Assignment Five

2150 words - 9 pages

Table of Contents
Introduction………………….…………………………………..…………………………...........4
Decision Ethics
The Means Whereby IT Managers as Purchasing Agents Participate in Fraudulent
Activities ………………………………………….…………..………………….…..…...5
Recommendations For Measures or Actions That Chief Information Officers (CIOs) or Chief Technology Officers (CTOs) Might Mandate to Reduce Fraud and Other Unethical Practices While Protecting the Reputation of the Organization and the Infrastructures of Computer Systems ………..……………………………………………….………….….7
How These Measures Would be Useful and Reduce the Amount of Fraudulent Activities..…………………………………..………………..………………......…........9
Conclusion ..………………….…………………………………..……………...…………........10
References …………………….…………………………………..……………..…………........11

Introduction
It is challenging to acquire strategic information technology (IT) alliances properly. Devoid of appropriate outsourcing methods, the threat of occupational fraud escalates (Association of Certified Fraud Examiners [ACFE], 2006). Nevertheless, companies employ outsourcing for several strategic motivations (Bass, 2013). Outsourcing assists businesses to concentrate on core-competencies, increase performance, diminish capital investment expenses, and realize increased revenues (Ghodeswar & Vaidyanathan, 2008). Any form of fraud or corruption in the selection or management of outsourcing arrangements is inefficacious (ACFE, 2006). Corruption schemes such as conflicts of interest, bribery, illegal gratuities, and extortion place companies at extreme risk of fraud (Bass, 2013).
This assignment research offers an examination of many techniques in which IT managers, as purchasing agents, partake in occupational fraud. Various mitigating methods designed to diminish fraud and additional unscrupulous actions, afford suggestions for chief C-level executives (Bass, 2013). The aim of the research assignment is to evaluate the risks of outsourcing by evaluating the factors such as hidden costs, phantom benefits, and broken promises used to argue against a decision. The topics covered include identifying the means whereby IT managers as purchasing agents engage in fraudulent activities that chief information officers (CIOs) or chief technology officers (CTOs) might mandate to reduce fraud and other unethical, and describing how these measures would be useful and reduce the amount of fraudulent activities.

Decision Ethics
Purchasing agents may experience several coercions that induce unethical practices. In 2012, fraud and other forms of corruption caused over $800 million dollars in losses in the United States (ACFE, 2006). Corruption ploys such as conflicts of interest, illegal gratuity, bribery, and extortion have a destructive effect on companies and add to fraud losses (ACFE, 2006). C-level executives have an obligation to curtail fraud losses (Hua, & Bapna, 2013). Numerous methods and tactics are accessible to CIOs and CTOs. These procedures comprise...

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