016). Fraud can also influence the overall morale of the organizations’

workforce. Preventing or eliminating procurement fraud helps boost investor confidence

in the organization, which may result in more capital inflow needed to increase

productivity and profitability. External business partners (i.e., suppliers and customers)

may also feel confident in their dealings with organizations with more robust systems to

prevent fraud. Other groups that may benefit from the results of this research include

financial policymakers, auditors, private-sector legislators, and corporate fraud

investigators.

Implications for Social Change

Praszkeir and Nowak (2012) referred to the social change as an “alteration in

society’s social order which describes a systemic transformation, over time, in patterns of

thoughts, behavior, social relationships, institutions, and social structure” (p. 36). Social

change may be a change in informal rules or policies guiding a group or a simple

transformation in individuals’ social norms and values, status, or power. Understanding

successful strategies to detect, control, and prevent procurement fraud in Ghanian gold

mining has the potential to effect positive social change.

The operations of mining companies have a positive impact on the surrounding

communities. Through their social responsibility initiatives, managers of mining

companies provide social amenities like schools, hospitals, and roads and create jobs

through local content legislation and the payment of royalties to local authorities of the

catchment communities where they operate (Rodon and Levesque, 2015). Revenue losses

through procurement fraud affect companies financially (Rendon and Rendon, 2021). The

identified strategies could help managers in the gold mining companies take proactive

steps in dealing with fraudulent commercial practices that contribute to revenue losses,

enabling them to continue their support for people in the community.

A Review of the Professional and Academic Literature

The purpose of this study was to explore strategies used by managers in the gold

mining industry in Ghana to detect, control, and prevent procurement fraud. The

literature review consists of information obtained from peer-reviewed academic journals,

dissertations, books, professional trade journals, and professional reports. The topic for

the study was analyzed using the fraud triangle as the conceptual framework.

The primary research databases and libraries used for this literature review

include Walden University Library, Emerald Management Journals, Sage Premier,

ProQuest, EBSCO Primary, ABI/Inform Complete, Thoreau, Business Source Complete,

Google Scholar, Crossref Services, and Ulrich’s Periodicals Directory. The

terms/keywords that I used for my search include procurement fraud, corporate fraud,

fraud triangle, supply chain fraud, fraud detection, fraud prevention, fraud controls,

occupational fraud, and fraud diamond theory. I also used reference chaining to identify

other relevant and current articles for this study. I also ensured that at least 85% of the

sources for the literature review are 5 years or less to my anticipated completion date.

The structure of the literature review is on themes related to the topic for this

study. The main themes I reviewed include (a) fraud triangle, (b) of the fraud triangle, (c)

supporting/opposing theories to the fraud triangle, (d) corporate fraud, (e) procurement

fraud, (f) procurement fraud schemes, and (g) fraud prevention and detection strategies.

Fraud Definition

The term fraud has diverse definitions. For the purpose of this study, fraud is

defined as a deliberate, deceptive, and misleading act for personal gain or advantage

(Zandian and Keyvanpour (2017). Gaining advantage through fabrication, falsification,

misrepresentation, omission of facts, and plagiarism amounts to fraud (Tsegba & Upaa,

2015). Rajapakse and Malaba (2015) also argued that personal gain is a driving force

when employees commit fraud.

Fraud Triangle

Cressey’s (1953) theory, the fraud triangle, is a framework that explains the

reasoning behind people’s decision to commit fraud in the organization. It constitutes

three elements of fraudulent behavior: pressure, opportunity, and rationalization.

Cressey’s work serves as a foundation for much research on occupational fraud (Boyle et

al., 2015). Beyond academic research, Morales et al. (2014) claimed that the fraud

triangle provides fraud investigators a template that individualizes fraud with the

organization responsible for controlling it. From this perspective, the onus lies in the

organization to ensure effective monitoring of the three elements of the triangle through a

well-laid internal control. Fraud is not a social, political, or historical problem but a

problem at the confluence of the individual and the organization. Cressey researched 200

prisoners arrested for embezzlement incarcerated at various prisons and developed the

hypothesis that those in trusted positions believe that they can resolve their nonshareable

financial problems by violating the position of financial trust. Mui and Mailley (2015)

further argued that the nonshareable financial problem makes the perpetrator feel a

perceived financial burden motivating the crime. The perpetrator explores an opportunity,

perceives limited risk of being caught, and finally justifies his behavior by considering

his financial dilemma a unique situation. Gartner and Machado (2018) further argued that

the motivation of fraud is the existence of problems typically of financial nature that

cannot be shared or disclosed to others because of pride or ego. In essence, the fraudster

sees an opportunity and would try getting out of this problem discreetly by violating

financial trust and then rationalizing the fraudulent act by justifying it as necessary to

resolve the financial problem. The argument of authors (Mui and Mailey, 2015; Gartner

and Marchado, 2018) aligns with Cressey’s motivation for fraud frequently of financial

nature, the opportunity, and the justification. Cressey had inspiration from the work of

Reimer (1941), who also argued that there is a three-fraud-causing element when

someone commits a crime: the social pull (the opportunity), the social push (the

emergency), and the psycho-pathological element (Levi & Schuchter, 2015). Both

Reimer and Cressey’s work identified the motives and elements for committing fraud.

Therefore, the fraud triangle is a valuable tool that helps organizational managers identify

the causes or motives behind fraud to devise strategies to avert its occurrence.

The fraud triangle is the fundamental theory for explaining why people commit

fraud. Several authors (see Boyle et al., 2015; Levi & Schuchter, 2015; Raval, 2016;

Schnatterly et al., 2018) applied the fraud triangle to explain the causes of fraud and its

implication on business. Most literature on fraud used the fraud triangle as a framework

to understand how and why fraud occurs and analyze the risk to businesses (Andon et al.,

2015; Kramer, 2015; Lenz & Graycar, 2016). In recent times, the fraud triangle has been

developed and refined further in different fields of academia. Cressey’s (1953) work

forms the basis of categorizing risk factors for many international auditing standards

(Levi & Schuchter, 2015). Most of the current understanding of why people commit

fraud is grounded in the fraud triangle. Kramer (2015) analyzed three case studies using

the fraud triangle to explain the motivation for fraud in small businesses. Using the fraud

triangle, the author suggested that business owners prevent fraud by not trusting

employees too much and identifying perceived opportunities. Kramer further suggested

that if managers can raise the fraudster's perception of detection and reduce perceived

opportunity, fraud will reduce. The evidence in literature on the fraud triangle makes it a

valuable tool to understand why people commit fraud.

Although the fraud triangle has contributed immensely to the fight against fraud,

it has been reviewed and modified severally (Raval, 2016). Free (2015) reviewed popular

frameworks for fraud examination and identified three areas of potential academic

research and debate within organizations and regulatory bodies based on Cressey’s fraud

triangle. Free identified three underresearched areas: rationalization of fraudulent

behaviors by offenders, the nature of collusion in fraud, and regulatory attempts to

promote whistleblowing. Both authors (Raval, 2016; Free, 2015) improve the

understanding of the human element on the act of fraud. Whiles Raval sought to extend

the fraud triangle to explain the role of human desire, intensions, and actions in fraud,

Free’s work expounds this to include systems within the organization that encourages the

detection of fraud. The work of both authors set the pace for further research into

organizational strategies to detect, prevent, and control fraud with emphasis on

procurement.

Elements of the Fraud Triangle

Pressure

Pressure constitutes factors that motivate people to commit fraud regularly of financial

nature, where an individual find him/herself in a financial problem that cannot be shared

to seek help (Cressey, 1953). The pressure is the “motivation” that ignites fraud. If an

employee perceives that he or she can gain financially by committing fraud without been

caught, then that knowledge can stimulate the act of fraud (Kumar et al., 2018). Mangala

and Kumari (2015) referred to pressure as situations that accumulate stress and arouse the

desire to commit fraud. Cressey classified the nonshareable financial factors into six

categories: (a) difficulty in paying back debts, (b) personal failure, (c) business reversals,

(d) physical isolation, (e) status gaining, and (f) employer-employee relations. Several

other authors have given different examples of these categories. 95% of all fraud cases

are because of financial pressure. On the same line, Albrecht et al. (2015) identified

sudden financial shortfalls, living beyond one’s means, greed, imperfect credit standing,

and inability to obtain credit, unexpected significant medical expenditure as examples of

nonshareable financial pressure. Imoniana et al. (2016) also related the pressure to

experience in the individual’s life that creates the need for funds pushing the person to

defraud. In the above discussion the authors acknowledge that the key factor that pushes

individuals to engage in fraudulent activities is the desire for money to meet certain

lifestyles that goes beyond their basic needs. The motivators raised by these authors as

pressure element are personal to the individual committing the fraud.

The pressure to commit fraud could also come from organizational performance

goals given to employees. Employees and management commit fraud to meet

performance indicators and satisfy or exceed the expectations of key stakeholders

(Mishra & Singh, 2017). An unethical organizational culture increases the risk of

fraudulent activities (Judith, 2018; Sídoróv, 2015). From the ongoing discussion, pressure

was classified in diverse but interrelated ways. Free and Murphy (2016), however,

outlined problems with the various categorization of pressure. They made two arguments

against the categorization of pressure as external and internal. Firstly, the authors argued

that they should be both an external and related internal push for an individual to be

motivated by pressure to commit fraud. For example, an ill-treated employee in a

workplace (an external pressure) is not likely to commit fraud unless the employee is

angry or wants revenge (arguably an internal incentive). On the other hand, if an

employee perceives a financial benefit (an external incentive) from committing fraud,

then that employee will see this as an incentive to commit fraud if the employee is also

greedy or is in an awful financial situation (intrinsic incentives). Secondly, there is

always a bias in the perception of pressure because money is the result of fraud in most

cases (Free and Murphy, 2016). The fraudster must, therefore, perceive an innate ability

to take action to save the situation. (Suh et al., 2018). The fraudster's emotions and

perceptions are critical to understanding the motivation to commit fraud (Suh et al.,

2018).

In summary from the discussions by the various authors, pressure as an element of

fraud arise from two main sources; an individuals financial situation and the

organization’s pursue to meet financial targets. There are also non financial

organizational pressures that motivates fraud. For example workers’ dissatisfaction and

perceived unequal treatment in renumeration, promotion, and personnel development.

Opportunity

Opportunity is the second element needed for fraud to occur; it is the

circumstances that exist making it possible to commit fraud typically created by weak

internal controls or governance systems within an organization (Abdullahi & Mansor,

2015). According to Cressey (1953), opportunity does not necessarily have to exist;

however, fraudster must believe or assume its existence. Many researchers have argued

that among the factors that present opportunities for fraud, the more prevalent are weak

controls, no internal control, weak or nonexistent audit procedures, and an internal

environment that makes it easier to commit fraud (Boyle et al., 2015; Free & Murphy,

2016; Ghafoor et al., 2019; McNulty & Akhigbe, 2016)

The opportunity to commit fraud is seemingly always present for those who occupy

senior-level positions (Wells, 2018; Lisa & Hermanto, 2018; Bire et al., 2019) because

they have a comprehensive understanding and have access to critical information and

data, which gives them the ability to override even the most effectively designed controls

(Boyle et al. 2015). The underlying fact is that the fraudster has the knowledge and

chance to commit fraud and will do so because he/she is in a position of trust, is aware of

the weakness in the internal controls, and gathers enough information to be successful in

committing the fraud (Gartner & Machado, 2018; Ruankaew, 2016). For example, if an

employee is in a position to award contracts and has the power to authorize payment, then

the opportunity to commit fraud and conceal it is high because one person has control

over the whole process. The weakness in internal controls tends to reduce the possibility

of catching the fraudster, thereby offering the opportunity to commit fraud (Steinmeier,

2016). From the discussion it can be deduced that opportunity to commit fraud is present

where the organizations internal controls are weak or does not exist and the fraudsters

have access to critical information that can be used to their advantage. This also means

that if an individual is pressured and can rationalize his fraud intensions, the absence of

an opportunity will foil the fraudulent action.

Opportunity, according to Abdullahi and Mansor (2015), is in two forms: (a) the

organizations' exposure and vulnerability to manipulation and (b) the internal

environment that encourages fraud. Fraud occurs because internal controls break down,

and perpetrators successfully conceal it. Power and authority that individuals have also

given rise to opportunities if they are not regularly revised and supervised, or assigning

too much responsibility to one employee, with no control and segregation of duties

(Burke & Sanney, 2018). Some authors also have embraced certain organizational factors

allowing fraud (Huisman, 2016; Zyglidopoulos & Fleming, 2016). They argue that some

organizations are more prone to fraud because their structure, culture, and strategy make

it easier for fraud to occur. In summary, even though fraud is perpetrated by individuals

based on personal factors, organizational systems can also ease the fraud by presenting

opportunities that may exist or perceived to exist. Business leaders will have to develop

internal controls that will erase the perception of opportunity to commit fraud. From the

authors (Huisman, 2016; Zyglidopoulos & Fleming, 2016) opportunities arise from weak

controls or weak culture. Opportunity to commit fraud comes from the environment in

which the fraudster is. If the practices and culture reflects a support or depicts fraudulent

conduct, then the tendency to commit fraud is high.This implies that promoting an ethical

environment will influence the lack of opportunity to commit fraud.

Rationalization

Rationalization is the justification to make the wrong action or unethical behavior

look like something other than a crime (Abdullahi & Mansor, 2015). Abdullahi and

Mansor (2015) believed that an individual is more likely to engage in fraudulent behavior

if he/she can justify the action. Rationalization has many forms. It is, however, an

important factor encouraging the individual to act fraudulently (Dion, 2019). It is part of

the motivation to commit fraud because the offender does not see himself as a criminal

(Vousinas, 2019). The individual’s moral compass influences the level of rationalizing

fraud. However, according to Button and Shepherd (2019), this does not rule out the

possibility of otherwise honest individuals from fraudulent acts, especially in a highly

pressurized environment with very weak controls. Cressey (1953) suggested that

fraudsters rationalize their actions to resolve the nonshareable problem. The fraudsters

tend to make excuses such as, “I am just borrowing this, and I will pay it back later.”

They may think, “I am using this money to help my family”; they may also think what

they take is insignificant compared to the revenue the organization makes (Gartner &

Machado, 2018). From the discussions above, the individual mentally perceives that their

actions will not affect the company significantly and may not classify their actions as

fraud because theylack personal integrity. For example, a procurement officer who

engages a vendor to adjust prices to win a contract, may not see his action as fraudulent

just because the vendor supplied the items as required. The tendency to engage in

fraudulent activity is dependent on the individual’s ethical values and circumstances

(Alam et al., 2018). Abdullahi and Mansor (2015) also argued that an innate character

and external factors influence individual ethical behavior, job insecurity resulting from

downsizing, redundancy resentment from non promotion, and perceived unfairness in

remuneration. External factors will include management attitudes towards fraud risk and

disciplinary actions against perpetrators. The authors also argued that if previous

fraudulent action has gone unpunished or weakly dealt with, others may feel they can

also commit fraud and get away with it (Abdullahi and Mansor, 2015). The discussion on

the fraud triangle is centered around research on the assumption that, people who lack

integrity and morals are more likely to commit fraud and thereby placing the

responsibility on organizational managers to establish strong controls to make it difficult

for employees to commit fraud or easier to detect fraud. Although the fraud triangle

formed the basis for fraud research, it has also been subjected to considerable debate and

criticisms. Theses critisms pushed research further to fill the gaps found in the fraud

triangle introducing more theories for the motivation for fraud.

Criticisms and Limitations of the Fraud Triangle

Many professional auditors and standard setters have supported the fraud triangle

with the argument that investigators can quantify the incentive that led to the fraud during

analyses of financial statements, assess the opportunity to commit the fraud, and the

rationalization technique used to justify the fraud (Lokanan, 2018). Others have raised

arguments against the fraud triangle, believing that the explanation given by its

supporters has limitations and misinterpret the nature of fraudulent misconduct. Huber

(2017) believed that the fraud triangle has been overstretched and misused and was

originally not intended for the study of fraud. Huber argued that the fraud triangle only

exists in name and that Cressey’s (1953) initial study was on embezzlement, not fraud,

which means the fraud triangle has, over the years, been misused or misapplied. Huber

suggested that instead of the fraud triangle, Cressey should have called it the

embezzlement triangle, which links up to the study’s original purpose.

Opportunity does not consider situations where individuals come together to hatch

a plan to commit fraud and put it into action (Lokanan, 2015). The fraud triangle does not

assess the possibility of collusion and further fails to consider other social learning

factors that influence criminal behavior (Ahmad et al., 2019; Free, 2015; Morales et al.,

2014). Vousinas (2019) also argued that the fraud triangle does not help explain the

nature of all fraud perpetrators, and Cressey’s work is aging, making it quite unaligned to

new societal changes. Nonshareable financial pressure is most stressed in the fraud

triangle. Lokanan (2017) believed there are other sources of pressure other than financial

that could motivate fraud as millionaires without financial pressure also commit fraud.

All these arguments point to the fact that the fraud triangle does not cover every aspect of

why fraud occur as it is limited and focused on the individual without considering other

factors.

The principal motivation for the various limitations and criticism raised has been

the interpretation and understanding given by the antifraud community. While these

limitations and criticisms are valid of the fraud triangle, white-collar criminologists

suggested that one single theory or framework cannot adequately explain why fraud

occurs (Huber, 2017). Gill (2017) argued that the fraud triangle is not the ultimate for

dealing with all fraud but for the basic understanding of conditions that favor the

occurrence of fraud. Lokanan (2018) further stated that the fraud triangle, other than

being a scientific theory based on the method of science, should be a helpful framework

that aids in the understanding of why people commit fraud. Most of the authors agreed

that the fraud triangle, to some extent, provided a basis as to why people commit fraud. It,

however, falls short in considering other factors that may also play a role in fraudulent

acts.

Supporting Theories/Opponents of the Conceptual Framework

Fraud Diamond

Wolfe and Hermanson (2004) further extended the Fraud Triangle into the fraud

diamond by adding a fourth element; the capability of the person to engage in a

fraudulent act. According to the authors, in the presence of pressure, opportunity, and

rationalization, individual personality traits and abilities play a significant role in the

fraud. Boyle et al. (2015) argued that capability reflects traits of the potential fraudster

based on which he/she can identify, understand, and exploit weaknesses. The authors

argued that many fraud cases would not have been possible if the fraudster did not have

the capabilities to perpetrate the crime to its detail. The elements of the fraud diamond are

observable and non-observable (Puspasari, 2015). According to (Peltier-Rivest, 2018;

Wolfe & Hermanson, 2004), there are four observable traits of the capability to commit

fraud; the fraudster’s authoritative position in the organization, the capacity of the

fraudster to exploit weaknesses in systems, the confidence (ego) that no one can detect

the fraud, and the capability to deal with the stress created within an otherwise good

person when committing the fraud. Boyle et al. (2015) agreed and further added two

more traits of the capability to commit fraud; the ability to coerce others to move along

with him/her or to look away through persuasive skills and the ability to conceal the truth.

The capability element is the convertor that turns the opportunity into reality. It involves

the power to take decisions, technical knowledge, and trust (Mangala & Kumari, 2015).

The fraudster identifies the opportunity and can turn it into reality. Lenz and Graycar

(2016) also argued that the opportunity is a necessary element but not enough for fraud to

occur. From the arguments of (Boyle et al., 2015; Mangala and Kumari, 2015; Lenz and

Graycar, 2016), fraud can only be associated with the actions of the person who wills to

commit it. Not condemning the fraud triangle, all the authors agreed that even if all the

elements of the fraud triangle are present the fraudster should have the will power, skill

or capability to commit the fraud diamond is the extension of the fraud triangle. The

impetus to commit fraud, therefore, remains an internal human one. An individual

motivated to defraud requires an opportunity and understanding of the real opportunity to

defraud (Levi & Schuchter, 2015). The fraud diamond further expands the fraud triangle

to cater for other elements that researchers have observed as lacking in the fraud triangle.

The addition of capability requires organizational managers to understand the employees’

traits and abilities when assessing fraud risk and prevention. If there are employees

whose capabilities present a high risk to fraud, then strong controls need to be established

to prevent fraud from occurring.

Fraud Scale

Albrecht in 1984 proposed a more practical theory for detecting and preventing

fraud; the fraud scale substitutes the rationalization element of the fraud triangle for

personal integrity. The fraud scale provides that when pressures and opportunities are

high, and people have low integrity, occupational fraud is more likely to occur. On

the other hand, fraud risk is less likely to occur when pressure and opportunity are

lower with high personal integrity. Albrecht described situational pressures as the

immediate problem individuals experience within their environments; prevalent

among these are high personal debts and financial losses. Because rationalization is

not observable, the authors used personal integrity as a substitute for rationalization to

increase the model’s predictive ability. Albrecht believed that fraud is difficult to predict

because of the lack of a reliable profile of occupational fraudsters and suggested that the

likelihood of fraud is predictable by evaluating the relative forces of pressure,

opportunity, and personal integrity. The introduction of integrity makes it possible to

observe an individual’s decision with the decision-making processes and monitor

commitment to ethical decision-making (Vousinas, 2019). The personal integrity

element is associated with everyone’s code of ethical behavior. Albrecht’s arguments

are consistent with the arguments of at least one fraud expert (Belousova, 2016), who

argued that an individual’s moral compass determines or plays a significant role in

the individual’s judgment. An individual’s moral compass and integrity is one major

factor that influences fraud. The introduction of personal integrity means that, it is

possible for all the elements of the fraud triangle to be present but because an

individual has a high personal integrity will not commit fraud. There are individuals

who will not commit fraud despite the pressures they face, opportunities available,

and the justification available. This also means that an individual who lacks personal

integrity will not hesitate to commit fraud at the least opportunity and pressure.

Money, Ideology, Coercion, and Ego/Entitlement

Kranacher (2011) propounded the money, ideology, coercion, and ego/entitlement

(M.I.C.E) model, which seeks to extend the pressure element of the fraud triangle beyond

solely financial motivators. Fraudsters motivated by ideology tend to perpetrate fraud,

believing that their actions will positively impact society. Ideology is typically linked

with fraud schemes related to tax evasion and terrorism financing frequently moved by

ideological beliefs other than personal financial difficulties. Coercion explains fraud

schemes committed by individuals who, by themselves, will not commit a crime but are

forced or influenced by others to do so reluctantly. Such individuals might be in a

situation that weakens their ability to resist the act or defile the authority of the person

forcing them. Finally, ego/entitlement refers to factors that protect a person’s reputation

or social status other than financial needs. For some people, fraud is the only way to keep

their reputation or position of power in front of their society or families (Vousinas, 2019).

This social pressure can be a compelling motive to commit a fraudulent act to keep their

ego. Dorminey et al. (2012) argued that the MICE is easy to remember among the

fraud models, albeit it oversimplifies the motivations for fraud, and some

motivations fall under several categories. The MICE provide a broader framework

beyond pressure and rationalization to consider the probability of fraud by

considering an expanded set of motivators and therefore clears the limitations of the

fraud triangle.

Stimulus, capability, opportunity, rationalization, and ego

After analyzing all the other fraud models, Vousinas (2019), called for the

need for a revision, which will consider current developments and enhance the

understanding of the major factors why people commit fraud. He, therefore,

developed the SCORE, also known as the fraud pentagon. The SCORE acronym for

the words: stimulus, capability, opportunity, rationalization, and ego. Stimulus, just

like pressure in the fraud triangle, according to the author, comes in different forms

of high ﬁnancial needs, the pressure to achieve high targets, work-related stress,

desire to achieve high professional goals in a short period (Georgios, 2019).

Capability is about the personal traits and abilities of the individual to commit fraud

when all other factors are present. Opportunity is a situation that makes it easier to

commit fraud. Rationalization has to do with justifying the fraud. The ego is

unconscious push elements the individual may not be aware of that make him/her

believe he/she can commit fraud without been caught (Georgios, 2019).

The discussions above show that, though the fraud triangle forms the basis for

fraud to occur it does not cover all the possible elements of such a broader

phenomenon. The subsequent theories enrich the discussion by expanding into other

elements that is not covered by the fraud triangle. The other theories discussed above

underscore the fact that personal traits contribute to whether an individual will

commit fraud or not. There are people who will never commit fraud even though

opportunities exist with pressure and can justify their action. There are also people

who will still commit fraud in the absence of opportunities, pressure and

justification.

Corporate Fraud

Corporate fraud is a challenge in today’s dynamic business environment. Intense

competition among businesses induced by globalization has forced organizations to fight

for profits and market share. Corporate fraud results in significant profit losses and erodes

investor confidence (Dong et al., 2018). Corporate fraud is simply the misuse of the

organizational system (Riyanarto et al., 2020). Wood and da Costa (2015) defined

corporate fraud as a chain of illegal actions done consciously by members of an

organization who manipulates processes and systems to serve their parochial interest at

the detriment of other parties. Such actions can result in losses for shareholders and other

stakeholders, which may expose the organization to regulatory challenges. Financial

misstatements, procurement irregularities, delay in disclosing information or non-

disclosure, bribery, insider trading are few examples (Zhang et al., 2018). Singleton and

Atkinson (2016) extended the definition to cover financial fraud committed by an

employee or a group of employees. A situation where employees intentionally misuse or

misappropriate the organization’s financial resources (Wood & da Costa, 2015). The

impact of corporate fraud could be direct in monetary cost, including costs associated

with investigating and remediation, and indirect in reputational damage, lost productivity,

and the related loss of business (Lokanan, 2015). Indirect impact includes damages to

employee morale, brand, company reputation, business relationships, consumer

confidence, weakened public trust, and ruined market share value, which may cause a

company to collapse eventually (Nawawi & Ahmad Saiful Azlin, 2018a). A bad

reputation affects the business relationship between companies and their investors and

other stakeholders. The detection of fraud also increases doubts on the credibility of

information put out by the organization (Yuan & Zhang, 2016). Mishra and Singh (2017)

argued that corporate fraud schemes are complex and economically affect the

organization and its partners. Corporate fraud has an enormous impact on organizational

sustainability, and managers and leaders need to ensure the right strategies are in place to

avoid its occurrence.

Forms of Corporate fraud

There are various forms of corporate fraud. However, the most widely recognized

forms according to (ACFE, 2018), are mainly three: asset misappropriation, corruption,

and financial statement fraud. Understanding the various forms of fraud helps to establish

mitigating strategies (Omar et al., 2015). The ACFE further stated that although these are

the primary forms of fraud, a fraud scheme often involves a combination of different

types of fraud. The association classified the different forms of corporate fraud in a

diagram called the fraud tree.

Figure 1

The Fraud Tree

Note. Reproduced with permission from ACFE (2018). Report to the Nations on

Occupational Fraud and Abuse. Copyright (2018) by the Association of Certified Fraud

Examiners

Asset Misappropriation

This type of occupational fraud happens when a person, group, or entity wrongly

diverts or misuses assets, money, or other resources for its benefit (Klein, 2015; Nawawi

& Ahmad Saiful Azlin, 2018b). This type of fraud occurs most frequently and constitutes

about 83% of all reported fraud cases. However, it records the lowest losses among the

three categories (ACFE, 2018). It is prevalent, mainly where internal controls are weak

(Lenz & Graycar, 2016). The ACFE reported asset misappropriations as theft of cash and

other financial resources by employees. Asset misappropriation schemes are in three

subcategories composed of nine different offense types, as shown in Table 1. Klein

(2015) argued that the most common among the subcategories of asset misappropriation

is theft and misuse of inventory and supplies. Glodstein (2015) identified poor accounting

records, inefficient data processing controls, frequent deficits in cash balances, lack of

management commitment to internal controls, and ineffective internal controls as major

red flags for asset misappropriation.

Table 1

Categories of Asset Misappropriation Fraud

Offense Type Description

Theft of cash receipts

Skimming Any scheme in which employees steal cash from an

organization before recording it in the organization’s books

and records

Cash larceny Any scheme in which employees steal cash from an

organization after recording in the organization’s books and

records

Fraudulent disbursements of cash

Billing Any scheme in which a person causes his or her employer to

issue a payment by submitting invoices for ﬁctitious goods

and services, inﬂated invoices or invoices for personal

purchases

Expense reimbursement Any scheme in which an employee claims reimbursement of

ﬁctitious or inﬂated business expenses

Cheque tampering Any scheme in which a person steals his or her employer’s

funds by intercepting, forging, or altering a cheque drawn on

the bank accounts of the organization

Payroll Any scheme in which an employee causes his or her employer

to issue payment by making false claims for compensation

Cash register disbursements Any scheme in which an employee makes false entries on a

cash register to conceal the fraudulent removal of cash

Other Schemes

Misappropriation of cash on hand Any scheme in which the perpetrator misappropriates cash

kept on hand at the victim organization’s premises

Noncash misappropriation Any scheme in which an employee steals or misuses non-cash

assets of the victim organization

Note. Reproduced with permission from ACFE (2018). Report to the Nations on

Occupational Fraud and Abuse. Copyright (2018) by the Association of Certified Fraud

Examiners.

Corruption

Corruption includes a range of activities and behavior from the misuse of position

or power for personal advantage. There is no single generally accepted definition for

corruption (Zyglidopoulos, 2016); however, it broadly includes bribery, illegal gratuities,

economic extortion, and conflicts of interest (Wells, 2018). Gorsira et al. (2018)

explained corruption on the line of individual and organizational factors. Gorsira et al.

(2018) argued that corruption results from an individual’s decision based on perceived,

more significant gains and perceived lower costs of corruption to the organization also a

bad culture or ethical climate induces unethical employee behavior (Jha & Panda, 2017).

Although not common, like asset misappropriation, the cost implication on a victimized

company is disruptive and potentially more significant. Peltier-Rivest (2018) claimed that

the organization is the first to suffer in any corrupt act and that employee’s knowledge of

unethical or corrupt behavior of management personnel affects their trust in the

organization’s ethical values, and they are likely to commit the same act and justify them.

Financial Statement Fraud

Financial statement fraud is the deliberate misrepresentation of the financial

condition of an organization in the financial statement given to stakeholders. The

misrepresentation may result from a deliberate misstatement or omission of figures in the

financial statement to deceive investors or other stakeholders (Mohamed & Handley-

Schachelor, 2015). This fraud classification includes false financial statements and

manipulation of accounting documents and reports that benefit the perpetrator. Repousis

(2016) argued that financial gain and enrichment might not be the sole objective for

committing this category of fraud; management may commit such frauds to attract

investors, demonstrate compliance with financial laws. Financial statement fraud includes

altered revenues, timing differences, omitted liabilities and expenses, improper

disclosures, and improper asset valuation. Mohamed and Handley-Schachelor (2015)

further argued that the motives behind financial statement fraud are (a) to mislead

investors and (b) to attain the organizations' expected goals. Whiles (Fligstein &

Roehrkasse, 2016; Free & Murphy, 2015) analyzed the causes and consequences of

financial statement fraud, (Albrecht et al., 2015) considered the ethics and motives of

financial statement fraud. Simha and Satyanarayana (2016), Kulikova and Sadarova

(2016) evaluated the role of internal auditors and internal controls in detecting financial

statement fraud. Dimitrijevic et al. (2015), Kramer (2015), also researched into the

corporate role in detecting financial statement fraud, and Brazel et al. (2015) studied how

investor perceives financial statement fraud. One thing is common to the various forms of

fraud in the organization, they all result in losses to the victim organization in areas like

revenue, reputation, and litigation.

The Procurement Process

The procurement function in an organization is responsible for acquiring goods

and services for various purposes (Stevenson, 2015). The procurement function has risen

to a higher level of importance in recent years because of the levels of spend and cost

implications (Weigel & Ruecker, 2017). Bildsten and Manley (2015) identified an eight-

stage process in organizational procurement (a) identifying the need; (b) establishing the

specification and scheduling the purchase; (c) identifying alternatives; (d) evaluating

alternative purchasing actions; (e) selecting the supplier; (f) negotiation and contracting;

(g) issuing the contract or order and (h) following up to secure delivery. Although the

stages highlighted above are generic, it also reflects a typical procurement process in the

mining industry. Lysons and Farrington (2016) suggested that established relationships

with vendors at the initial stages are necessary to ensure an effective procurement

process. Vendors or suppliers are required to bring their technical expertise to bear during

the specification stage of the procurement process, especially for first-time purchases

(Baily et al., 2015). The procurement process can become complicated due to decision-

making and communication over time, involving several project actors and relationships

with external organizations (Münch, 2015). According to the author, this complexity

arises because several people are making different decisions on goods and services that

have technical complexities and involving large sums of money.

Procurement Fraud

Procurement fraud is defined as an intentional deception to negatively influence

any stage of the procurement process to make a financial gain or cause a loss to the

organization (University College London, 2013). Procurement fraud can occur at

numerous stages across the procure to pay process and may involve both insiders and

outsiders to the victim organization. Globally, research has found that fraud occurred

most at the payment stage, followed closely by the vendor selection and invitation of

quotes/bids stages of the procure to pay process (Patterson et al., 2018). The procurement

process of a product or service can be complicated, especially in the mining industry,

where too many parties are involved. Procurement in the mining industry involves a

complex network of suppliers and subcontractors with inherent legal, financial, and

operational issues in the relationship (KPMG, 2017). This complexity opens the process

to high fraud risk from, need identification schemes to invoice falsifications (Putra et al.,

2018).

Investigating procurement fraud is often complicated because it can occur at any

stage of the procurement process, and individuals who commit the fraud have a deeper

understanding of the victim organization’s process (Putra et al., 2018). The author further

believes that the close working relationship between employees of the procurement and

payable units with vendors may provide an opportunity for complex fraud schemes

against the company by collusion. Caulfield and Steckler (2015) argued that fraud

schemes within the procurement process do not happen by chance; the perpetrators

willfully think through them. They get people to trust them and later take advantage of

the trust for their benefit. Free (2015) also argued that the fraudster begins with minor

incidents and then gets it to a bigger deal as he or she perceives no one knows and no one

is looking. Fraudsters start innocently, then raise their confidence level, and get involved

in more significant schemes (Sandhu, 2019). Rustiarini et al. (2019) argued that fraud is

human behavior related, and those who perpetrate this crime do so deliberately. Caulfield

and Steckler (2015) further argued that individuals who commit fraud are motivated by

several factors and characterized the fraudster into five personality profiles; (a)

situational fraudster; (b) deviant fraudsters; (c) multi-interest abusers; (d) well-

intentioned noncompliance employee and (e) disengaged noncompliance employee.

According to (Caulfield & Steckler, 2015), situational fraudsters are those

individuals within the procurement environment who are generally frustrated because

they perceive the organizational system has not treated them fairly or may have been

affected financially by an event that happened in the organization. From Caulfield’s

argument, such employees may have never harbored that intention when they joined the

company, but because of the situation they look out for weaknesses within the

procurement process and exploit them to make up for their loss. They tend to rationalize

their actions from the unfair treatment of their company.

Caulfield and Steckler (2015) describe deviant fraudsters as a significant threat to

the organization, and they are always on the lookout for opportunities to commit fraud.

They project themselves as hard working, always available to do any work, and hardly

take holidays. They usually are liked and trusted by others, especially their superiors and

colleagues, and usually will get people to stand in their defense when found culpable.

The multi-interest abuser is those individuals who will intentionally manipulate

the procurement system or process for their benefit or to the benefit of a third party. They

may not obtain any financial benefits but ensure a process favors their comrades or

family members. They are found to abuse the procurement process; for example, they

will draft product or contract specifications so that only their favorites will stand a chance

to win the bid. From the fraud triangle perspective, the multi-interest abuser commits

fraud because of the demands from friends or family members who need business, and

they find opportunity in the position to abuse the process because it lies in their power to

do so and tend to rationalize their action as the product or contract got executed in any

event (Caulfield & Steckler, 2015)

There are also the well-intentioned noncompliant employees present a significant

risk to procurement. They are those who will not get involved in the fraud themselves but

may directly or unnecessarily create the conditions for fraudsters to take advantage. They

believe that their deviation from the laid down procurement process will not harm the

company in any way or may believe it is to the cost advantage of the company to deviate

from the norm (Caulfield & Steckler, 2015)

The disengaged noncompliance employees are disgruntled or dissatisfied because

of perceived unfair remuneration or poor management of self-worth. They share similar

characteristics with situational fraudsters. Caulfield and Steckler’s categories of

fraudsters aligns with the supporting theories that extend the elements of fraud to include

personal traits of the fraudster. The discussion on the categories underscores the fact that

that an indinvidual’s personal traits contributes to fraud.

Procurement Fraud Schemes

Procurement fraud is possible at every stage of the procurement process and

involves insiders who are experts in the field or outsiders who do business with the

victim company. Procurement fraud can be committed by individual actors or through a

collusive arrangement among multiple individuals in the victim company. KPMG (2017)

found that employees of the victim company commit 65 percent of fraud identified with

the rest committed by external parties. Procurement fraud schemes include those

committed by collusion between employees and vendors, collusion between competing

contractors or vendors against the victim company, and schemes by employees acting

alone.

Collusion Between Employees and Vendors or Contractors

There are various schemes under this category, often involving individuals within

the organization’s procurement setup acting in collusion with the contractors or vendors

to defraud the organization for their gains in kickbacks, bribes, gifts, and others

(Rechtman, 2019). The association of certified fraud examiners (2018) identified bid

tailoring, splitting, manipulation, unauthorized sole-source acquisition, conflict of

interest, and need identification schemes as the primary schemes under this category.

A bid tailoring scheme often occurs when the employee or employees within the

procurement setup strongly influence the requirement of the bid or the product

specification to the extent they can change or modify it. The employee drafts bid

specification in a way that gives an unfair advantage to a vendor. Bid tailoring includes

broadening the scope of the service or specification of the product to get an otherwise

disqualified vendor into the competition, narrowing the scope of the service or

specification of the product to suit the capabilities of a favored contractor or vendor

(McNeal, 2019). Additionally, specifying the service or product vaguely to make way for

a price increase later, and order change abuse where the employee encourages the vendor

to submit a lower bid to win the contract with an assurance of changing the scope later to

accommodate price increases (ACFE, 2018). Some of the indicators of this kind of

scheme include (a) only one or few contractors or vendors responding to RFP, (b) the

similarity between specification and winning contractor’s product or service, (c) a

comparative analysis of previous purchases show a significantly broadened or narrowed

specification and, (d) a considerable number of sole sourcing to one contractor/vendor.

Bid splitting is where the procurement members break up larger projects of high

value into smaller projects so that each fall within the threshold that does not require

competitive bidding, encouraging sole sourcing to a favored contractor or vendor.

Significant signs for this scheme include two or more similar contracts to the same

contractor with a value just below the competitive bidding threshold separation of the

various elements of a service into different orders, i.e., different order for labor and

different order for materials with both below the threshold for competitive bidding but

when put together exceeds the threshold; and (c) consistent changes in the orders that

increase the value of the order (Wells, 2018)

Bid manipulation happens when the employee influences the bidding process to

give preferred contractors/ vendors an unfair advantage. The employee manipulates the

sourcing process by limiting the number of supplier bids are sought through means like

opening bids too early, requesting for bids during holidays or closing hours before a

weekend, leaking bid information to the preferred vendor, and shortening the submission

timelines for bids (Wells, 2018)

Need recognition scheme is where the employee in collusion with the vendor

assumes a need for a product or service for the victim company solely available from that

vendor but not needed by the company then receives a share of the amount paid for the

goods or service or even use the goods personally (ACFE, 2018; Haberbush, 2000).

Characteristics of such schemes include excessive inventory levels from excess

purchases, unjustifiable inventory write-offs to make way for the purchase of new items,

and a sudden hike in user requests for the item.

An unjustified sole source awards scheme happens where procurement members

choose to award contracts that should be competitive through a sole source without any

justification. Often, such awards are made directly citing exceptional circumstances

(Wells, 2018). Such schemes are characterized by; the bid amount just above or below

the competitive bidding limits; previously awarded contracts suddenly become non-

competitive, the lack of justifications or documentation for the decision, and split

purchases to avoid competitive bidding limits (ACFE, 2018).

Conflict of interest occurs when employees that influence the procurement

process have a personal interest that conflicts with their responsibilities. Wells (2018)

identified five different ways conflict of interest may occur; (a) an employee buys goods

or services through an agent who has control, (b) the employee is involved in other

business ventures with a vendor or contractor or its employee, (c) the employee has an

interest in a business that competes with the employer, (d) the employee accepts gifts,

favors, travel, entertainment, or fees from a vendor or contractor, and (e) the employee is

involved in unauthorized negotiation or accepts employment with current or prospective

vendors or contractors. Conflict of interest is a clear indication of corruption in

procurement (Deleanu et al., 2017). It arises when an employee in the procurement

section has an undisclosed legal or other beneficial interest in the vendor.

Collusion Among Contractors/Vendors

Contractors/vendors can also collude or individually commit fraud against a

company. The most common among schemes under this category is bid-rigging. Bid-

rigging is usually a collusion among competing companies to ensure one company wins

the bid at a pre-determined price (Chassang & Ortner, 2015; Conley & Decarolis, 2016).

Competing companies pre-determine the winner and limits competition (Asllani &

Statovci, 2018). The various schemes under bid-rigging include;

Bid Suppression occurs when competing contractors agree to allow only one

among them to submit a bid or withdraw a previously submitted bid so that another

competitor will win (Denise et al., 2013). Bid suppression agreements involve firms that

would compete for a contract refraining from bidding so that a designated firm's bid is

accepted (Jaspers, 2019). Clark et al. (2018) developed a model at a different level of

suppression that considers the incentives for the cartel of suppliers to eliminate non-

members from the market by refusing to share production technology with non-members

or influencing legislature to favor members.

A Bid rotation occurs when competing vendors agree to schedule to win bids in

turns (Wells, 2018). The vendors may decide to submit very high bids knowing those will

not be competitive, so one of them with the lowest bid win (Connor & Werner, 2018).

Bid rotation is an arrangement to ensure all companies get a fair share of the buying

company’s business. Bid rotation does not encourage competition, and the buying

company does not benefit from the advantages of competitive bidding (Denise et al.,

2013)

Complementary bidding occurs when competing contractors agree to submit bids

that will not pass the test. These contractors charge very high prices or even make

unreasonable terms on their bids while creating the impression they genuinely want the

business when they only want to complement the number of bids received (Connor &

Werner, 2018) and are intentionally taking themselves off the competition for the agreed

competitor to win (Denise et al., 2013). Here, one of the vendors refuses to bid, making

way for the other party to win and later sublet a part of the work to them in exchange for

not submitting a winning bid (Denise et al., 2013). Subcontracting is used to encourage

minor bidders’ participation. It is, however, an effective means to rig bids, especially

when the subcontractor can be the main contractor (Tam et al., 2018).

Aside from the schemes already mentioned, there are others that employees of the

victim company act alone. One such scheme is the creation of fictitious companies,

customarily known as shell companies. In such schemes, an employee or a group of

employees set up a company, get it registered as a vendor in the system, and award

contracts to themselves. Characteristics of such scheme involve employees able to raise a

purchase order, receive and approve payment for goods or services, paid vendors are not

on the company’s vendor list, employee or employees always following up on payment

of a vendor, employee or employees always submitting invoices of a vendor, and

invoiced goods cannot be physically seen (ACFE, 2018). Procurement fraud can take

different forms as discussed above and may include; invidual employees acting alone or

in collusion with external parties to the procurement process. Regardless of what form it

takes, it is evident the fraudsters circumvent the procurement process for their own

personal gains resulting in losses to the victim organization.

Risk Factors in Procurement Fraud

Dealing with Fraud, in general, requires the identification and assessment of the

risk factors. Button and Shepherd (2019) identified two broad categories of fraud risk

factors: organizational and individual factors, including remuneration, ethical work

climate, justice, disciplinary measures, opportunity, and personal traits. The authors

underscored that these factors together positively impact on the fraudster’s intention to

commit fraud. Bonny et al. (2015) identified some individual factors that make people

commit fraud, including financial hardship, living beyond their means, gambling, sudden

external financial pressure, internal/external pressure to steal, drug dependency, and

alcohol. Sandhu (2016) makes a strong case for certain individual traits that are potential

red flags for fraud; strong ambition, social loneliness, extended working hours,

dissatisfaction with their current job, justifying unethical behaviors, personal and

financial problems, and living beyond their financial means. In line with the

organizational factors, (Mangala & Kumari, 2015) identified inadequate remuneration

plans, unusual remuneration patterns, high industry competition, a close relationship with

suppliers, inadequate segregation of duties, ineffective supervision, and weak internal

controls as the most common risk factors in procurement fraud. Mufutau and Mojisola

(2016) also further identified the following as potential risk areas or factors for

procurement fraud to occur: (a) Unsuccessful implementation of controls in procurement,

(b) unknown vendor own recently established companies, (c) high turnover of purchasing

staff, (d) offering favors to vendors, (e) social bond between employees of a vendor

company and purchasing staff (e.g., joint vacation or leisure the activities), (f) non-

competitive and low-quality vendors consistently winning bids, (g) frequent reports of

suspicions of misconduct by purchasing staff. The above factors identified by the various

authors are red flags to procurement fraud. Where such issues raised above are seen in the

organization or in the procurement section of the organization there is a high risk of been

committed.

Procurement Fraud Prevention and Detection Strategies

Preventing fraud means that managers must put proactive measures to avoid it

from occurring (Adriana et al., 2018). Such measures to avoid fraud ensure an

environment with less opportunity for fraudulent activities to occur (Button et al., 2015).

Preventing and detecting procurement fraud requires an understanding of the fundamental

motivations for fraud. The fraud triangle offers the opportunity to understand the motives

behind the fraud. The motives for committing procurement fraud include looking for

money for personal gains, taking advantage of the weakness in the control systems

(Mufutau & Mojisola, 2016). Mangala and Kumari (2015) argued that gathering

information on fraud and its impact on the organization is the first step to preventing its

occurrence. Ach (2017), in his study on the prevention of procurement fraud in the public

sector, identified that a controlled environment that enhances accountability,

transparency, and professionalism is critical to maintaining a high standard of integrity in

procurement. Zamzami et al. (2016) discussed the role of internal auditors in preventing

and detecting fraud. The authors suggested that the most effective ways of detecting and

preventing fraud are operational audits, consistent internal controls, cash reviews, and an

effective code of sanctions against vendors and procurement staff. McMahon et al. (2016)

agreed and argued that because of the challenge in detecting fraud, preventing it from

occurring should be management’s top priority. The works of (Zamzami et al., 2016;

McMahon et al., 2016) highlight the need for internal controls and management role in

preventing procurement fraud. Patterson et al. (2018) also identified the need for

management commitment to ensure that preventive and detection controls effectively

deal with supply chain fraud. The authors argued that consistent interaction and

communication between management and employees would help identify potentially

fraudulent situations and prevent them.

The impact of procurement fraud on the victim organization can be very costly,

aside from the cost of investigation, legal action, and remedial actions, procurement fraud

also distracts management from its core focus negatively impacting productivity (KPMG,

2017). It is, therefore, critical for management and leaders alike to understand the

vulnerability of the procurement system to fraud and establish an approach to prevent,

detect, and control such misconduct. According to KPMG, such an approach should be

integrated and multifaceted to include prevention, detection, incident response, and

program maintenance.

Fighting fraud begins with a commitment from top management, developing and

preserving the right organizational culture. A culture of honesty and sincerity is critical to

preventing procurement fraud and ensures long-term business sustainability (Abdul Rasid

et al., 2018). Management also needs to ensure the promotion and communication of the

ethical values of honesty to employees by showing its commitment to such a course

(Mufutau & Mojisola, 2016). Gilbert and Wakefield (2018) also suggested the need to

establish fraud prevention and detection mechanisms collaboratively with appropriate

sanctions for offenders. In other words, management should be proactive with measures

to make it difficult for fraud to occur (Adriana et al., 2018). An organization’s code of

ethics which reinforces the belief that ethical behavior is essential and pivotal in the

organization’s ethical culture communicated down from management to employees

(McMahon et al., 2016)

Mufutau and Mojisola (2016) claimed that hiring the right people to undertake

procurement is also essential in preventing fraud. Making the right recruitment decisions

for key procurement positions is another way of preventing procurement fraud.

Background checks and regular training for employees on ethical values is an excellent

preventative strategy (Leistedt & Linkowski, 2016). Brody et al. (2015) reiterated the

need for recruitment managers to conduct a background check on employees including

resume verification, social media search, reference check, and a criminal record check.

The authors further suggested the use of honesty/integrity tests as a pre-employment

screening tool. All employees should be trained on policies and procedures to understand

the expectations and consequences for nonconformance. These consequences should be

deterring enough to include criminal prosecution and dismissal (An-An et al., 2017;

Nawawi & Ahmad Saiful Azlin, 2018b). Employees that commit fraud have previous

records from former engagements of dishonest behavior. An organization’s anti-fraud

may include systems that monitor the behavior of employees to identify red flags for

potentially fraudulent activity. Areas of fundamental interest when monitoring employees

will include e-mail communications; this could indicate behavioral patterns and help

detect employee’s intent to commit fraud (An-An et al., 2017).

Assessing the organizations' internal controls is also key to preventing fraud.

Internal controls are policies and procedures built by management and employees to

ensure that an organization's objective will be achieved (Manh & Thi, 2018). The

organization developed five-element internal control systems that constitute; (a) control

environment, (b) risk assessment, (c) control activities, (d) information and

communication, and (e) monitoring activities. The controls ensure consistent and reliable

financial reporting, protect assets against theft and misuse, and compliance with

applicable laws and regulations (Mufutau & Mojisola, 2016). The authors further argued

that procurement fraud often occurs when employees override internal controls

intentionally. Chiu et al. (2019) argued that it is necessary to regularly assess the

adequacy and effectiveness of the internal control system to identify and correct any

weakness that makes fraud possible. When internal controls are robust, more

accountability in managing resources enhances efficient operations and makes fraud

unattractive (Feng et al., 2015). Hajiha and Bazaz (2016) also believe that more robust

control systems enhance a higher level of compliance with set out policies and

procedures and deter employees from behaving unethically (Eklund et al., 2016).

However, weakness in the control systems provides an opportunity for fraud to occur,

leading to a decline in sales and the organization’s market value (Nawawi & Ahmad

Saiful Azlin, 2018a). Peltier-Rivest and Lanoue (2015) suggested that ultimately a robust

internal control system is an assurance mechanism for achieving the best performance

and protecting an organization from unexpected events, which includes a reduction in

fraudulent activities. Ensuring the effectiveness of existing controls is a crucial part of

prevention measures to fraud; this should be a regular exercise to identify and improve

weak areas. Although it is impossible to eradicate fraud, knowing where the risk lies

increases the possibility of preventing or detecting its occurrence (Rendon, 2016).

Internal control efforts require periodic review and improvement (Nusa et al., 2016)

Another effective way of preventing procurement fraud is the segregation of

duties (Bennett et al., 2015). Segregation of duties is to ensure that no one person takes

total control over the whole procurement transaction. An effective mechanism to

minimize procurement fraud is the segregation of duties (Andon et al., 2015; Imoniana &

Murcia, 2016; Bennett et al., 2015).

One of the internal control measures to control and deter fraud is the

establishment of a whistleblowing policy. Such a policy is an effective mechanism to

receive information about employees on illegal acts such as fraud (Near & Miceli, 2016).

Managers can detect fraudulent procurement acts through an effective whistleblowing

mechanism. (Gao et al., 2015). The channel for whistleblowing must be adequate to

conceal the blower’s identity to encourage people to use it. Most employees may prefer

the reporting channels to be managed outside the organizational environment by an

external party to ensure protection from retaliation and victimization (Gao et al., 2015).

Near and Miceli (2016) suggested that encouraging employees to have confidence in a

whistleblowing system requires management to disclose any wrongful act reported to all

employees so that reporting would mean management will investigate and act on the

information given. An effective whistleblowing system helps detect fraud, financial

losses, increase employee loyalty, and protect the organization’s image (Near & Miceli,

2016).

Legal action or prosecution of fraud perpetrators is not very common in many

organizations; however, it effectively prevents and controls procurement fraud. (Mangala

& Kumari, 2015). Initiating legal action against fraudulent employees is an excellent

strategy to communicate management intolerance for fraud and deter employees from

engaging in fraud ( Kanapickienė & Grundienė, 2015)

The United Nations Global Compact on the fight against corruption in the supply

chain provides specific guidelines for organizations in preventing fraud in the

procurement process. The guidelines provide the need to establish clear procedures for

the selection of suppliers, providing anti-corruption training, employees background

check, the giving or receipts of gifts, procedures for goods receipt, evaluating corruption

risk before entering a customer-supplier relationship, performing due diligence on

suppliers, customers, and intermediaries involved in the bidding process (UNGC, 2016).

Mufutau and Mojisola (2016) recommended that a preventative measure be

extended beyond the organization to consider its business partners. The authors suggested

that it is essential for the organization to know its suppliers and manage subcontractors

through background checks to avert any possibility of a conflict of interest and assess the

supplier’s capability to undertake a job. The (UNGC, 2016) further provides guidelines

worth considering in preventing procurement fraud from the perspective of the supplier;

(a) the organization should establish a code of conduct for suppliers, including

expectations on corruption; (b) the organization must ensure that the supplier’s personnel

receive training on anti-corruption laws and policies, the consequences of bribery, and

corruption for the supplier and employees; (c) monitor suppliers’ anti-corruption efforts

through audits.

A regular audit of procurement procedures and systems is also an effective means

of preventing and detecting procurement fraud. (Ghafran & Sullivan, 2017; Hoopes et al.,

2018) The organization should use both internal and external auditors to evaluate

adherence to procedures. Employees will not commit fraud if they are aware of these

audits. Gilmore-Allen (2015) suggested surprise audits on information systems to detect

alterations or tampering. The use of auditors as a tool for preventing fraud could be

beneficial but require complement with other controls as auditors at some point could

also be compromised (Gilmore-Allen, 2015). From the discussion, detecting and

controlling procurement fraud requires managements focus not only on personnel but

also the organizational systems that makes ir easy for fraud to occur. For any controls to

be effective the focus should be on both internal and external motivational factors.

Transition

Procurement fraud is very complex because there are various ways to commit it,

and managers need to consider all possible options when preventing or controlling it

(Mufutau & Mojisola, 2016). Procurement fraud is on the rise and has become a threat to

managing supply chains (Khan & Varma, 2017). In section 1, I introduced an overview

of the nature of procurement fraud and the various forms it takes. I also discussed various

strategies to detect, prevent, and control procurement fraud. Furthermore, section 1

included a discussion on the general and specific business problem, the purpose for

conducting this study, and the foundation of the study to explore the strategies used by

managers in Ghana’s gold mining industry to detect, prevent, and control procurement

fraud. I also presented a qualitative research methodology, the problem statement,

purpose statement, research questions, conceptual framework, and an academic literature

review of current knowledge on procurement fraud.

In section 2, I will restate the purpose statement, the role of the researcher, the

participants for this study, and the research method and design. Section 2 will also

include the sample, data analysis plan, data collection methods, and ethical

considerations.

Section 2: The Project

In Section 2 of this qualitative study, I will include the purpose statement and a

discuss my role as the researcher regarding data collection. I will also discuss the study

participants, the research method and design, and population and sampling. Finally, I

discuss ethical research, data collection instruments, techniques, data analysis, reliability,

and validity.

Purpose Statement

The purpose of this qualitative multiple case study was to explore the strategies

used by managers in the Ghanaian gold mining industry to successfully detect, control,

and prevent procurement fraud. The target population for the study consisted of six

procurement managers of the major gold mining companies in Ghana who have

successfully detected, controlled, and prevented procurement fraud in their respective

organizations. I assumed that managers in the mining companies can increase funds

budgeted for their corporate social initiatives by reducing revenue lost through

procurement fraud and using these funds to provide schools, roads, hospitals, and

portable drinking water required for the social well-being of the people in communities.

Role of the Researcher

The researcher plays an essential role in research. The researcher’s role is to

collect, analyze, organize, interpret, and understand data to determine the meaning of a

phenomenon (Kornhaber et al., 2015) and report the research outcome (Yin, 2018).

Additionally, the researcher’s role involves having an objective without bias, meaning

there is no initial definitive objective before enacting a qualitative study (Creswell &

Creswell, 2018).

Qualitative researchers are the primary instruments for data collection,

interpreting data through their lens (Ho, 2012). As the researcher, my role was to collect,

organize, and interpret data to report on the results and draw conclusions from them. I

conducted semistructured interviews with open-ended questions as I explored strategies

that managers in the mining industry use to detect, control, and prevent procurement

fraud. As the primary data collection instrument, I was responsible for avoiding biases

because they can affect the research outcome (see Berger, 2013). To mitigate biases,

researchers must identify their personal views to understand that of the participants

(Marshall & Rossman, 2016; Yin, 2018). I avoided biases by using member checking to

validate the participants views and recorded interviews for accurate transcription for data

integrity (see Yin, 2018). Using member checking in qualitative research maintains

validity and it is an integral part of creating trustworthiness in a qualitative study

(Candela, 2019).

Knowing that my professional and personal experience gives me knowledge on the topic,

I ensured that participants answered interview questions without any interference or

imposition of answers reflecting my views. I also ensured my personal biases, ideas, and

judgments did not influence the research through bracketing, a process of disregarding

personal biases, ideas, and judgment in research (see Sorsa et al., 2015). Additionally, the

researcher needs to be aware of personal and professional bias through self-reflection or

self-evaluation (Berger, 2013). As a young professional and the head of the supply chain

of a mining company in Ghana with two supply chain-related professional qualifications,

I am aware of the challenges in the sector when it comes to procurement. I joined my

current employer as a supervisor and witnessed several fraudulent acts in the procurement

process, influencing my choice of study. I have been part of an investigative team on a

fraud case and called to defend an action perceived to have breached established

procedures. I understand that this experience raised the possibility of bias as the

researcher and the primary data collection instrument. However, even though I was

familiar with the procurement process of the mining industry and had knowledge of the

phenomenon, I had no personal or professional relationship with the participants. I did

not expect any form of influence on the study. It is also the researcher’s role to ensure the

study was conducted ethically by protecting the participants as required by the National

Institute of Health regarding the protection of human research participants. I applied the

1979 Belmont Report, which covered consent, disclosure, confidentiality, anonymity, and

biases. I ensured participants understood the intent of the research and gained informed

consent from them by transparently disclosing every material fact in terms of their risk

exposure as participants in this study.

Using the same semistructured, open-ended questions for all participants also

helped to ensure consistency in the data collection. An interview protocol with open-

ended questions guides and enables a researcher to elicit the best possible responses from

participants. There are four stages for an interview protocol: (a) aligning research

questions with interview questions; (b) formulating an inquiry-based discussion on

specific information; (c) receiving helpful feedback on participants to enhance reliability;

and (d) orchestrating the interview protocol in actual conditions simulating space,

process, recording, rapport, and consent (Castillo-Montoya, 2016). I followed this

protocol with the same questions for each participant for consistency and fairness (see

Fusch & Ness, 2015).

Participants

Conducting a study requires the researcher to engage a sample of people to

represent the broader population. The population refers to organizations that share some

characteristics of the phenomenon under study (Asiamah et al., 2017). In a case study, the

selection of research participants depends on the research question. (Yin, 2018).

Participants should have characteristics that relate to the overarching research question

and the purpose of the study (Dasgupta, 2015; Zupancic et al., 2019). Developing

strategies to deal with procurement fraud lies with top management. Participants for this

study were procurement managers in the mining industry who successfully controlled,

detected, and prevented procurement fraud in their organizations.

There are several ways to access research participants. The sponsor approach

allows the researcher to access the participants through an executive leader (Fletcher et

al., 2016). The use of highly influential trusted people can influence the attitudes,

opinions, beliefs, and behaviors of people in the organization (Lim et al., 2018).

Gatekeepers are also an effective way a researcher can gain access to research

participants and establish a working relationship with them (deGama et al., 2016). I used

the gatekeeper approach by contacting the secretariat of a supply chain technical

committee as a gatekeeper for the contact details of the participants. I sent an initial email

to the participants and followed it up with a call to solicit their readiness to be part of this

study.

To get participants to be part of the study, the researcher must build a working

relationship. The researcher needs to build a rapport with the participants to avoid anxiety

in answering the interview questions. Rapport building facilitates working relationships

and allows the researcher to elucidate the rules of engagement to the participants

(Bowden & Galindo-Gonzalez, 2015). I used the interview protocol to establish a

working relationship with the participants. At the start of each interview, I reminded the

participants of the voluntary nature of their participation, assured them of confidentiality,

and explained my expectations.

Research Method and Design

Research Method

The choice of a research method and design is dependent on the topic and the

purpose of the study. The three critical elements of a research method are (a) the forms of

data collection, (b) analysis, and (c) interpretation (Abutabenjeh & Jaradat, 2018). The

researcher has a choice to use the quantitative method with close-ended questions, using

statistical analysis and interpretation method to get the overall results, or the qualitative

method with open-ended questions, using text and image analysis or interpreting themes

and patterns to get the overall results (Corbin & Strauss, 2015). Researchers may also use

the mixed method: a combination of quantitative and qualitative methods. The researcher

may choose a combination of qualitative and quantitative methods because of the

phenomenon’s complexity (Khoo-Lattimore et al., 2019). Other factors like time

available for the study, the purpose of the study, and the researcher’s personal experience

also influence the choice of research methods (Creswell & Creswell, 2018).

The quantitative methodology covers a range of specialized topics and

approaches. Within the scope of quantitative methodology, inferential statistics cover the

techniques researchers use to explore in-depth relationships between variables (Wang et

al., 2016). Generally, the underlying principles of quantitative research are deduction and

logic, focusing on measurable variables in human experience (Fan-Ko et al., 2018). The

researcher uses the quantitative method to establish the prevalence of practices,

behaviors, and beliefs and estimate how the strength of reciprocal causal associations

changes over time (Abutabenjeh & Jaradat, 2018). The purpose of this study was to

explore strategies used by managers in the mining industry in Ghana to deal with the

challenge of fraud in the procurement process, which made quantitative methods

inapplicable.

The mixed-method employs both quantitative and qualitative approaches. The

mixed method is increasingly becoming an accepted approach (Coyle et al., 2018;

Creswell, 2015). Mixed-methods include sequential mixed methods where the researcher

uses one method to expand further the findings of the other method, concurrent mixed

methods where the researcher uses both methods simultaneously and the transformative

methods where the researcher uses a theoretical lens as an overarching perspective within

a design that contains both quantitative and qualitative data (Abutabenjeh & Jaradat,

2018). Mixed-methods have been encouraged because of the flexibility to integrate with

other research approaches (Plano Clark & Ivankova, 2016), making it easier to address

complex problems (Ivankova, 2015). The underpinning objective of mixed-method

research is to infuse data sets from both quantitative and qualitative to arrive at justifiable

conclusions in one study (Ivankova, 2017). Despite the advantages of mixed methods, the

approach did not apply to the purpose of this study.

I employed the qualitative methodology for this study to explore strategies used

by managers to detect, control, and prevent procurement fraud. Using the qualitative

method gives the researcher insight into social life, the experience, and people’s attitudes

(Creswell & Creswell, 2018). In the qualitative method, the focus of the study is on a

natural setting with a phenomenon that the researcher does not seek to manipulate

(Dasgupta, 2015). Using qualitative method the researcher focuses on subjectivity,

individuality, and integrity to understand meanings, functions, goals, and intentions

(Bansal et al., 2018). Researchers also use qualitative methods to understand the meaning

people bring to a phenomenon (Wang et al., 2016). Qualitative methods are flexible and

adaptable and allow the researcher to adapt the methods to their specific research

questions, samples, or context of data collection, which means researchers can mold the

method to the needs of the data and the sample (Denzin & Lincoln, 2017; Gehman et al.,

2017). The qualitative method offers the researcher variety among different approaches

regarding the data and materials that can be analyzed, the assessed content, and the

coding and treatment (Bansal et al., 2018). Further, the qualitative method is most

appropriate, where the researcher’s focus is to understand how something happens rather

than the results (Dasgupta, 2015). I chose a qualitative method for this study because the

method was ideally suited to explore and understand strategies procurement managers

use to deal with procurement fraud, not to measure the phenomenon.

Research Design

The research design options for a qualitative study include ethnography, for

exploring beliefs and ideas of a group; phenomenology where the researcher explores the

collective experiences and meanings of several individuals about a given phenomenon or

event (Quay, 2015; Symeonides & Childs, 2015); and a narrative design where

researchers explore individuals’ life experiences and form a narrative (Marshall &

Rossman, 2016). These designs were not appropriate for this study because I did not

intend to explore individuals' experiences or beliefs of a group. In contrast, a case study

design is most appropriate for answering how and why research questions in a study when

investigating a phenomenon within a real-life context (Yin, 2018), which gives a fuller

understanding of the nature and complexity of the phenomenon (Moghadam et al., 2018).

The design is also appropriate for understanding complex social phenomena and events

surrounding organizational and managerial processes. Additionally, case study research

has more flexibility than other qualitative approaches such as grounded theory or

phenomenology. The design of case studies suits the case and research question (Sanders,

2019). Further, a case study gives an in-depth understanding of the viewpoint of several

participants using multiple data sources (Yazan, 2015).

In qualitative research using a case study, a researcher may choose a single or

multiple case design. A multiple case study is a strong base for theory building (Yin,

2018). Moreover, comparing different organizations gives rich data necessary for

discovering categories and developing and relating their theoretical properties, which are

necessary for further developing the emergent theory (Dasgupta, 2015). The reasons

supplied by these researchers helped me decide to use the multiple case study design for

this study.

Population and Sampling

The population for a study is the broader group the researcher wants to conclude

on (Etikan et al., 2016). Making population and sampling decisions in research has a link

to decisions on which research method to use (Abutabenjeh & Jaradat, 2018). The target

population for this study was six procurement managers from the major gold mining

companies in Ghana who have successfully implemented strategies to detect, control, and

prevent procurement fraud in their respective organizations.

I used the purposeful sampling method to choose the participants. A researcher

uses purposeful sampling to select cases that give in-depth and rich information to

provide insight and understanding of a phenomenon or topic of interest (Benoot et al.,

2016). This sampling method can be appropriate for case study research to validate a

sample because the researcher can establish common themes to cover multiple variations

of the topic of interest (Knechel, 2019; Thorne, 2016). Purposeful sampling is also a way

to avoid sample bias by selecting firms based on their relation to the phenomenon under

study (Bristowe et al., 2015; Morse, 2015). Purposive sampling is most used for

qualitative studies because rich data is collected and requires fewer resources with a

small sample size (Barratt et al., 2015). The criteria for selecting the participants included

the following: (a) have been in the current position at least 3 years, (b) have been in the

gold mining industry for at least 5 years, and (c) have implemented strategies for

detecting, controlling, and preventing procurement fraud.

Achieving data saturation is essential to qualitative research (Rowlands et al.,

2015). In qualitative research it is a way the researcher ensures the data collected is

accurate and valid. Data saturation is necessary to determine the sample size for a study

and it allows a combination of rich quality and a thick quantity of data (Fusch et al.,

2016). The sample size can influence data saturation, and even a small sample size of one

may be enough to achieve data saturation (Etikan et al., 2016). Data saturation is when no

new data is collected, no new patterns evolve, and no new codes emerge (Fusch & Ness,

2015; Tran et al., 2016). Using purposeful sampling with a small number of case study

participants assures the researcher of data saturation (Charles et al., 2015; Malterud et al.,

2016). Although achieving data saturation is high when using purposive sampling,

empirical generalizability is impossible during data analysis (Mikkonen et al., 2015). I

ensured data saturation by looking out for evidence of replication when I analyzed the

data (see Parker & Bull, 2015).

Ethical Research

Conducting ethical research and respecting and protecting participants’ human

rights and privacy is an essential requirement. The researcher’s responsibility is to ensure

that participants are protected (Scherzinger & Bobbert, 2017). The researcher must

adhere to the ethical guidelines to protect the right of human participants and ensure that

participants are respected (Metcalf & Crawford, 2016; Roberts, 2015). The researcher is

also responsible for protecting the anonymity of the research participants and storing the

collected data in a confidential manner (Mazorodze & Buckley, 2019).

I ensured approval from the institutional review board (IRB) before engaging the

interview participants. Upon IRB approval, I solicited voluntary participation from the

participants by sending them an email of a consent form, and they consented by reply to

the email with ‘I consent’ (see Wallace & Sheldon, 2015). The consent form adds to the

importance of ethically conducting a study with participants’ free will (Aarons et al.,

2015). I included in the consent form a statement of participants’ right to withdraw from

the study at any point without any challenge by writing to inform me of their withdrawal.

I also included a statement of assurance of confidentiality, an essential requirement in

ethical research (see Harriss & Atkinson, 2015). In protecting the participant’s identity, I

assigned alpha-numeric codes (i.e., A1, B1, C1) to each participant, where the letter

represents the company and the numbers of the participants. For clarity and verification, I

informed the participants of my intention to audio record the interviews. All consent

forms received are documented and electronically filed to verify agreement to contribute

to the study (see Yin, 2018). I did not offer any incentives to the participants.

I completed the National Institute of Health web-based training on protecting

human research participants and understand its requirements. I followed the guidelines

where applicable to protect the participants and refrained from data collection until IRB

approval. I also adhered to the Walden code of conduct and the guidelines provided in the

Belmont Report. I stored all data gathered from participants during the interviews and all

other documents in a protected external hard drive in a safe area. I intend to keep them

for 5 years before destroying them by burning.

Data Collection Instruments

The researcher in a qualitative study serves as the primary data collection

instrument (Rich & Misener, 2017). As the primary instrument, I could not have

separated myself from the research (see Fusch & Ness, 2015), and was responsible for

asking questions, listening to participants, taking records of responses, developing themes

from participants, giving feedback, and analyzing data gathered (see Rich & Misener,

2017). The other data collection instrument I used was semistructured interviews, which

required developing questions from established themes prepared to solicit in-depth

insight into the participants’ views on the phenomenon (DeJonckheere & Vaughn, 2019).

Interviews are the most used data collection instrument in qualitative studies (Yin, 2018).

Using semistructured interviews with open-ended questions allows the researcher to

collect rich data, as participants express their experiences in their own words (Twining et

al., 2017). The use of semistructured interviews also allows the researcher to ask the

same set of questions that will facilitate comparisons among responses from the

participants with the flexibility of asking follow-up questions (Yin, 2018).

I conducted face-to-face interviews with some of the participants, and for some,

the interview was virtual. The face-to-face approach helps the researcher observe

participants’ body language and gestures (Seitz, 2016). Additionally, researchers must

ask questions following an interview guide for structure and consistency (DeJonckheere

& Vaughn, 2019; Vohra, 2014), which helps achieve data saturation (Fusch & Ness,

2015). I developed and followed an interview protocol, which contained my introduction

to the participant, a summary of the purpose of the study, assurance of confidentiality,

and their role as participants (Appendix C)

To ensure that I did not miss any information given, I recorded the interviews

electronically, which helped me to capture exact responses from the participants,

preserving the full content of the interview and facilitated data analysis (see

Bahraminejad et al., 2015; Bristowe et al., 2015; Starr, 2014). I also took notes to

compliment the audio recording. To ensure the validity and reliability of the data

collected, I shared the initial analysis with the participants to review and confirm their

responses and possibly provide feedback. Allowing participants to review and confirm

responses is the process of member checking, which ensures reliability and validity (Birt

et al., 2016).

Organizational records and documentation are also good data sources for

qualitative research following a case study design. Combining data from documents and

interviews enriches the study’s outcome (Bayram et al., 2016). Assessing multiple data

sources leads to triangulation, another means of achieving saturation and validity (Fusch

et al., 2016; Morgan et al., 2017; Turner & Danks, 2014). Some participants shared with

me copies of the organization’s policy on commercial transactions and code of conduct.

Data Collection Technique

Data collection involves gathering and determining information that helps the

researcher find answers to research questions and evaluate results (Mays & Pope, 2019).

There are various techniques for collecting data in a qualitative study: (a) documentation,

(b) archival records, (c) interviews, (d) direct observation, (e) participant observation, and

(f) physical artifacts (Yazan, 2015). I conducted semistructured, face-to-face, and virtual

interviews with open-ended questions using audio recording, and reviewing company

documents. For the convenience of participants and to avert any distractions, the location

for the interview were decided by the participants. At the beginning of each interview, I

read out the consent form to the participants (see Appendix D). The interviews were

audio-recorded to capture the exact response from the participants for accuracy during

transcribing (see Speer & Stokoe, 2014). I ensured the validity and reliability of data

collected through the audio recording (see Neal, Neal, VanDyke, & Kornbluh, 2015).

Using audio recording has limitations; there is the likelihood of skipping responses

during transcription. Also, the audio quality can be affected if the interview location is

noisy (Neal et al., 2015).To avert this, I used two different devices at the same time for

the recording.

Using interviews in research comes with numerous advantages. Interviews are a

rich and vital source of evidence in a study (McIntosh & Morse, 2015). Interviews also

allow both researchers and participants the flexibility to express themselves in an open

discussion, enhancing the collection of valuable data (Anna-Maija et al., 2016).

Additionally, the researcher has contact with the respondent either face to face or via

phone, so there is the flexibility of clarifying all ambiguities and discussing other issues

that may come up (Buytaert et al., 2016). The researcher can rephrase questions that are

not clear to the participants (Laura et al., 2016).

Interviews as a data collection technique also have some disadvantages too.

Disadvantages include the likelihood of bias, poor recall, inaccurate articulation on the

part of the respondent, and the researcher may have to complement data gathered from

the interview with other sources of evidence to ensure reliability (Alderete & Davies,

2019). Also, there is a potential lack of interest in the topic by the participants despite

agreeing to participate (Drew, 2014). However, a face-to-face interview allows the

researcher to observe participants and gain a deeper understanding of the phenomenon,

and multiple observations may be required to enhance reliability (Marshall & Rossman,

2016).

Observation as a data collection technique allows the researcher to observe the

interviewees’ body language and gestures that impact their verbal responses (Marshall &

Rossman, 2016). During the interview, I also observed the participants. Using

observation allows for very accurate and reliable data to be collected; it improves the

precision of the research results and limits challenges from depending solely on

participants’ responses (Mike, 2017; Onwuegbuzie & Smit, 2018). Some limitations to

observation are that; the researcher cannot use observation to study past events,

observation alone cannot give a complete and factual reflection of an issue

(Onwuegbuzie, & Smit, 2018).

Using organizational records or documents in qualitative research complements

and enriches data collected during interviews. Documentation could be a source of

background information with broad coverage of data that is useful in contextualizing

one’s research within the subject or field and can also be a source of unobservable data

details (Bowen, 2009). Yin (2018) also suggested that documentation can contain the

exact names, references, and details of events covering a long period and several settings.

However, organizational documentation will require some investigative skills because

preparing it is without a research agenda (Bowen, 2009). O’Leary (2014) argued that it is

essential to subject documents to a thorough evaluation and investigation so not to

undermine the credibility of the research. Access to documents may be deliberately

withheld or cannot be easily retrieved (Yin, 2018).

Further, I sent participants a summary of the transcribed data to achieve validity

and reliability, emphasizing key points to check if it represents their responses. Using the

member checking process enhances the integrity of the study and removes biases.

Member checking is a quality control process (Birt et al., 2016). It allows the participants

to review collected data for accuracy and make corrections to enrich it (Roche et al.,

2015). After completing the analysis, I asked participants to review a summary of the

findings.

Data Organization Technique

Organizing data in a qualitative study is essential for the researcher to analyze

data, support findings, and protect participants’ confidentiality (Bernard et al., 2016; Yin,

2018). The data organization technique enhances the reliability of the study (Roer-Strier

& Sands, 2015). There are four principles of data collection: using multiple sources of

evidence, creating a case study database, maintaining a chain of evidence, and exercising

care in using data from electronic sources (Yin, 2018). Six sources of evidence for

qualitative study include documentation, archival records, interviews, direct observations,

participant-observation, and physical artifacts (Yin, 2018).

I used a reflective journal to make some notes of the depth of knowledge that

participants shared. A reflective journal is another means of ensuring the quality and

validity of qualitative data (Vicary et al., 2016). Researchers also use reflective journals

to avert biases and influences on the study’s conclusions (Peters & Halcomb, 2015).

Microsoft Excel and NVivo software are tools researchers use in qualitative data

organization, analysis, and reporting. The software can identify themes, evaluate

findings, and interpret them in answering the research questions (Robins & Eisen, 2017;

Zamawe, 2015). During the data analysis, I labeled and coded the data to identify patterns

and common themes. A coding system makes it easier to search, compare, and analyze

data by identifying patterns and themes (Bernard et al., 2016). Using codes also helps the

researcher translate specific responses into broader meanings and themes (Skjott

Linneberg & Korsgaard, 2019). I identified participants with alphanumeric codes such

A1, B2, and a generic name for all documents such as Document 1. To ensure an

organized data, I created a folder for each of the participants and case company. In that

folder, I kept respective documents from each participant labeled alphanumerically (e.g.,

A1 consent form, B2 interview transcript)

It is critical to secure data collected during research against loss, misuse,

unauthorized access, alteration, destruction, and disclosure (Schneider & Iacobucci,

2020). Researchers can ensure the protection of participants and the information collected

by putting in security measures that prevent unauthorized access to the data (Johnson,

2015). I stored all data collected on a password-protected external drive, together with

transcripts and audio recordings, in a locked cabinet to be destroyed after 5 years by

burning.

Data Analysis

When data is collected or gathered, the next step for the researcher is to analyze

and interpret the data to draw meaning from it (Cridland et al., 2015). Analyzing data at

this point means examining, categorizing, tabulating, and testing the data to come out

with findings (Noble & Smith, 2015). Triangulation is the process of combining data

from different sources to ascertain the reliability and trustworthiness of findings and

study results (Modell, 2015). The researcher uses triangulation to collect and evaluate

data of various levels and perspectives regarding document and interview materials

(Fusch & Ness, 2015). The researcher also uses triangulation to identify themes in data

from multiple sources (Johnson, 2015; Modell, 2015). Patton (2015) identified four types

of triangulation (a) data triangulation is the use of multiple sampling strategies, (b)

investigator triangulation involves multiple researchers, (c) theory triangulation is the use

of multiple theories to analyze the data (Modell, 2015), and (d) methodological

triangulation involves comparing multiple data sources in analyzing the data. I achieved

methodological triangulation by conducting semistructured interviews and reviewing

company documents. Methodological triangulation aids the researcher in overcoming the

weakness or the potential bias of using only one source of data (Joslin & Müller, 2016).

Fusch and Ness (2015) also advised that using a single data analysis method is

insuficient to represent a research phenomenon. Methodological triangulation allows the

researcher to combine data from interviews, company documents, and published

literature enhancing data validity (Wilson, 2016; Yin, 2018)

The data analysis process helps the researcher to draw meaning by categorizing

the data into groups or themes (Bengtsson, 2016). Data analysis, according to (Yin, 2018)

involves five steps below.

The compiling phase is the process of organizing the data to create a database.

The objective is to organize the data systematically before formal analysis starts. Yin

(2018) claimed that more orderly data is a prerequisite to more vital analyses and quality.

After the initial compilation, the researcher breaks down the data into fragments to reduce

and remove consistent themes of the phenomenon under study.

The reassembling process involves clustering and categorizing the labels into a

sequence of groups. At this point, the researcher makes connections with the data

collected and identifies patterns and themes. This stage involves developing the

narratives from the sequence of groups. Yin describes this stage as the craft of giving

meaning to the reassembled data and patterns.

According to Yin, the conclusion is an overall statement that captures the broader

significance of the study. Conclusion is the final stage where the researcher completes the

study and presents the results. Here the researcher states the processes and the methods of

the research and details any limitations.

I followed Yin’s suggestion to analyze the data for this study. I used the NVivo

software to arrange, analyze, and attain themes of the collected data. The NVivo software

can evaluate nodes within a complex matrix (Woods et al., 2016). Researchers have used

the software successfully to identify relations in the data and obtain new meanings and

patterns, evaluating consistencies and convergences in data (Mertens & Hesse-Biber,

2015).

To adequately represent a research phenomenon (Fusch & Ness, 2015), advise

using multiple data analysis methods. After collecting data through semistructured face-

to-face interviews, virtual interviews (telephone and teams), and review of company

documents. I transcribed the audio recording of each interview into a Microsoft word

document. I then uploaded the transcription into the NVivo software to code identify

emerging themes. The NVivo software can analyze interview data and create codes and

themes quicker for the study (Ruggunan, 2016).

I used the NVivo software to create labels from the data and break down words,

phrases to make meaning from the data (Bengtsson, 2016). I further used the NVivo

software to analyze the data and categorize similar responses from participants to form

larger groups of themes. I then identified the key themes by reassembling them until no

new ones emerged, achieving data saturation. ( Hennink et al., 2017). I employed

thematic analysis to interpret the data gathered from the interviews to identify patterns

(Crowe, Inder, & Porter, 2015). According to Crowe et al. (2015), researchers using

thematic analysis follow a five-step process; (a) building familiarity with the research

data by the repetition of the interview transcripts, (b) generating initial codes from the

reading while keeping the research question in mind, (c) identifying and grouping

themes by related ideas, (d) defining and naming the themes, (e) illustrating with

reference to the interview transcripts.

In interpreting the data, I used the emerging themes and patterns to create

narratives in line with the overarching research question and the literature review

specifically, aligning the identified themes through the lens of the fraud triangle. I also

compared the results of this study with other studies to explore strategies for managers in

gold mining companies to detect, control, and prevent procurement fraud.

Reliability and Validity

Researchers in qualitative studies are required to build trust in their research

conclusions and findings by ensuring that they present a statement of facts, uniformity,

and accuracy (Eisner, 2017). Building trust in a study requires an effective data analysis

technique that projects the reliability and validity of the study (Roller & Lavrakas, 2015).

Research reliability and validity encompasses several attributes (Taylor et al., 2015),

dependability, credibility, transferability, and confirmability (Morse, 2015; Roller &

Lavrakas, 2015).

Reliability

The decisions made by a researcher during a study may influence the result of the

study one way or the other, especially in a qualitative study when the researcher is the

primary data collection instrument. Researchers must be aware of their influence and

review their decision to prevent an impact on the reliability of the study (Yin, 2018).

Reliability is a critical element that supports the conclusions and results (Marshall &

Rossman, 2016). Reliability explains the extent to which study results and conclusions

drawn will be the same under similar conditions by repeating the study using the same

process (Yin, 2018). Reliability also means other researchers could repeat the study in

similar conditions and time and get consistent results (Marshall & Rossman, 2016; Rose

& Johnson, 2020). Reliability also relates to the consistency of the research findings over

time (Hayashi et al., 2019). I used a rigorous interview protocol and member checking

technique to enhance the dependability of this study. The researcher uses member

checking to ascertain the accuracy of the data collected because participants will have the

opportunity to confirm or challenge the responses recorded and any anomalies corrected

(Birt et al., 2016). All participants answered the same questions, and I used this technique

to ensure the study’s dependability and data saturation. (Rubin & Babbie, 2016).

Validity

Validity refers to the extent to which the findings of a study reflect the data

(Noble & Smith, 2015) According to (Leung, 2015) the suitability of research method,

design, sample size, data collection and analysis technique, and how they relate to the

overarching research question influences the validity of the study. Also, credibility,

transferability, and confirmability characterize the study’s validity (Roller & Lavrakas,

2015).

Credibility

The result of a qualitative study is a generalization from the sample to the target

population (Cypress, 2017; Leung, 2015; Noble & Smith, 2015). A study is said to have

credibility when the findings reflect the accurate picture of the phenomenon, and readers

and other researchers can trust without a doubt (Nyhan, 2015; Percy et al., 2015).

Merriam (2015) puts credibility as adopting the appropriate research method, effective

sampling technique, and data triangulation using diverse sources. I selected the research

participant through purposeful sampling, maintained a rapport with them throughout the

study, and used methodological triangulation and NVivo software to ensure credibility.

Several researchers have commended member checking as an effective means of

ensuring the credibility of a study (Connelly, 2016; Marshall & Rossman, 2016; Yin,

2018). When participants can confirm their responses to interview questions as recorded

by the researcher, it enhances the credibility of the information used to draw the findings

and conclusion of the study (Milosevic et al., 2018). I ensured that the data analysis and

interpretation were based on the participants’ knowledge and understanding based on

their responses and avoided imposing my personal view. I also ensured credibility

through member checking by sharing the analysis summary with participants and

ensuring that all feedback received were incorporated in the final analysis.

Transferability

Transferability is the extent to which research data and findings apply to another

study sometime in the future. Other researchers should use the results and findings of a

study for other research of similar interests (Bengtsson, 2016). Transferability also refers

to the extent to which the results and findings of a study apply to other organizations with

a similar phenomenon (Nowell et al., 2017). To ensure transferability, I recorded every

detail of data, and provided a complete description of findings and results so readers and

future researchers can assess transferability. According to Lub (2015), a detailed

description of the context, location, participants, and study analysis facilitates

transferability.

Confirmability

Yin (2018) argued that the researcher establishes confirmability by ensuring that

research findings reflect participant responses while mitigating researcher bias. The

researcher should demonstrate that the data represents and reflects the participants'

responses, not the researcher's viewpoint. I ensured conformability by recording,

transcribing, and reviewing responses from participants (Noble & Smith, 2015; Yardley,

2017). Using member checking will help the researcher avoid the possibility of

misinterpretation and misrepresentation (Leung, 2015). I have also kept copies of all

documents reviewed for verification and to substantiate findings (Venkatesh et al., 2016).

I used reflective journals and data triangulation to ensure conformability (Tong & Dew,

2016).

Data Saturation

According to Fusch and Ness (2015), reaching data saturation means that no new

themes relevant to the research question will emerge when other researchers replicate the

study. The authors claimed that qualitative researchers could reach data saturation by (a)

selecting an appropriate sample size, (b) using purposive sampling, (c) asking the same

questions to multiple participants, and (d) using data triangulation. Charles et al. (2015)

used the term informational redundancy to describe data saturation, a point where

additional data collection will have no value or contribution to the study. I ensured data

saturation by repeatedly asking the same question from all participants until no new

information emerged.

Transition and Summary

In section 2, I have discussed the different stages of the research project. These

steps included discussions on the purpose of the study, the role of the researcher,

participants, population, the research design, and methods. I have also discussed the data

collection instruments, techniques, data analysis, ethical considerations, and how I will

ensure the study's reliability and validity. In Section 3, I present the research findngs,

how the study results were appropriate for strategies to prevent, detect and control

procurement fraud, recommendations for action and further research, implications for

social change, and applications to professional practice.

Section 3: Application to Professional Practice and Implications for Change

The purpose of this qualitative multiple case study was to explore the strategies

used by managers in the Ghanaian gold mining industry to detect, control, and prevent

procurement fraud successfully. I used an interview protocol to conduct a semistructured

interview with six procurement managers who have at least 5 years of experience in

Ghana’s gold mining industry and 3 years of experience in their current position. I

conducted four of the interviews at the participants’ place of work, one outside the work

environment, and one through telephone conversation. I used the data collected from the

participants to address the overarching research question: “What strategies do managers

in the Ghanaian gold mining industry use to detect, control, and prevent procurement

fraud successfully?” I used member checking to validate findings with participants and

ensured validity and reliability through methodological triangulation by examining

published literature and company documents which included (a) company code of

conduct, (b) whistle-blowing policy, and (c) procurement policy and standard procedures.

This section describes the emerging themes from the interviews with procurement

managers regarding successful strategies for preventing, detecting, and controlling

procurement fraud in the gold mining industry. This section also includes the findings of

the study and addresses how the findings apply to professional practice, the implication

for social change, the recommendation for action, future research, and the conclusion of

the study.

Presentation of the Findings

The overarching research question for this multiple case study was “What

strategies do managers in the Ghanaian gold mining industry use to detect, control, and

prevent procurement fraud successfully?” I made audio recordings of all interviews,

transcribed them into Microsoft Word files, and sent the responses back through email to

participants for member checking to validate their responses and ensure accuracy. I then

uploaded the validated responses into the NVivo software for analysis and theme

identification. From the data analysis, the following three themes emerged: (a) internal

control is effective in preventing, controlling, and detecting procurement fraud; (b)

effective communication through ethics and anti-fraud training for employees; and

suppliers (c) realistic job descriptions with fair remuneration.

Table 2

Strategies Used to Prevent, Detect, and Control Procurement Fraud

Strategy

Frequency

mentioned.

Percentage of

participants

Internal controls

6 100%

Policy communication and training

5 83%

Realistic job descriptions with fair

remuneration

6 100%

Theme 1: Internal Control is Effective in Preventing, Controlling and Detecting

Procurement Fraud

The first theme that emerged from the data analysis is internal controls. From all

the participants, the organization’s internal controls are crucial to preventing and

controlling procurement fraud. The participants mentioned various internal control

measures established to avert the occurrence of procurement fraud: (a) periodic audit of

commercial transactions; (b) established company policies which include whistle-blower

policies, established code of conduct, procurement policies, and established anti-bribery

and corruption policies; (c) authority levels for transaction approval; and (d) the use of

information technology in the procurement process (procurement software). Table 3

below presents the frequency of the emerging themes and percentage responses.

Table 3

Frequency of Internal Control Measures by Participants

Internal control measures

Frequency

mentioned

Percentage of

participants

Periodic audit of commercial transactions

5 83%

Established company policies (whistle-

blower, code of conduct, conflict of

interest)

6 100%

Authority levels for transaction approval

5 83%

The use of Enterprise Resource Planning

procurement software

6 100%

Organizations adopt internal controls to secure their assets, improve the reliability

of their accounting records, prevent, and detect fraud (Mangala & Kumari, 2017). The

findings from the theme internal control reflected the literature on the effectiveness of

internal controls in preventing and detecting procurement fraud. For example, Mufutau

and Mojisola (2016) highlighted internal controls to prevent procurement fraud. The

authors suggested a combination of audit, code of conduct, whistleblowing, fraud risk

assessment, antifraud professionals’ services, reference check, data mining, firewall,

antifraud policies, and training as effective to fight against fraud. Salleh and Othman

(2016) also suggested that regular monitoring of internal controls and corporate

governance effectively reduces the occurrence of fraud.

The responses from all the participants showed that the establishment of various

internal control measures has averted or reduced the occurrence of fraud in their

respective organizations. P1 stated:

I think what has worked for us over the years is the measures we have put in place

internally, I mean the checks and balances, it starts from the very time an

employee joins the team, you go through an orientation of the company’s policies,

and after the orientation, you sign off as commitment to abide by the rules. There

are disciplinary actions attached to some of the policies, for example, the conflict

of interest, code of conduct, and anti-bribery and corruption (ABC policy). The

fact that people were required to sign these documents after the orientation makes

them scared to go contrary to the provisions.

P2 said,

Our internal controls are very tight, and this deters people from engaging in

anything unethical; even managers cannot just approve any transaction, you have

your limit, it is not possible to approve beyond your limits the system will not

allow it, there are half-year and end of year audits where procurement or the

entire supply chain is the focus.

From the responses, there are approval thresholds for initiated purchase orders for goods

and services. For most mining companies, the procurement officers are responsible for

initiating purchase orders in the electronic system, and then an alert can be automatically

sent to another officer depending on the value of the order. This response also reveals that

no one person can initiate an order and approve it himself. All the participants confirmed

that procurement officers responsible for initiating the orders in the system have no

authority to approve even a dollar value purchase order. On the other side, no manager

has a system authorization to raise an order. Aside from the controls in the ERP system,

these are explicit in the companies’ procurement policies. P3 stated:

We have in place policies and specific controls, e.g., periodic audits that include

midyear and end of year inventory counts and procurement audits by internal and

external auditors. This is a norm, and so you know you cannot hide any wrong

deed. The ERP procurement software is also a way of deterring people from

fraudulent deals; it has been programmed to have integrity functions that can raise

red alerts of any suspicious activity for scrutiny.

P4 disclosed:

For this company, we have come a long way in the fight against fraudulent

procurement activities, I can say that at the very beginning of the project, things

were not very structured, and people did things their way. However, as we started

production and established structures and procedures, people do things per the

rules. I will not say the policies have eliminated unethical or under-hand dealings,

but we will get there with periodic reviews of the procedures and policies.

The responses from all the participants showed that a robust internal control system

effectively prevents and detects procurement fraud. The responses confirmed research by

Manh and Thi (2018), who argued that achieving the objective of an organizational

policy is only possible through a robust internal control system. Mufutau and Mojisola

(2016) also argued that internal controls ensure compliance with applicable laws and

regulations. Some of the participants also explained that a consistent review of internal

controls makes it more robust over the period to avert fraud. This confirms the argument

of Chiu et al., (2019), Feng et al., (2015), and Hajiha and Bazaz (2016), who argued that

those robust internal controls make fraud unattractive to employees. Peltier-Rivest and

Lanoue (2015) further claimed that a robust internal control is an assurance mechanism.

Theme 1 is consistent with the conceptual framework of the fraud triangle, which

stipulates that for fraud to occur, an opportunity should exist. The study’s findings

revealed that a weak internal control, as suggested by Nawawi and Ahmad Saiful Azlin

(2018a), presents opportunities to commit fraud. As explained by P4, at the project

construction stage of the mine there are no policies and rules, creating opportunities for

fraud to occur. Such employees could rationalize their actions because they perceived

they were not flouting any rules. From the findings, robust internal controls could

eliminate the opportunities to commit fraud. Cressey (1953) said that employees commit

fraud when they identify opportunities, rationalize their thinking, and are under pressure.

The employee’s perception of a robust internal control influences their perceived

opportunity to commit fraud (Brown et al., 2016).

To ensure triangulation, I reviewed some of the policy documents of the

companies from which the participants were drawn. I observed specific details on the

code of conduct and ethical values; the procurement policy had specific thresholds and

responsibilities. I also reviewed a few training resources and documents on the issue of

ethics. I observed a common trend in the policies of the participating companies. The

numerous internal control policies revealed the organizational commitment to fight fraud.

This finding confirms Peters and Miniam (2016) argument that an organization’s culture,

environment, and ethical strategy play a role in whether employees have opportunities to

commit fraud.

Theme 2: Effective Communication Through Ethics and Antifraud Training for

Employees and Suppliers

The analysis showed that effective communication of policies on fraud through

training for both the company’s staff and its suppliers effectively prevents and detects

procurement fraud in the gold mining industry. Five of the participants mentioned

communication and training for supply chain stakeholders as one of the effective means

their companies have used to avert procurement fraud. The participants mentioned that it

was not enough to disseminate the company’s policies to its staff but periodically

organizing refresher training and roadshows to include the staff of major suppliers and

contractors has been critical in preventing procurement fraud. Apart from this, the

companies’ policies like antibribery and corruption, code of conduct, and conflict of

interest are summarized, printed, and pasted on major notice boards. They are also

electronically displayed on big screens at the lunch halls. Almost all the participants

mentioned that the organizational policies are on the company’s intranet easily accessible

to all workers. The findings of this study revealed that the system of communicating the

organizational policies, particularly on ethical business practices, helps maintain a high

level of ethical standards. P1, P2, P4, P5, and P6 discussed the periodic training of

procurement staff and suppliers on the company’s commitment to ethical business

dealings, and the various policies have been effective in preventing procurement fraud.

P2 noted,

Almost every quarter, there is training on the ABC and conflict of interest.

Anytime this training is organized, employees feel someone has done something

wrong. Sometimes an external expert facilitates the training on how to identify

fraudulent activities within the procurement process.

P4 stated

Our suppliers and contractors are also not left out on the quest to prevent fraud;

we believe they can influence employees to act unethically, so we organize

roadshows for them to understand our policies and the need to act ethically. They

are also informed of the whistleblower procedure, so they feel ok to report any

fraudulent act.

P5 agreed, stating,

When there is effective communication of policies, and the implications of going

against it, are clear to employees, they become conscious of their actions. When

procurement staffs are aware that suppliers or contractors know the policies with

the access to the whistleblowing line, they are careful how they conduct

themselves as they do not know which supplier can blow the whistle on them; we

have these policies. Just as we take safety issues on the mine seriously, so it is

with issues of fraud.

P6 explained,

Our employees do not commit fraud alone; they will collaborate with suppliers or

contractors in most cases. So, it is very effective to communicate and train both

sides; even if your employees are not doing it, suppliers can defraud the company.

For us, our training includes all and sundry in any transactional dealings. After

every training, everybody signs off attendance and gets small booklets that

summarize the main points discussed. If there is any breach, the first point of

investigation is to check these attendances and take the necessary action.

Most of the participants found effective communication of company policies and

antifraud training as effective in preventing procurement fraud. This finding aligns with

literature, as Robinson and Jonker (2017) suggested, training employees help them deal

with ethical dilemmas. Other authors (Aborbie, 2015; Albrecht et al., 2015; Kramer,

2015; Kummer et al., 2015) also confirmed that communication, training, and awareness

creation empowers managers and employees to eliminate opportunities for fraud in the

organization. Communication and training are also required for employees to understand

and appreciate management’s tone and commitment. This finding aligns with Suh and

Shim’s (2019) argument that a vibrant and proactive managerial efforts such as having an

‘ethical management tone’ with effective ethical training positively affect employees'

perceived corporate anti-fraud strategies. Participants acknowledged that an effective

communication and training program aids the understanding of the employee’s mindset.

They further confirmed the claim of Free and Murphy (2016) and Negurita and Ionescu

(2016) that the employee’s rationalization to commit fraud is quite elusive and

challenging and requires a greater sense of awareness. The participants also stated that

through communication and training, management gets to understand employees’

motives which confirms Cressey’s (1953) argument that it is vital to understand the

motive for committing fraud to deal with it. The theme aligns with the conceptual

framework in that managers can limit the rationalization of unethical behaviors and

eliminate opportunities for committing fraud through training and communication.

Theme: 3 Realistic Job Descriptions and Fair Remuneration.

From the findings, all participants believed that establishing clear and realistic job

descriptions with fair remunerations is key to preventing procurement fraud. The

participants noted when employees feel not well paid for their roles, they are likely to feel

cheated and use that as a rationale to commit fraud, especially for the procurement staff

who have access to the funds of the organization. The participants further noted that

when an employee is given too much responsibility over time, he may use that as a

rationale to indulge in fraud. Kennedy (2016) argued that providing incentives other than

regular income to employees who perform additional tasks well will take their minds off

fraud.

Participants identified as P1, P3, P4, and P5 noted that the perception about the

remuneration of mining workers puts much pressure on their finances. People perceive

mining workers as very well paid and rich, making them targets for financial assistance

from friends and family. In such an instance, they will resort to fraud to meet society’s

demands and status. The participants also discussed that the social recognition of mining

workers as very rich also makes some of them adopt a high social standard of living; if

they do not get what it takes to maintain that status, they may resort to fraud. e.g., P3

stated,

We know how people perceive the financial status of mine workers, and we also

know how some workers hold themselves in their various communities and the

lifestyle they adopt; if their remuneration is not reasonable, then it is a recipe for

disaster. Therefore, management and industry players have ensured fair

remuneration to prevent fraud occurrence.

P4 said,

Apart from monthly salaries, the company has instituted other monetary

incentives to complement the employees’ earnings. These incentives include

annual bonuses, profit sharing, performance-induced earnings, and access to

flexible compassionate loans just to ensure workers have sound minds to give

their best and avoid fraudulent acts.

The findings align with the arguments in the literature that confirm financial pressure as

the primary motivation for fraud (Albrecht et al., 2015; Imoniana et al., 2016). Mishra

and Singh (2017) argued that when employees are under much pressure to perform and

meet task goals, they are likely to commit fraud. Whiles Moorthy et al. (2015) support the

use of other incentives, they also caution the need for close monitoring to avert

mismanagement. The theme aligns with the conceptual framework; the fraud triangle as

the pressure element considers the lack of finance, lifestyle, social status as motivators

for fraud. The discussions revealed that employees who are well motivated according to

their job descriptions are less likely to engage in fraudulent acts. The financial need

creates the motivation for fraud and once provided, the likelihood for fraud to occur is

low.

Applications to Professional Practice

As companies expand and extend their geographic presence, the procurement

cycle becomes more complex and involves high monetary value and many transactions.

Such a situation gives rise to the temptations and opportunities to commit fraud and

presents significant challenges in detecting and preventing it from occurring. Global

statistics show that procurements occur at almost every stage of the procurement process

(Patterson et al., 2018). The risk is eminent in all business sectors. Business managers

across sectors can apply the findings of this study by incorporating some of the strategies

implemented by participants to detect, prevent, and control procurement fraud. It is

evident from the findings that procurement fraud can have a significant impact on the

organization. The findings of this study provide rich information and strategies for all

business managers for dealing with procurement fraud. The three emerging strategies

from this study contribute to applied business practice for detecting and preventing

procurement fraud. Using the findings of this study, business managers will understand

the use of internal controls, ethics and antifraud training, and clear job descriptions and

remuneration as a way of averting procurement fraud.

Internal controls, when effectively established, discourage unethical behavior and

solicit commitment to adhere to policies (Kumar et al., 2018). Business managers can use

communication and training to create awareness of antifraud policies, existing controls,

identifying fraud, and their impact on the organization. When employees are aware of

these, they are less likely to commit fraud. This will eliminate any justification to commit

fraud. Business managers can apply a realistic job description and realistic remuneration

to avert the occurrence of fraud.

Implications for Social Change

The findings of this study could benefit other business managers by implementing

strategies that managers in the gold mining companies have used to detect, prevent, and

control procurement fraud. Implementing such strategies will help business managers to

safeguard revenue losses from procurement fraud. Business managers will understand

from this study that having robust internal control in place prevents procurement fraud.

Also, ensuring that employees are given the right jobs and paid well will eliminate the

rationale for fraud. When implementing these identified strategies eliminates

procurement fraud, the organization will save money and other resources. Such savings

or resources could fund welfare projects for the companies’ communities, impacting

social change. The findings of this study impact social change in that implementing

identified strategies will impact the moral compass of employees to desist and change

from their fraudulent deeds. When procurement fraud is eliminated, revenue will

increase, which will improve the organization’s sustainability to create more avenues for

employment.

Recommendations for Action

The findings of this study lead to some suggestions for actions of business

managers in both public and private sectors to develop strategies to deal with

procurement fraud. Procurement and commercial managers also need to pay attention to

the findings of this study. Accountants and auditors can also use the findings of this

study. These groups of people influence the commercial transactions of most

organizations. I will make a few recommendations for action.

The establishment of robust internal control is critical to the fight against

procurement fraud. Not only should internal control be present, but managers must also

ensure a review of existing controls and update them to suit current happenings. Such

reviews will reveal and eliminate the inherent risk of fraud. Internal controls require

monitoring and review to achieve the objective of preventing fraud. From time to time,

internal auditors may query the procurement system just in case something has gone

wrong; in most cases, auditors will act after the fraud has occurred, which could be too

late. Managers need to establish procedures that will allow robust background checks on

suppliers and major contractors. Such background checks can ensure suppliers and

contractors have a reputable record and reveal any form of conflict of interest that may

lead to procurement fraud.

Managers need to ensure due diligence and adherence to established procedures

for every procurement initiated. Where there are shortfalls, there should be training to

close the gaps. The training of procurement staff should not be in isolation, but for the

staff of suppliers too. This is because, in most cases, procurement fraud results from the

collusion of these two parties. Finally, managers must pay fair wages to employees with

other incentives.

I hope to publish the findings of this study in academic and business journals. I

intend to present a summary of the findings through a report to the participants. I also

intend to hold conferences, seminars, and training programs and present the findings to

supply chain professionals. Through these means, I can disseminate the findings of this

study.

Recommendations for Further Research

One of the areas I would recommend for further research is analyzing the

limitations of internal controls’ effectiveness in preventing and detecting procurement

fraud. Also, I would recommend further quantitative research on the impact of

procurement fraud on organizational financial performance. This study was limited to

only gold mining companies in Ghana. I would recommend further research to cover a

wider geographical area across other sectors to confirm the effectiveness of identified

strategies in detecting, preventing, and controlling procurement fraud.

Reflections

As I reflect on the Doctor of Business Administration journey, it has been quite

challenging, and this study has broadened my understanding of procurement fraud and

the mitigating strategies in an organization. The extensive literature gave me an

understanding of the complexity of procurement fraud and the diverse ways to mitigate it.

In conducting the study, I ensured I put aside all my prejudice and bias. I collected and

analyzed the data without bias using an interview protocol to ensure I focused on the

participants’ responses.

I found the information and responses the participants gave interesting. I was not

very surprised when most of the responses showed some similarities because participants

came from the same industry. Another exciting part was that participants were so

passionate to share information on issues of fraud with me. Results from this study could

provide other business managers an insight into how to detect and prevent procurement

fraud in their organizations.

Conclusion

Every organization is vulnerable to procurement fraud. Because the procurement

function is the spending department of the organization and is responsible for all levels of

spending, the risk for fraud is very high. There are numerous reasons why fraud may

occur: greed, financial pressure, weak internal controls, which present employees with

opportunities to commit fraud and lifestyle. The impact of procurement fraud is

enormous as it does affect not only the organization’s revenue but also its corporate

image (Omar et al., 2015). It is imperative that business managers adopt effective

strategies to detect, prevent and control procurement fraud. The purpose of this

qualitative multiple case study was to explore successful strategies managers in gold

mining companies use to detect, prevent, and control procurement fraud. The findings of

this study have revealed three important strategies business managers can adopt to detect,

prevent, and control procurement fraud: internal controls, communication and training,

and realistic jobs with realistic remuneration. Also, establishing facilities that allow

employees to have access to funds outside their regular salaries is also effective in

preventing them from engaging in fraudulent acts. From the research findings, it is a fact

that business managers that establish robust measures to detect, prevent, and control

procurement fraud can eliminate opportunities and the rationalization factor of employees

to win the fight against fraud.

References

Aarons, G. A., Ehrhart, M. G., Farahnak, L. R., & Hurlburt, M. S. (2015). Leadership and

organizational change for implementation (LOCI): A randomized mixed method

pilot study of a leadership and organization development intervention for

evidence-based practice implementation. Implementation Science, 10,11-23.

https://doi.org/10.1186/s13012-014-0192-y

Abdul Rasid, S. Z., N’Guilla, S. A., Rohaida, B., & Jihad, M. (2018). Fraud prevention in

Malaysian small and medium enterprises (SMEs). Journal of Financial Crime,

25(2), 499-517. https://doi.org/10.1108/JFC-05-2017-0049

Abdullahi, R., & Mansor, N. (2015). Fraud triangle theory and fraud diamond theory.

Understanding the convergent and divergent for future research. International

Journal of Academic Research in Accounting, Finance and Management

Sciences, 5, 38-45. https://doi.org/10.6007/IJARAFMS/v5-i3/1823

Aborbie, S. (2015). Narrowing the gap of financial fraud detection in corporations (978-

1-321-66110-1) [Doctoral dissertation, Walden University]. ProQuest

Abutabenjeh, S., & Jaradat, R. (2018). Clarification of research design, research methods,

and research methodology: A guide for public administration researchers and

practitioners. Teaching Public Administration, 36(3), 237-258.

https://doi.org/10.1177/0144739418775787

Ach, M. (2017). The investigation and elimination of public procurement fraud in

government sectors (A case study in Indonesia’s procurement system: Cases from

2006 to 2012). International Journal of Economics and Financial Issues, 7(2),

145-154. https://dergipark.org.tr/tr/pub/ijefi/issue/32035/354457

Adriana, M. R., Basiruddin, R., Gunasegaran, M., & Siti Zaleha, A. R. (2018). The case

studies of fraud prevention mechanisms in the Malaysian medium enterprises.

Journal of Financial Crime, 4, 1024-1038. https://doi.org/10.1108/JFC-05-2017-

0034

Ahmad, N., Simbolon, R., & Simbolon, E. (2019, May). Are the model of fraud triangle

elements sufficient enough to prevent fraud? Evidence in North Sumatra

Province. [Paper presentation] 1st International Conference on Social Sciences

and Interdisciplinary Studies, Indonesia. https://doi.org/10.2991/icssis-18.2019.73

Alam, M. M., Asri, S., Obaid, R. R., Rafidi, M., Said, J. (2018). Integrating religiosity

into fraud triangle theory: Empirical findings from Malaysian enforcement

officer. Global Journal, 8(1),131-143. https://doi.org/10.31235/osf.io/wcyg4

Albrecht, C., Holland, D., Malagueño, R., Dolan, S., & Tzafrir, S. (2015). The role of

power in financial statement fraud schemes. Journal of Business Ethics, 131(4),

803-813. https://doi.org/10.1007/s10551-013-2019-1

Alderete, J., & Davies, M. (2019). Investigating perceptual biases, data reliability, and

data discovery in a methodology for collecting speech errors from audio

recordings. Language and Speech, 62(2), 281–317.

https://doi.org/10.1177/0023830918765012

An-An, C., Chi-Chen, L., Shaio, Y. H., & Yen, D. C. (2017). Fraud detection using fraud

triangle risk factors. Information Systems Frontiers, 19(6), 1343-1356.

https://doi.org/10.1007/s10796-016-9647-9

Andon, P., Free, C., & Scard, B. (2015). Pathways to accountant fraud: Australian

evidence and analysis. Accounting Research Journal, 28(1), 10-44.

https://doi.org/10.1108/arj-06-2014-0058

Anna-Maija, P., Hanna, K., Martin, J., & Mari, K. (2016). Systematic methodological

review: developing a framework for a qualitative semi-structured interview guide.

Journal of Advanced Nursing, 72, 2954–2965. https://doi.org/10.1111/jan.13031

Arseven, I. (2018). The use of qualitative case studies as an experiential teaching method

in the training of pre-service teachers. International Journal of Higher Education,

7(1), 111-125. https://doi.org/10.5430/ijhe.v7n1p111

Asiamah, N., Mensah, H. K., & Oteng-Abayie, E. (2017). General, target, and accessible

population: Demystifying the concepts for effective sampling. Qualitative Report,

22, 1607-1621. https://nsuworks.nova.edu/tqr/vol22/iss6/9

Association of Certified Fraud Examiners (2018). Report to the nations on occupational

fraud and abuse. 2016 global fraud study. Association of Certified Fraud

Examiners.

Asllani, G., & Statovci, B. (2018). Bid rigging in public procurement of list of essential

drugs-Kosovo case. Journal of Pharmaceutical Sciences and Research, 10(1),

188-191. https://www.researchgate.net/publication/322940048

Bahraminejad, N., Ibrahim, F., Riji, H. M., Majdzadeh, R., Hamzah, A., & Mohammadi,

N. K. (2015). Partner's engagement in community-based health promotion

programs: A case study of professional partner's experiences and perspectives in

Iran. Health Promotion International, 30, 963-975.

https://doi.org/10.1093/heapro/dau043

Baily, P., Crocker, B., Farmer, D., Jessop, D., & Jones, D. (2015). Procurement

principles and management. (11th ed.). Pearson Education

Bansal, P., Smith, W. K., & Vaara, E. (2018). New ways of seeing through qualitative

research. Academy of Management Journal, 61(4), 1189-1195.

https://doi.org/10.5465/amj.2018.4004

Barratt, M. J., Ferris, J. A., & Lenton, S. (2015). Hidden populations, online purposive

sampling, and external validity: Taking off the blindfold. Field Methods, 27, 3-21.

https://doi.org/10.1177/1525822X14526838

Bayram, H., Saka, M., & Kabapınar, F. (2016). The teaching processes of prospective

science teachers with different levels of science-teaching self-efficacy belief.

Educational Sciences: Theory & Practice, 16, 915-942.

https://doi.org/10.12738/estp.2016.3.0012

Belousova, S. V. (2016). Economic crimes. Problems of Economic Transition, 58, 776–

793. https://doi.org/10.1080/10611991.2016.1251223

Bengtsson, M. (2016). How to plan and perform a qualitative study using content

analysis. NursingPlus Open, 2, 8–14. https://doi.org/10.1016/j.npls.2016.01.001

Bennett, K., Rose, M., & Sarjoo, P. (2015). A boost to fraud risk assessments: Reviews

based on the updated COSO internal control-integrated framework may help

prevent fraud. Internal Auditor, 72(3), 22-24. https://iaonline.theiia.org

Benoot, C., Hannes, K., & Bilsen, J. (2016). The use of purposeful sampling in a

qualitative evidence synthesis: A worked example on sexual adjustment to a

cancer trajectory. BMC Medical Research Methodology, 16(1), 1–12.

https://doi.org/10.1186/s12874-016-0114-6

Berger, R. (2013). Now I see it, now I don’t: Researcher’s position and reflexivity in

qualitative research. Qualitative Research, 15(2), 219-234.

https://doi.org/10.1177/1468794112468475

Bernard, H. R., Wutich, A., & Ryan, G. W. (2016). Analyzing qualitative data:

Systematic approaches (2nd ed.). Sage.

Bildsten, L., & Manley, K. (2015). A framework for understanding purchasing in

building construction companies. Construction Management & Economics, 33,

865–879. https://doi.org/10.1080/01446193.2016.1164325

Bire, A. R., Sauw, H. M., & Maria, J. (2019). The effect of financial literacy towards

financial inclusion through financial training. International Journal of Social

Sciences and Humanities, 3(1), 186-192. https://doi.org/10.29332/ijssh.v3n1.280

Birt, L., Scott, S., Cavers, D., Campbell, C., & Walter, F. (2016). Member checking: A

tool to enhance trustworthiness or merely a nod to validation? Qualitative Health

Research, 26, 1802-1811. https://doi.org/10.1177/1049732316654870

Bonny, P., Goode, S., & Lacey, D. (2015). Revisiting employee fraud: Gender,

investigation outcomes and offender motivation. Journal of Financial Crime, 22,

447–467. https://doi.org/10.1108/JFC-04-2014-001

Bowden, C., & Galindo-Gonzalez, S. (2015). Interviewing when you’re not face-to-face:

The use of email interviews in a phenomenological study. International Journal

of Doctoral Studies, 10, 79-92. https://doi.org/10.28945/2104

Bowen, G. A. (2009). Document analysis as a qualitative research method. Qualitative

Research Journal, 9(2), 27-40. https://doi:10.3316/QRJ0902027

Boyle, D., Boyle, J., & Mahoney, D. (2015). Avoiding the fraud mind-set. Strategic

Finance, 97, 41-46. https://readperiodicals.com/201502/3592153721

Boyle, D., DeZoort, F., & Hermanson, D. (2015). The effect of alternative fraud model

use on auditors’ fraud risk judgments. Journal of Accounting Public Policy, 34,

578–59. https://doi.org/10.1016/j.jaccpubpol.2015.05.006

Brazel, J., Jones, K., Thayer, J., & Warne, R. (2015). Understanding investor perceptions

of financial statement fraud and their use of red flags: Evidence from the field.

Review of Accounting Studies, 20, 1373–1406. https://doi.org/10.1007/s11142-

015-932

Bristowe, K., Selman, L., & Murtagh, F. E. (2015). Qualitative research methods in renal

medicine: An introduction. Nephrology Dialysis Transplantation, 30, 1424-1431.

https://doi.org/10.1093/ndt/gfu410

Brody, R. G., Perri, F. S., & Van Buren, H. J. (2015). Further beyond the basic

background check: Predicting future unethical behavior. Business and Society

Review, 120, 549–576. https://doi.org/10.1111/basr.12074

Brown, O., Hays, J., & Stuebs, J. (2016). Modeling accountant whistleblowing intentions:

Applying the theory of planned behavior and the fraud triangle. Accounting & The

Public Interest, 16, 28-56. https://doi.org/10.2308/apin-51675

Burke, D. D., & Sanney, J. (2018). Applying the fraud triangle to higher education:

Ethical implications. Journal of Legal Studies Education, 35, 5-43.

https://doi.org/10.1111/jlse.12068.

Button, M., & Shepherd, D. (2019). Organizational inhibitions to addressing occupational

fraud: A theory of differential rationalization. Deviant Behavior, 40, 971-991.

https://doi.org/10.1080/01639625.2018.1453009

Button, M., Brooks, G., Lewis, C., & Shepherd, D. (2015). Fraud in overseas aid and the

challenge of measurement. Journal of Financial Crime, 22, 184-198.

https://doi.org/10.1108/jfc-02-2014-0006

Buytaert, W., Brozović, N., Mijic, A., O’Keeffe, J., & Sinha, R. (2016). The use of semi-

structured interviews for the characterization of farmer irrigation practices.

Hydrology and Earth System Sciences, 20, 1911–1924.

https://doi.org/10.5194/hess-20-1911-2016

Candela, A. G. (2019). Exploring the function of member checking. Qualitative Report,

24(3), 619-628. https://nsuworks.nova.edu/tqr

Castillo-Montoya, M. (2016). Preparing for interview research: The interview protocol

refinement framework. Qualitative Report, 21, 811-831.

https://nsuworks.nova.edu/tqr/vol21/iss5/2

Caulfield, T., & Steckler, S. (2015). Schemes of the fraudster: Beat them at their own

game. Contract Management, 55, 10-15. https://nebula.wsimg.com

Charles, C., Gentles, S. J., McKibbon, K. A., & Ploeg, J. (2015). Sampling in qualitative

research: Insights from an overview of the methods literature. Qualitative Report,

20, 1772-1789. http://nsuworks.nova.edu/tqr/

Chassang, S., & Ortner, J. (2015). Making collusion harder: Asymmetric information,

100

collusion, and crime. Journal of Political Economy, 5, 2108-2133.

https://doi.org//10.1086/699188

Chava, S., Huang, K., & Johnson, S. A. (2018). The dynamics of borrower reputation

following financial misreporting. Management Science, 64, 4775–4797.

https://doi.org/10.1287/mnsc.2017.2739

Chiu, T., Brown-Liburd, H., & Vasarhelyi, M. A. (2019). Performing tests of internal

controls using process mining: What could go wrong? CPA Journal, 89(6), 54-57.

https://www.cpajournal.com/2019/07/10/performing-tests-of-internal-controls-

using-process-mining

Clark, R., Coviello, D., Gauthier, J.-F., & Shneyerov, A. (2018). Bid rigging and entry

deterrence in public procurement: Evidence from an investigation into collusion

and corruption in Quebec. Journal of Law Economics & Organization, 3, 301–

363. https://doi.org/10.1093/jleo/ewy01

Conley, T. G., & Decarolis, F. (2016). Detecting bidders’ groups in collusive auctions.

American Economic Journal: Microeconomics, 8(2), 1-38.

https://doi.org/10.1257/mic.20130254

Connelly, L. M. (2016). Trustworthiness in qualitative research. MEDSURG Nursing,

25(6), 435-436.

https://link.gale.com/apps/doc/A476729520/AONE?u=anon~e06e5633&sid=goog

leScholar&xid=d0064d3c

Connor, J. M., & Werner, D. P. (2018). Variation in bid-rigging cartels’ overcharges: An

exploratory study. SSRN, 1. https://doi.org/10.2139/ssrn.3273988

101

Corbin, J., & Strauss, A. (2015). Basics of qualitative research techniques and procedures

for developing grounded theory (4th ed.). Sage.

Coyle, C. E., Curry, L., Feder, S., Schulman-Green, D., Plano Clark, V. L., Prust, M. L.,

& Toraman, S. (2018). Federal funding for mixed methods research in the health

sciences in the United States: recent trends. Journal of Mixed Methods Research,

3, 305-324. https://doi.org/10.1177/1558689816662578

Cressey, D. (1953). Other people’s money: A study in the social psychology of

embezzlement. Free Press.

Creswell, J. W. (2015). Revisiting mixed methods and advancing scientific practices. In

Hesse-Biber, S. N., Johnson, R. B. (Eds.), The Oxford handbook of multi-method

and mixed methods research inquiry (pp. 57-71). Oxford University Press.

Creswell, J. W., & Creswell, D.J. (2018). Research design: Qualitative, quantitative, and

mixed methods approaches. Sage.

Cridland, E. K., Caputi, P., Jones, S. C., & Magee, C. A. (2015). Qualitative research

with families living with autism spectrum disorder: Recommendations for

conducting semi structured interviews. Journal of Intellectual & Developmental

Disability, 40(1), 78-91. https://doi.org/10.3109/13668250.2014.964191

Crowe, M., Inder, M., & Porter, R. (2015). Conducting qualitative research in mental

health: Thematic and content analysis. Australian & New Zealand Journal of

Psychiatry, 49, 616-623. https://doi.org/10.1177/00048674155820523

Cypress, B. S. (2017). Rigor or reliability and validity in qualitative research:

Perspectives, strategies, reconceptualization, and recommendations. Dimensions

102

of Critical Care Nursing, 253-263.

https://doi.org/10.1097/DCC.0000000000000253

Dasgupta, M. (2015). Exploring the relevance of case study research. Vision, 19, 147-

160. https://doi.org/doi:10.1177/0972262915575661

deGama, N., Elias, S. R., & Peticca-Harris, A. (2016). A dynamic process model for

finding informants and gaining access in qualitative research. Organizational

Research Methods, 19, 376-401. https://doi.org/10.1177/1094428116629218

DeJonckheere, M., & Vaughn, L. M. (2019). Semistructured interviewing in primary care

research: a balance of relationship and rigour. Family Medicine and Community

Health, 7. https://doi.org/10.1136/fmch-2018-000057

Deleanu, L., Ferwerda, J., & Unger, B. (2017). Corruption in public procurement:

Finding the right indicators. European Journal on Criminal Policy and Research,

2, 245-267. https://doi.org/10.1007/s10610-016-9312-3

Denise, K., Kalubanga, M., & Kakwezi, P. (2013). The effects of fraudulent procurement

practices on public procurement performance. International Journal of Business

and Behavioral Sciences, 3, 17-21.

https://www.researchgate.net/publication/236208095

Denzin, N. K., & Lincoln, Y. S. (2017). The SAGE handbook of qualitative research (5th

ed.). Sage.

Dimitrijevic, D., Milovanovic, V., & Stancic, V. (2015). The role of a company's internal

control system in fraud prevention. Financial Internet Quarterly E-Finance, 11,

34–44. http://e-finanse.com/

103

Dion, M. (2019). Fraud and guilt: rationalization strategies and the relevance of

Kierkegaardian life-views. Journal of Financial Crime, 26, 607–622.

https://doi.org/10.1108/JFC-01-2018-0009

Dong, W., Liao, S., & Zhang, Z. (2018). Leveraging financial social media data for

corporate fraud detection. Journal of Management Information Systems, 35, 461–

487. https://doi.org/10.1080/07421222.2018.1451954

Dorminey, J., Fleming, A. S., Kranacher, M. J., & Riley, R. A., Jr. (2012). The evolution

of fraud theory. Issues in Accounting Education, 27, 555-579.

https://doi.org/10.2308/iace-50131

Drew, H. (2014). Overcoming barriers: Qualitative interviews with German elites.

Electronic Journal of Business Research Methods, 12, 77-86. http://ejbrm.com

Edmonds, W., & Kennedy, T. (2017). An applied guide to research designs:

Quantitative, qualitative, and mixed methods. Sage.

Eisner, E. W. (2017). The enlightened eye: Qualitative inquiry and the enhancement of

educational practice. Teachers College Press.

Eklund, T., Jokipii, A., & Länsiluoto, A. (2016). Internal control effectiveness; A

clustering approach. Managerial Auditing Journal, 31, 5-34.

https://doi.org/10.1108/maj-08-2013-0910

Etikan, I., Musa, S. A., & Alkassim, R. S. (2016). Comparison of convenience sampling

and purposive sampling. American Journal of Theoretical and Applied Statistics,

5, 1-4. https://doi.org/10.11648/j.ajtas.20160501.11

Fan-Ko, S., Long, A., Chun-Ying, C., Hui-Man, H., Yu-Chieh, H., & Yao, Y. (2018).

104

Rationale underpinning postgraduate student nurses' choice of research methods

used for their masters’ theses. Nurse Education in Practice, 33, 127-132.

https://doi.org/10.1016/j.nepr.2018.10.002

Feng, M., Li, C., McVay, S. E., & Skaife, H. A. (2015). Does ineffective internal control

over financial reporting affects a firm’s operations? Evidence from firms’

inventory management. The Accounting Review, 90, 529-557.

https://doi.org/10.2308/accr-50909

Fletcher, D., De Massis, A., & Nordqvist, M. (2016). Qualitative research practices and

family business scholarship: A review and future research agenda. Journal of

Family Business Strategy, 7, 8-25. https://doi.org/10.1016/j.jfbs.2015.08.001

Fligstein, N., & Roehrkasse, A. F. (2016). The causes of fraud in the financial crisis of

2007 to 2009. American Sociological Review, 4, 617 643.

https://doi.org/10.1177/0003122416645594

Free, C. (2015). Looking through the fraud triangle: A review and call for new directions.

Meditari Accountancy Research, 23, 175-196. https://doi.org/10.1108/MEDAR-

02-2015-0009

Free, C., & Murphy, P. (2016). Broadening the fraud triangle: Instrumental climate and

fraud. Behavioral Research in Accounting, 28, 41–56.

https://doi.org/10.2308/bria-51083

Fusch, P. I., Fusch, G. E., & Ness, L. R. (2016). How to conduct a mini-ethnographic

case study: A guide for novice researchers. The Qualitative Report, 22, 923-941.

http://nsuworks.nova.edu

105

Fusch, P., & Ness, L. (2015). Are we there yet? Data saturation in qualitative research.

Qualitative Report, 20, 1408-1416. http://tqr.nova.edu

Gao, J., Greenberg, R., & Wong-On-Wing, B. (2015). Whistleblowing intentions of

lower-level employees: The effect of reporting channel, bystanders, and

wrongdoer power status. Journal of Business Ethics, 126(1), 85–99.

https://doi.org/10.1007/s10551-013-2008-4

Gartner, I. R., & Machado, M. R. R. (2018). The Cressey hypothesis (1953) and an

investigation into the occurrence of corporate fraud: An empirical analysis

conducted in Brazilian banking institutions. Revista Contabilidade & Finanças,

29, 60–81. https://doi.org/10.1590/1808-057x201803270

Gehman, J., Glaser, V. L., Eisenhardt, K. M., Gioia, D., Langley, A., & Corley, K. G.

(2017). Finding theory method fit: A comparison of three qualitative approaches

to theory building. Journal of Management Inquiry, 27(3), 284-300.

https://doi.org/10.1177/1056492617706029

Georgios, L. V. (2019). Advancing theory of fraud: The S.C.O.R.E. model", Journal of

Financial Crime, 26, 372-381. https://doi.org/10.1108/JFC-12-2017-0128

Ghafoor, A., Zainuddin, R., & Mahdzan, N. S. (2019). Factors eliciting corporate fraud in

emerging markets: Case of firms subject to enforcement actions in Malaysia:

Journal of Business Ethics, 160(2), 587-608. https://doi.org/10.1007/s10551-018-

3877-3

Ghafran, C., & Sullivan, O. N. (2017). The impact of audit committee expertise on audit

quality: Evidence from UK audit fees. British Accounting Review, 49(6), 578-593.

106

https://doi.org/10.1016/j.bar.2017.09.008

Gilbert, M., & Wakefield, A. (2018). Tackling fraud effectively in central government

departments. Journal of Financial Crime, 25(2), 384-399.

https://doi.org/10.1108/JFC-01-2017-0006

Gill, J. (2017). The Fraud Triangle on Trial. Fraud Magazine. https://www.fraud-

magazine.com/article.aspx?id=4294999117

Gilmore-Allen, A. (2015). Tech fraud and the small business. Internal Auditor, 1, 20–21.

https://www.theiia.org/intauditor

Glodstein, D. (2015). Occupational fraud: Misappropriation of assets by an employee.

Journal of the International Academy for Case Studies, 21, 81-86.

https://www.alliedacademies.org/the-international-academy-for-case-studies/

Gorsira, M., Steg, L., Denkers, A., & Huisman, W. (2018). Corruption in organizations:

Ethical climate and individual motives. Administrative Sciences, 8, 4.

https://doi.org/10.3390/admsci8010004

Haberbush, K. L. (2000). Limiting the government’s exposure to bid rigging schemes: A

critical look at the sealed bidding regime. Public Contract Law Journal, 30, 97–

122. https://www.jstor.org/stable/25754428

Hajiha, Z., & Bazaz, M. S. (2016). Impact of internal control material weaknesses on

executive compensation: evidence from Iran. International Journal of Accounting,

Auditing and Performance Evaluation, 12, 70-84

https://doi.org/10.1504/ijaape.2016.073891

Harriss, D. J., & Atkinson, G. (2015). Ethical standards in sport and exercise science

107

research: 2016 update. International Journal of Sports Medicine, 36, 1121-1124.

https://doi.org/10.1055/s-0035-1565186

Hayashi, P., Abib, G., & Hoppen, N. (2019). Validity in qualitative research: A

processual approach. Qualitative Report, 24, 98-112.

https://nsuworks.nova.edu/tqr/vol24/iss1/8

Hennink, M. M., Kaiser, B. N., & Marconi, V. C. (2017). Code saturation versus meaning

saturation: how many interviews are enough?. Qualitative health research, 27(4),

591-608. https://journals.sagepub.com/doi/pdf/10.1177/1049732316665344

Ho, Z. J. Y. (2012). What makes hotel expatriates remain in their overseas assignments:

A grounded theory study. Qualitative Report, 17, 1-22.

https://nsuworks.nova.edu/tqr/vol17/iss26/1

Hoopes, J. L., Merkley, K. J., Pacelli, J., & Schroeder, J. H. (2018). Audit personnel

salaries and audit quality. Review of Accounting Studies, 23(3), 1096-1136.

https://doi.org/10.1007/s11142-018-9458-y

Horne, J., Lochner, H., & Venter, J. (2018). The red flag system as the gatekeeper in

tender fraud prevention and detection of misrepresentation. International Journal

of African Renaissance Studies, 13,129-143.

https://doi.org/10.1080/18186874.2018.1478655

Huber, W. C. (2017). Forensic accounting, fraud theory, and the end of the fraud triangle.

Journal of Theoretical Accounting Research. 2, 28-49.

https://www.researchgate.net/publication/319333659

Huisman, W. (2016). Criminogenic organizational properties and dynamics. Oxford

108

University Press.

Imoniana, J. O., & Murcia, F. D. (2016). Patterns of similarity of corporate frauds. The

Qualitative Report, 21(1), 143-162. https://nsuworks.nova.edu/tqr/vol21/iss1/12

Imoniana, J. O., Feitas, E. C. D., & Perera, L. C. J. (2016). Assessment of internal control

systems to curb corporate fraud - evidence from Brazil. African Journal of

Accounting, Auditing, and Finance, 5, 1.

https://doi.org/10.1504/ajaaf.2016.077592

Isenring, G. L., Mugellini, G., & Killias, M. (2016). The willingness to report employee

offences to the police in the business sector. European Journal of Criminology,

13(3), 372–392. https://doi.org/10.1177/1477370815623569

Ivankova, N. V. (2015). Mixed methods applications in action research: From methods

to community action. Sage.

Ivankova, N. V. (2017). Applying mixed methods in community-based action research: A

framework for engaging stakeholders with research as means for promoting

patient-centeredness. Journal of Nursing Research, 22, 282-294.

https://doi.org/10.1177/1744987117699655

Jaspers, J. D. (2019). Business cartels and organized crime: exclusive and inclusive

systems of collusion. Trends Organ Crime, 22, 414–432.

https://doi.org/10.1007/s12117-018-9350-y

Jha, C., & Panda, B. (2017). Individualism and corruption: A cross-country analysis.

economic papers. Journal of Applied Economics and Policy, 36, 60–74.

https://doi.org/10.1111/1759-3441.12163

109

Johnson, P. (2015). Evaluating qualitative research: Past, present, and future. Qualitative

research in organizations and management: An International Journal, 4, 320-324.

https://doi.org/10.1108/QROM-07-2015-1303

Joslin, R., & Müller, R. (2016). Identifying interesting project phenomena using

philosophical and methodological triangulation. International Journal of Project

Management, 34, 1043-1056. https://doi.org/10.1016/j.jiproman.2016.05-005

Judith, V. E. (2018). The organization of corporate crime: Introduction to special issue of

administrative sciences. Administrative Sciences, 8(3).

https://doi.org/10.3390/admsci803003

Kanapickienė, R., & Grundienė, Ž. (2015). The model of fraud detection in financial

statements by means of financial ratios. Procedia - Social and Behavioral

Sciences, 213, 321–327. https://doi.org/10.1016/j.sbspro.2015.11.545

Kennedy, E. (2016). Supply chain fraud. Strategic Finance, 97(11), 10.

https://www.proquest.com/openview/c365399b0d52f0ae73e5d4be41894394/1?pq

-origsite=gscholar&cbl=48426

Khan, D. A., & Varma, T. N. (2017). SAP system as vendor fraud detector. SSRN,

https://dx.doi.org/10.2139/ssrn.2968308

Khoo-Lattimore, C., Mura, P., & Yung, R. (2019). The time has come: a systematic

literature review of mixed methods research in tourism, Current Issues in

Tourism, 22, 1531-1550. https://doi.org/10.1080/13683500.2017.1406900

Klein, R. (2015). How to avoid or minimize fraud exposure. CPA Journal, 85, 6.

https://www.questia.com/magazine/1P3-3663040281

110

Knechel, N. (2019). What’s in a sample? why selecting the right research participants

matters. Journal of Emergency Nursing, 3, 332-334.

https://doi.org/10.1016/j.jen.2019.01.020

Kornhaber, R. A., de Jong, A. E. E., & McLean, L. (2015). Rigorous, robust, and

systematic: qualitative research and its contribution to burn care. An integrative

review. Burns, 41, 1619-1626. https://doi.org/10.1016/j.burns.2015.04.007

KPMG. (2017). India fraud survey report, KPMG Forensic, India.

https://www.kpmg.com/in/en/issueandinsights/articlespublications

Kramer, B. (2015). Trust, but verify: Fraud in small businesses. Journal of Small

Business and Enterprise Development, 22, 4-20. https://doi.org/10.1108/JSBED-

08-2012-0097

Kranacher, M. J. (2011). Forensic Accounting and Fraud Examination. John Wiley &

Sons.

Kulikova, L. I., & Sadarova, D. R. (2016). Internal control and compliance-control as

effective methods of management, detection, and prevention of financial

statement fraud. Electronic Business Journal, 15, 254-264. https://electronic-

businessjournal.com/images/2016/5/5.pdf

Kummer, T. F., Singh, K., & Best, P. (2015). The effectiveness of fraud detection

instruments in not-for-profit organizations. Managerial Auditing Journal, 30(4),

435-455. https://doi:org/10.1108/MAJ-08-2014-1083

Kumar, K., Sukanto, B., & Hicks, R. (2018). Employee perceptions of organization

culture with respect to fraud – where to look and what to look for. Pacific

111

Accounting Review, 30, 187-198. https://doi.org/10.1108/PAR-05-2017-0033

Laura, D., Maura, D., Philip, L., & Kathy, M. (2016). Sensitive interviewing in

qualitative research. Research in Nursing & Health, 39(6), 480–490.

https://doi.org/10.1002/nur.21743

Leavy, P. L. (2017). Research design: Quantitative, qualitative, mixed methods, arts-

based, and community-based participatory research approaches. The Guilford

Press.

Leistedt, S. J., & Linkowski, P. (2016). Fraud, individuals, and networks: A

biopsychosocial model of scientific frauds. Science and Justice, 56, 109-112.

https://doi.org/10.1016/j.scijus.2016.01.002

Lenz, P. J., & Graycar, A. (2016). Stealing from the boss: Who is looking? Journal of

Financial Crime, 23, 613-623. https://doi.org/10.1108/JFC-09-2015-0053

Leung, L. (2015). Validity, reliability, and generalizability in qualitative research.

Journal of Family Medicine and Primary Care, 4, 324-327. https://doi.org/10.4103/2249-

4863.161306

Levi, M., & Schuchter, A. (2015). Beyond the fraud triangle: Swiss and Austrian elite

fraudsters. Accounting Forum, 39, 176–187.

https://doi.org/10.1016/j.accfor.2014.12.001

Lim, R. B. T., Cheung, O. N., Tham, D. K. T., La, H. H., Win, T. T., Chan, R., & Wong,

M. L. (2018). Using qualitative and community-based engagement approaches to

gain access and to develop a culturally appropriate STI prevention intervention

for foreign female entertainment workers in Singapore. Globalization and Health,

112

14, 36. https://doi.org/10.1186/s12992-018-0358-5

Lisa, O., & Hermanto, B. (2018). The effect of tax amnesty and taxpayer awareness to

taxpayer compliance with financial condition as intervening variable.

International Research Journal of Management, IT and Social Sciences, 5(2),

227-236. https://sloap.org/journals/index.php/irjmis/article/view/90

Lokanan, M. (2015). Challenges to the fraud triangle: Questions on its usefulness.

Accounting Forum, 3, 1-24. https://doi.org/10.1016/j.accfor.2015.05.002

Lokanan, M. (2018). Informing the Fraud Triangle: Insights from differential association

theory. Journal of Theoretical Accounting Research, 14, 55–98.

https://doi.org/10.25316/IR-2447

Lokanan, M. E. (2017). Theorizing Financial Crimes as Moral Actions. European

Accounting Review, 27, 901-938. https://doi.org/10.1080/09638180.2017.1417144

Lotte, N. A., Mette, J. S., & Kirsten, K. R. (2018). A municipality-based vocational

rehabilitation programme for occupationally marginalized citizens: A study

protocol for a mixed methods study. BMC Health Service Research, 18.

https://doi.org/10.1186/s12913-018-3322-4

Lub, V. (2015). Validity in qualitative evaluation: linking purposes, paradigms, and

perspectives. International Journal of Qualitative Methods, 14(5), 1-8.

https://doi.org/10.1177/1609406915621406

Lysons, K., & Farrington, B. (2016). Procurement and Supply Chain Management (9

ed.). Pearson Education Limited

Malterud, K., Siersma, V. D., & Guassora, A. D. (2016). Sample size in qualitative

113

interview studies: Guided by information power. Qualitative Health Research, 26,

1753-1760. https://doi.org/10.1177/1049732315617444

Mangala, D., & Kumari, P. (2017). Auditors’ perceptions of the effectiveness of fraud

prevention and detection methods. Indian Journal of Corporate Governance,

10(2), 118-142. https://doi.org/10.1177/0974686217738683

Mangala, D., & Kumari, P. (2015). Corporate fraud prevention and detection: Revisiting

the literature. Journal of Commerce and Accounting Research, 4, 34-45.

https://ssrn.com/abstract=2678909

Manh, D. T., & Thi, T. H. L. (2018). The effect of internal control on asset

misappropriation: The case of Vietnam. Business & Economic Horizons, 14, 941–

953. https://doi.org/10.15208/beh.2018.64

Maniam, B., & Peters, S. (2016). Corporate fraud and employee theft: impacts and costs

on business. Journal of Business & Behavioral Sciences, 28, 104-117.

http://www.asbbs.org/files/2016/JBBS_28.2

Marshall, C., & Rossman, G. B. (2016). Designing qualitative research (6

ed.).

Sage.

Mays, N., & Pope, C. (2019). Quality in qualitative research. Qualitative research in

health care, 211-233. https://doi.org/10.1002/9781119410867.ch15

Mazorodze, A. H., & Buckley, S. (2019). Knowledge management in knowledge-

intensive organizations: Understanding its benefits, processes, infrastructure, and

barriers. South African Journal of Information Management, 1, 1-6.

https://doi.org/10.4102/sajim.v21i1.990

114

McIntosh, M. J., & Morse, J. M. (2015). Situating and constructing diversity in semi-

structured interviews. Global Qualitative Nursing Research, 2, 1–12.

https://doi.org/10.1177/2333393615597674

McMahon, R., Pence, D., Bressler, L., & Bressler, M. S. (2016). New tactics in fighting

financial crimes: Moving beyond the fraud triangle. Journal of Legal, Ethical &

Regulatory Issues, 19, 16–25.

https://www.abacademies.org/articles/jlerivol19number1.pdf"

McNeal, A. (2019). Combating contract and procurement fraud. Journal of Accountancy,

227(2), 24.

https://link.gale.com/apps/doc/A573094308/LT?u=minn4020&sid=LT&xid=f9a9

dde7

McNulty, J., & Akhigbe, A. (2016). What do a bank’s legal expenses reveal about its

internal controls and operational risk? Journal of Financial Stability, 30, 181-191.

https://doi.org/10.1016/j.jfs.2016.10.001

Merriam, S. (2015). Qualitative research: A guide to design and implementation (4th

ed.). Jossey-Bass.

Metcalf, J., & Crawford, K. (2016). Where are human subjects in big data research? The

emerging ethics divide. Big Data & Society, 3, 1-14.

https://doi.org/10.1177/2053951716650211

Mertens, D. M., & Hesse-Biber, S. (2015). Triangulation and mixed methods research.

Journal of Mixed Methods Research, 6(2), 75–79.

https://doi:10.1177/1558689812437100

115

Mike, A. (2017). Observational research, advantages, and disadvantages. Sage

Encyclopedia of Communication Research Methods.

https://doi.org/10.4135/9781483381411.n384

Mikkonen, K., Kyngäs, H., & Kaariainen, M. (2015). Nursing students’ experiences of

the empathy of their teachers: A qualitative study. Advances in Health Sciences

Education, 20, 669-682. https://doi.org/10.1007/s10459-014-9554-0

Milosevic, I., Bass, A. E., & Combs, G. M. (2018). The paradox of knowledge creation in

a high-reliability organization: A case study. Journal of Management, 44, 1174-

1201. https://doi.org/10.1177/0149206315599215

Mir, R. (2018). Embracing qualitative research: An act of strategic essentialism.

Qualitative Research in Organizations and Management, 13, 306-314.

https://doi.org/10.1108/QROM-09-2018-1680

Mishra, R. (2018). Configuration of volume flexibility in Indian manufacturing firms:

evidence from case studies. International Journal of Quality & Reliability

Management, 35(1), 232-265. https://doi.org/10.1108/IJQRM-12-2015-0174

Mishra, S., & Singh, G. (2017). Forensic accounting: An emerging approach to deal with

corporate frauds in India. Global Journal of Enterprise Information System, 9,

104-109. https://doi.org/10.18311/2017/15922

Modell, S. (2015). Theoretical triangulation and pluralism in accounting research: A

critical realist critique. Accounting, Auditing & Accountability Journal, 28, 1138-

1150. https://doi.org/10.1108/AAAJ-10-2014-1841

Moghadam, S., Mohammad, R., & Shiva, E. (2018). Toward developing a framework for

116

conducting case study research. International Journal of Qualitative Methods, 17,

1-10. https://doi.org/10.1177/1609406918817954

Mohajan, H. K. (2018). Qualitative research methodology in social sciences and related

subjects. Journal of Economic Development, Environmental and People, 7(1), 23-

48. https://doi.org/10.1007/s11136-017-1765-4

Mohamed, N., & Handley-Schachelor, M. (2015). Roots of responsibilities to financial

statement fraud control. Procedia Economics and Finance, 28, 46–52.

https://doi.org/10.1016/s2212-5671(15)01080-1

Moorthy, M. K., Seetharaman, A., Jaffar, N., & Foong, Y. P. (2015). Employee

perceptions of workplace theft behavior: A study among supermarket retail

employees in Malaysia. Ethics & Behavior, 25(1), 61–85.

https://doi.org/10.1080/10508422.2014.917416

Morales, J., Gendron, Y., & Guénin-Paracini, H. (2014). The construction of the risky

individual and vigilant organization: a genealogy of the fraud triangle. Accounting

Organizations and Society, 3, 170-194. https://doi.org/10.1016/j.aos.2014.01.006

Morgan, S. J., Pullon, S. R., Macdonald, L. M., McKinlay, E. M., & Gray, B. V. (2017).

Case study observational research: A framework for conducting case study

research where observation data are the focus. Qualitative Health Research, 27,

1060-1068. https://doi.org/10.1177/1049732316649160

Morse, J. M. (2015). Critical analysis of strategies for determining rigor in qualitative

inquiry. Qualitative Health Research, 25, 1212-1222.

https://doi.org/10.1177/1049732315588501

117

Mufutau, G. O., & Mojisola, O. V. (2016). Detection and prevention of contract and

procurement, fraud catalyst to organization profitability. Journal of Business and

Management, 18, 9-14. https://doi.org/10.9790/487X-18120914

Mui, G., & Mailley, J. (2015). A tale of two triangles: comparing the fraud triangle with

criminology’s crime triangle. Accounting Research Journal, 28, 45-58.

https://doi.org/10.1108/ARJ-10-2014-0092

Münch, O. (2015). First-Time-Right Procurement. Springer Gabler

Nassaji, H. (2015). Qualitative and descriptive research: Data type versus data analysis.

Language Teaching Research, 19, 129-132.

https://doi.org/10.1177/1362168815572747

Nawawi, A., & Ahmad Saiful Azlin, P. S. (2018a). Employee fraud and misconduct:

Empirical evidence from a telecommunication company. Information and

Computer Security, 26, 129-144. https://doi.org/10.1108/ICS-07-2017-0046

Nawawi, A., & Ahmad Saiful Azlin, P. S. (2018b). Internal controls and fraud -empirical

evidence from oil and gas company. Journal of Financial Crime, 25, 891–906.

https://doi.org/10.1108/JFC-07-2017-0067

Neal, J. W., Neal, Z. P., VanDyke, E., & Kornbluh, M. (2015). Expediting the analysis of

qualitative data in evaluation: A procedure for the rapid identification of themes

from audio recordings (RITA). American Journal of Evaluation, 36(1), 118-132.

https://doi:10.1177/1098214014536601

Near, J. P., & Miceli, M. P. (2016). After the wrongdoing: What managers should know

about whistleblowing. Business Horizons, 59(1), 105–114.

Students also viewed