The Alacer Group successfully implements its end-to-end financial crime solution-Velocity, at the Atlantic Community Bankers Bank (ACBB)

Alacer Velocity’s Suspicious Activity Monitoring, Customer Due Diligence & Customer Risk Rating, Cannabis Screening, Case Management, and Automated Reporting, modules now supply end-to-end coverage to secure ACBB and its 350+ associated banks against financial crime.

Pennsylvania, USA — (January 31st, 2022) –  The Alacer Group, a technology-led business transformation organization offering specialized solutions to prevent financial crime has successfully implemented its all-inclusive Financial Crime Solutions Suite, Velocity, at Atlantic Community Bankers Bank (ACBB). The live Alacer-Velocity system now monitors all customer accounts and transactions of ACBB and its client banks.

Financial crime has become a growing worry in the United States over the last 30 years. To address this, the Financial Crimes Enforcement Network (FinCEN), Bank Secrecy Act, and the Patriot Act impose legislation and policies in the United States to combat financial crime such as money laundering, terrorist financing, bribery, corruption, and more. Financial institutions, particularly banks, are obligated to adopt AML procedures to comply with these rules and regulations. When businesses do not comply, they face loss due to financial fraud and attract heavy penalties and restrictions that could result in the revocation of charters. The Velocity- FinCrime Solutions Suite, with its Machine Learning and Artificial Intelligence technology, not only safeguards the ACBB and its associated banks against financial crime but ensures that the banks continue to adhere to the highest compliance regulations imposed by FinCEN, BSA, and the Patriot Act.

Since the stakes were so high, the ACBB, underwent a rigorous selection process. The ACBB team evaluated several small and big names in the financial crime solutions industry and had a eureka moment with Velocity. Checking all their requirements, Alacer-Velocity, a 360o FinCrime Solutions Suite that employs Machine Learning and Artificial Intelligence-led investigations, monitoring, and reporting for fast and efficient regulatory compliance, was the solution they had needed. The competition was not over yet, after beating the competition in the selection process, the Velocity team was challenged with an almost impossible deadline. In little to no time, the Velocity team had to inspect the bank’s current system, identify the gaps, clean and segregate their data and finally implement the solution throughout the ACBB. Astonishingly, not only was the Velocity team able to integrate the financial crime suite in time but they were able to do it under budget as well!

Using Alacer-Velocity FinCrime Solutions Suite, the ACBB is now effectively boosting its anti-financial crime operations. Since Velocity is powered by the latest Artificial Intelligence and Machine Learning technologies and offers multiple detection methods, it now assists the ACBB, and its 350+ associated banks achieve AML compliance while reducing risks and increasing efficiency. Thanks to the robust architecture of Velocity, along with its multiple detection methods, customized workflows, and advanced analytics, the solution now acts as a powerful shield between ACBB’s system and cybercriminals and a useful weapon to fight against financial crime.

The ACBB has employed various modules of Velocity, including,

  • Velocity TBMS (Transaction and Behaviour Monitoring system) that monitors all customer transactions.
  • Velocity KYCR (Know Your Customer and Risk) for monitoring all existing customers periodic reviews, existing and new customers risk rating, and onboarding new customers.
  • Velocity ICMR (Integrated Case Management and Reporting) supports ACBB by consolidating all alerts and case workflows in one location, supplying a way to quickly develop, investigate, evaluate, approve, and file automated SAR (Suspicious Activity Report) reports.
  • Velocity CSR (Cannabis Screening and Reporting) aids ACBB to decrease false positives by analyzing entities in CRB monitor lists against transaction and customer data.

About ACBB

Founded in 1983, Atlantic Community Bankers Bank (ACBB) delivers correspondent, payments, and lending services exclusively to financial institutions. As a trusted partner, the company aggregates, innovates, and integrates services with over 400 shareholder and client financial institutions. Their solutions drive efficiency, profitability, and relevance among businesses and consumers. ACBB was formed, owned, and is governed by community-focused financial institutions.

About Velocity
The Velocity Financial Crimes (FinCrime) Solution Suite (FSS) helps financial institutions comply with Fraud and Anti-Money Laundering (AML) regulations with ease and simplicity. The solution uses multiple detection methods and an advanced analytics engine powered by Hybrid Machine Learning and Artificial Intelligence (AI) to help institutions, large and small, achieve compliance while reducing risk. The Velocity Software Suite includes several data disambiguation tools, such as in-built Entity Resolution, designed to help financial institution get their data right. Core features of Velocity include real-time sanctions screening, fraud monitoring, customer due diligence and risk rating, AML transaction monitoring, cannabis screening, and centralized alert-case-SAR management with real-time dashboards, and automated regulatory reporting and analytics.

Alacer Group’s Velocity AML Suite Selected for Deployment in Prominent Bangladesh Banks

SEATTLE, WA–Marketwired –  The Alacer Group, dedicated to helping business leaders accelerate performance, quality, productivity and profitability, today announced that its Velocity AML Suite has been chosen by three prominent banks in Bangladesh to improve AML case workflow and security. After an extensive search process, Mercantile Bank Limited, Social Islami Bank Limited (SIBL) and Meghna Bank selected Alacer’s Velocity AML Suite to ensure robust KYC/CIP onboarding, sanctions screening, payments interdiction and transaction profiling, all key operational areas that support local and international anti-money laundering efforts. The banks selected the Velocity solution for its ability to be quickly deployed, its robust reporting features and for the delivery of consistent and full compliance with AML regulatory requirements.

All implementations are currently underway through Alacer’s local technology partner, DataSoft Bangladesh Limited.

About Velocity
Alacer’s Velocity AML Suite is a powerful and scalable set of system modules specifically designed for facilitating AML case workflow and reporting. Velocity combines smart case management, sanctions screening, transactions monitoring and KYC/CDD functionalities. Each component in the suite is scaled to meet local and global regulatory requirements accurately, consistently and predictably. Velocity offers seamless integration with core banking systems and can be used on its own to perform KYC/CDD, alerts reviews, transaction monitoring, sanctions screening, real-time payments interdiction and periodic reviews. The system is purposefully designed to meet international regulatory compliance standards and its powerful reporting capabilities gives management insights on effectiveness, productivity and resource utilization.

About DataSoft Bangladesh Limited
DataSoft is a CMMi level 5 in progress, ISO 9001:2008 certified leading software product and services company in Bangladesh. Since 1998, DataSoft has established a successful track record of delivering innovative and cost-effective technical services to customers in the corporate and public sectors. Fortune 500 companies have selected DataSoft for mission critical public services, IT services such as e-Payment, Customs House Automation and Port IT operation (CTMS), automation of commercial banks, and the deployment of a SaaS model on a private cloud to more than 2200 microfinance banks. For more information, please visit the website at http://datasoft-bd.com/.

About The Alacer Group
Headquartered in Bellevue, WA, with offices in New York and Dallas, The Alacer Group is a business consulting firm focused on four practice areas: big data, technology, finance and healthcare. Offering expert consultants around the globe, Alacer works with companies to resolve their needs quickly and smartly, resulting in positive outcomes. Alacer’s experienced anti-money laundering specialists design, develop, and implement effective process and system solutions for financial institutions. We help clients strengthen AML and compliance controls while improving efficiency through the application of the right mix of people, process and technology. For more information, please visit the website at  The Alacer Group or find us on LinkedIn.

DFSS Drives Results for Financial Services Firms

Lean Six Sigma remains a popular and effective tool to improve efficiency in financial services operations. However, many financial institutions are finding that identifying and reducing incremental defect variability does not fully maximize the full spectrum of improvement opportunities. To achieve a larger return on investment, many organizations are turning to Design for Six Sigma (DFSS) to re-examine, radically recreate and often build new processes.

The Potential for Bigger Returns

Richard Paxton, co-founder and CEO of Seattle-area consulting firm The Alacer Group, said that the interest in DFSS as a preferred approach to process design and reengineering has grown significantly over the past few years. “In financial services, a typical DMAIC project can deliver somewhere between $500,000 and $600,000, whereas DFSS projects can be upward of $20 million,” he said. “The key is knowing where and how to apply the technique.”

Paxton has been in the financial services industry for more than 10 years. Previously, he was senior vice president of Operational Excellence at JPMorgan Chase, and senior vice president, Global Quality & Productivity Process Excellence at Bank of America.

“Ten years ago, many financial institutions were wary of using DFSS tools and thought of them primarily for application in manufacturing industries,” Paxton said. Additional apprehension centered around a misperception that massive technology deployments had to be part of DFSS solutions. Today, he added, DFSS is being embraced for its ability to provide robust designs for reengineering existing processes and products and developing new ones.

“Financial services today are very similar to large technology organizations; relying upon a complex network of interrelated processes and systems to deliver quality products and services for their customers,” Paxton said. “By taking an end-to-end view, and designing across functional boundaries, new levels of performance and quality can be realized. This is where DFSS is a perfect fit, and can help bridge the gap between business and technology.”

Similar to Lean and DMAIC, DFSS does take time, and moves with a unique feel and pace. Depending upon the scope and level of integration, a large-scale design and build can take 12 months to complete, Paxton said. His firm recently finished a project where they completely redesigned a core business process for a large financial institution. The project included the implementation of a new workflow environment, support processes, user interfaces and system integrations. From start to finish, the project took 18 months to complete. The payoff, though, was substantial – a flawless launch, increased capacity in the front office and significant back office efficiencies, Paxton said.

In another recent DFSS project, one of The Alacer Group’s large national banking clients found potential fraudulent activity and incoming suspicious activity reports (SARs) had increased 10-fold. Quality issues and high variability costs associated with these SARs had resulted in $80 million in annual vendor and contracting expenses.

Working with a local processing specialist, and with compliance and legal staff, a process team used the DFSS approach for process design to streamline SAR processing and optimize staffing models. The design was also built to accommodate future SAR types and regulatory changes.

As a result of the DFSS improvements, the client experienced $6 million per month in expense savings and was formally recognized by regulators for having a “best in class” SAR processing process. An additional $8 million in annual savings through a vendor was also identified, Paxton said.

Identifying Root Cause, Redesigning the Process

Another tactic for tackling financial services issues is to start with the Define, Measure and Analyze phases of DMAIC up front to identify root causes, and then apply DFSS to redesign the process to better meet the needs of the customer. “By understanding how and where defects in a process are generated, you can design out the opportunity for defects to occur and design in controls,” Paxton said.

For instance, Alacer recently analyzed the mortgage process for secured lending products at a Fortune 10 organization. The process was highly inefficient, cumbersome and lacked standardization, resulting in rework, increased risk exposure and loss of business. The project team began by analyzing the end-to-end process through the application of DMAIC and Lean to identify defects and waste. After the income verification process and credit guidelines were identified as the two most important improvements via DMAIC and Lean analysis, the DMADV (Define, Measure, Analyze, Design, Verify) roadmap of DFSS was then selected to design a new automated income verification process.

By adopting new support processes and modifying credit guidelines, the client’s end-to-end mortgage processing time was reduced by 30 percent and overall risk exposure was lowered, freeing up $500 million in capital for funding new loans.

“Over the years, the functions of banking have remained the same – sales, fulfillment, and service,” Paxton added. “What has changed is the way they are delivered. What will differentiate financial institutions in the future is their ability to deliver products and services customers want, how they want it and at a level of efficiency that makes sense for the business. Using DFSS, in conventional and unconventional ways, can help organizations deliver value for their customers and their bottom line.”







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