Improving the Way Banks Manage Compliance


Compliance management has been a headache for banks for a long time. It is absolutely necessary for banks to ensure compliance but they also have to make sure that they deliver a fast and easy experience for their customers. Therefore, many banks are looking for ways to get a better grasp on compliance throughout the organization. 

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Many organizations are now using technology to manage compliance as well. Recent advancements in technology mean that compliance management software solutions are now smarter than they ever were. Previously these solutions were limited to helping businesses with number and data related issues. New developments mean that these solutions can now parse and even understand natural language, which has been a major benefit to the domains of risk and compliance.  

A Modern Approach to Compliance Management 

What banks need to do is understand the technology that is available to them now and use it to its maximum potential. It is necessary to have all the right pieces in places to run an efficient compliance management framework throughout the organization. Some of these necessary pieces include: 

– Methodology and periodicity for continuous analysis of processes, risks and controls (Robotic Process Automation, Analytics, Blockchain, among others) accompanied by continuous monitoring through management indicators. 

– Modernization of the Government and Data Analysis model (Big data and Data Lake, where all the organization’s data is stored, regardless of whether they are structured or not for later analysis). 

– Use of Artificial Intelligence for the benefit of monitoring the transactional customer base and all the operations of the organization. 

– Project the compliance function as a unit that generates value through the objective assurance of AML (Anti Money Laundering) prevention controls and contributes to the effectiveness of the Corporate Governance and Comprehensive Risk Management processes. 

– Develop career plans for AML control officers accompanied by salary compensation schemes that reflect the level of responsibility, professional development according to their technical and specialization functions. 

– Promote an incentive and career plan for Compliance staff to be self-taught on the subject of new approaches to control, regulations and the technological and digital revolution. 

– Provide job stability and legal security, capable that the staff can develop all their professional potential in a stable and safe environment. 

– Have a multidisciplinary team that supports the management of the Compliance Officer. 

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One of the biggest challenges an organization faces is the growth of the data that generates information. In the digital age that we live in, information is everywhere – inside and outside organizations – and all data can be very valuable, especially to know the transactional behavior of customers and the evolution of the products and services that the company provides. financial institution and you should not let them pass and it is in this instance where certain analysis and point of organization and management come into play to know how to organize and make the most of all that knowledge in favor of the Compliance function. 

The Future is Bright 

Technology is proving to be an amazing tool for compliance managers. Compliance experts will need to keep a close watch on technological developments and understand what they need to do: 

– It is necessary to take advantage of modern technologies such as Process Robotization, big data, Machine Learning derived from Artificial Intelligence for the segmentation and monitoring of transactions in AML systems. 

– The Compliance Officer requires a more inclusive view of the entire organization as a whole and its environment, not only limited to compliance with legal or regulatory aspects, since the new conception of the digital age projects and obliges the Compliance Officer to become a trusted advisor and strategic partner of the organization in the achievement and achievement of macro business objectives. 

– The current of the regulator’s supervision is based on risks, therefore there will be a greater incidence in the supervision of methodologies and risk assessment of the management models. 

– There must be an internal commitment to the principle of “prevention”: whoever generates or increases a risk has the duty to control and / or mitigate it, not expect the Compliance function to identify it and establish preventive controls, the ideal is that it validates. 

– A complementary model with a comprehensive approach to compliance and risk management can be the sum of governance, technology and analysis. 

– Prepare Compliance staff to take on the following challenges of national and regional scope to carry out forensic audits of crimes of transnational scope derived from the management of Politically Exposed Persons (PEPs), quality of the model and economic administration, objective identification diversion of public funds, corporate fraud, corruption in the upper echelons of a State, among others. 


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