Defending Against Payroll Fraud: A People, Process & Technology Approach
Article, Smart Payments – November 2018
Investigation / Cyber Consulting
People, process and technology-these are the areas that will help you defend against payroll fraud. Here’s how to take the approach, as explained in Smart Payments.
According to the Association of Certified Fraud Examiners, payroll fraud accounts for 8.5% of occupational fraud globally, with the average payroll fraud incident costing organizations £57,000.
While those figures might seem barely worth mentioning in an age when annual fraud losses total in the billions, it’s important to remember that the volume and value of fraud has hit unprecedented highs in the past decade. Fraudsters are more creative, determined and sophisticated than ever before. That’s bad news for organizations trying to protect their finances and their reputations while also running a business.
There are a number of valuable lessons that can be taken from this case – actions that should have been taken in the three biggest areas of fraud protection (people, processes and technology) that could have prevented this fraud event from even taking place.