When you buy fish from the grocery store, it's not always clear exactly what you're getting. The industry is fragmented and murky, plagued by seafood fraud--when fishermen or processors take cheaper, lower quality fish and disguise or mislabel it to try and make more money. Don't count on regulators to catch this deception. In 2009, the Government Accountability Office took a hard look at the three agencies responsible for detecting seafood fraud, and concluded they were failing to "effectively collaborate with each other"--putting consumers' wallets and health at risk. Monica Jain, the founder and executive director of Manta Consulting Inc.--and also our guest on this week's episode of Bite--believes innovative businesses may hold the key to solving some of the industry's woes.
The phrase "loose lips might sink ships" warned, on American wartime posters, of unguarded conversations during the Second World War. Now, 73 years on from Victory over Japan Day on September 2, 1945, the formal conclusion of that horrific epoch, a similarly sloppy attitude to cybersecurity in the workplace can torpedo organisations. A well-cast "phish" – a fraudulent attempt to hook sensitive data such as usernames, passwords and codes – is capable of inflicting fatal financial and repetitional damage. "Successful phishing attacks can sink companies as well as individuals," says Juliette Rizkallah, chief marketing officer at identity software organisation SailPoint, updating the famous idiom. Fraud is endemic in the digital age.
It's no secret that identity fraud is a growing problem: A record 16.7 million US adults experienced identity fraud in 2017, marking an 8% increase from the year before, according to Javelin's 2018 Identity Fraud study. The amount of fraudulent transactions, massive data breaches, and instances of identity theft continues to rise as hackers and fraudsters become more sophisticated. ID scanning solutions have various strengths; some simply scan an ID's barcode, whereas more robust software performs forensic and biometric tests to ensure that an ID is not forged. Artificial intelligence and its subsets of machine learning and deep learning make it possible to accurately process, verify, and authenticate identities at scale. Identity documents, such as driver's licenses and passports, are scanned to test various elements of an ID, either on premises or remotely with mobile devices.
Artworks have long been authenticated based on provenance, style, and paint pigments. But in an art market where buyers think nothing of spending several millions of dollars on one piece of art, scientific examination that uses state-of-the-art technical imaging, molecular analysis, magnified visual inspection and other sophisticated methods, adds another layer of assurance that a work is real. It also can protect buyers and sellers from monetary losses and protect the integrity of artists and their works.
The use of machine learning techniques to fight fraud has been on the rise of late. But as more organizations leverage machine learning techniques, they need to follow best practices and understand key levers and specific nuances pertaining to fighting fraud. Beyond the basics, there are a few other techniques you can use to get the most from machine learning and artificial intelligence (AI) technologies, and to blend them effectively with your company's DNA. Here's what you need to know. Machine learning systems can work on very large data sets seamlessly to detect things people aren't able to catch.