Companies have long sought to automate transaction monitoring, yet setting up a comprehensive process can be expensive and daunting, taking several months and often needing lots of tweaks and fixes. Now some are finding what could be a simpler way: the on-demand model.
Not only can transaction monitoring help companies spot fraud in the early stages, before it grows into an expensive ordeal, but it can help earn credit with enforcement regulators when a problem does arise. Transaction monitoring, for example, can help companies win deferred prosecution agreements, going by Justice Department rulings. In deferred-prosecution agreements involving Foreign Corrupt Practices Act violations at both Weatherford International and Diebold, the companies promised the Justice Department they would step up prevention and detection efforts.
