Organizational Intention to Use Forensic Accounting Services for Fraud Detection and Prevention

ORGANIZATIONAL INTENTION TO USE FORENSIC ACCOUNTING SERVICES FOR FRAUD DETECTION AND PREVENTION
BY LARGE MALAYSIAN COMPANIES

By

Gunasegaran Muthusamy
Graduate School of Business
Curtin University of Technology
Western Australia
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Professor Mohammed Quaddus
Graduate School of Business
Curtin University of Technology
Western Australia
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Professor Robert Evans
Graduate School of Business
Curtin University of Technology
Western Australia
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Organizational Intention to Use Forensic Accounting Services for Fraud Detection and Prevention by Large Malaysian Companies

ABSTRACT

Fraud has evidently become one of the most problematic issues faced by companies throughout the world. However, the pervasiveness and seriousness of fraud could not be surmounted with the extant methods used to combat fraud. Recent evidences specify that forensic accounting services (FAS) are the least often used of any anti-fraud methods but had the highest effectiveness rating. The underutilization of this essential service provided the imperative for this study. The multi-phased mixed-method research design utilized a theoretically grounded, parsimonious, yet comprehensive conceptual framework. Quantitative data analysis using Partial Least Square from Structural Equation Modeling confirmed the significant positive influence of attitude, stakeholder pressure, and perceived susceptibility to fraud on the organizational intention to use FAS for fraud detection and prevention. This research has both theoretical and practical significance. Theoretically, the conceptual model contributed a distinctive and refreshing perspective on organizational decision-making. Practically, the research results would facilitate professional bodies, accounting firms, government, and organizational stakeholders to devise practical methods and promotional strategies to increase the awareness,