Affiliation:
1. Internal Audit Department , A’Sharqiyah University , Sultanate of Oman
2. Graduate School of Business , Universiti Sains Malaysia , Malaysia
Abstract
Abstract
Background: Fraud risk assessment as a control mechanism is becoming necessary due to continuous and never-ending fraudulent activities. Frauds arise regardless of the existence of codes for corporate governance and available control activities such as those of internal and external audit units. It is high time for the corporate governance functions such as Audit and Risk Committees and Senior Management to identify the controls, which can assist in achieving good corporate governance and at the same time provide satisfaction to the shareholders.
Objective: This paper intends to identify the relationship between fraud risk assessment and good corporate governance of companies listed in the Muscat Stock Market in the Sultanate of Oman.
Methods/Approach: A quantitative method with a descriptive cross-sectional survey design has been utilized and data have been analysed by utilizing PLS-SEM.
Result: Fraud risk assessment has a significant direct impact on good corporate governance, and the adoption and implementation of the fraud risk assessment will assist in the achievement of good corporate governance.
Conclusion: It is highly recommended that organizations adopt fraud risk assessment as fraud detection, control mechanism, and embed it in their corporate governance policies, which will eventually aid in the achievement of good corporate governance.
Subject
Management of Technology and Innovation,Economics, Econometrics and Finance (miscellaneous),Information Systems,Management Information Systems
Reference54 articles.
1. 1. Abbot, L., Park, Y., Parker, S. (2000), “The effects of audit committee activity and independence on corporate fraud“, Managerial Finance, Vol. 26 No. 11, pp. 55-68.
2. 2. Abdel-Meguid, A., Samaha, K., Dahawy, K. (2014), “Preliminary evidence on the relationship between corporate governance attributes and audit committee functionality in Egypt: beyond checking the box“, Corporate Governance, Vol. 14 No. 2, pp. 197-210.
3. 3. Abdullahi, R., Mansor, N. (2015), “Forensic Accounting and Fraud Risk Factors: The Influence of Fraud Diamond Theory“, European Journal of Business and Management. Vol. 7 No. 28, pp. 30-37.
4. 4. Abdullatif, M. (2013), “Fraud Risk Factors and Audit Programme Modifications: Evidence from Jordan“, Australasian Accounting, Business and Finance Journal. Vol. 7 No. 1, pp. 59-77.
5. 5. ACFE (2016), “ Report to the nations on occupational fraud and abuse: 2016 global fraud study “, Association of Certified Fraud Examiners, Chicago.
Cited by
8 articles.
订阅此论文施引文献
订阅此论文施引文献,注册后可以免费订阅5篇论文的施引文献,订阅后可以查看论文全部施引文献