In the coming weeks I will elaborate on both software and processes necessary for mitigating fraud in staffing.
Being largely cash-oriented businesses, staffing companies are especially susceptible to cyber crime, yet many senior staffing executives often underestimate the risk.
These risks – bogus checks, shredded invoices, stolen revenue checks, padded hours, ghost employees, false payments to vendors, cyber theft of PII (Personal Identity Information) – are all the more perilous without adequate staffing software and IT infrastructure.
Without carefully delineated roles and permissions, it becomes difficult if not impossible to assign responsibility for losses which makes internal fraud especially easy to hide.
Even with the best software and IT, the risks are there so daily bank reconciliation, positive pay, exception reports and third-party audits and verifications are critical.