Many of our problems are caused by human decisions and are therefore avoidable. To effectively address one of these issues, we founded Ludaciti.
Ludaciti transforms the way humans execute decision-making by analyzing and changing individual patterns of behavior.
So far, currently available technologies have not been able to provide insights to prevent white-collar crime or avoid unintentional/intentional misconduct significantly. The mere accumulation of statistical data has only led to more control and ex post punishment with overall disappointing results.
That's why Ludaciti developed a technology that helps companies solve one of the pressing problems of our time: white-collar crime.
Our approach is to diagnose how human decision-making patterns take place in the business area. For this reason, Ludaciti has invented a purely data-driven platform to demonstrably improve individual decision-making competency of managers who have to deal with complex situations, high risks, growing ethical demands and changing conditions - such as different legal systems.
Preventing white-collar crime is no longer
a matter of just teaching the rules
We focus on the prevention of corporate crime and misconduct through adequate but smart behavioural changes. From what we know, misconduct, negligent behavior or intentional crime by humans are not innate. Such behavior is learned because it was useful in the past, it promises prospects of reward in the future, or risks are overlooked. That can be changed because the majority of people has the capacity of deliberate thinking, benefit drive, as well compassion and a sense of justice.
Our data clearly shows that our diagnostic findings and the learning approach derived from them are effective and meet the needs and requirements of today's managers. This individual measurability of changed decision-making behavior takes corporate compliance to a new level.
Instead, the "traditional compliance approach" is outdated if it is used as the only measure. Prevalent compliance programs are limited to the memorization of rules (Do no harm!) and proof of the necessary procedures. Threat of punishment shall help to deterre misconduct. Whistleblowing shall help to detect crime and misdeeds. However, a resounding success in overcoming the compliance risk has not yet been achieved. Why is that? Humans do not necessarily follow the rule. They weigh up whether it makes sense to obey the rule or not.
Therefore, rules knowledge is good and needed, but not sufficient. Ludaciti has done the test. Based on empirical data, we can show that the application of rules under real conditions - after completion of the standard compliance eLearning programs - is clearly unsatisfactory.
Nevertheless, without effectiveness evidence of their Compliance Management Systems (CMS) the majority of companies invests year after year in cost-intensive e-learning and face-to-face programs that according to around half of the CCOs are doubtful or poor in results. This assumption is underlined by the fact that white-collar crime and negligent behavior has not changed significantly since 2014. PWC concludes in its study on white-collar crime: "The qualitative enterprise surveys show that the implementation still has significant weaknesses. You can see that the pure training and its repetition is not really effective." Enforcement agencies in the US and Europe meanwhile recognize that firms might be spending a lot and creating all the components of compliance programs but actually producing hollow facades. Thus, judicial leniency based solely on rules theory distribution is no longer guaranteed.
An innovative technology helping people to make better decisions