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4.10 Authorisation policies 
Requiring written authorisation by a senior member of staff is a good preventative tool. It increases 
accountability and also makes it harder to conceal a fraudulent transaction. 
4.11 Customer signatures 
Requiring customers to inspect and sign for receipt of goods or services ensures that they cannot claim 
that the delivery did not match their order.
It also provides confirmation that the delivery staff actually did their job and that what was delivered 
corresponded to what was recorded. 
4.12 Using words rather than numbers 
Insist that all quantities be written out in full. It is much more difficult to change text than to alter a 
figure. 
4.13 Documentation 
Separate documents should be used to record sales order, despatch, delivery and invoice details. A 
simple matching exercise will then pick up any discrepancies between them and lead to detection of any 
alterations. 
4.14 Sequential numbering 
Numbering order forms, delivery dockets or invoices makes it extremely simple to spot if something is 
missing.
4.15 Dates 
Writing the date on forms and invoices assists in cut-off testing. For example, if a delivery docket is 
dated pre-year end but the sale is recorded post-year end it is possible that results are being 
manipulated. 
4.16 Standard procedures 
Standard procedures should be defined clearly for normal business operations and should be known to 
all staff. For example: 

Independent checks should be made on the existence of new customers. 

Credit should not be given to a new customer until his/her credit history has been investigated. 

All payments should be authorised by a senior member of staff. 

Wages/payslips must be collected in person. 
Any deviations from these norms should become quite visible. 
4.17 Holidays 
As we have said, fraud is difficult to conceal. Enforcing holiday policy by insisting that all staff take their 
full holiday entitlement is therefore a crucial internal control. A two-week absence is frequently sufficient 
time for a fraud to come to light.
4.18 Recruitment policies 
Personnel policies play a vital part in developing the corporate culture and deterring fraud. Something as 
obvious as checking the information and references provided by applicants may reduce the risk of 
appointing dishonest staff. 
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