Example: travel and expense analysis
Example: text mining of accounts payable linked to geography
We have integrated our framework of tests around the Department of Justice's guidance regarding the five key elements of what constitutes an FCPA violation.
Specific Anti-Bribery & Corruption or "ABC" analytics
To effectively detect and manage bribery and corruption risk, Internal Audit needs to integrate new tools into its toolkit that incorporate model-based, statistical and text mining analysis coupled with visual analytics that allow the data to define itself.
When integrated with traditional rules-based tests, these sophisticated technologies can be a powerful tool to identify unusual transactions derived from the multidimensional attributes in the data.
ABC analytics are a flexible suite of tools, technologies and methodologies that use financial accounting data to identify areas of possible improper conduct. They offer a risk-based approach that identifies target areas for internal audit and compliance tests.
They apply an unbiased filter to volumes of data that would otherwise have to be reviewed and interpreted manually.
Benefits of ABC analytics
Benefits of ABC analytics include:
- Diagnostics
ABC analytics use a risk-based anti-bribery and anti-corruption monitoring tool that relies on accounting data input to identify data trends and potential abnormalities. - Advanced technology
The analytics use text mining, visualization tools, statistical practices and research to identify key risk areas. - Focused audits
Tests are designed to highlight suspicious or potentially improper activity before the on-site visits. Auditors can then use the site time to drill down on identified risk areas. - Cost efficiency
The analytics require minimal investment relative to the time Internal Audit saves in the field and the value the organization receives.
In designing ABC analytics, we have integrated our framework of tests around the Department of Justice's guidance regarding the five key elements of what constitutes an FCPA violation: "who," "corrupt intent," "payment," "recipient" and "business purpose."
ABC analytics also incorporate third-party background checks, on a select basis, to identify potential risks related to the organizations you may be doing business with in remote, high-risk countries.
Sample analytical dashboard
This anti-bribery and corruption analytical dashboard provides the anti-fraud practitioner or internal auditor meaningful insight into the nature and justification of expenses incurred by employees, and a structured method for the identification of anomalies.
Example: travel and expense analysis
Example: text mining of accounts payable linked to geography
<< Previous | Next >>
Source: FOREIGN CORRUPT PRACTICES ACT - ANTIBRIBERY PROVISIONS
