Artificial Intelligence is reshaping the fraud landscape at an unprecedented pace. For organizational leaders, staying informed is not optional—it’s imperative.
Schneider Downs is proud to be an official supporting organization of International Fraud Awareness Week. To mark the 25th anniversary of International Fraud Awareness Week, we are releasing a series of content on how AI is reshaping the landscape of fraud detection and prevention. This article focuses on AI and future predictions for fraud risk management.
Understanding the Risks of AI and Building Resilience
The dual nature of AI, as both a tool for fraudsters and a powerful ally in fraud prevention, demands a proactive and strategic response.
Understanding how fraudsters exploit AI, through deepfakes, voice cloning, fraudulent document and image creation, and sophisticated phishing schemes, is the first step in building resilience. Equally important is recognizing how AI-enabled technologies can strengthen fraud risk management programs, offering predictive insights, anomaly detection, real-time monitoring capabilities, and efficiency gains.
Exploring the Human Element of AI
There are and will continue to be many threats that aren’t reliant on the use of AI, and an organization’s use of AI technology alone will never be enough.
Human awareness, critical thinking, and ethical judgment remain irreplaceable. AI should augment, not replace, these core capabilities. Organizations must foster a culture of vigilance and empower teams to question, verify, and act decisively.
About the Cost of AI…
While many AI tools are available today, cost concerns often hinder adoption, especially within organizations that might not face as much fraud risk as financial institutions.
As implementation costs and false positive rates decline, the value proposition of AI in fraud risk management will become increasingly compelling. Forward-thinking organizations must prepare now to capitalize on these advancements.
Organizations with mature fraud risk assessments are uniquely positioned to quantify expected benefits and make informed decisions.
Those organizations with mature fraud risk assessments that embrace agile frameworks and adaptive practices will be best equipped to evolve alongside AI.
How Can Schneider Downs Help?
Schneider Downs’s Business Advisory Services team provides proactive fraud risk management consulting tailored to an organization’s industry, size, and risks, and ranging from fraud risk assessments and program maturity assessments to governance, internal control, investigation, and program monitoring consulting. If you’re interested in learning about how we can assess or help to mature your organization’s fraud risk management program, contact a member of our team at [email protected].
This article is part of a series highlighting how AI is reshaping the landscape of fraud detection and prevention. Additional articles include:
About International Fraud Awareness Week
Since 2000, the Association of Certified Fraud Examiners has recognized the third week in November as International Fraud Awareness Week. With a focus on awareness, education and fostering a culture of integrity, International Fraud Awareness Week recognizes the importance of taking action in the fight against fraud. Learn more at FraudWeek.com.
About Schneider Downs Business Advisory
Our experienced team of business advisors includes Certified Fraud Examiners (CFE), a Master Analyst in Financial Forensics (MAFF), a Certified Forensic Interviewer (CFI), and Certified Mergers and Acquisition Advisors (CM&AA). We leverage our industry expertise to maximize value and minimize risk proactively or during acquisitions, fraud events, litigation, arbitration, corporate reorganization and other major business transactions and transitions. To learn more, visit our dedicated Business Advisory page.
