Most financial institutions employ traditional “reactive” approaches to managing conduct risk through the use of technologies like User and Entity Behavioural Analysis systems, Trade Surveillance systems, and Security Information and Event Management systems. These “reactive systems” were not designed for prevention, rather they identify problematic behaviours only once they are occurring, and in doing so are not able to predict and prevent unwanted behaviour from happening in the first place.
For the most part, the inability to anticipate unwanted behaviour has resulted in organizations relying only on a reactive approach to managing conduct risk, where forensics plays a significant role and an overwhelming volume of false positives consume resources that could be better deployed and focused on prevention.
Receptiviti's API enables corporate risk functions and risk management technology providers to generate insights into the psychological attributes of a workforce and monitor factors such as their stress levels, risk taking propensities, and the social dynamics that exist among employees, teams and groups within the business, as well as understanding team cohesion, informal influence hierarchies, and attrition risk. In doing so, they can develop a real-time view of changes in workforce psychology and emerging outlier groups whose prevailing or trending psychological state puts them at risk of behaviour that is at odds with company norms.
Insights Into Insider Threat and Culture Risk:
Receptiviti provides research-based analytics that tie linguistic patterns and psychology to indicators of insider threat and culture risk such as: