Today's organizations, with their extensive supplier networks, vast numbers of transactions and global operations, are increasingly vulnerable to supply chain fraud.
Supply chain fraud encompasses a range of practices from bribery and bid rigging to fraudulent billing. A 2022 report1 showed the fraud costs and KPIs experienced significant rises in North America, with merchants increasing the amount they spend on fraud management.
Common types of supply chain fraud include:
- corruption and bribery,
- bid rigging,
- counterfeit goods,
- fraudulent billing,
- misappropriation of assets and
- cybercrime attacks on a company's suppliers and vendors to access data or disrupt the supply chain.