Financial transaction analysis, key for efficiency and security of decision processes
Financial transactions are complex and analysing them can bring numerous advantages for financial services with respect to efficiency and security
GDS Modellica has developed flexible risk-management solutions. Their decision management process provides a comprehensive view of the customer and helps financial businesses to create, manage and improve their credit strategies quickly and in a personalised way
The COVID-19 crisis has accelerated the digital transformation within the financial sector. Companies have been forced to strengthen their digital banking services, enhance their virtual channels and services and improve credit card payments or transfers in order to meet customer expectations. According to Accenture’s report entitled IT in Financial Organisations (originally in Spanish, ‘Tecnología de la información de las Entidades Financieras’), the number of transactions in 2020 grew by 14.1% whilst processing time reduced by 3.3%, further demonstrating more efficient use of technology.
Technology such as Big Data, Blockchain or Artificial Intelligence has made it possible to store, structure and analyse data and then extract key information for making decisions. Financial organisations are well aware of how valuable this data is. Once transformed into knowledge, this information can be used, not just to offer personalised services to the customer, but also to reduce risks when carrying out transactions, approving credit or protecting investments. Having immediately recognised the new needs of the sector, GDS Modellica has developed a range of flexible solutions to help financial businesses create, manage and improve their strategies conveniently, quickly and in a personalised way. Their solutions also help ensure compliance within a very strict regulatory environment and aid acceleration of the commercial cycle. By providing a full analysis of potential risks with complete security, companies can make agile, robust decisions when providing credit or quotes for loans.
GDS Modellica’s decision management process carries out calculations and uses formulas, models and the relevant variables to make safe decisions. Their solutions are also applicable to a range of different products. The bank simply draws up its own risk strategy and puts the decision engine to work via its own internal tools and architecture.
The number of transactions has multiplied exponentially, and furthermore, they are getting faster and faster, taking barely a few seconds to approve and validate. All this is happening using data encryption to guarantee security and increasingly robust techniques are being employed to identify virtual users, such as security certificates, biometrics or recognition technology. It cannot be forgotten that transactions are complex, and a lack of verification or understanding could expose businesses and customers to unnecessary risk. This is where transaction data analysis provides an opportunity to optimise financial services by knowing behaviour patterns and trends in advance whilst monitoring transactions and guaranteeing security.
Managing director of GDS Modellica, Antonio García Rouco, has pointed to some of the numerous benefits of banking transaction data analysis. He has highlighted the ability to know the history or stored data and the possibility of adding more information without putting data at risk. Similarly, he stresses that the risk of loss or manipulation is reduced and data is organised and structured so that it can be easily consulted. Furthermore, GDS Modellica’s solutions make it possible to use both historic and current information to carry out real-time analyses. Other advantages include the processing speed, the detection of duplicate or erroneous data and the fact that databases take up very little space. Last but not least, transaction consistency and security is increased by being integrating within the analytics platform.” As García Rouco points out, “an analysis platform helps financial partners to collaborate closely and reduces risk by providing a comprehensive view of the real-time situation. Furthermore, financial predictions are more robust which makes it possible to better understand not just the present but the future too. This is why businesses and organisations are increasingly turning to specialist companies like us to guarantee transaction security and protect themselves against potential threats and risks”.