By Eleanor Reader
SAP has announced the launch of the SAP Fraud Management analytic application in a bid to help companies worldwide address the estimated US$3.5 trillion worth of fraud that occurs every year.
The application is powered by the HANA platform and takes advantage of real-time analytics to detect, analyse, investigate and prevent “irregularities or fraud in ‘big data’ environments”.
SAP Fraud Management is customised to varying business needs across industries such as insurance, public sector, banking, healthcare and utilities in order to detect fraud earlier to reduce financial loss; improve detection accuracy at less cost; and prevent and deter fraud situations.
According to a report by the Association of Certified Fraud Examiners, ‘2012 Report to the Nations on Occupational Fraud and Abuse’, the typical organisation is at risk of losing up to five per cent of its revenues to fraud.
“The rise of big data is forcing organisations to improve their governance, risk and compliance efforts. Being able to validate who did what, and provide a defensible audit trail, is key in addressing potential fraud,” said Michael Rasmussen, chief pundit, GRC 20/20.
“There is a potential for organisations to face massive loss due to fraud. This is becoming even more of a risk with the ever-increasing amount of data being generated. Helping customers detect even a fraction of these cases would represent significant savings – employing advanced solutions to help detect and deter fraud makes sense.”
SAP Fraud Management is also expected to be used by government agencies to reduce fraud and non-compliance by cross-checking tax returns or social service applications against millions of related data records in real time, to uncover hidden fraud patterns and produce alerts on suspicious transactions that may be missed by conventional fraud and compliance rules.
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