Retail CSI »
So how does an organisation, which strives to maintain a trusted relationship with its workforce, manage the risks associated with loss prevention? The solution was a system which distinguishes between fraudulent activity and inadequate training, sifting through large volumes of data to uncover activity requiring investigation.
Identifying and qualifying trading anomalies associated with fraudulent activity
Bistech architected Fraud Detection solution
Speed and agility in being able to react to suspicious activities and understanding training gaps
Business Challenge Story
The biggest challenge associated with the project was the collation of extremely large volumes of data. As sales transactions are collected daily throughout all KFC stores, the enormous set of data generated over four months equated to more than 20,000,000 line items that needed to be reviewed.
The Performance Management experts at Bistech, having already assisted Domino’s Pizza to implement a Fraud Detection solution, were engaged by CFL to implement a similar solution. In just 5 weeks, the system put in place by Bistech enabled CFG to efficiently identify fraudulent activity.
The key benefit of this solution lies in the centralisation of all information required for an initial investigation. CFL’s Loss Prevention Manager, David Baker, states, “We now have the facility to drill down from a region to a store to an employee to an individual transaction level.”
When suspicious activity is identified, Baker can now simply click a button to retrieve all history pertaining to that activity. This information, once spread across multiple systems and taking hours to retrieve, is now accessible in seconds.
As a clearly pleased Baker explains, “The outcomes achieved from this solution have been nothing short of outstanding. Reports contain all the relevant information and fraud indicators. Results are clearly displayed in both table and graph format and the drill down detail is exceptional. Achieving an overall picture of areas/stores/individuals of most interest from a potential Fraud perspective is again exceptional. These together with the immense reduction in time spent data mining are immeasurable benefits to not only the Loss Prevention Department but to the company as a whole”
Early investigations using the system have uncovered significant losses due to fraudulent activity or inadequate training – indeed, the prevention of even 10% of these activities equates to a substantial return on investment.
Going forward, the solution will continue to be enhanced and refined by detecting suspicious transactions at the time they are extracted from the source system, and by developing new fraud scenarios to be identified and incorporated in the future.
“Working with Bistech has been exceptionally good. Their consultants are extremely knowledgeable and have a depth of Business understanding which facilitates the whole process” – David Baker, Collins Food Limited