Unlike most other crimes, employee fraud involves both deception and an abuse of the trust that has been placed in the perpetrators as part of their professional roles. Most fraudsters also undertake specific efforts to conceal their crimes. This combination of factors makes fraud schemes particularly difficult to detect – which, in turn, allows the frauds to continue uninterrupted and the losses to multiply.
With the numerous issues and financial constraints faced by many organizations today, detecting employee fraud often takes a backseat, with a focus on reacting after the fact rather than proactively seeking out fraud. But because most fraud schemes continue – and grow – until they are discovered, actively identifying potential fraud is vital in protecting the organization’s assets.