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Lax top management-senior managers do not emphasize or value the need for

controls, or they set a bad example.

• Absence of policies-the firm's expectations are not established in writing.

• Lack of agreed-upon standards-organization members are unclear about what needs to be achieved.

• "Shoot the messenger" management-employees feel their careers would be at risk if they reported bad news.

• Lack of periodic reviews-managers do not assess performance on a regular, timely basis.

• Bad information systems-key data are not measured and reported in a timely and easily accessible way.

• Lack of ethics in the culture-organization members have not internalized a commitment to integrity.

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12y ago

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