Video | AI Meets Compliance: Risks, Realities and Readiness

with Christine Reisman

In an era defined by rapid technological advancement and increasing regulatory scrutiny, the role of the CIO in financial services is more critical than ever. In this insightful segment from Protiviti's video series The Modern CIO Dilemma , Protiviti Managing Director Christine Reisman discusses the multifaceted challenges CIOs face regarding compliance and risk management, while exploring how artificial intelligence (AI) can enhance operational efficiency.

Bridging Knowledge and Tech Gaps

CIOs are confronted with a dual challenge: bridging knowledge gaps within their workforce and addressing technological shortcomings. The rising costs associated with compliance necessitate a strategic pivot in workforce training and development. As leaders acknowledge, it’s essential to cultivate an understanding of new technologies and foster a culture of continuous learning. Reisman emphasizes the importance of robust testing programs and collaboration among various defense lines to ensure that compliance measures are both effective and efficient.

Navigating Regulatory Landscapes

The complexities of modern compliance operations require a nuanced understanding of regulatory frameworks. Leaders highlight the need for organizations to adapt their supervisory approaches based on risk levels and to become comfortable with the inherent uncertainties of compliance. By leveraging AI technologies, firms can develop sophisticated risk mitigation strategies that allow them to focus on high-risk areas without neglecting lower-risk categories.

Harnessing AI for Compliance Value

The discussion reveals that “artificial intelligence” (AI) is not merely a buzzword; it refers to a transformative force in compliance operations. With practical applications such as automated SAR filings and enhanced transaction monitoring, AI is already delivering measurable value. This segment showcases real-world use cases where financial institutions have successfully reduced false positives and streamlined compliance processes. The key takeaway is that organizations should begin their AI journey with manageable pilot projects that can demonstrate clear returns on investment.

Lessons From the Field

As organizations deploy AI solutions, they encounter lessons that underline the importance of data integrity and collaboration across all lines of defense. The emphasis on harmonization and consistent testing practices ensures that AI models are deployed effectively and safely. Leaders advise that starting small and building comprehensive business cases will enable organizations to scale AI initiatives successfully.

Key Insights for Today’s CIOs

Embracing AI is not just about reducing costs; it is about reimagining compliance as a strategic advantage. For CIOs, this means the following:

• Investing in knowledge: Prioritize workforce training to close knowledge gaps.
• Leveraging technology: Utilize AI to enhance compliance operations and drive innovation.
• Building robust frameworks: Establish comprehensive testing and collaboration mechanisms to ensure successful AI integration.

Protiviti stands ready to support financial services firms in navigating these complexities, empowering them to modernize their operations with confidence and agility.

The Modern CIO Dilemma

In this exclusive series from Protiviti, explore quick-hit insights and executive perspectives on the evolving role of the CIO in financial services. The Modern CIO Dilemma distills key conversations into video briefings and podcast episodes. You’ll hear directly from finance transformation leaders on how CIOs are tackling today’s most pressing issues — from regulatory uncertainty to payment modernization. Whether you're rethinking your data architecture, implementing AI responsibly or preparing for the next compliance shift, this series brings clarity to complexity — fast.

Watch the series