Sector / Industry
Retail
Sales and marketing
Examples:
- Compromised staff accept advantage from customers for reservation of high-demand goods without authorisation.
- Frontline staff accept advantages for waiving charges or offering unauthorised discounts to customers.
- Dishonest staff embezzle premiums or gifts for customers.
- Staff tamper sales records to manipulate the staff commission scheme for additional gain.
- Staff abuse staff purchase scheme for resale for profit.
Accounting and finance
Examples:
- Staff embezzle sales proceeds by not recording or cancelling transactions without authorisation.
- Dishonest staff pocket discount differences by using their credit cards for payment to replace the cash payment by customers.
Store operations
Examples:
- Staff accept advantage from merchants for providing preferential treatment in allocation of racks/shelves.
- Staff accept advantage from suppliers for lax inspection in quantity and quality of goods received.
- Dishonest staff misappropriate coupons or valuable inventory items for personal gain.
Purchasing
Examples:
- Compromised staff accept advantages from colluded suppliers when awarding contracts.
- Compromised staff leak confidential information (such as tender price information) to the favoured supplier for personal gain.
- Compromised staff accept advantages from suppliers for placing excessive orders or accepting substandard goods.
- Dishonest staff split orders to avoid exceeding procurement threshold or to conceal overpayment.
- Dishonest staff inflate order prices to pocket the price difference.
Personnel and administration
Examples:
- Personnel staff accept advantages from colluded candidates or colleagues for showing favour in appointments, promotions and transfers.
- Compromised managers or supervisors accept advantages from subordinates for showing favour in the allocation of duties or performance appraisal.
- Staff submit false documents such as overtime work or sick leave certificate to deceive the employer.
Conflict of interest
Examples:
- Staff provide discounts or promotion offers for friends or relatives without endorsement by higher authority.
- Staff responsible for procurement has a financial interest in a company being considered as the retailer’s supplier or the selected supplier is a close friend or relative of the staff.
- Staff over-socialise with suppliers, e.g., accepting frequent or lavish entertainment or engaging in gambling.