Supply chain fraud, waste, and abuse:

The growing role of forensics and analytics

Deloitte poll results from June 2017
Methodology

3,220+ professionals participated in a Deloitte

Dbriefs webcast, “Supply chain fraud, waste, and
abuse: The growing role of forensics and analytics”
on June 28, 2017 about their use of supply chain
forensics and analytics. Respondents work in
industries including consumer and industrial
products (28.4 percent); financial services (20
percent); technology, media and telecommunications
(9.7 percent); life sciences and health care (7.4
percent); and energy and resources (6.7 percent).
Answer rates differed by question.

Copyright © 2017 Deloitte Development LLC. All rights reserved. Supply chain fraud, waste, and abuse: The growing role of forensics and analytics 2
Has your company experienced fraud, waste or abuse in its
supply chain during the past 12 months?
Comparing results from 2014-2017

31.4% 31.3% 31.6%

28.9%
26.7%
25.6%
24.6%
22.0%

Yes No
2014 2015 2016 2017

Don’t know/NA= 46.6% in 2014; 45.5% in 2015; 44.1% in 2016; 41.7% in 2017
Votes secured per year= 3,056 in 2014; 2,596 in 2015; 3,115 in 2016; 3,185 in 2017
Copyright © 2017 Deloitte Development LLC. All rights reserved. Supply chain fraud, waste, and abuse: The growing role of forensics and analytics 3
Has your company experienced fraud, waste or abuse in its
supply chain during the past 12 months?
Comparing results from 2014-2017 by Industry

44.7%

39.6% 39.6%
39.1%
36.9% 36.9%
35.1%
33.2% 35.9% 34.7%
34.6%
33.7% 31.9%
33.0% 31.9% 31.0%
31.3%
29.1% 28.4%
26.5% 26.3%
24.9%
23.6%
21.2%
2014 2015 2016 2017

CIP E&R FSI LSHC TMT Average

Copyright © 2017 Deloitte Development LLC. All rights reserved. Supply chain fraud, waste, and abuse: The growing role of forensics and analytics 4
How would you describe your organization's use of analytics to
mitigate fraud, waste and abuse risks in its supply chain?
Comparing results from 2014, 2016 and 2017

Advanced-we use analytics to manage our third-party 7.5%

(i.e., suppliers, shippers) relationships and forecast 8.6%
for financial risks like fraud, waste and abuse 9.8%

17.7%
Building-we only use analytics to manage our third-
party (i.e., suppliers, shippers) relationships
20.6%
25.2%

13.0%
Lacking-we have analytics software, but are still
learning to use it
13.7%
14.9%

21.9%
Absent-we don't use analytics to manage financial risk
in our supply chain
19.3%
17.4%

2014 2016 2017

Don’t know/NA= 39.9% in 2014; question not asked in 2015; 37.8% in 2016; 32.7% in 2017
Votes secured per year= 2,614 in 2014; question not asked in 2015; 3,233 in 2016; 3,227 in 2017
Copyright © 2017 Deloitte Development LLC. All rights reserved. Supply chain fraud, waste, and abuse: The growing role of forensics and analytics 5
Which employee group presents the largest supply chain fraud,
waste, and abuse risk for your organization?
Comparing results from 2016 and 2017

31.6%
26.0% 27.5%
24.7%

13.1%
10.3%

Project managers Procurement Accounts Payable

and invoice
approvers

2016 2017

Don’t know/NA= question not asked in 2014 or 2015; 38.9% in 2016; 27.8% in 2017
Votes secured per year= question not asked in 2014 or 2015; 3,148 in 2016; 3,091 in 2017
Copyright © 2017 Deloitte Development LLC. All rights reserved. Supply chain fraud, waste, and abuse: The growing role of forensics and analytics 6
Does your organization have an inventory of your third parties,
including the data that they have access to?
Votes received: 2,786

Yes No

39.2% 33.4%

27.4% Don’t know/not applicable; question only asked in 2017

Copyright © 2017 Deloitte Development LLC. All rights reserved. Supply chain fraud, waste, and abuse: The growing role of forensics and analytics 7
Does your organization analyze unpaid invoices for evidence of
supply chain fraud, waste and abuse prior to payment?
Comparing results from 2016 and 2017

27%
Yes
38.6%

24%
No
23.9%

2016 2017

Don’t know/NA= question not asked in 2014 or 2015; 49% in 2016; 37.5% in 2017
Votes secured per year= question not asked in 2014 or 2015; 2,660 in 2016; 2,767 in 2017
Copyright © 2017 Deloitte Development LLC. All rights reserved. Supply chain fraud, waste, and abuse: The growing role of forensics and analytics 8
Media contact

Shelley Pfaendler
Public Relations
Deloitte Services LP
spfaendler@deloitte.com

Full press release available on Deloitte.com

Copyright © 2017 Deloitte Development LLC. All rights reserved. Supply chain fraud, waste, and abuse: The growing role of forensics and analytics 9
The statements in this report reflect the aggregation of poll responses and are not intended to reflect facts or opinions of
any entities. All data, charts and statistics referenced and presented, as well as the representations made and opinions
expressed, unless specifically described otherwise, pertain only to the participants and their responses to the Deloitte poll.
The information obtained during the poll was taken “as is” and was not validated or confirmed by Deloitte.

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