Fraud Threats: How Organization Improves the Anti-Fraud Teams’ Quality? (Study from Indonesian Local Government Rural Bank)

Abstract

This study aims to discover how the Indonesian Local Government Rural Bank improves the quality of the anti-fraud team to prevent and detect fraud based on a mechanism of the anti-fraud strategy issued by Bank Indonesia. A qualitative analysis approach was followed, including 12 semi-structured interviews with the anti-fraud team and related officers. The data analysis process was supported by the software NVivo 11.0 and discovered several competencies needed and competencies developed by the organization for the anti-fraud team in conducting fraud prevention and detection. Therefore, this paper provides a detailed discussion of how these competencies are used in the anti-fraud mechanism. By identifying the gaps in the competencies needed and competencies developed, it will provide recommendations for the organization to enhance the quality of the anti-fraud team in conducting fraud prevention and detection.