4 Managing Scenario Pipelines

Scenario Pipelines enable you to create scenarios by defining behavior that consists of events in a predetermined order. You can use these events to thread multiple data streams together. Scenarios are used to identify behaviors of interest, potentially problematic behaviors with respect to securities, regulations, and possible money-laundering activities.

These scenarios consider whether the geographical location or entities involved warrant enhanced scrutiny; monitor activity between accounts, customers, correspondents, and other entities to reveal relationships that could indicate efforts to launder funds; address sudden, significant changes in transaction activity that could indicate money laundering or fraud; and detect other types of activities that are considered potentially suspicious or indicative of money laundering.

As part of configuring a scenario pipeline, parameters are defined, which are then tuned in the Threshold Manager.

Pre-configured Scenario Pipelines

FCCM TM Cloud Service comes with the following ready-to-use, pre-configured scenario pipelines:

·        Structuring - Potential Structuring in Cash and Equivalents - Customer Focus

·        Structuring - Deposits Withdrawals of Mixed Monetary Instruments - Customer Focus

·        Structuring - Avoidance of Reporting Thresholds - Account Focus

·        Structuring - Avoidance of Reporting Thresholds - Customer Focus

·        Structuring - Avoidance of Reporting Thresholds - External Entity Focus

·        Transactions in Round Amounts - Account Focus

·        Rapid Movement of Funds All Activity - Account Focus

·        Escalation in Inactive Account - Account Focus

·        CIB Significant Change From Previous Average Activity - Account Focus

·        CIB Significant Change From Previous Peak Activity - Account Focus

·        CIB High Risk Geography Activity - Account Focus

·        CIB Foreign Activity - Account Focus

·        CIB Product Utilization Shift - Account Focus

·        Transactions in Round Amounts EFT - External Entity Focus

·        Transactions in Round Amounts MI - External Entity Focus

·        Focal High Risk Entity - Account Focus

·        Focal High Risk Entity - Customer Focus

·        Focal High Risk Entity - External Entity Focus

·        Patterns of Funds Transfers Between Internal Accounts and Customers - Customer Focus

·        Patterns of Funds Transfers Between Customers and External Entities - Customer Focus

·        High Risk Counter Party - Account Focus

·        High Risk Counter Party - Customer Focus

·        High Risk Counter Party - External Entity Focus

·        High Risk Geography - Account Focus

·        High Risk Geography - External Entity Focus

·        Large Depreciation of Account Value - Account Focus

·        Large Reportable Transactions - External Entity Focus

·        Large Reportable Transaction - Customer Focus

·        Possible Currency Transaction Report - Customer Focus

·        Possible Currency Transaction Report - External Entity Focus

·        Hub and Spoke - Customer Focus

·        Hub and Spoke - External Entity Focus

·        Rapid Movement of Funds - Customer Focus

·        Rapid Loading and Redemption of Stored Value Cards - Account Focus

·        Rapid Loading and Redemption of Stored Value Cards - Customer Focus

·        Anomalies in ATM  Bank Card Foreign Transactions – Account Focus

·        Anomalies in ATM Bank Card Foreign Transactions – Customer Focus

·        Anomalies in ATM, Bank Card: Excessive Withdrawals - Account Focus

·        Anomalies in ATM, Bank Card: Excessive Withdrawals - Customer Focus

·        Single or Multiple Cash Transactions - Large Significant Transactions - Customer Focus

·        Early Payoff or Paydown of a Credit Product - Account Focus

·        Early Payoff or Paydown of a Credit Product - Customer Focus

·        Early Closure of Term Account - Account Focus

·        Policies with Large Early Removal - Customer Focus

·        Insurance Policies with Refunds - Customer Focus

For detailed information about these scenario pipelines, see the Technical Scenario Description.

Widgets in Scenario Pipelines

Depending on the pipeline type, specific widgets are available in the widgets pane. The following table describes these widgets and the sequence in which the widgets can be placed from start to end in a scenario pipeline.

Scenario Pipeline – Widgets and Descriptions

Using High Level Dataset

To add a high level dataset and begin a scenario pipeline, follow these steps:

1.     Navigate to the Pipeline Designer page.

2.     Click  on the upper left corner. The list of pre-configured HLDs is displayed. FCCM TM Cloud Service comes with the following pre-configured High Level Datasets (HLD). 

·        External Entity Transaction

·        Transaction by Customer

·        Transaction by Account

3.     Drag and drop the required HLD to the designer pane.

4.     Hover on the HLD widget and click Edit . A dialog box is displayed.

5.     Specify the required details.

6.     Click Save  to save the changes. The HLD is saved.

7.     You can perform certain tasks that are common in all the widgets, such as edit, delete, filter, and so on. For more information, see  Common Tasks.

Add Additional High Level Datasets

You can add multiple conditions within the dataset to be considered by the scenario when detecting behaviors of interest. This can help improve the accuracy of your detection results and reduce false positives. For more information, see Adding Additional Threshold Conditions.

Managing Risk Indicator

Risk Indicator is a measure used to indicate the overall risk involved in an activity. Relevant data is compared against a set of risk indicators to identify the early signals of increasing risk exposures in various areas of an enterprise. In this context "Risk" refers not only to derived risk values (geography, watchlist, entity, and so on) but also to certain behaviors that constitute risk relative to the activity being monitored. For example, the total transaction amount of wires involved in a hidden relationship represents a risk that can be measured based on applying configurable limits that are applicable to the scenario pipeline.

Creating a Risk Indicator

To create a risk indicator, follow these steps:

1.     Navigate to the Pipeline Designer page.

2.     Drag and drop the Risk Indicator widget from the widgets pane to the designer pane.

3.     Hover on the Risk Indicator widget and click Edit . The Risk Indicators pane is displayed.

4.     Click  on the left-hand side. The Risk Indicators Available pane is displayed with the list of  risk indicators.  

5.     Click Add in the Risk Indicators Available pane. A new pane is displayed at the bottom of the page.

6.     Provide the details as described in the following table:

 Fields to Create Risk Indicator and their Descriptions

7.     Provide the details as described in the following table, if you have selected Aggregation method:

Fields to Create Risk Indicator and their Descriptions (Aggregation Method)

8.     Follow these steps if you have selected the Expression method:

a.     Add an expression by clicking the Add  . The Expression Builder dialog box is displayed.

b.     Select the Attribute, Runtime Parameters, and operators. The resulting condition is displayed in the Condition field.

9.     Click Save to create the measure or Save & Attach to create and also attach the measures to the risk indicators used.

10.  You can perform certain tasks that are common in all the widgets, such as edit, delete, filter, and so on. For more information, see Common Tasks.

Attaching Risk Indicator

You must attach the required risk indicator for it to take effect.

To attach a risk indicator, follow these steps:

1.     Navigate to the Pipeline Designer page.

2.     Drag and drop the Risk Indicator widget from the widgets pane to the designer pane.

3.     Hover on the Risk Indicator widget and click Edit . A dialog box is displayed.

4.     Click  on the left-hand side. The Risk Indicators Available pane is displayed with a list of available risk indicators.

5.     Click   corresponding to the risk indicator that you want to attach. The selected risk indicator is moved to the Risk Indicators Used pane.

6.     Click Save  to save the changes. The Risk Indicator is attached.

Editing Risk Indicator

Only user-configured measures can be edited. You cannot edit pre-configured measures. To modify details of a risk indicator, follow these steps:

1.     Navigate to the Pipeline Designer page.

2.     Select the Risk Indicator widget that you want to modify.

3.     Hover on the Risk Indicator widget and click Edit . A dialog box is displayed.

4.     Click  on the left-hand side. The Risk Indicators Available pane is displayed with the list of available risk indicators.

5.     Click the Risk indicator that you want to modify and click Edit.

6.     Modify the required details.

7.     Click Save. The Risk Indicator is modified.

Creating Episodes

Episodes are used by structuring scenarios to generate events which meet specific criteria, based on runtime parameters. For example, if the sum of consecutive transactions fall under the specified range, it is considered an episode. If the number of episodes crosses the specified threshold, then an event will be generated.

To create an episode, follow these steps:

1.     Navigate to the Pipeline Designer page.

2.     Drag and drop the Episode widget from the widgets pane to the designer pane, after a High Level Dataset.

3.     Hover on the Episode widget and click Edit . The Episode window displays any existing conditions.

4.     Select options from the drop-down lists to edit existing conditions.

5.     Select options from the List of Conditions to add additional conditions for consideration by the scenario. Configure these conditions by selecting options from the drop-down lists.

6.     Click Add + to add a new runtime parameter which can be used by the conditions.

§       Enter the name for the runtime parameter in the Name field.

§       Enter a description for the runtime parameter in the Description field.

§       Select a Datatype for the runtime parameter from the Datatype drop-down list.

§       Enter any default values for the runtime parameter.

§       Click OK to save the runtime parameter.

7.     Click Save   to save the changes.

8.     You can perform certain tasks that are common in all the widgets, such as edit, delete, filter, and so on. For more information, see  Common Tasks.

Creating Segment

A segment enables you to segregate data based on defined conditions. For example, risk levels. A segment can be defined where both the effective risk of the focal entity and the risk of the associated activity determine if the behavior meets a High Risk, Medium Risk or Regular Risk definition. Risk indicator triggering levels can be set according to the segment. Using segments allows for generating events based on applying different values to risk indicators and evaluation based on how a party fits within a defined segment.

To create a segment, follow these steps:

1.     Navigate to the Pipeline Designer page.

2.     Drag and drop the Segment widget from the widgets pane to the designer pane.

3.     Hover on the Segment widget and click . A dialog box is displayed.

4.     Enter the name for the Segment in the Name field.

5.     Click Add  corresponding to the Output pane to open the segment group. You can add multiple groups and multiple conditions under each group.

6.     Select the dataset or Risk Indicator you want to add conditions for.

7.     Select a column and operator (=,>, <, <=, >=, <>, LIKE, and so on) to configure the conditions.

For example:  (Effective Risk >= $Effective_Risk)

The following table describes the columns available.

 Segment Column Definitions

8.     Click Save  to save the changes. The segment is created.

Creating Evaluation

Evaluations are used to define conditions for the measures that are defined in the risk indicator. Evaluations perform logical comparisons against these conditions to generate events.

To create an evaluation, follow these steps:

1.     Navigate to the Pipeline Designer page.

2.     Drag and drop the Evaluations widget from the widgets pane to the designer pane.

3.     Hover on the Evaluations widget and click Edit . A dialog box is displayed.

4.     Enter the name for the evaluation in the Name field.

5.     Click Add + corresponding to the Output pane to open the evaluation group.  You can add multiple groups and multiple conditions under each group. The values which display in the Output pane are typically thresholds which can be managed in the Threshold Editor. For more information on configuring a filter, see  Configuring Filter.

6.     Click Save   to save the changes.

7.     You can perform certain tasks that are common in all the widgets, such as edit, delete, filter, and so on. For more information, see  Common Tasks.

Creating Event

In Scenario Pipeline, the Create Event widget is the final part of the pipeline and is used to produce an event. An event is a record of one or more pattern matches in a detection run, which is a signal for further investigation. An event is also a unit of work in which a focus appears to have exhibited behavior of interest, along with the supporting information. A focus represents a business entity around which activity is reviewed and aggregated. For example customer, account or external entity. Events can be generated from a pattern matching specific source events, a sequence of events, trends, conditions, or context.

To create an event, follow these steps:

1.     Navigate to the Pipeline Designer page.

2.     Drag and drop the Create Event widget from the widgets pane to the designer pane.

3.     Hover on the Create Event widget and click Edit  . A dialog box is displayed.

4.     Verify the details and click Save  to save the changes.

The Create Event widget is created.