APEX Analytix Introduces Solutions to Identify At-Risk Vendors; Services and Software Help Accounts Payable Manage Vendors, Reduce Risk

Business Wire, July 12, 2005

GREENSBORO, N.C. -- APEX Analytix, the fastest growing provider of accounts payable recovery audit services, software for error prevention, productivity, and performance management to the Fortune 500, has announced new software and services for identifying at-risk vendors, improving the quality of vendor master file information, and measuring vendor satisfaction.

"For at least ten years, APEX Analytix has conducted reviews for 'at-risk' vendors, with the objective of isolating fictitious vendors, conflicts of interest, and other vendors posing financial and reputational risk for our clients. Within the last year, we have dramatically enhanced our ability to automate our forensic techniques and risk scoring model," says Jim Arnold, President and Chief Technology Officer of APEX Analytix and C.F.E. (Certified Fraud Examiner). "Our goal is continuous monitoring of vendors as they move through the payment process."

"There are two primary industry drivers for the increased demand for vendor services," said Arnold. "The first driver is the evolution of the shared services model to one that provides more value-added services to internal customers while mitigating corporate risk. The second motivator is our heightened corporate accountability and national sense of security, reinforced by federal policies, regulations, fines, and sanctions."

--The APEX Analytix Vendor Verification process generates a report that identifies "at-risk" vendors. The analysis combines a process of automated routines contained in APEX Analytix' FirstStrike(TM) software, and a forensic vendor review using a combination of tools and resources (including public databases, government denied parties lists, Office of Foreign Assets Control, or OFAC, lists) to uncover questionable vendors and those that should be further investigated.

--FirstStrike(TM) software includes functionality to flag vendors based on key vendor,invoice, and demographic characteristics. The software applies an automated analysis based on these characteristics to present a prioritized list of questionable vendors. The software has now been enhanced with the mathematical analysis known as Benford's Law, recognized in the finance industry as a tool to identify possible errors, potential fraud, and other irregularities.

--Vendor Validation is a survey-based service in which vendor information is gathered and validated with the objective of a consistent, complete, up to date, and authorized record for each vendor on a vendor master file.

--APEX Analytix Vendor Satisfaction survey provides companies with large vendor communities to conduct a third-party, outsourced vendor satisfaction survey that returns a detailed report of metrics to the organization's specifications.

Each service is provided at a per-vendor cost. FirstStrike(TM) software, which, in addition to the vendor analysis tools, includes duplicate payment functionality, A/P metrics, cash management capabilities, and over 80 analytical reports, is available for a monthly subscription fee.

About APEX Analytix

APEX Analytix, founded in 1988, started as an A/P recovery audit services provider and soon transformed the industry with the first standardized, highly functional software solution for the identification and prevention of A/P errors. Today, APEX Analytix serves the second largest customer base of any company in the recovery industry. The company has more software installations than any provider of A/P recovery audit services and prevention software. Twenty-six companies on the Fortune 100 use APEX Analytix technology. The software has prevented more than $600 million in overpayments, and achieves a 95 to 99 percent prevention rate that has been borne out by follow up audits. The company is an Inc. 500 Growth Company and Deloitte and Touche North Carolina Fast 50 company. For more information call 1-800-284-4522, visit www.apexanalytix.com or e-mail info@apexanalytix.com.