Skip to content Skip to footer
Search

Loading Results

PwC’s Global Economic Crime and Fraud Survey 2022: US highlights

Update your fraud risk management programs to stop cyber-enabled economic crime

Cybercrime stood out among 19 categories of economic crime as the most widespread — and most disruptive — event experienced over the past two years, around the world and in the US. And in the US, about 22% of respondents experienced cybercrime for the first time, as a result of disruption from the pandemic and responses to it, including rapid shifts to all things digital.

It’s not news that cyber attacks have risen and spread over the past two years. What’s not often reported is businesses’ experience with cybercrime compared to other types of economic crime. The Global Economic Crime and Fraud Survey 2022 provides valuable context and broader lens. Is your company allocating resources properly to fight the most important fraud risks to your business? Can your company reap efficiencies from improvements that address classes of crime that tend to go together?  

Types of fraud experienced


Cybercrime
%
Customer Fraud
%
Asset Misappropriation
%
Intellectual Property (IP) Theft
%
Know Your Customer (KYC) Failure
%
Bribery And Corruption
%
Supply Chain Fraud
%
Human Resources Fraud
%
Procurement Fraud
%
Money Laundering And Terrorism Financing
%
Accounting/Financial Statement Fraud
%
Government Relief Fraud
%
Disinformation/Misinformation
%
ESG Reporting Fraud
%
Anti-Embargo Trade Violations
%
Deceptive Business Practices
%
Insider/Unauthorised Trading
%
Tax Fraud
%
Anti-Competition/Law Infringement
%
Other
%

Source: PwC's Global Economic Crime and Fraud Survey 2022; Base: 72

Most disruptive fraud experienced


Cybercrime
%
Intellectual Property (IP) Theft
%
Customer Fraud
%
Asset Misappropriation
%
Know Your Customer (KYC) Failure
%
Disinformation/Misinformation
%
Supply Chain Fraud
%
Accounting/Financial Statement Fraud
%
Procurement Fraud
%
Anti-Embargo Trade Violations
%
Insider/Unauthorised Trading
%
Deceptive Business Practices
%
Bribery And Corruption
%
Human Resources Fraud
%
Government Relief Fraud
%
Tax Fraud
%
Money Laundering And Terrorism Financing
%

Source: PwC's Global Economic Crime and Fraud Survey 2022; Base: 72

Cybercrime is perpetrated for direct financial gain: ransom to get data and systems restored, intellectual property theft, proceeds from sales of data in the dark web. And then there’s cyber-enabled economic crime: the kind that starts as a cyber attack and then morphs into vendor fraud, customer fraud or money laundering, as the fraudster wends its way through systems, devices, and user identities to reach its final prize.

Arrayed against businesses is a growing economy of commercial cybercrime providers. Fraudsters need only to buy from these providers for offensive security solutions. The established cybercrime providers operate globally and can provide tools such as phishing-as-a-service or ransomware-as-a-service or access-as-a-service.

Cybercrime, if not stopped, is an enabler of many other forms of economic crime. The clear implication? Your organization needs to build a panoramic view of risk management that integrates cyber, financial controls, and other controls. 

Method of detection


Fraud risk management (general controls)
%
Internal audit (routine)
%
Suspicious activity monitoring
%
Corporate security (both IT and physical security)
%
Social media
%
Account reconciliation
%
Document examination
%
Tip-off
%
Confession
%
Rotation of personnel
%
Advanced data analytics
%
External audit
%
Whistleblowing hotline
%
By accident
%
Don't know
%

Source: PwC's Global Economic Crime and Fraud Survey 2022; Base: 72

Financial impact of most disruptive crime and all incidents of fraud


Less than 50,000 US dollars
%
50,000 < 100,000 US dollars
%
100,000 < 1 million US dollars
%
1 million to < 5 million US dollars
%
5 millions to < 50 millions US dollars
%
50 millions to < 100 million US dollars
%
100 million US dollars or more
%
Don't know
%
Amount is immeasurable (solely non tangible loss)
%

Source: PwC's Global Economic Crime and Fraud Survey 2022; Base: 72

Bottomline

Companies need to find new ways to bring together disjointed departments and identify risk scenarios across various functions. Cyber threats and fraud are often handled by separate departments that don’t work together or communicate about risk – cyber criminals know it and their customers know it.

Organizations need to adopt a unified approach that successfully fuses cyber, finance, and non-financial controls –  and they need to facilitate open communication so they have a clear understanding of how these controls will impact each other. Taking this panoramic view, organizations might find that they need to refresh their fraud management program framework to organize teams differently, align roles, and develop better playbooks and technology strategies. Only then will an organization be able to leverage all the opportunities to detect, monitor and stop fraud.

Every company is pursuing digitization and digital transformations to varying degrees. Companies can transform confidently by updating their controls playbook and improving overall fraud risk management. The payoffs can be measurable, both for the organization and its stakeholders. 

Growth-minded fraud risk management accomplishes several goals, from minimizing losses and business disruption to improving compliance efficiency and enabling business growth.

Contact us

Ryan Murphy

Ryan Murphy

Partner, US Investigations & Forensics Leader, PwC US

Kristin Rivera

Kristin Rivera

Partner, Global Investigations & Forensics Leader, Global Crisis Consulting Leader, PwC US

Follow us

Required fields are marked with an asterisk(*)

By submitting your email address, you acknowledge that you have read the Privacy Statement and that you consent to our processing data in accordance with the Privacy Statement (including international transfers). If you change your mind at any time about wishing to receive the information from us, you can send us an email message using the Contact Us page.

Hide