Keyword analytics is the process of using data analytics to find keywords in both structured and unstructured data for detecting fraud and compliance review anomalies. It can be used by auditors, accountants and lawyers. This presentation from the 2015 TeamMate User Conference presented the results of the AuditNet Keyword Survey with tools and a comprehensive list of more than 4,000 keywords, social media terms, terrorist keywords and more.

1. Leveraging Technology
Using Keyword Analytics
in Fraud and Compliance
Monitoring

2. About Jim Kaplan CIA CFE
• Internal audit professional
• CIA and CFE
• Recipient of the IIA’s Bradford Cadmus Award
and Local Government Auditors Lifetime
Achievement Award
• Founder and Creator of AuditNet®

3. AuditNet® Content
• AuditNet® provides more than 2,400
audit templates to subscribers and site
license users including TeamMate
• Content includes the complete
AuditNet® library of over 15,000 audit
procedures and workpapers. New
content is added to the site every
month including articles, templates,
surveys and much more.
• Approximately 5% of the content is
fraud specific (templates, matrices,
guides)
• 2014 acquired AuditNet.com domain
name
• Guidance ‐ TeamMate AM ‐ How to
Move or Copy TeamStore AuditNet
Content to your TeamStore

4. Session Agenda
• Technology and CAATs
• What is Audit Keyword Analytics?
• 2014 AuditNet® Survey
• Why use AKA?
• Strategies to Consider
• Tools at your Fingertips
• The Training Element
• Keyword Analytic Tools

6. Evolution of CAATs
1970’s 1980’s 1990’s 2000 2010
Simple Parallel
Simulations
Test Decks
Integrated Test
Facilities
Extensive
Parallel
Simulations,
Test Decks/ITFs
Comprehensive
Data Analysis
and Testing
Digital
Analysis
Data
analytics
Fraud Triangle
Analytics
Big Data
Keyword
Analytics

7. Data Analysis Software
• IDEA 1986 (DOS, Windows 1995)
(CICA then CaseWare)
• ACL 1987 (Harald Will)
• TeamMate Analytics 2014
(TopCAATs) Excel Add‐In
• ActiveData 2003 (John West IDEA
Developer) Excel Add‐In
• Excel 1987 (started as Visicalc
1978)
• Arbutus 2012 (Grant Brodie ACL
developer)

8. Keyword Analytics Defined
• Process involves mining electronic
communications for
• “key words”. These key words, when
appearing in emails, text messages
etc. may indicate that
• the sender (and possibly the recipient)
are engaging in some method of
fraudulent behavior.

9. Big Data and Audit
• The ongoing information explosion is reaching
epic proportions and has earned its own
name: Big Data.
• Gartner, and now much of the industry, use
the so‐called "3Vs" model to classify Big Data:
"Big data is high Volume, high Velocity, and/or
high Variety information assets that require
new forms of processing to enable enhanced
decision making, insight discovery and
process optimization." This clearly describes
the type of data auditors and internal
investigators have to deal with today.
• ZyLAB Fraud Prevention and Detection Program

10. Survey Overview
• Using Key Word Analysis of an
Organization’s Big Data for Error
and Fraud Detection
• Survey Origins
• Survey Development
• Webinar Tools and Technology

11. Keyword Concept
• Academic Research
• ACFE
• Federal Government
• Technology consultants
E&Y FBI Project – FCPA Top 15
phrases shared in articles and
presentations from over 3,000
extracted

12. Survey Development
• Survey Background – Why?
• Survey Design
• Collaboration Efforts
• Survey Results and Collaboration
• Training

13. Key Word / Textual Analytics
Why the Study
Data: Electronically Stored Information
Structured vs Unstructured Data
Structured Unstructured
G/L ‐ e‐Mail
Accounting Systems ‐ Presentations
Data Bases ‐ Documents
Big Data has been growing at an annual
compounded rate of 40% a year over the past
5 years
Ample opportunities to hide fraud in the data
Auditors Need to Expand their Auditing
Approach and Get Smart in these areas
Page 13

14. Benefits of Textual Analysis as a Component of Data
Analytics
Risk Assessment
Early Detection of Misconduct
Fraud Risk Detection
Allows for a Methodology to Analyze Non‐
Structured Data
Page 14

15. Key Word / Textual Analytics
Practical Applications
• Pro‐Active Fraud Detection (FTA) or (FDA)
• Foreign Corrupt Practices Act (FCPA)
• AML
• Corrupt Officials
• Mergers & Acquisitions – Transaction Due
Diligence
• Identifying
• High Risk Departments
• Disgruntled employees
• Journal Entry Analysis
• Cost Accounting
• Data Repository Audits / Compliance Testing
Page 15

16. Data Types
• Unstructured vs
Structured

17. Wordle
www.wordle.net

18. Key Word / Textual Analytics
Thoughts and Other Take‐Away’s for Key Word
Searches
 Use this List of Key Words to Match against
your Population your testing
 Look for Negative Words
 Foul Language / Curse Words
 Action Words which are not Business
Related
 Suspicious Activity In The Wrong Accounts
 Words that Make NO Sense for your Industry
©2014 AuditNet® and Cash
Recovery PartnersPage 18

19. Strategies/Techniques
• Determine the objective for the analytics
• Fraud Risk Assessment (FTA or FDA)
• Compliance (FCPA)
• Audit (Errors, Anomalies, Standards)
• Select the team responsible for carrying
out the analysis.
• Create the team
• Run the analytics
• Assess results
• Refine and Re‐Run

20. Tools
• Data analytic software
• Microsoft Excel
• TeamMate Analytics
• IDEA, Arbutus, ACL, ActiveData
• Keyword List
• Macros and scripts
• Guidance
• GTAG – Data Analysis Technologies ‐
http://www.iia.nl/SiteFiles/IIA_leden/GTAG%20
16%20Data%20Analysis%20Technologies.pdf

21. Training Element
• Training Planning and Doing – Oh My!
• Videos and recordings
• Classroom
• CBT
• Mentoring
• Outsourcing the data analytic task

22. Excel Keyword Macro

24. Technology Future Perspective
Lanza Approach to Letter Analytics (LALA) – a new
technique available for data analytics.
Do you know who
this is?
Hint: he is the
father of the
Internet

25. Where to go for more!
• AuditNet® ‐ recordings and list of
keywords
• AuditSoftWareVideos – free
video training
• YouTube – Search Audit Data
Analytics

26. Thanks for Attending!
26
The Keyword Analytics Video is available for download at
https://attendee.gotowebinar.com/recording/6643280404265659137
If you would like to purchase the data files send an email to
jkaplan@auditnet.org