AI to streamline compliance processes in a medical device company

Summary:

With ML compliance solutions, the company was equipped with tools to prevent and detect risks of corruption, kickbacks, fraud, embezzlement, conflicts of interest and sanctions violations.

Client:

LifeScan, founded in 1986, is a leading global medical device company specializing in blood glucose monitoring. With 2,000 employees and a presence in 90 countries, LifeScan serves over 20 million people worldwide. Its app is among the top ten most downloaded diabetes management apps globally.

Problem Statement:

In 2018, private equity firm Platinum Equity purchased LifeScan from its previous owner, Johnson & Johnson. This acquisition provided LifeScan with the opportunity to enhance its digital presence. LifeScan aimed to implement a software suite to mitigate and identify risks associated with fraud, corruption, sanctions, kickbacks, and conflicts of interest.

Results: 

•  Compliance program enhanced within 90 days.
• Real-time business visibility across the entire spend lifecycle.
• Easily customizable workflow requests.
• Automated screening for sanctions, watchlist, and adverse media checks on spend recipients, with the ability for users to handle potential matches directly within the application.
• Comprehensive reporting for key insights and real-time transparency to the compliance function and management.

AI Solution Overview:

Lextegrity’s software solution offers compliance and audit teams a comprehensive overview of transactional spend and revenue risks within their organization. The software actively monitors transactions for various risks, including corruption, fraud, asset misappropriation, revenue recognition, export controls, sanctions violations, and conflicts of interest. Lextegrity’s software solution provides essential features such as complex approval logic, built-in screening, and comprehensive reporting. Utilizing machine learning, the solution identifies anomalies and high-risk transactions that could potentially impact enterprise risk.

References:

1. How LifeScan uses opportunity provided by a carve-out to digitally transform. https://technologymagazine.com/company-reports/how-lifescan-uses-opportunity-provided-carve-out-digitally-transform 
2.  LifeScan and Alexion Digitally Transform Their Global Compliance Programs. https://www.lextegrity.com/lifescan-alexion-digital-transformation 
3. LifeScan Invests in Automation and Digital Transformation. https://f.hubspotusercontent30.net/hubfs/5309835/Case%20Study%20Lifescan.pdf 

Industry: Anti-Corruption Compliance

Vendor: Lextegrity

Client: LifeScan

Publication Date: 2020