Choosing the right AFC tech

Three key considerations

The range of technology solutions targeted at Anti-Financial Crime (AFC) processes in banks is constantly growing. With it come more promises to solve all of a financial crime investigations team’s challenges. Identifying the most useful solution amongst hundreds of products with similar messaging is difficult. Here are three considerations that may help potential technology buyers work out what solution suits their organisation best. 

Focus on outcomes

AI and automation have become key considerations in recent years. Many AI-driven platforms promise to transform an FI’s ability to stop financial crime. These promises are alluring, but the quality of the outcomes they produce is dependent on the application they’re intended for. Where AI is part of a regulated process, such as sanctions screening or transaction monitoring, it can be used to improve efficiency. However, in a complex investigation scenario, AI cannot currently replace the nuance and expertise of the investigator. 

If AI is not a catch-all solution, then what can improve efficiency and effectiveness in AFC investigations? Part of the answer is the Intelligent Automation (IA) approach.  Intelligent Automation allows investigations teams to make the most of their existing capability by automating manual processes such as data collection. The investigator can then use their nuance and experience to decide the direction and focus of the investigation. Through IA, investigators can get the best of both worlds: a more efficient investigation where effectiveness is also maximised.

Enhance existing capabilities

If an FI already has a team of experienced investigators, there’s little to be gained by completely replacing them with technology. Instead, a solution that enhances their capabilities is needed. Fortunately, some of today’s AFC technology solutions are designed to meet the requirements of a law enforcement or national security use case. This means that the needs of an experienced investigator are at their core.

It’s also important to ensure that the investigator doesn’t have to use multiple different technologies to do their job. Platforms that offer end-to-end solutions are critical in avoiding additional silos or operational complexity. With these, investigators can conduct effective investigations quickly and accurately, helping to establish the investigative approach as central to an FI’s AFC procedures.

Ensure ROI

Reducing the tension between increasing effectiveness and making efficiencies is often a key factor when acquiring new technology. Finding a solution that balances each of these considerations is essential. For example, a tool that provides additional data to help investigators make decisions may not offer good ROI because the investigator will have to spend additional time reviewing this data. In this situation, a solution that allows for the comprehensive collection of relevant data, and also provides the tools to focus on and analyse the most relevant data is likely to offer far better ROI. 

Another consideration might be how broad a technology solution’s application is. For example, an investigations tool might initially be purchased to enhance AML or CFT investigations – but the same functionality might also be useful for providing nuanced assessments of high-value and high-risk potential clients, that might otherwise be considered too risky according to the generalised criteria used by traditional screening tools.  By identifying solutions with broader use cases, especially those that enable business, AFC technologies can contribute to the bottom line as well as the fight against financial crime.