Content thumbnail Shifting into High Gear: Mitigating Risks and Demonstrating Returns

Executive summary Despite improving maturity overall, many organizations lack 01 Demand growing across the board an understanding of the wide spectrum of value that FDA can deliver — and few are fully realizing the potential of their FDA deployments, Organizations are looking to use FDA due to concerns over growing particularly around the cost savings and efficiencies gained from current and emerging threats, as well as the increasingly complex the use of FDA. When asked about the main benefits of using FDA, regulatory environment. Across all industries, the fastest-growing 79% indicate the ability to detect fraud that they couldn’t detect threats in the fraud risk universe are from cyber breaches and before, and 78% indicate earlier fraud detection; however, only insider threats — and respondents recognize the importance of 42% indicate reduced costs of their anti-fraud programs. harnessing FDA to respond to these new threats. Executive corporate management is listed as the top beneficiary of FDA as indicated by 73% of the respondents, followed by Internal 03 FDA deployment: Audit and the Board at 69% and 68%, respectively. Perhaps not what are the key hurdles? surprisingly, C-suite respondents also indicate a greater sense of urgency around FDA adoption with 74% agreeing they need to do Senior management can see the need for FDA to address key more to improve their current anti-fraud procedures, including the business risks but are proving reluctant to fund it. Two years use of FDA tools, as compared to 69% for non-C-suite respondents. ago, 64% of our respondents felt that their investment in FDA was sufficient; this year, only 55% are confident they are spending enough. This discrepancy between perception and practice is 02 A maturing FDA landscape partly because decision-makers aren’t aware of the broad range of business value that FDA can deliver. Focus on major FDA deployments is growing compared to our 2014 survey results, with higher levels of spending on advanced FDA success can be improved by: tools and proactive surveillance monitoring of larger volumes of • Articulating the business case for FDA to management — data from a wider variety of sources. To get the most out of these When articulating the return on investment, companies need to sophisticated tools, organizations are increasing their in-house focus on the full spectrum of value that FDA can deliver, including capabilities as indicated by a 22% increase in the number of cost reduction and improved risk management. in-house deployments as compared to the 2014 survey. In response to this trend, we also see leading technology companies introducing • Building teams with the right skills — Successful deployments anti-fraud, surveillance monitoring and insider threat product require technical skills, domain knowledge and data analytics offerings designed to address wide varieties of fraud and expertise, yet few organizations have all of these skills in place. litigation risks across the enterprise. • Deploying the right technology — While we have seen an increased level of adoption of advanced FDA technologies, there is still a substantial number of companies that are not using them. Many of those tools are vital for analyzing large quantities of multi-format data. 4 | Global Forensic Data Analytics Survey 2016

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