Innovations' Solution Approach

Dynamic Application for Maximum Flexibility

Traditional approaches to system-supported credit processes are too rigid and inflexible to meet the increasing requirements of complexity, transparency and flexibility. With the Credit Management Platform, Innovations offers a transparent and flexible way of implementing and maintaining loan origination and credit decisioning processes.

All components of the platform's logic are graphically modeled in a business-oriented framework.

Model Authoring Platform

This means that the business user has complete control of all logic modules and can easily modify them as needed, independent of rigid release cycles and while maintaining quality standards. The result is a dynamically generated, executable and comprehensive application, the Credit Manager, that supports the entire credit application process.

Credit Manager

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The following logic modules are implemented and maintained in the Model Authoring Platform:

Decisioning Models

Rule-based decisioning models allow the implementation of any type of complex logic for customer and/or transaction-related assessment (such as scoring/rating) of quantitative and qualitative risk factors. Rules are graphically modeled and maintained within the Model Authoring Platform. There are no limitations with respect to the number or complexity of rating models. These support in multiple ways the implementation of PD, LGD and EAD models to apply the Basel II IRB-Approach.

Presentation Models

Rating models are not only dynamic in their calculation and decisioning logic but also in the data and risk factors on which models are based. When new input or output data is defined for a credit application process, the data must be collected by an analyst and persisted in the database.

To accomplish that, presentation models for definition and control of web-based user interfaces are implemented on a rules basis. That means that the model administrator can flexibly define and manage the following content, which can often be quite complex:

User interface elements (such as text fields, number fields, tables, charts, etc.) and their attributes (such as formatting, visibility, convertibility, etc.)
User interface control depending on, for example:

User roles and groups in order to display different UIs
Current data (such as customer or transaction data), in order to display different interfaces for specific customer segments
State flows, to adapt the right UI depending on the current process status, for instance

Validation rules for user input and data imported from third party systems, in order to generate messages on the web-based user interface depending on the data entered, for example

Process Models

Process models allow for the definition and maintenance of system-supported credit processes. With the process model, the following content is defined using Model Authoring Platform:

Approval processes (such as dual control principle)
Distribution of tasks (such as exchanging work items through work lists)
Process escalations
Actions (events) that can be triggered through the user interface or by the system
State conditions and transitions
Persistence

Integration Models

Integration models make it possible to connect internal and external systems so that, for example, credit bureau calls can be integrated in the credit application process:

Custom service calls allow any system to be integrated directly from the rule models
Direct access to relational databases
Allows rule-based data cleansing and mapping (to internal data models)
Integrated data is automatically stored in the underlying data base
Publishing of data in order, for example, to provide for reporting