An Investigation of Business Intelligence Tools and their Effectiveness in Fraud Risk Management

Abstract

Despite the efforts and awareness raised by various government agencies, the number of fraud cases among telecommunications users continue to rise in Malaysia. Due to this, initiatives need to be taken to manage fraud risk and one of the popular means for doing so is by using business intelligence tools to be included here). Hence, it is deemed necessary to investigate whether business intelligence tools (BIT) are effective in managing fraud risk, that is, from the perceptions of telecommunications users. In the present study, about 500 respondents were used as the sample; however, only about 55 respondents participated in the study. The findings of reliability analysis show that all of the items for the independent and dependent variables were reliable and used for further analysis in the study. The findings show that most of the telecommunications users perceived that there was a relationship between business intelligence tools and effective fraud risk management (EFRM). In other words, business intelligence tools play an important and effective role in fraud risk management. This has implications to the management of organizations to adopt business intelligence tools to manage fraud risks that occur in their organizations.