Components of Whistle Blowing Policy Essay

Whistle blowing policy components can depart from company to company. There argon several essential components that must be included in any let the cat out of the bag blowing policy to maximize the strong suit of the policy. There are six basic components that need to be communicate receive the complaint acknowledge the complaint investigate the complaint crock up the complaint report the resolution of the complaint and retain necessary certificate (Thornton, 2006).The benefit of having a babble out blowing policy is to protect against corporate subterfuge. The Sarbanes-Oxley dress of 2002 requires that companys establish procedures for receipt and treatment of complaints and require an unidentified venue. According to the Association of Certified Fraud Examiners 2006 report, the more or less expensive forms of fraud are not detected by internal controllers because perpetrators tend to puddle in areas not tightly controlled or are in control of the areas themselves (Thorn ton, 2006).Therefore, the most effective form of fraud detection is a tip, most often coming from a whistleblower hotline. The danger of a whistle blowing policy is the backlash the blower or the company may don. An holy organization can still be held criminally liable for employee irregular actions despite even the best efforts to prevent wrongdoing (Schwartz, 2006).An employee may endure harassment, embarrassment, or job loss if they are found out to be the whistleblower despite the validity of the accusations. In all, whistle blowing policies are ask by law and essential for deterring corporate crime. Although all six components are needed for a complete policy, the two essential elements are for winner are anonymity and corporate support and resolution. Without these two major components, whistle blowing policies are simply policies and not crime deterrents.