Question
What additional information and meaningful responses do you have on the paragraphs below regarding new opportunities e-commerce solutions like EDI present for internal and external
What additional information and meaningful responses do you have on the paragraphs below regarding new opportunities e-commerce solutions like EDI present for internal and external perpetrators trying to defraud companies in a bad way? See paragraphs below. Please do not provide any answers from chegg or textbook answers at all. This will require some research and an in-depth or detailed explanation.
EDI presents new opportunities for external fraud perpetrators due to the large amount of data that is passed through the system. Traditional channels of conducting transactions also produce large amounts of data, but a perpetrator would need to be physically present at the storage location to access them. An EDI system requires additional means to safeguard this information. The lack of personal contact also creates an opportunity for impersonation. A person that places orders using stolen identity information, might not be recognized since there is no face to face observation to connect the information to. This same vulnerability applies to the ability to steal the company's identity as well.A perpetrator can mimic the business website to collect personal information from unknowing customers.
EDI can also create opportunities for internal perpetrators. A new, complex information system requires different technical expertise and controls. If the company implements the system without accommodating its internal controls accordingly, new weaknesses are formed for a perpetrator to exploit. For example, prior to an EDI system may be only a select few employees performing accounting or order processing would have access to personal customer information. However, with the new system, maybe anybody that performs IT duties would have access to this data. The company will need to update their controls to adapt to the new risks.
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