Auditing Data Reliability in International Logistics: An Application of Bayesian Networks

Data reliability closely relates to the risk management in international logistics. Unreliable data negatively affect the business in various ways. Due to the competence specialization and cooperation among the business partners in a logistics chain, the business in a focal company is inevitably dependent on external data sources from its partner, which is impractical to control. In this paper, we present a research-in-progress on an analysis method with Bayesian networks. The goal is to support auditor’s assessment on the reliability of the external data. A case study is provided to illustrate the merits of Bayesian networks when dealing with the data reliability problem