Fraud Prevention is one of the biggest challenges to the organizations across the world. What are the advanced measures that can be explored to ensure fozia shan Fraud Prevention in a more effective manner? What role can Information Security play to enhance the Fraud Prevention mechanisms in your organization?
Traditionally, “Information Security” term is associated with Cyber Security and is used interchangeably. Approach from organizations, vendors, and industry experts gave an outlook that Information Security is all about technology related Cyber Security controls only.
Delivering direct business value from information security investment seldom come up as a priority or discussion point. At best, it becomes a theoretical analysis of the strategic alignment of Information Security with business. But still, practical effectiveness or implementation methodologies found lacking.
Information Security community has failed to demonstrate or communicate effective mechanisms in preventing organizational losses from breaches other than cyber attacks. Finding an Information Security expert with adequate technical background and business acumen is the most significant challenge the industry encounter.
Professionals with governance or audit background come with risk management background. Although exceptions noted, most of the experts come with theoretical knowledge on technology and doesn’t understand the real technical challenges. At the same time, the other side of the spectrum is the technical experts who come from an IT background but without an open mind or any exposure to business challenges and expectations.
The right Information Security leader, with technical expertise and business acumen, shall be able to link the Information Security controls with business challenges. This alignment is by ensuring the control adequacy and effectiveness, but wherever possible by linking to business needs and aspirations. Fraud prevention is one of the direct selling points to demonstrate the value of Information Security to a non-technical audience, including the board members.
Information Security risks and investments to protect from cyber attacks is extremely crucial, especially considering the current wave of hacking incidents and data breaches. But, the significance of Information Security is much more than the Cyber Security controls.
If we analyze, a good percentage of frauds has some connection with ineffective Information Security controls. It may be due to weakness in people, process or technology controls, associated with valuable business data.
If a person or process access or alter the data that he supposed not to, it may lead to fraud. Here the basic principles of Information Security are breached, namely confidentiality, integrity or availability. Key security control areas of access management and data management are extensively crucial for fraud prevention.
As in the past, financial organizations realize this fact more than others. Insider threat management initiatives that get a lot of business buy-in mainly focussed on this aspect. Fraud Management departments are more interested in the data security controls so that the prevention and detection of frauds will be more efficient and effective. Security monitoring use cases for fraud detection is gaining momentum among information security experts.