Big Data analysis can help businesses reduce fraud and detect incidents, but only two per cent of businesses are leveraging technologies.
According to research by EY of 466 organisations, 72 per cent of respondents said that emerging Big Data technologies can play a key role in fraud prevention and detection and 90 per cent believe forensic data analytics will enhance the risk assessment process, though very few are actually using forensic data analytic tools.
Paul Walker, partner and Head of EY’s Forensic Technology & Discovery Services, UK, said: “Our survey findings suggest that while companies may be doing some forms of analysis, many could be missing important opportunities to improve their anti-fraud and anti-bribery efforts. By combining multiple data sources and leveraging advanced FDA tools, companies are now able to gain new and important insights from their business data.”
The research found that advanced forensic data analytic tools like statistical analysis and data-mining technologies were used by only 11 per cent of respondents, although 62 per cent of those surveyed were aware of the need to improve management’s awareness of the benefits of those tools. However, only ten per cent said that the tools were “prohibitively expensive”.
The survey also found that 87 per cent of respondents indicate that regulatory requirements, including anti-corruption laws and recent enforcement trends, are a driving force behind the design and use of forensic data analytic tools.