The essential new technology for effective risk management

The use of new technology is a key part of risk management so as to make effective decisions and implement personalised solutions

GDS Modellica provides decision and analytical software for managing the entire credit risk management cycle whilst combating fraud with a unique interface which provides a complete view of the customer

The current world of finance is marked by technological change, where banks need to respond digitally as well as have a physical presence. Faced with the demands of a new generation of consumers, financial corporations have the opportunity to expand a niche in the market by guaranteeing round-the-clock access to banking services.

Digital Banking is here to stay. It offers convenience, speed, a wider range of better services, payment security, transaction management tools and access from different devices. It has been able to adapt to new customer habits and adopt new working methods to offer exclusive services which drive and encourage competition. Furthermore, thanks to process automation, digital banking can provide a better customer experience through personalised products and services, all the while focusing on the most important person, the customer. Digital financial transactions have multiplied exponentially and, with this, so have the risks. Because of the constraints on time, the volume of transactions and the associated risks, having physical bank branches alone is no longer a viable option. Instead, developments in software and the use of new technologies have made it possible to manage this increased risk in a precise and agile way whilst providing the customer with an effective, personalised service.

Far from being disruptive for the financial sector, the COVID-19 pandemic has been a catalyst for investment in digitalisation. In fact, it has led to an unparalleled surge in investment as companies aim to be more competitive by providing an improved, more personalised customer service, adjusting products and services to address demand and anticipating their needs. “We have moved from simple words to actions, from just talking about digitalisation to making it a clear part of every organisation’s strategic plans”, claims the managing director of GDS Modellica, Antonio García Rouco.

Digital Banking services represent an opportunity to broaden this niche in the market by developing virtual channels and services focused on the customer. Conscious of the new needs of the sector, GDS Modellica has developed flexible solutions to help finance companies create, manage and improve strategies in a quicker, more convenient and more personalised way. They’re able to do this whilst maintaining compliance within a strict regulatory environment and helping to accelerate the sales cycle, adapting it to both the supply of loans and loan proposals, all with maximum levels of security and agile, effective decisions following risk management analysis.

GDS Modellica covers the entire risk management cycle, from acceptance, customer management, fraud, collection and finally to regulation. Focusing on the four key elements of data analysis, consulting, tools and data management, they are able to provide expert advice and specific solutions to help businesses manage risk, with an interface that provides a complete view of the customer.

GDS Modellica’s decision management process is applied to multiple products, using the relevant variables to perform calculations and simulate models to arrive at safe decisions. The bank itself designs its risk strategy and then implements these decision-making solutions using their internal tools and architecture.

Transforming stored data into real knowledge and using it to provide each customer with a unique experience is key for being more competitive, making risk-free decisions and achieving business success.