Leveraging Data Analytics to Better Protect Against Money Laundering, Corruption and Fraud

Emerging market trends, regulatory developments and the demand for greater transparency all impact the effectiveness of a compliance program. Organisations need to be able to adapt quickly to achieve a culture of compliance and continuous improvement. Many organisations are investing in data analytics to underpin their compliance program infrastructure. Data analytics tools and techniques can help harness the ability to identify, investigate and prevent wrongdoing in a timely manner, while embedding an organisations’ compliance policies and procedures into the organisational culture. There are certain challenges to face in implementation, but the investment has the power to benefit compliance functions as well as data-related issues in other areas of the business.

In this chapter for the Dutch magazine Compliance, Ethics and Sustainability, compliance professionals from FRA’s forensic accounting and analytics teams combine their expertise to offer a deep dive into how various data analytics techniques can strengthen compliance programs and culture. Presented in the context of Anti-Money Laundering (AML) and Anti Bribery and Corruption (ABC), the authors also provide an overview of selected jurisdictions’ AML and ABC enforcement landscapes and regulatory expectations.

Key points covered in this chapter include:

• Regulatory and enforcement bodies taking a tougher stance on non-compliance with ABC and AML laws and regulations
• Understanding key data analytics techniques and tools through case studies (e.g. rules-based analytics, risk scoring, visualisation, network analysis, machine learning, and more)
• Supporting the design of a compliance program with data analytics
• Resourcing an effective compliance program
• Valuing the impact of data analytics on an organisation’s culture
• Considering the implementation challenges that companies may face

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FRA’s integrated teams bring each client engagement the right blend of expertise, from Forensic Data Analytics, to Governance, Risk Management and Compliance Enhancement specialists. Connect with Sharon Hall and Phil Macmillan to find out how we might help your organisation.