Find out how to fight against fraud more efficiently with Data Analytics with the Condor Strike methodology :

• Data analytics methods can be used at the 3 phases of the fight against Fraud framework: Prevention, Detection and Investigation. 
• All the types of data could be used, structured (accounting transactions, operational data, technical data) and unstructured (texts, emails, messages, images…). 
• Using Data analytics against Fraud also enables to test the whole scope of data, but also all sorts of data and not leaving something behind.
• It is important to work in compliance with laws especially GDPR and the rules to managed evidence to guarantee your methods are legal and your evidence and results are valid,
   

Data Analytics can mainly be used in the prevention phase of your framework to assess risks.  

• The “gains and gaps” methodology and the “Sources of Losses Matrix” from Condor Strike can help you conduct your Fraud risk analysis efficiently 
• The first step will be to identify the potential gains for fraudster and assess the volume with descriptive analytics of your data. 
• Through integrity tests, we can assess whether there are potential gaps in your controls to gain access to these gains. 
• We can conduct tests on your data to assess the materiality of the gaps and potential losses (or gains for the fraudster). 
• Unstructured data such as texts can also be used to test the consistency and relevance of your documentations (policies, procedures, contracts…) to prevent Fraud. 
• This analysis will help you build a robust prevention framework to prevent Fraud through controls, procedures, policies and trainings in line with your risks. 
   

The detection phase will use data analytics to identify unusual items based on the control framework defined in the prevention phase.

With data analytics in this phase, you can : 

• monitor changes in the process and identify unusual trends and new fraud risks. 
• make the control framework stronger by adjusting your level of controls and adding new controls such as embedded controls in your systems or amend the thresholds of your controls to improve their efficiency. 
• identify behaviours patterns in different sources of structured and unstructured data, we can adapt the complexity of the tests to the level of risks in your organisation. 
• build relevant tests and controls to detect what could put your organisation in danger. To build them we run a deep analysis of your flows such as accounting to prevent embezzlement or supply chain to reduce shrinkage in your warehouses or shops.

We define comprehensive and efficient tests that reduce potential volumes of false positives that could be a waste of time by testing and improving the tests at each step of the development. We use affordable software solutions, and we can decide with you to manage the maintenance of the tools that will be used. 

 

Investigation requires data analytics to prevent failures by adding scope to check, to work quicker, to work unidentified by the subjects and maintain confidentiality but also to maintain digital evidence before there could be destroyed. 

• Investigation will rely on the same basis than the prevention and the detection phase as it will need to start with a risk analysis of the affected area. Nevertheless this analysis will be focused on some process based on the gathered facts. 
• Data analytics will help to go further in controls and identify how the controls in place have been circumvented (use of gaps, concealing, collusion) by using all types of possible data.
• Investigation can also request the analysis of unstructured data, and we can use the Condor Strike methodology to go through emails, teams message, texts. 
• Data analytics will be useful to manage micro frauds that can become macro once they are aggregated. It will be also useful to aggregate all the losses at stake in case of civil claim.
• Our methodology and tools can ensure the reliability of evidence based on integrity and traceability for claims.