Boston, February 16, 2011 – A new report from Aite Group describes the organizational progress that financial institutions are making toward enterprise-wide fraud management integration, maps the progress of integrating data access across the enterprise, and discusses the current use of enterprise-wide technology solutions and planned areas of investment over the next three years. The report is based on an Aite Group survey of 35 North American banks and credit union fraud and product executives, conducted in December 2010.
Financial institutions have been working to integrate their fraud management practices across their enterprises. They recognize that while they are heavily siloed by business line and product type, fraudsters’ activity is not contained to any one product type; in fact, fraudsters are all too often cognizant of and quick to capitalize on financial institutions’ lack of coordination. Cross-product and cross-channel integration of fraud management capabilities allows institutions to pool data and resources and recognize fraudulent activity more quickly. This not only helps curb losses, but also provides a better customer experience. Institutions that can catch fraud on customers’ accounts before customers discover it are likely to retain those customer relationships.
“Enterprise-wide fraud management will become a competitive advantage for those institutions that embrace the concept,” says Julie Conroy McNelley, senior analyst with Aite Group and co-author of this report. “It enables institutions to better align their detection activities with the specific kind of fraud perpetrated by fraudsters. Enterprise-wide strategies can also provide cost efficiencies, which are especially important in light of the dramatic revenue cuts imposed by regulatory activity over the last couple of years.”
The report names the following vendors of fraud management solutions: 41st Parameter, Accenture, ACI Worldwide, ActivIdentity, Acxiom, American Express, Authentify, BankDetect, BlueCava, Clarity Services, CoreLogic, Deepnet Security, Deloitte, Detica, Early Warning Services (via Austin Logistics acquisition), Entrust, Equifax, Eunexus, Experian, FICO, First American Corp., First Data, FIS, Fiserv, Gemalto, Global Analytics, GoldKey, Guardian Analytics, IBM, ID Analytics, ID Insight, IDology, Innovis, iovation, Iron Key, LexisNexis, MasterCard, Memento, NICE Actimize, Norkom, Opera Solutions, Oracle (Bharosa), Pass Face, PhoneFactor, PRBC, Quova, RSA, SAS, SafeNet, TCS, Thales, Threatmetrix, TransUnion, Verisign, Visa, and Wolters Kluwer.
This 38-page Impact Report contains 33 figures and six tables. Clients of Aite Group's Retail Banking service can download the report.