New AFC Report: How Work Environment Shifts Are Reshaping Corporate Culture and Fraud Risk
A new publication from the Anti-Fraud Collaboration (AFC) explores the far-reaching effects of remote and hybrid work on organizational culture and fraud risk. Titled The Impact of a Changing Work Environment on Corporate Culture, the report offers valuable insights for internal auditors and governance professionals navigating an evolving workplace.
The report outlines how changing employee expectations, demographic shifts, and return-to-office mandates are influencing corporate values, risk exposure, and compliance structures. It emphasizes that a strong ethical culture remains a key safeguard—particularly as traditional oversight mechanisms become less visible in hybrid settings.
For internal audit functions, the report highlights:
- The link between culture erosion and increased fraud risk in remote settings
- Emerging risks tied to employee disengagement and monitoring practices
- Practical actions to enhance corporate culture and fraud deterrence, including culture dashboards, targeted surveys, and strengthening the tone at the top
The report underscores that there is no one-size-fits-all solution. Organizations are encouraged to tailor their cultural and control responses to match their specific risks and workforce dynamics.
