Fraud Digital Transformation
Fraud digital transformation (FDX) is crucial to fraud prevention programs. With tech accelerating progress, processes, controls, AI/ML, must be assessed and updated frequently
FDX
What is FDX?
Fraud digital transformation is a holistic strategic change of the Fraud Program, to update its processes, technology infrastructure, data architecture, prevention controls, and detection-models technology with accordance to technology, AI and ML progress.
Why FDX is crucial?
Fraud digital transformation is more important than ever:
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Steep progress in AI/ML modeling capabilities and accessibility can reduce fraud
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New data-architecture, storing and streaming increases detection models' performance
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FDX brings efficiencies to existing processes with quicker response to emerging threats
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FDX reduces risk by manual processes automation, improved reporting and monitoring
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Build a holistic technology framework that reduces fraud operation costs
Strategic FDX
The steps
Building a strategy for fraud digital transformation should include:
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Alignment of Fraud Program requirements to the technology transformation
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New technologies fit to specific fraud organization needs especially AI, cloud ,SaaS.
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An internal gap analysis and a clear Fraud Program future state
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Joint strategy with the Financial Crime Unit (FCU) and CX teams
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Design an FDX implementation roadmap and rollout plan
What should you do?
To increase the success and future effectiveness of your fraud digital transformation, you should:
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Hold a fraud program assessment to map existing state and identify gaps
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Have a fraud risk assessment to identify gaps in controls and process
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Assess AI and data processes in detection and prevention cycles
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Build a comprehensive technology roadmap to address all assessments
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Work with stakeholders from Risk, Customer success, AML/Compliance
Going beyond
To be a head of the curve, you should go beyond standard FDX processes:
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Invest the time in assessing and research (bring in experts)
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Build an FDX framework that is flexible for changes and upgrades
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Design an AI modeling environment which is open and controlled by you
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Leverage existing proven technologies but also incorporate emerging ones
Want to discuss FDX and hear how we can help? Lets talk!