Fraud Week comes at a perfect time each year, just before the start of a new year when many organizations take a structured look at their performance over the past months, and begin to prepare for the year ahead. When it comes time to review your fraud risk management and prevention plan, it pays to have some hard statistics in front of you.
Our latest slideshow features 18 facts straight from the ACFE’s bi-annual Report to the Nations on Occupational Fraud and Abuse. The report can help you understand and respond to the threat of organizational fraud in your company, and the facts presented can serve as benchmarks for your organization while helping to uncover areas you may have failed to address.
How will you use these facts to create a more effective fraud prevention plan for your company in 2018?
Wikipedia defines social engineering, in the context of information security, as the “psychological manipulation of people into performing actions or divulging confidential information.” Our increasing reliance on vast networks of digital technology for information storage, research, controls, and transactions makes organizations highly vulnerable to social engineering fraud.
There is a strong urge to combat this risk with a technological fix like stronger encryption or better management controls. The problem is not a technical one because social engineering fraud is based on the exploitation of human interactions and human frailties.
… Continue reading
A strong healthcare security program begins with a strong presence. This presence should be both seen and felt, cultivating a multi-dimensional experience of safety. Even in moments where security is subtle, like in the case of consistent uniforms, the elements of security presence can make all the difference in a patient’s experience.
Here are the key components to a strong presence: … Continue reading
No doubt, times are changing. The U.S. is in the midst of a historic presidential transition. Economic pressures and complexities continue to squeeze the purse strings of many businesses and workers. Technology evolves more quickly than we can adopt and adapt. Communication continues to speed up and diverge in myriad directions. Volatility and violence in our social fabric continues to create tension, leaving us on the edge of our seats curious about what is going to help.
One solution that is relevant across all aspects of our life today is security. Promoting ways to feel safe and secure helps everyone relax into whatever actions are needed to continue to move us in a productive direction. This applies to us as individuals, in our homes, in our businesses, cities, airports, and other dimensions of daily life. Security is an important element to promote productivity.
… Continue reading
In the 2016 update to the invaluable Report to the Nations on Occupational Fraud and Abuse, the Association of Certified Fraud Examiners (ACFE) analyzed 2,410 cases of occupational fraud that cost more than $6.3 billion in losses. Extrapolate this to the total number of organizations at risk and you can understand why ACFE has found in report after report that about 5% of top line revenue is lost to fraud every year, worldwide (download the ACFE The Staggering Cost of Fraud PDF).
Unlike the human capital risks of complacency or turnover, occupational fraud is an intentional act to steal from the organization. It involves a conscious attempt by someone within or linked to the organization to seek “personal enrichment through the deliberate misuse of misapplication of the employing organization’s resources or assets” (ACFE).
Needless to say, fraudsters have every incentive to remain hidden, so a well-executed fraud can go on for years. The intentional, hidden nature of fraud puts the emphasis in risk management on identifying potential fraudsters (preferably before you hire them) and limiting and monitoring the opportunities for fraud.
… Continue reading