The Transportation Industry

3478 Words Dec 7th, 2014 14 Pages
Fraud is a pervasive and omnipresent threat in the modern business environment. While the controls to help mitigate the risk have become increasingly sophisticated, so too have the methods in which employees, managers and even third parties defraud victim entities. While some industries seem more at risk than others it is important to recognize the vulnerability that is common to all of them. One industry that seems to be able to avoid the worst of fraudulent acts is the Transportation Industry. Through use of time tested control methods and avant-garde procedures to help mitigate business risk, the industry is able to consistently place ahead of others in rates of fraud occurrences.
The transportation industry can be broken down into three subsections: shipping, passenger transport, and equipment manufacturing. Ground, sea, and air are all utilized in all of these subsections. There are many international companies that play roles in the industry amongst the three different subsections. The transportation industry as a whole is mainly in a steady rate of growth except during poor economic conditions (McMahon, 2014).
The shipping subsection handles a variety of goods and services to customers and is also the largest out of the three. Boats, planes, trains, and trucks can transport cargo and small orders may be carried by car or other small conveyances, but this is less common. There are a few concerns with this subsection of the industry…
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