Item Limits Detection
Written by Michelle Henley
Updated at October 24th, 2024
Table of Contents
Use Case:
Organizations need to ensure compliance with internal policies regarding high-risk or high-value expenses, such as large transactions, specific types of spending, or unique expense types and merchant categories. Monitoring for potential violations of these limits is essential for maintaining financial and regulatory integrity.
The Item Limits Detection analytic is a powerful tool that enables organizations to configure rules to flag transactions that exceed predefined limits based on various attributes, such as total spend amount, per-attendee cost, or specific merchant categories.
For example, if an employee submits an expense report for a meal that exceeds a set per-attendee limit or for high-value gifts or charitable contributions that surpass set thresholds, the system will automatically flag the transaction for review. This analytic can also detect other high-risk expenditures, such as meals and entertainment in high-risk countries, high-value transportation or luxury accommodation expenses, or dues and membership fees exceeding industry norms and much more!
By tailoring these rules to your specific policies, industry standards, or regional regulations, organizations can effectively monitor for compliance risks, ensuring adherence to expense limits and preventing potential financial or reputational damage.
| Description | Identifies transactions where an item limit rule (configured by the customer) is met. Item limit rules are a collection of different attributes and values that must be met to quality for comparison with scoring criteria |
| Domain(s) | Employee |
| Analysis Type | Context Flag |
| Focus Area | Context Analysis |
| Score Methodology | The spend measure is selected and applied in accordance with the rule components |
Default Scoring Criteria
Importance: 5 (default)
Enabled: True (default)
No rules are configured by default. Rules must be set by user.
Rule Configuration
To configure a rule for this risk analysis, open the settings page from Risk Analysis Settings → Items Limits Detection Employee Domain and click Add A Rule.
The following rule fields are required:
| Rule Field | Description | Settings Options |
|---|---|---|
| Name | Name for the specific rule | Free text |
| Description | Description of the rule | Free text |
| Spend Measure | The measure computed (after rule components are applied) and compared with the Scoring and Automatic Criteria. | Amount or Per Attendee Amount |
Next, click Add A Rule Component.
To set a component, select from the Field and Search Type drop-down lists.
The Value field will appear once a Field and Search Type are selected.
Below is a description of each Field & Search Type and Value available:
| Field | Search Type | Value Type |
|---|---|---|
| Approved Amount USD |
Greater Than or Equal To OR Less Than or Equal To |
Dollar Amount |
| Attendee Custom Field 1 (Any Attendee) | Includes OR Excludes | List is populated from customer data* |
| Attendee Custom Field 1 (Any Attendee) | Includes OR Excludes | List is populated from customer data* |
| Attendee Type | Includes OR Excludes | Checkboxes. Preset list. |
| Company | Includes OR Excludes | List is populated from customer data* |
| Employee | Includes OR Excludes | List is populated from customer data* |
| Employee Work Country | Includes OR Excludes | Preset List of Countries |
| Expense Customer Field 1 | Includes OR Excludes | List is populated from customer data* |
| Expense Customer Field 2 | Includes OR Excludes | List is populated from customer data* |
| Expense Type | Includes OR Excludes | Preset list. |
| Expense Type (Detailed) | Includes OR Excludes | List is populated from customer data* |
| Has Attendees | Includes OR Excludes | Yes/No |
| HCP Purpose | Contains OR Does Not Contain | Free text |
| Itemization Custom Field 1 | Includes OR Excludes | List is populated from customer data* |
| Itemization Custom Field 1 | Includes OR Excludes | List is populated from customer data* |
| Merchant Category Code | Includes OR Excludes | Preset List |
| Merchant Category Group | Includes OR Excludes | Preset List |
| Merchant Country | Includes OR Excludes | Preset List of Countries |
| Original Transaction Amount USD |
Greater Than or Equal To OR Less Than or Equal To |
Dollar Amount |
| Payment Method | Includes OR Excludes | Preset List |
| Personal Expense | Includes OR Excludes | Yes/No |
| Report Custom Field 1 | Includes OR Excludes | List is populated from customer data* |
| Report Custom Field 2 | Includes OR Excludes | List is populated from customer data* |
| Subject Classification | Includes OR Excludes | List is populated from customer data* |
| Vendor Name | Contains OR Does Not Contain | Free Text |
*For values populated from customer data, value lists will not populate if data is not available.
Note: Where multiple rule components are set, they operate only in an “and” manner.
Unique Configurations
This analysis utilizes rules configured by the user, for which they can configure the following:
-
Spend Measure - the measure computed (after rule components are applied) and compared with the Scoring and Automatic Criteria
- Options are Amount and Per Attendee Amount
- Rule Components - specific restrictions, by field, to limit the transactions that are considered by the rule
- Scoring Criteria based on the transaction value (Strong, Moderate, and Weak values can be set)
-
Automatic Criteria - transactions that meet these criteria will appear in Monitoring Review results regardless of the Risk Engine Score
Exclusions
None