Hello Business Leader. Ready for Fraud?
Attended any business presentations lately that led with an STD analogy? While that comment turned some heads, it wasn’t the only insight that gave attendees pause as VP of Marketing Don Bush detailed the fraud landscape to business leaders, Boise State University students and faculty at the COBE (College of Business and Economics) Speakers Series in early April.
Known for the quality of its speakers and wide-ranging business topics, the speaker series provides “a forum for the exchange of the most current ideas and information relating to all aspects of business and economics.” One of the most overlooked aspects of business? Fraud. Thus the STD comment. No e-commerce business wants to admit they have a problem when you bring it up.
But clearly there is a worldwide problem. Don shared some staggering financial fraud statistics, including:
- Fraud costs businesses more than $100B annually
- In 2013 more than 550M personal ID's were compromised, lost or stolen
- 1% of corporate revenues are lost to fraud, 2.7% internationally
- The IRS has paid 1.5 million fraudulent tax returns, totaling $5,221,018,184
Fortunately this was just the beginning of the takeaways Don shared during his “Storm Before the Storm: The New Landscape of Fraud” presentation. The audience at the COBE Speakers Series left much wiser about fraud, including its organizational evolution over time (referencing a must-read Wired article: How a Remote Town in Romania Has Become Cybercrime Central) to the constantly evolving methods and tactics of fraudsters to upcoming “chip-and-pin” technology adoption and what it means for e-commerce (hint: expect a fraud surge online).
Attendees also learned a number of initial steps they and their organizations can take to protect themselves. To hear those nuggets, you can view the full presentation at the COBE site here.