Amruta: Building a Realm of Risk-Free Banking

Dr. Beju Rao, Founder, President, & CEO, AmrutaDr. Beju Rao, Founder, President, & CEO
Amruta started its journey to support banking and financial services organizations achieve more with less,” recalls Dr. Beju Rao, Founder, President, and CEO, Amruta Inc. Stepping back 20 months, Rao, an experienced enterprise analytics executive, acknowledged that the banking industry is in a state of flux with multiple technologies, regulations, and demographic factors impacting the way banks conduct their business. Wide availability of data from strategic and transactional interactions and activities across people, processes, and devices combined with in-memory, deep learning, and modular analytics is enabling organizations to generate insights with business realism. He realized that rigorous domain knowledge can be combined with open source and virtualization technologies to form strong business and IT partnerships to solve problems faster. This ignited Rao’s passion to develop solutions that will make banks more efficient in their risk, compliance, and operations decision-making by blending data science, machine learning, big data, cloud, and mobile technologies with traditional analytics. “We provide product-enabled solutions by implementing data engineering, data science, and software applications and processes,” asserts Rao.

Fast forward to today, Amruta is empowering business leaders to manage risk and compliance in the wake of increasing regulation and digital transformation. Delivering the required fulcrum to support risk, compliance, IT, and business leaders by helping them detect risk effectively with minimal false positives, Amruta is achieving skyrocketing growth. “Our processes and tools are customized to enable risk managers set risk appetite limits and monitor the ongoing risk,” asserts Rao. In areas such as financial crimes, fraud, cyber risk, operational risk, and compliance, Amruta configures its products to minimize human intervention and reach the desired zero or near-zero risk threshold.

Smart Solutions Built on Acute Technology

“Technology has been a key enabler of risk management and compliance to ensure that business grows resiliently,” states Rao. Fresh data is streaming from people, process, and system interactions on digital, mobile, social, and other emerging platforms and practices. New algorithms are being utilized for discerning, detecting, and managing risk and compliance, alongside the implementation of advanced software frameworks and hardware configurations to mitigate risk earlier. “Our products and services are built around these new data, algorithms, frameworks, and configurations,” says Rao. Amruta’s data mining based forensic products and services help investigate the root causes of risks in past transactions and communications. Further, the company’s surveillance algorithms support monitoring and prevention of non-compliant and fraudulent activity in ongoing business transactions. “Our text mining based review tools and services ensure that risk managers, lawyers, and auditors focus on areas of high peril.” With Amruta’s data governance, model validation, and software testing tools— evaluating the efficacy of risk detection technology and processes across financial crimes, fraud, credit, market, and operational risk, and compliance divisions has become easier.

Our processes and tools are customized to enable risk managers set risk appetite limits and monitor the ongoing risk

Amruta’s risk analytics product offerings also include transaction surveillance, document classification for risk discovery, fraud detection, customer and counterparty risk rating, and financial crimes and transaction screening. At Amruta, “We ensure that risk and IT needs are met throughout the solution implementation, as we customize our code base to collect data from the bank’s existing SQL or NoSQL databases,” asserts Rao. “Since we have developed our applications using open source software frameworks and languages, implementing our codebase within a bank’s technology stack is straightforward.”

Amruta’s solutions can be efficiently and quickly implemented within bank infrastructures and frameworks. “We embed our products within banks’ internal and third-party infrastructures and processes efficiently so they can benefit from our risk and compliance measurements quickly and effectively,” says Rao. The success of a U.S. bank in risk identification with Amruta’s solutions is a case in point. The bank wanted to identify the residual risk associated with loan originations to borrowers with high indebtedness, low income, and low down payments. However, the bank’s risk management team lacked a systematic process of evaluating the safety of lending to these borrowers. Amruta identified such borrowers within the bank’s portfolio and quantified the additional default risk posed by the obligors. “Delay in collecting the data needed for risk rating these obligors was identified,” states Rao. Simultaneously, Amruta created data models involving internal and external information while developing a data collection codebase within the bank’s infrastructure. “We utilized in-memory data analytics and visualization to implement a monitoring report,” adds Rao.

A Continuous Journey

Rao ensures that his team is aware of all the details comprehensively from multi-stakeholder perspectives to deliver quality outcomes. At Amruta, “We follow a consultative approach with empathy interviews to identify client needs,” says Rao. Consequently, Amruta discusses a high level plan and solution with the client’s shareholders and incorporates the feedback, customizing its solution according to client’s specific needs.

Poised to continuously climb the pyramid of success, Amruta is investing heavily to improve its business and domain knowledge, and in evaluation of the efficient technologies that can be implemented to develop robust solutions. “Our innovation lab is a place for rigorous testing of our solution frameworks and codebase. It ensures that our clients realize enduring benefits and appropriately timed technology based solution enhancements,” delineates Rao.

With an expanding customer base and increasing number of implementations, the CEO is determined to make his products portfolio more effective. “We aim to expand our product portfolio to the areas of cyber risk, internet of things, secure and immutable transactions, technology assisted contracts and legal documents review, chat bots, self-diagnostic applications, and machine driven risk management and compliance,” states Rao. “We will continue helping our clients to benefit from rigorous data and information practices, profitable and cost-effective decisions, and efficient analytic platforms.”