Start with this detection approach.

If you don’t have a data analytics solution,

what would happen if you invested 30 minutes each day 

to proactively assessed your payment data.

Firstly…

Do you look for patterns?

Conduct simple checks.

Look for…

1. Shorter payment timescales to a specific supplier
2. Round sum transactions to the same supplier
3. A payment date before the invoice date

Let me give you a case example.

A civil engineer whose job it was to identify 

new works on an infrastructure project, 

struck up a corrupt relationship

with a business owner.

He created a number of fictitious requirements 

and influenced the procurement team into 

awarding work to this new company 

that the civil engineer said 

he ‘trusted’.

The fraud was simple

• 10 contracts awarded at $20k each
• all for different works
• civil engineer signed off as complete

Using data analysis

detecting it was also simple.

So take a simple step today!

• Download a one month sample of payment data into excel format
• Using the ascending/descending button on the payments column

Look for round sums to the same supplier.

It is rare that goods, works or services have the same value never mind a round sum.

If you identify specific fraud indicators, then 

take the next step and look at company formation data

1. Date the company formed
2. List of Directors and Shareholders
3. Are staff associated with the contractor

The company was formed a week before the fraud started.

Rinse and repeat as part of your data analysis approach.

Data analysis doesn’t have to be difficult or time consuming.

Do you have a data analysis approach?