Harnessing New Technology to Enhance Communications Surveillance Programs

In the evolving landscape of regulatory compliance, staying ahead requires more than just traditional communication surveillance methods. It is important for firms to adopt a next-generation approach to capturing, archiving, and surveilling communications that focuses on three key dimensions: data, detection, and disposition.

Data: The Cornerstone of Surveillance

Effective surveillance starts with robust data management, which forms the foundation for everything else. Having the right data, both structured (contextual data) and unstructured (messages, communications, etc.) data, in the correct format, is crucial.

Communications capture and archiving capabilities need to be able to span the various forms of communication platforms used by your firm, such as emails as well as non-traditional communication channels like text, WhatsApp, and Discord. Being able to archive these communications into one platform will make it easier to surveil. However, this is only half of the data needed.

To fully understand the communications captured, you need to collect contextual data as well. Being able to overlay location, relationships within the context of the pertinent referential data will help you more easily recognize a compliance concern within the unstructured data.

Detection: From Basic Random Sampling to Advanced Techniques

Detection methods have evolved significantly. While random sampling of emails was at one time the best practice across the industry, modern techniques now employ lexicon-based searches, sophisticated algorithms, and Artificial Intelligence (AI) such as natural language processing (NLP) or Generative AI (GAI) to better surveil data. These advanced methods can sift through vast amounts of data, overlaying the key structured data needed to provide context to the communications. The more sophisticated the detection method used, the more accurate the identification of potential issues, reducing the burden of false positives that have historically burdened compliance teams.

Disposition: Investigating and Documenting Issues

Disposition involves investigating alerts and documenting the steps taken to resolve them. This process not only ensures regulatory compliance, but also provides a clear audit trail. The use of technology is crucial, as it allows firms to automate much of the investigation process, ensuring thorough and consistent handling of issues and the ability to fully explain the resolution of these issues to interested third parties, such as an internal audit team or regulator.

Conclusion

By focusing on data, detection, and disposition, and leveraging AI, financial firms can create more effective and efficient compliance systems. In sum, firms need to know which channels of communications will be allowed, capture them, bring them into a compliant archive, and then put them into the appropriate context for detection and disposition. As regulatory demands continue to evolve, adopting these next-generation technologies will be crucial in maintaining compliance and staying ahead of the dynamic regulatory environment.

How we help

ACA's eComms offering, integrated within our ComplianceAlpha^® RegTech solutions platform, provides a comprehensive, next-generation program for capturing, archiving, and monitoring employee communications across a wide array of channels. Not only does it capture data, but it also enhances the efficiency and clarity of monitoring electronic communications. This empowers users to identify risks, detect misconduct, and ensure policy compliance, protecting firms from regulatory fines and reputational damage.

For questions or to discuss how ACA can help you strengthen your firm’s communications surveillance program, increase efficiencies through technology, and ensure your regulatory obligations are met, reach out to your ACA consultant or contact us here.