Need for information security to minimise fraud, bribery and corruption

The number of incidents involving fraud, bribery and corruption are rising every year, emphasising the need for addressing security in our company. According to a survey conducted by KPMG (2013), there has been an 82% increase in individual cases of fraud exceeding $1 million, with 68% of cases from 1997 to 2012 occurring in the financial services industry.

Total fraud by industry: 15 year average
(KPMG 2013)

Here at the Bank of Australia, we are vulnerable and risk management should be our top priority. In today’s global marketplace, there are always new opportunities for fraudulent activity due to the obsolescence and developments of IT infrastructure (Singh 2007, 32).

To protect myself at home, I ensure that my laptop and mobile phone always have up-to-date virus protection software, and passwords that are changed frequently. Our organisation has similar controls in place, but this only protects against some electronic instances of fraud. The threats that organisations face are on a much larger scale, and further protection is necessary. COBIT 5 for Risk is one of the available products that builds on the COBIT 5 framework to establish the risk governance and management functions in an organisation. Our company could implement this to optimise risk and ‘identify, analyse, respond to and report on risk on a daily basis’ (ISACA 2013, 9), thereby minimising fraud, bribery and corruption.

COBIT 5 Product Family
(ISACA 2013)

Relevant Links
You can read a copy of KPMG's survey of fraud, bribery and corruption here:
https://www.kpmg.com/AU/en/IssuesAndInsights/ArticlesPublications/Fraud-Survey/Documents/fraud-bribery-corruption-survey-2012v2.pdf

If you would like to read more about COBIT 5 for Risk or purchase a copy of the guide, you can do so here:
http://www.isaca.org/COBIT/Pages/Risk-product-page.aspx

References
ISACA. 2013. “COBIT 5 for Risk Preview.” Accessed March 24, 2016. http://www.isaca.org/COBIT/Documents/COBIT-5-for-Risk-Preview_res_eng_0913.pdf.

ISACA. “COBIT 5 for Risk.” Accessed April 18, 2016. http://www.isaca.org/COBIT/Pages/Risk-product-page.aspx.

KPMG. 2013. A survey of fraud, bribery and corruption in Australia and New Zealand 2012. Accessed March 24, 2016.
https://www.kpmg.com/AU/en/IssuesAndInsights/ArticlesPublications/Fraud-Survey/Documents/fraud-bribery-corruption-survey-2012v2.pdf.

Singh, Subash. 2007. “Fraud Risk Management Protecting Your Corporate Reputation and Value.” Accountancy SA 32-33. Accessed March 24, 2016. http://gateway.library.qut.edu.au/login?url=http://search.proquest.com/docview/215224668?accountid=13380.