Embedding Resilience

Cybercrime, money laundering, bribery and corruption remain persistent threats to Australian organisations.

Economic crime continuing strong in 2016

Participation statistics, Sector group

The Global Economic Crime Survey has been conducted every two years since 1999. It is one of the largest and most comprehensive surveys of its kind. It provides valuable insight and practical ideas on how organisations can continue their efforts to combat fraud and other economic crimes.

Economic crime remains a persistent threat to organisations in Australia, with an increasing focus on the digital and cyber landscapes. The digital environment has resulted in the evolution of economic crime, but the types of economic crime most commonly experienced by Australian organisations remains consistent with previous years: asset misappropriation, bribery and corruption, procurement fraud, cybercrime and accounting fraud. The landscape has changed but the threat remains. Organisations in Australia need to adjust by moving away from traditionally reactive detection methods to more sophisticated, proactive and embedded preventative and detective tools and techniques, such as we are seeing globally.

Resilience, while a fashionable buzzword, needs to become a part of the operational model for Australian organisations. Our consistently higher than the global average rate of incidence and cost of losses from economic crime reflects our reliance on doing what we have always done and a lack of increased investment in people, systems and tools.

Participation by region

8%
North America
22%
Western Europe
5%
Middle East
17%
East Europe
18%
Latin America
10%
Africa
20%
Asia Pacific

Exceeding the global average

Although a slight reduction since the last survey (57%), more than half (52%) of Australian respondents have experienced economic crime in the last 24 months. This is significantly higher than the global rate (36%).

A heightened cyber threat

Australian respondents have experienced cybercrime in the last 24 months at a much higher rate than the rest of the globe, overtaking asset misappropriation as the top economic crime experienced by organisations for the first time.

Anti-bribery and corruption

Are you doing enough to protect your organisation?

Answer 5 questions to see if your organisation meets the gold standard of managing bribery and corruption.

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Thinking about the most serious economic crime your organisation
experienced in the last 24 months, how was the crime initially detected?

Australia top three

17%
Fraud risk management
17%
Tip-off (internal)
14%
Whistleblowing hotline

Global top four

14%
Suspicious transaction monitoring
11%
Internal audit (routine)
11%
Tip-off (internal)
11%
By accident
 

30% of Australian respondents experienced more than 100 incidents of economic crime, compared to only 9% of global respondents experiencing the same amount

Forewarned, forearmed, forward​

Economic crime is ever-evolving, and becoming a more complex issue for organisations and economies. The regulatory landscape, is also changing, bringing with it numerous challenges to doing business. With local law enforcement not necessarily perceived as able to make a material difference, the onus is squarely on the shoulders of the business community to protect itself, and its stakeholders, from economic crime. As we discuss in the three upcoming sections – dedicated to the strategically crucial areas of cybercrime, ethics and compliance programmes and anti-money laundering – our survey numbers can help uncover not only potentially troublesome red flags and trends. They can also serve as vitally important indicators of areas of opportunity for forward-thinking organisations to meet the challenges of a whole new world. To be forewarned is to be forearmed for success.​

Contact us

Malcolm Shackell
Partner
Tel: +61 (2) 8266 2993
Email

Jean Roux
Partner
Tel: +61 (3) 8603 0714
Email

Steve Ingram
Partner
Tel: +61 (3) 8603 3676
Email

Cassandra Michie
Partner
Tel: +61 (2) 8266 2774
Email

Richard Bergman
Partner
Tel: +61 (2) 8266 0053
Email

Michael Cerny
Partner
Tel: +61 (3) 8603 6866
Email