2.5 Rational Choice Theory

Figure 3. Routine Activity Approach

Fraudsters may decide to commit the fraudulent activity according to a particular time, targeted victims / product / process and place. In routine activity approach, the likely offender knows  the ‘routine’ of the production and process very well. It is most likely an insider with knowledge of the standard operating procedures (SOPs) and could also be working in collaboration with other fraudsters external to the company. The absence of a guardian here entails the lack of detection, analytical methods and laws. It is important in this scenario for the offender to be aware of the victim’s routine.