Thailand Economic Crime and Fraud Survey 2020: Key Findings and Recommendations

The Thailand Economic Crime and Fraud Survey 2020 conducted by PwC aimed to assess the level of economic crime and fraud in Thai companies. The survey highlights significant challenges in preventing and detecting such crimes, but also provides insights into successful remedial actions taken by some organizations.

Challenges in Preventing and Detecting Economic Crime

Lack of technology deployment: Many Thai companies lack the digital skills and resources needed to deploy technology effectively.
Cost as a major obstacle: Cost is the main barrier to deploying technology to combat crime.
Limited implementation of anti-fraud programs: Only around half of respondents have formal fraud programs in place, and fewer than 10% follow best practices across various categories.

Gaps in Risk Management

Risk assessment and crisis management: While almost half of the respondents perform regular risk assessments, only 7% have a crisis program in place to manage unforeseeable risks.
Third-party due diligence: Many companies (30%) do not have a third-party due diligence or monitoring program in place.

Investigation and Discipline Processes

Investigation and discipline processes: Only 59% of respondents have documented investigation and discipline processes in place, and only 55% conducted an investigation after discovering an incident.
Remediation and response: The most common remediation was to discipline or terminate the employees involved (63%), but many companies do not track the outcomes of investigations.

Positive Responses from Companies that Took Remedial Action

Improved operating effectiveness: More than half (57%) of organizations reported being in a better place in terms of their operating effectiveness after taking remedial action.
Streamlined operations: As many as 68% said they streamlined and improved operations as a result of their experience with crime.
Fewer repeat incidents: 40% reported fewer repeat incidents, and 32% improved employee morale through their response.

Conclusion

The Thailand Economic Crime and Fraud Survey 2020 highlights significant challenges in preventing and detecting economic crime and fraud among Thai companies. However, those that take remedial action can improve their operating effectiveness and reduce the risk of future incidents.