SAP Fraud Management

What Is SAP Fraud Management?

Fraud can be devastating to a business, leading to financial and legal consequences. Fraud management seeks to identify potential areas for fraud across business processes both internally and externally with partners. SAP Fraud Management looks at potential for fraud related to SAP customers. The SAP tool related to fraud management is called SAP Business Integrity Screening.

What Is SAP Fraud Management?

Fraud can be devastating to a business, leading to financial and legal consequences. Fraud management seeks to identify potential areas for fraud across business processes both internally and externally with partners. SAP Fraud Management looks at potential for fraud related to SAP customers. The SAP tool related to fraud management is called SAP Business Integrity Screening.

Governance, Risk, and Compliance (GRC) teams are often tasked with managing fraud, and they deploy many standard GRC strategies to deal with fraud risk. For example, they may put fraud controls into place as well as collect process and transactional data for fraud analysis. Fraud management often integrates into other areas of GRC, such as the broader Risk Management.

Tools for fraud management look to centralize fraud risk data and automate fraud screening and analysis. Fraud management tools may have the following capabilities, among others:

• Exception detection and compliance checks
• Detection strategy calibration
• Exception-based scenario analysis
• Business partner screening
• Automated workflows and notification
• Continuous Controls Monitoring (CCM)
• Integrity screening.

Many risk detection and management tools also feature fraud capabilities. For example, Appsian Security’s threat detection and response solutions seek to identify fraud potential from transactional data. Similarly, Fastpath offers tools for risk quantification and transactional controls that can help manage fraud risks. A company like RSM can help organizations establish fraud management programs, including best practices for fraud prevention and detection.

Key Considerations for SAP Fraud Management

• GRC and fraud management teams are stretched — in our most recent research into the state of the GRC market, we found they have more responsibility but aren’t growing along with that responsibility. The leading companies in our GRC research are utilizing automation to optimize their GRC resources. For fraud management, this could mean automating controls and detection.
• Fraud risk analysis can also be done at the user access level. For example, Lundbeck implemented a Security Weaver tool for segregation of duties analysis to identify the potential for users to commit fraud. Consider how you can integrate fraud management across GRC and security functions.
• Centralize your fraud risk data. You are monitoring areas throughout the business for fraud risk. To best manage that fraud risk, you need a single view of where fraud potential exists and which risk holds the most potential harm for the company. This can help your organization prioritize which threats need to be addressed most imminently.