How to reduce fraud – instill a touch of honor

Words on paper won’t stop fraud.  Neither will mission statements, codes of conduct or ethics training.   They have all missed the mark for years.  And here’s why, modern western man has abolished honor. Without honor, employees can’t live up to mission statements or codes of conduct.  Honor gives you the strength to do what is right, to care, to help your fellow employees and to drive the mission even when you want to give up or save yourself first.  Honor – it’s what we need.

Want more sales, forget about sales training

Sales, I thought we were talking about fraud and honor.  But first we must look at why we are missing the mark.  Most sales people will tell you that when they go to sales training their sales numbers don’t increase dramatically, but when they go to personal development courses, their sales blow through the roof.  Want less fraud, forget about fraud training.  That’s the message.  See, learning technical details about a product, service or system can be learned by anyone.  But being a better person gives you the ability to make better decisions, think critically, build relationships, stay healthy, and much more.  Susan Etlinger in her TED talk  “What do we do with all this big data?” tells us that focusing on humanities, ethics and the like can help us become better critical thinkers.   And once we can make critical decisions, we must have honor to make the right decision, even if that means we will suffer or experience pain.  Critical thinking can help us avoid pain and make decisions which are good for us, but it doesn’t mean that it is always the right thing to do.  We need honor to do that.

Honor is the outcome of a root cause analysis.  It is the source of the leak.  Creating honor systems, honor groups and shame is the only thing that will truly get at the root cause of fraud in your organization, whether it is in work comp, finance or public works.

What is honor

I could try to explain the concept of honor, but the Art of Manliness has written several excellent articles on the subject and even produced some great videos.  I encourage you to read further on the subject at the Art of Manliness.




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