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COO / CPO OPERATIONS BRIEFING

15,000 Invoices/Month.
You Review 300.
Fraud Lives in the Other 14,700.

FraudGuard reviews every invoice — all 15,000 — in real time, before payment posts. Tare weight manipulation, invoice splitting, three-way match bypass, vendor collusion: all detected and blocked in under 500 milliseconds.

100%
Invoice Coverage
$14.8M
Fraud Prevented
15,000
Invoices/Month Screened
<500ms
Per-Invoice Decision

5 Procurement Fraud Schemes Hitting Your Operations

Each scheme is invisible to standard SAP controls. Each requires a dedicated AI engine.

Invoice Splitting

$4.2M
avg. annual loss

Vendors deliberately split large invoices below approval thresholds. A $340K invoice becomes four $84K invoices — each approved automatically.

AI Detection Signal

Same vendor, same period, amounts just below threshold

Duplicate Payments

$3.1M
avg. annual loss

Identical invoices submitted weeks or months apart, often with slight reference number variations, across multiple subsidiaries.

AI Detection Signal

Cross-entity vendor amount pattern matching

Tare Weight Manipulation

$4.1M
avg. annual loss

Receiving scales systematically set to underreport tare weight. You pay for goods never delivered. Average loss: $127 per truck crossing.

AI Detection Signal

Statistical deviation from baseline tare-to-gross ratio

Three-Way Match Bypass

$3.7M
avg. annual loss

Goods Receipt and Invoice amounts match on paper but differ from original PO. Manual matching misses 2–3% of all line items.

AI Detection Signal

PO-GR-Invoice triangulation with tolerance modeling

Vendor Collusion

$2.8M
avg. annual loss

Preferred vendor relationships lead to above-market pricing, kickbacks, or goods-not-received payments over multi-year periods.

AI Detection Signal

Vendor pricing drift vs. market benchmarks + relationship mapping

Combined: $17.9M in procurement fraud — all blockable pre-payment

Procurement Operations: Before vs. After

Before FraudGuard
Invoice review
2% manually sampled
Three-way match
3–4 day cycle, exceptions missed
Tare weight audit
Quarterly physical audit, sampling only
Duplicate detection
AP team catches obvious cases
Vendor collusion
Discovered at audit (avg. 18 months later)
Dispute resolution
30–60 days, manual documentation
After FraudGuard
Invoice review
100% AI-screened in <500ms
Three-way match
Real-time, every PO-GR-Invoice
Tare weight audit
Every truck, every crossing, auto-flagged
Duplicate detection
Cross-entity, cross-period, zero misses
Vendor collusion
Pattern detected within 30 days
Dispute resolution
Audit trail auto-generated in SAP

Real-Time Vendor Intelligence

Know every vendor risk before the next PO is raised

Vendor Risk Scoring

Dynamic risk score for every active vendor updated daily based on payment behavior, pricing drift, and market benchmarks

Invoice Pattern Analysis

ML clustering detects invoice splitting patterns, threshold gaming, and temporal concentration anomalies

Market Price Benchmarking

Vendor contract prices compared against commodity indices, peer company averages, and historical trends

Relationship Graph

Vendor ownership, shared bank accounts, and personnel overlaps surfaced from public records

Case Study: Tare Weight Fraud

The fraud your QC team and auditors never catch

$420M Industrial Manufacturer

Receiving operations at 4 plants across 2 states

The Fraud
Amount:$2.4M tare weight fraud
Duration:26 months undetected
Method:Scales at Plant C systematically set 8% low. Vendor truckers knew the scale calibration schedule.
FraudGuard Detection

FraudGuard detected statistical deviation in tare-to-gross ratio at Plant C within 11 days of deployment

Outcome

Vendor contract terminated. $2.4M recovery initiated. Scale vendor audited. New calibration protocol implemented.

Operations Impact Summary

Procurement fraud blocked
Year 1
$14.8M
AP labor freed (exception-only model)
Year 1
$1.1M
Dispute resolution cost reduction
Year 1
$340K
Audit preparation savings
Year 1
$280K
Faster 3-way match (8 days → 2 hours)
Ongoing
Cash flow improvement
Total First-Year Operations Impact
$16.5M+

Stop Reviewing 300 Invoices. Review None.

FraudGuard escalates only the anomalies that need human attention. Your procurement team focuses on strategy, not fraud detection. Every invoice is covered. Every fraud is blocked.

100%
Invoice Coverage
<500ms
Per Invoice Decision
$14.8M
Protected Year 1