Adding 'augmented intelligence' and 'data visualization' to the mix

By Jeremy Clopton, CFE, CPA; Les E. Heitger, Ph.D., Educator Associate; Lanny Morrow, EnCE
les-heitger jeremy-clopton lanny-morrow

Fraud EDge: A forum for fraud-fighting faculty in higher ed

The first two columns in this series described powerful and useful tools that help fraud examiners analyze and incorporate significant amounts of structured and unstructured data to identify fraud schemes and isolate fraud perpetrators. Many fraudsters, however, are cutting-edge combatants who engage in ever-changing complex and sophisticated fraud schemes. In this column, we add two additional approaches to enhancing data analysis in fraud cases that higher-education academics can pass on to their students. — Les Heitger

Augmented intelligence and data visualization are two technologies fraud examiners can use to make the analysis phase of a fraud examination more efficient. Augmented intelligence through "predictive coding" allows fraud examiners to use their unique knowledge and intuition to identify and evaluate relevant documents and data.

And CFEs can use data visualization (graphs or other visual presentations) so that most non-financial people (including judges and juries) can understand the nature, trends and meaning of complex financial data instead of trying to decipher information in traditional tabular form.


While artificial intelligence and machine learning (computer systems that can learn from data unassisted — a subset of artificial intelligence) are becoming more commonplace concepts, the term "augmented intelligence" still causes confusion. This story, told by data intelligence agent Shyam Sankar in his June 2012 TED Talk, best defines this concept:

An international chess tournament was held in 2005, in which contestants could choose any combination of man and machine desired, and any level of skill was allowed. Team combinations included grand masters with laptop computers, and supercomputers, among others. Ultimately, two amateurs using three average laptop computers won the tournament, defeating grand masters and supercomputers alike. It wasn't their chess-playing skill that allowed them to win, nor their programming skills — it was the ability to effectively work with their computers that made the difference.

(Watch the video of his talk, The rise of human-computer cooperation.)

The essence of "augmented intelligence" is the unification of the best human skills with the best advantages of machines.


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