Report identifies three threats that have grown due to remote and hybrid work arrangements
- Published: Tuesday, 19 April 2022 09:00
A new report released by KPMG in Canada finds that nearly half of North American executives say that working from home has negatively impacted the effectiveness of their organizational ‘triple threat defences’ – these being fraud prevention measures, compliance risk mitigation, and cyber security.
"The rapid digital transformation to remote work forced many companies to quickly put new processes and technologies in place, without being able to conduct the proper due diligence," says Alexander Rau, Partner, Cybersecurity, KPMG in Canada. "With all the challenges of the pandemic, more than two-thirds have not gone back to revisit these, leaving them exposed to on-going risk. To protect themselves, businesses need to develop an interconnected defence strategy where compliance, fraud and cyber efforts work together to defend against this threat loop."
According to the report, ‘Fraud, cyber & compliance: A triple threat for Canadian organizations’, 60 percent say the shift to remote working has increased the risk of fraud occurring within their company due to a reduced ability to monitor and control for fraudulent activity.
Key findings in the report include:
- 67 percent of companies across North America say they experienced external fraud in the last 12 months.
- Nearly every respondent expects to see an increase in regulatory or compliance requirements related to data privacy, labour relations and the environment in the next five years.
- Two-thirds of respondents expect fraud (internal or external) to increase in the next year, and even more (77 percent) expect that cyber risks will grow.
- Half (50 percent) expect their cyber security risk to increase somewhat over the next 12 months, with 35 percent expecting it to increase greatly.