Accounting fraud in light of organismic integration theory

Abstract

Purpose

This systematic literature review aims to identify how literature approaches motivations for committing fraud in financial statements and presents a framework on these motivations in the light of organismic integration theory (OIT).

Design/methodology/approach

Therefore, initially, 251 articles were analyzed. Through a systematic review of the literature, 25 were submitted to content analysis.

Findings

The findings suggest that the OIT explains motivational processes neglected by traditional theories, such as the fraud triangle and agency theory. Both theories consider that all human beings are utilitarian by nature. The authors expect that the better we understand the motivational factors that contribute to the large-scale endorsement of immoral behavior, it would be easier to prevent accounting fraud incidents.

Research limitations/implications

This work went to the limit of the proposition of premises; however, other authors can be to advance to the empirical tests.

Practical implications

So, different people have different motivations for committing fraud. For this reason, it is important that organizations, auditors, regulatory and professional bodies that are engaged in combating such dysfunctional behaviors seek to know more deeply whether people are more externally or internally motivated.

Social implications

This recognition will make it possible to design adequate rules and controls, rather than assuming that everyone is equal, and will be discouraged from committing fraud only when there is a severe punishment associated with it.

Originality/value

This study adds to the stream of scholars who analyze fraud from a broader perspective than the assumption that all beings are rational and seek to maximize their well-being. However, to the best of the authors’ knowledge, this is the first study to analyze the phenomenon of fraud from the perspective of the OIT.

Citation

Orth, C.d.O., Marrone, D.D. and Macagnan, C.B. (2023), "Accounting fraud in light of organismic integration theory", Journal of Financial Crime, Vol. 30 No. 5, pp. 1323-1341. https://doi.org/10.1108/JFC-08-2022-0198