Identifying Potential Duplicates

The identification of duplicates ultimately comes down to finding a balance between the False Positives, False Negatives and True Duplicates.  This article discusses various approaches to reducing the number of False Positive and False Negatives – making the duplicate results more reliable. The concept of identifying duplicates is fairly simple: do two records have the same values?  If yes, then they are duplicates.  However when dealing with names and addresses…

January 4, 2019
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Helping Parents with their Children’s Sex Education

For years I have written about data analysis to identify and assess risk, to detect and prevent fraud, and to improve business processes (efficiency and effectiveness).  Please allow me to, just this once, talk about something more personal that affects every parent and every child: “The Talk” about sex. If you are like me, a father of two girls, I was more than happy to let my wife give them…

December 6, 2018
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Making IT Audit more effective and relevant – part #1

Are you an IT auditor who takes comfort in your specialized knowledge and feels secure in assessing general and application controls – but does no more?  Then you need to wake-up to today’s business environment and step out of your comfort zone.  You also will probably need to pull the general auditor away from the safety of pure compliance audits.  The notion of the integrated auditor was usually applied to…

September 2, 2018
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ACL Scripts Part #2

I hope that, after having read, and tried, the approaches to developing ACL scripts in the Part #1 post, you are anxious to learn more.  Certainly, the Part #1 suggestions will allow you to build simple scripts to re-run analysis, but there is more to scripting: more power, flexibility and control.  In particular, you may want to control the ACL environment to allow the scripts to run without, for example,…

June 22, 2018
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Data analytics, the essential and underutilized tool in detecting, assessing, and preventing fraud

The unrelenting advancement of technology is affecting virtually every aspect of our lives.  And as technology becomes more pervasive, so do schemes to commit fraud. Fraudsters are taking advantage of users’ inexperience with newer technology and weaknesses in the controls to perpetuate these schemes.  This is proving to be a challenge for evaluators, auditors and investigators in their efforts to identify and detect fraud.  However, technology is also a tool…

September 17, 2017
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Seeing Analytics

I am at the end of day two of teaching an introductory ACL to a really good group of students.  They are quick to grasp the concepts as we go through different commands and ACL functionality.  They are able to answer pointed questions like: give me three ways to ‘sort’ a file. However, when I ask, “where could you use ‘insert an ACL command here’ in your audit work?” they…

August 26, 2017
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Stratify

Stratify has to be one of my favourite commands.  It quickly gives more details regarding the distribution (Low, Medium, and High) of the selected numeric fields (e.g. number of low, medium, high dollar contracts).  This can help with sampling (which I don’t really like to do).  The records in the “High” categories may number only a few, but they often represent a significant portion of the amount.  A stratified sampling…

July 3, 2017
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Year 30 + P-card fraud

I didn’t realize how quickly it would take to get to 30 years when posting one blog per week for each year (30 weeks).  Even drawing some of the posts out to two weeks didn’t add much.  So now I am posting additional analysis performed over the years.  Another thing I didn’t take into account was that I would continue to perform analysis – even after I retired.  So I…

January 7, 2017
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Year 26 – 2013 – Payroll

 I haven’t looked at payroll very often; at least not as often as I think I should or would have liked.  Payroll can be a significant cost to an organization – easily representing 50% of a company’s total expenditures in some industries – but senior management seems to think that the controls over payroll are good and therefore it is low risk.   This belief is often transferred to audit even…

October 31, 2016
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Year 25 – 2012 – Vacation Leave and Sick days

 I always jump at the chance to perform analysis in non-financial areas.  Not only does this expand my knowledge of audit risks and different business processes, but it also further demonstrates the flexibility and power of analytics.  Some of the analytics I have perform include areas such as environmental control, HR – staffing, succession planning, transportation, maintenance, IT security, system conversion, control testing and risk.  Normally, there is an element…

October 24, 2016
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