Fraud analytics practices in public-sector transactions: a systematic review

Abstract

Purpose

Increased fraudulent practices have heightened the need for innovation in anti-fraud programs, necessitating the development of analytics techniques for detecting and preventing fraud. The subject of fraud analytics will continue to expand in the future for public-sector organizations; therefore, this research examined the progress of fraud analytics in public-sector transactions and offers suggestions for its future development.

Design/methodology/approach

This study systematically reviewed research on fraud analytics development in public-sector transactions. The review was conducted from June 2021 to June 2023 by identifying research objectives and questions, performing literature quality assessment and extraction, data synthesis and research reporting. The research mainly identified 43 relevant articles that were used as references.

Findings

This research examined fraud analytics development related to public-sector financial transactions. The results revealed that fraud analytics expansion has not spread equally, as most programs have been implemented by governments and healthcare organizations in developed countries. This research also exposed that the analytics optimization in fraud prevention is higher than for fraud detection. Such analytics help organizations detect fraud, improve business effectiveness and efficiency, and refine administrative systems and work standards.

Research limitations/implications

This research offers comprehensive insights for researchers and public-sector professionals regarding current fraud analytics development in public-sector financial transactions and future trends.

Originality/value

This study presents the first systematic literature review to investigate the development of fraud analytics in public-sector transactions. The findings can aid scholars' and practitioners' future fraud analytics development.

Citation

Alfian, A., Ritchi, H. and Adrianto, Z. (2023), "Fraud analytics practices in public-sector transactions: a systematic review", Journal of Public Budgeting, Accounting & Financial Management, Vol. 35 No. 5, pp. 685-710. https://doi.org/10.1108/JPBAFM-11-2022-0175