Timeline: MediaCom’s audit process

Rosie Baker
By Rosie Baker | 9 March 2015

Since December 2014, GroupM has had a swathe of auditors holed up inside its North Sydney offices looking into its client accounts and television post-campaign reports. It has now been revealed that the findings and subsequent recommendations of that audit, and the actions it is taking to improve its processes.

Here's a summary of the steps the agency network has taken since discrepancies were identified on a number of its client accounts.

November 2014

GroupM became aware of irregularities with TV data campaign reporting across three clients.

Within a week –
Yum! Brands, Foxtel and IAG had been notified their accounts were affected.
12 MediaCom employees were dismissed or resigned as a result
All MediaCom and GroupM staff informed
December 2014
Singapore-based regional GroupM Risk Management team on the ground to begin internal review
EY (Ernst & Young) appointed to carry out independent review
2 December – IAG confirmed to be under investigation
5 December – Foxtel moves its media account to Mindshare
January 2015
13 January – News that EY audit results delayed
March 2015
Industry associations MFA and AANA and respective boards informed of EY audit findings and recommendations
6 March – GroupM Chairman John Steedman, MediaCom CEO Mark Pejic and Ernst & Young director of fraud investigations and dispute services, Tony Prior, brief media on the process, findings and recommendations resulting from the audit.
Still to come:
June 2015: All recommendations, bar the implementation of BDM software, due to be in place.
October 2015: New automated software due to be in place

 

This article is one of a series of articles looking at the GroupM MediaCom audit. Read the rest below:
GroupM reveals findings of MediaCom audit: outlines overhaul of processes
MediaCom admits misuse of value banks – pledges no more
MediaCom faces losing at least one major client
Q&A: Yum! Brands on MediaCom - ‘As clients we’ve got to be fair
Timeline: MediaCom’s audit process

 

 

Recap the MediaCom story from last year:
MediaCom exits linked to Foxtel and KFC overcharging
Foxtel moves account from MediaCom to MindshareRogue traders: how MediaCom’s dynamite exploded MediaCom: What now - will a raft of agency audits kick off?
The media's responsibility around MediaCom

Have something to say on this? Share your views in the comments section below. Or if you have a news story or tip-off, drop me a line at rosiebaker@yaffa.com.au

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