Identity Theft in Business

ERP Systems For Consumer Security

Many organizations rely on Electronic Resource Planning (ERP) and robust payment networks and systems to help them circumvent identity theft and consumer credit fraud. These ERP systems integrate different areas within the operations to better manage security by providing transparency and control. ERP solutions collect and manage information and activity across planning, purchasing, inventory, sales, marketing, human resources and financing. Electronic planning and corporate payment solutions are critical for a safe and stronger financial supply chain.

Preventing Fraud through Electronic Resource Planning

Equifax Inc., along with Experian and TransUnion, are the largest consumer credit reporting agencies in the world, collecting and maintaining credit information on millions of individual consumers worldwide. When Equifax notified consumers on August 2nd that a cyber-attack was responsible for the theft of half the US population’s Social Security numbers, people were stunned and panicked that this occurred in an organization that they had trusted to keep their information safe and secure. It was the largest breach in US history, setting off concern for credit and identity theft not only national, but globally.

Today’s concerns with consumer credit card fraud and identity theft are more prevalent than ever, especially for corporate employers. Technology has driven innovation, but it has also driven fraud. Tracking by the Identity Theft Resource Center (ITRC) and CyberScout shows that there were 791 data breaches reported in the U.S. by the end of June 2017. This is a 29 percent increase over the same period in 2016, and the highest number recorded for any half-year period.

Identity theft protection using ERP Systems

Financial Service Companies around the globe are doing their best to get in front of these breaches by implementing strategies for electronic payments and corporate payment solutions

Many large organizations, particularly in the manufacturing arena, rely on robust payment networks and Electronic Resource Planning to help them in the effort. These ERP systems integrate different areas within the operations to better manage security by providing transparency and control. ERP solutions collect and manage information and activity across planning, purchasing, inventory, sales, marketing, human resources and financing. Electronic planning and corporate payment solutions are critical for a safe and even stronger financial supply chain.

Companies like WEX are leveraging data and technology to deliver the perfect answer through payment optimization. Their powerful AP solutions are designed to help reduce costs, streamline the process, generate revenue and mitigate risk for identity theft and fraud. With the implementation of integrated and managed payables, and the ability to leverage bank agnostic frameworks gives them the ability to streamline the process, in turn, helping to avoid gaps or complicated functions within other systems that can lead to a breach. Optimized payable solutions also increase control and visibility, which is critical in helping to mitigate risk of errors and potential fraud.

Secure Payment Solutions

While payment optimization and integrated payment solutions are clear steps in protecting the security of your data, the risk of credit card fraud is also a real concern. The most recent global effort in protecting consumers and preventing credit card fraud was the introduction of a new generation of cards — the EMV chip card. These new cards add an extra level of security through dynamic data that will reduce card fraud and make it much more difficult for criminals to profit. EMV cards are working to cut down on counterfeiting, but credit card information continues to be used while the card is not present. Card-not-present (CNP) transactions can take place over the phone, online and in mail order commerce.

Secure Payment with the EMV chip card

OTR Payment Systems

Companies like WEX are making it harder for criminals to steal vital data with OTR payment systems including commercial credit card solutions, cutting back on fraud. These cards are not only beneficial in simplifying business through an automated and secure workflow system, they also provide control and visibility allowing both the company and the card user to see spending in real-time. WEX is specifically vigilant at maintaining control and security on payments within the trucking and fleet management industry. Managing fuel transactions is a critical effort, but we streamline the process with digital fleet payment solutions and fleet fuel cards. These cards help fleet managers to better maintain and control time sensitive employee or contractor payment needs with the efficiency and security. These devices and other fleet payment solutions give fleet management secure access to perform critical functions in real time. Actions like authorization for check cashing or payments, performing overrides and tracking transactions as they happen are critical for both the drivers and the fleet managers in avoiding fraud.

ERP Systems for Corporate Protection

Individuals are not the only ones at risk for identity theft. Companies are at an increased risk as well. The same cautions are as follows:

Develop a protection plan– While most businesses focus on developing business plans to grow their company, little attention is paid to developing a protection plan. Design a step-by-step plan to protect your company’s identity at the same time putting in place an action plan in the event that you do become a victim.
Protect company documents– Keep all your company documents and records in a safe and secure location. Dispose of any unnecessary information by using a micro cut shredder for the highest level of security. Also, never provide your company’s federal tax identification number, financials, or bank statements to anyone unless you have made the initial contact. Finally, consider using a prepaid business credit card like WEX Payables offers. It can be used in place of a traditional business credit card. With these cards you can set limits, deactivate a card in real time, and even limit the merchants for which the card can be used. If a criminal happens to steal a company card from an employee, you can quickly take action.
Protect company information online– One of the sure fire ways to put your company at risk is by using sensitive information such as an employer identification number (EIN), account numbers, financial documents, or personal information via email or the web. If you must provide this information for a specific reason such as applying for credit, make sure the site is secure and its security certificate is up to date.
Monitor business credit reports– One of the fastest ways to detect a possible identity theft is to monitor your company’s profiles with all three major business credit bureaus. You can accomplish this by subscribing to their monitoring services, which give you access to your files 24/7. Take advantage of email alert notifications so you are notified of any new activity occurring on your company credit files in real time.
Avoid the “master” user– You should avoid creating any type of “master” user account and password where an employee or individual can gain access to all your company information.

Security and protection is key when your customer’s money is on the line. The more proactive companies can be toward mitigating fraud, the more trusting and safe your customers will feel.

Resources:

https://www.theverge.com/2017/9/22/16345580/equifax-data-breach-credit-identity-theft-updates

Federal Trade Commission

https://www.creditcards.com/credit-card-news/credit-card-security-id-theft-fraud-statistics-1276.php

http://www.investopedia.com/terms/e/erp.asp

https://www.simple.com/blog/payment-networks-and-methods

https://www.usa.gov/identity-theft

e-commerce, electronic payments, ERP, ERP System, identity theft, P2P, Peer-to-Peer