Fraud, cyber attacks, and security risks continue to plague the construction, engineering and infrastructure sector at high levels, according to senior corporate executives surveyed worldwide for the 2017/18 Kroll Annual Global Fraud & Risk Report.
The survey by the risk solutions provider found that 83% of respondents experienced at least one fraud incident in 2017. Nearly all (93%) reported a cyber incident, and 67% reported some other kind of security incident.
Information theft, loss, or attack was the most prevalent type of fraud experienced in the sector, cited by 33% of respondents, up 15 percentage points from 2016. Regulatory or compliance breach was second on the list, reported by 30% of executives, almost twice the reported incidence in last year’s survey (18%).
Physical theft or loss of intellectual property (IP) was the most prevalent type of security incident, with 43% saying their organizations fell victim to these crimes. “There is a convergence between physical and digital threats, with issues arising from equipment with sensitive data being stolen or lost, for example, or employees with access to highly sensitive information accidentally or intentionally causing a breach,” said Jason Smolanoff, senior managing director and global cyber security practice leader for Kroll.
Related Stories
Legislation | Aug 10, 2016
Calif. bill would speed up environmental lawsuits on certain projects
A nine-month limit has been proposed for some $100 million-plus projects.
Resiliency | Aug 10, 2016
White House pushes for better finance strategies for disaster mitigation and resilience
The move highlights innovative insurance, mortgage, tax, and finance-based strategies.
Regulations | Aug 9, 2016
New trend eases parking requirements for U.S. cities
Transit-oriented development and affordable housing are spurring the movement.
Regulations | Aug 8, 2016
EPA toughens rules to reduce formaldehyde exposure from composite wood products
Products will now have to be labeled as compliant to the new rules.
Regulations | Aug 5, 2016
Stop-work orders in New York City up sharply this year
The orders come after a rise in the number of deadly accidents that have occurred in the past few years.
Sustainability | Aug 4, 2016
S.F. Bay Area voters approve first-of-its-kind tax to fight impact of climate change
The funds from the tax will be used to restore wetlands
Concrete | Aug 2, 2016
Concrete Association builds case against cross-laminated timber
The campaign asserts that not enough is known about CLT in construction
Seismic Design | Jul 28, 2016
Risk of man-made earthquakes now factor in seismic hazard analysis
Significant risk increases seen in some areas of the U.S.
Resiliency | Jul 27, 2016
New York’s resilience plans not taking long-term view, critics charge
Continued waterfront development may be regretted later this century.
Green Specifications | Jul 26, 2016
New Miami Beach law requires LEED certification on projects larger than 7,000 sf
LEED Silver the prescribed standard on buildings larger than 50,000 sf.