Our client, a leading Swiss wealth manager launched a program to enhance their AML risk management capabilities in three key areas: global client risk rating methodology, AML transaction monitoring, and media screening.
Working within an agile delivery model (SAFe), Capco supported the client with the implementation of a global AML transaction monitoring operating model and system. The project tackled various core components of the change, providing extensive business analysis, testing, and change management capabilities. Capco supported the implementation of the alert & case management module, developed reporting solutions for compliance and the front office, coordinated testing activities, and managed end-user training.
This engagement was a key milestone for the client in developing a group-wide harmonized approach to transaction monitoring.
Transaction monitoring is a fundamental component of financial institutions’ anti-money laundering responsibilities.
Given the regulatory significance of mitigating exposure to financial crime, the client embarked on a journey to re-calibrate their fragmented approach to transaction monitoring.
By designing a new strategic solution which uses advanced systems to detect potential money laundering transactions more reliably, efficiently, and effectively, the client would be able to enhance their AML risk management capabilities and stay compliant in an evolving environment.
Capco supported the client in this endeavour over the course of 18 months, facilitating three global rollouts for Switzerland, Europe, and Asia. By working within a SAFe framework, the project enabled an agile delivery across multiple work streams.
Capco primarily contributed to three core work streams - requirements engineering and integration of the new transaction monitoring solution, reporting solutions, and change management. Additionally, as a cross-functional capability, we facilitated the documentation and end-to-end testing of various core elements, including the coordination of test automation. Situated between both functions, Capco was able to bridge the gap between the business and IT, overcoming various technical challenges while developing the requirements.
Capco conducted various workshops with the client to capture a holistic view, involving stakeholders across the organization. Additionally, by aligning with other ongoing, strategic programs within the bank, we were able to ensure a seamless integration into the bank’s IT landscape, leveraging the benefits resulting from these other initiatives.
Lastly, by conducting parallel runs prior to the release (i.e. testing in a productive environment with real data), we were able to ensure that all AML scenarios were working as expected, and the new solution was implemented in line with requirements.
In partnership with the client, Capco delivered a fully functional and scalable transaction monitoring tool, managed role and task assignments with a clear separation between first and second lines of defence, and introduced enhanced reporting solutions for the front office and compliance function.
In collaboration with the client, we achieved the following:
As a result, the client is well positioned to handle their AML transaction monitoring activities effectively on a global scale.