Many Know Your Customer (KYC) operational inefficiencies are a symptom of poorly understood policy documents. These documents are usually created by a centralized financial crimes or compliance team, with little input from the business lines or units and operational leads. It is those groups, however, that must put policies into action, so they need a strong understanding of policy prescriptions and implications.
Technology that transforms
KPMG has built an innovative cloud-based KYC policy lineage tool for use in decomposition exercises to identify and clarify KYC business rules, data attributes, and requirements. This lineage then allows for the codified data to be used in entity type specific templates, supporting job aids and procedures, and other ways.
Using the tool, KPMG advisors work shoulder to shoulder with clients’ financial crimes and compliance teams as well as operations and technology teams to review their policies and procedure documentation line-by-line. Hosting workshops, we help them clarify and finalize the decomposition of policy into actionable pieces (including the specific data and document rules, attributes, and procedural requirements) and not actionable pieces (varies from headers to context).
