In this compelling episode of The Art of Consulting podcast, Stephanie Forbes brings her expertise to the table, discussing the prevalent and often sophisticated issue of corporate fraud and cybersecurity. Throughout the conversation, we navigate the different ways in which fraud can occur within an organization, the impacts it can have, and the steps that can be taken to prevent it. From harrowing stories of payroll fraud to the intricacies of implementing governance models, Stephanie provides actionable insights to secure the financial and informational assets of companies.

Episode Summary:

• [00:00-01:05] Introduction: Hosts recap previous discussions and introduce today’s focus on how funds may be fraudulently siphoned from organizations.

• [01:06-02:41] Stephanie Forbes on Payroll Fraud: Forbes shares insights on payroll vulnerabilities and fraud risks.

• [02:42-03:35] Payroll Fraud Case Study: Example of payroll fraud involving fictitious employees under a single manager.

• [03:36-05:11] Sophisticated Fraud Techniques: Discussion of fraud types, including wire fraud, and their significant impact.

• [05:12-07:20] Cybersecurity Incidents: Forbes recounts a cyber breach resulting in company system loss.

• [07:21-12:47] Cloud System Risks: Exploring cloud access risks and keychain security vulnerabilities.

• [12:48-18:05] Cyberattack Recovery: Strategies for recovery, backup importance, and governance frameworks.

• [18:06-21:16] SMB Cybersecurity Tips: Affordable, effective cybersecurity practices for small to medium businesses.

• [21:17-29:00] Final Tips: Emphasis on advanced authentication and data protection strategies.

• Catch Stephanie next at The P-World Conference in Toronto December 4th.Click here for more info https://thepworld.com/event/the-supply-chain-summit

Episode Highlights:

• [01:06] Money Leak Channels: Forbes agrees with the host on limited money outflow channels and details fraud-prone areas.

• [01:19] Payroll and Procure-to-Pay Systems: Identified as high-risk zones for fraud, with a reference to a 2023 fraud report.

• [02:42] Payroll Fraud Example: Case where one individual received 74 checks, linked to a manager's scheme.

• [03:36] Fraud Complexity: Forbes describes another fraud instance involving last-minute bank account changes.

• [06:21] Cybersecurity Focus: A real-world case where a company lost cloud control due to a cyberattack.

• [07:21] Cloud Security Explained: Forbes clarifies cloud risks, including hackers gaining access to a company’s keychain.

• [12:48] Cyberattack Recovery: Importance of offsite backups and system restoration strategies.

• [18:06] Governance Models: Forbes advocates for governance models covering people, processes, and technology to defend against fraud.

• [21:17] SMB Cybersecurity Advice: Tips on cybersecurity insurance and routine data backups for small and medium businesses.

• [29:01] Final Insights: Forbes calls for barriers between cloud and operational systems and highlights authentication protocol needs.

About Our Guest:
Stephanie Forbes is a seasoned executive with over two decades in business, risk management, and supply chain. Her extensive experience has driven high-profile projects across the energy and construction sectors. As interim vice chair of Supply Chain Canada, Alberta Institute, Forbes actively supports supply chain development, with expertise in governance and supplier lifecycle management.

Where to Find Our Guest Online:

• LinkedIn – Stephanie Forbes: linkedin.com/in/calgaryforbes

Website – The Forbes Group

In this episode of The Art of Consulting podcast, hosts Andy and Cat reunite for a rare “together episode” discussing the nuances and importance of knowledge transfer in the consulting space. As consultants from various fields, they explore the idea of consulting as a temporary yet impactful role, emphasizing the value of effectively transitioning their knowledge to clients and the critical role of documentation and interpersonal skills in a consultant’s success.

• [00:05] Andy and Cat kick off a special co-hosted episode, reflecting on their individual expert interviews and the rarity of their joint episodes these days.

• [00:38] They talk about their intense collaboration periods in the past, contrasting it with their recent individual projects.

• [00:46] Core Topic: The transfer of knowledge. They highlight the paradox of good consultants—working themselves out of a job—while maintaining strong client relationships, with clients often returning for help with new challenges.

• [01:37] They discuss the necessity of identifying a key person within the client's organization for knowledge transfer, ensuring smooth operations post-consultancy.

• [04:36] Discussion on the optimal timing for identifying a successor at the client site, stressing the importance of involving them from the start of the project.

• [06:46] Andy expresses concern about clients deferring knowledge transfer until after go-live, leading to gaps in understanding key project decisions.

• [10:47] The conversation shifts to the importance of moving from people-centric to system-centric operations and the risks of not having redundancy in organizational knowledge.

• [14:48] Andy and Cat discuss transferring not only technical knowledge but also the interpersonal skills and sensitivities critical to successful consulting.

• [16:55] They emphasize the need for user-friendly tools to document technical knowledge and the tact needed to convey information about team dynamics.

• [22:34] They provide an action plan for listeners on how to approach knowledge transfer. They advise identifying primary and secondary successors, choosing a starting point, using effective documentation tools, and considering the human aspect of knowledge transfer.

• [39:20] The episode closes by affirming the value of human relationships in the consulting process.

• [00:05] – Introduction: Andy and Cat discuss the rarity of co-hosting due to their individual interviews with experts.

• [00:38] – Reflection on past episodes and the evolution of their interactions.

• [00:46] – Consultant’s Paradox: Good consultants work to make themselves unnecessary while maintaining client relationships.

• [01:37] – Key Individual for Knowledge Transfer: The importance of identifying a key person within the client's organization.

• [04:36] – Timing of Knowledge Transfer: Optimal timing for selecting the right person for knowledge transfer.

• [06:46] – Continuity Concerns: Issues with waiting until post go-live for knowledge transfer.

• [10:47] – Shift to System-Centric Operations: Importance of having redundancy in organizational knowledge.

• [14:48] – Comprehensive Knowledge Transfer: Technical and soft skills are equally important.

• [16:55] – User-Friendly Documentation Tools: Creating effective documentation for knowledge transfer.

• [22:34] – Action Plan for Listeners: Steps to approach knowledge transfer in consulting.

• [39:20] – Conclusion: The human aspect remains central to consulting work.

Andy and Cat are seasoned consultants with a passion for sharing their insights and experiences. They specialize in guiding organizations and individuals through complex projects, advocating for knowledge transfer to ensure sustained excellence and growth. For listeners looking to enhance their consulting skills or gain insights into the art of knowledge transfer, this episode offers valuable strategies and field anecdotes. Join Andy and Cat as they unravel the complexities and rewards of consulting, where imparting knowledge is essential for success.