New Global Standard for Combating Fraud
Amid rising global fraud and increasingly sophisticated schemes, David Fatscher of BSI highlights a new standard that empowers organizations to detect and manage risks. He explores how the framework nurtures integrity, resilience, and proactive strategies to navigate today’s complex digital landscape and safeguard long-term operational sustainability.
Fraud is not a minor threat, it’s a daily reality confronting organizations across the globe. Amid an expanding digital economy and a surge in high-stakes criminal tactics, BSI, the UK’s national standards body, has introduced ISO 37003, an international standard that provides structured guidance on fraud risk management. Its release signals a new era of vigilance, accountability, and resilience for organizations seeking to stay ahead of increasingly complex fraud schemes.
A strategic turning point
The launch of the new fraud guidance arrives at a time when fraud is escalating in volume and sophistication. Across industries, organizations face mounting challenges in managing fraud risk, made worse by the rapid pace of technological change and growing global uncertainty. In 2024 alone, UK banks experienced a dramatic rise in fraud, losing more than £3 million per day[1], while new techniques, such as staged thefts and insider collusion, emerged across supply chains and service sectors, according to BSI’s 2024 Supply Chain Risks Report.
A blueprint for resilience
At its core, ISO 37003 aims to equip organizations with a roadmap to build and maintain an effective Fraud Control Management System (FCMS). The standard is not prescriptive, but rather provides a comprehensive framework that can be tailored to fit different operational models, industry types, and risk appetites.
It details how organizations can identify potential fraud exposures early, implement targeted prevention strategies, monitor risk indicators, and respond appropriately to incidents. Just as importantly, the guidance encourages organizations to learn from past incidents, turning failures into foundations for stronger governance moving forward.
The framework has been developed to support companies in mitigating both internal and external fraud threats, including those involving collusion or fraud committed on behalf of the organization. Whether operating locally or across borders, ISO 37003 helps stakeholders take a coordinated and forward-looking stance.
Beyond compliance: shaping ethical foundations
While technical in scope, ISO 37003 is designed to drive cultural transformation. It is intended to promote transparency, ethical conduct, and organizational accountability. All are core values that not only reduce fraud risk but also elevate stakeholder confidence. These principles are central to long-term value creation, especially in sectors where public trust and regulatory scrutiny are critical.
As organizations implement the guidance, they’re encouraged to foster open communication, enforce clear roles and responsibilities, and create an environment where fraud risks are acknowledged—not buried.
Complementary guidance for a holistic approach
ISO 37003 is part of a wider family of standards under the ISO 37000 series, which collectively address organizational integrity and governance. It works in harmony with the standard, Anti-bribery Management Systems (ISO 37001), the globally recognized anti-bribery standard, to help organizations build a robust defence against multiple forms of financial misconduct.
Taken together, these standards reflect a maturing approach to compliance, one that aligns ethical performance with corporate strategy, and actively contributes to the global effort to combat economic crime.
Today’s fraud landscape demands more than vigilance, it requires infrastructure. The publication of ISO 37003 aims to offer organizations a way to act decisively and consistently in the face of an evolving threat. Those adopting it should be better equipped to protect assets, maintain credibility, and build a culture that resists unethical behaviour at its roots.
As BSI positions this new guidance as a foundation for future-readiness, one message comes through loud and clear, fraud risk is here to stay, but so too is the ability to manage it with purpose, transparency, and resilience.
About the Organisation
BSI is the UK’s National Standards Body and works with organizations around the world on areas such as climate change, AI, and sustainability. It engages a broad community of experts to support the development of standards and practices across various industries.
Reference
[1] https://www.bbc.co.uk/news/articles/cglk7dlpwl5o
