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| Is there fraud in your supply chain? If so, how would you know? |
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Supply Chain Fraud Examples
There have been a lot of cases in the news regarding tainted and recalled products. While the media has not classified these as such, they are all excellent examples of supply chain frauds. Some of the more notable cases are: Recalled vehicle tires Tainted pet foods Tainted toothpaste Unsafe foods (peanut butter, canned seafood, etc.) Toys with lead paint Toys with small parts that are choking hazards Baby cribs with latch flaw designs Grout sealer not pulled from shelves despite causing illness & death Attempts to outsource military night-vision goggle manufacturing The causes of supply chain fraud include and are not limited to: Bribery from suppliers Kickbacks from sales people Revenge against the company by an employee, contractor, customer, competitor, or supplier Financial deception against stock price Corporate cost-cutting to boost stock price, increase executive bonuses, reduce cost-of-goods-sold, increase revenue, etc. |
![]() The failure to detect & reduce fraud across the global supply chain is a very big gamble.... and you could lose more than just your shirt! |
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