Growing Beyond: a place for integrity
CFOs in the spotlight
It is the level of responsibility placed on the CFO that makes them almost uniquely positioned to override controls.
The CFO is now perhaps the most influential role in the organization. CFOs are a crucial link between the business and the board. They are also a key interface with regulators and other external stakeholders.
Yet, some of the biggest financial statement frauds have been committed by or with the involvement of CFOs.
Given this, the survey responses among the nearly 400 CFOs interviewed should be cause for alarm for stakeholders.
Our survey found that:
- Of the CFOs surveyed, 15% would be willing to make cash payments to win or retain business
- 4% view misstating a company’s financial performance as justifiable to help a business survive
- Only 46% of CFO respondents had attended ABAC training
- 16% of CFO respondents do not know that their company can be held liable for the actions of third-party agents
Boards and audit committees need to remain appropriately skeptical. Developing channels of communication with contacts across the finance function and other executives within the business will help boards ensure that they have a full and an accurate picture.
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