PREVENTION OF INFORMATION FALSIFICATION FOR ANALYTICAL SUPPORT OF ENTERPRISE MANAGEMENT

Abstract

The purpose of the article is to draw attention of managers of modern enterprises to the need and importance of creating a system of preventive protection and verification of the reliability of analytical information used for its needs, which is extremely relevant for effective functioning in the current conditions of martial law. The most accessible sources of analytical information are revealed for this reason. In particular it is emphasized, what analytical procedures can be carried out on the basis of the balance sheet and the report on financial results of the enterprise. It is determined that such actions may result in preliminary conclusions about the production capabilities of the enterprise. It is noted that the sources of information support for enterprise management can be not only internal, but also external. As for internal sources, they can be accounting and non-accounting. It is emphasized that there are three groups of factors that determine the possibility and motivation of falsification of financial statements. They include the opportunities that determine whether an employee can commit falsification; motive, which acts as both the cause and motivation for falsification; and rationalization - self-justification of the crime. The attention is paid that veiling and falsification are different things, but the enterprise is interested in their absence, since the disclosure of fraud usually has negative consequences. The authors compare the risks that may be caused by the consequences of fraud for internal and external stakeholders. In the article a list of preventive measures to prevent fraud, including compliance control, internal audit and compliance with corporate ethical standards, as well as the differences between them, are provided. The importance of assessing the reliability of financial statements for both internal and external stakeholders is justified. A list of models used to determine the level of risk of transparency and falsification of financial statements is represented. It is substantiated that the most successful among the models is the model of M.D. Benish. The essence of the M.D. Benish model is disclosed in the article, a list of indicators used in it to calculate the integral indicator M-Score is provided. The intervals of values of the M-Score indicating the presence or absence of falsifications in the financial statements of enterprise are presented. It is emphasised that the application of this model in practice is quite justified, but it can detect fraud only in 76 % of cases, therefore, in case of practical application, the authors provide indicators, the analysis of which will give additional information on the presence of manipulations with the financial statements.