FiscalNote Launches AI-Powered Risk Connector For Anticipating and Managing Operational Risks

June 22, 2023 at 07:01 AM EDT

FiscalNote Enters Supply Chain and Operational Risk Market, Leveraging AI Capabilities to Anticipate and Mitigate Risk Throughout the Entire Supply Chain and Across a Wide Network of Stakeholders For Large Enterprises

FiscalNote Holdings, Inc. (NYSE: NOTE) ("FiscalNote"), a leading AI-driven enterprise SaaS technology provider of global policy and market intelligence, today announced the launch of FiscalNote Risk Connector. FiscalNote Risk Connector, brings the power of the company’s data and AI capabilities to empower large enterprises in the private and public sectors to anticipate, understand, quantify, and track risks emanating from their operations and full web of relationships – taking a broad view that includes not only their supply chains, but also their customers, investors, partners, and any other vectors through which a risk could materialize.

Private and public sector supply chains and operational profiles are becoming exponentially more complex. The world’s largest enterprises – including corporations, military organizations, and more – operate in an increasingly complicated legal, regulatory, political, and economic environment, even as they leverage global networks with an ever-expanding maze of suppliers and partners. As a result, they face numerous challenges trying to predict and control the emerging and diverse range of risks that can have devastating impacts on corporate income, military readiness, brand reputation, operations, and more.

Powered by the company’s proprietary and innovative AI technology, FiscalNote Risk Connector provides decision makers at large enterprises with the 5 “As” essential to operational risk mitigation in an analytics and information platform that is:

Automated: Mapping an entity’s suppliers, vendors, investors, and other key stakeholders within minutes
Always-On: Tracking events and sentiment across an entity’s third-, fourth-, and fifth-party relationships to flag key risks in operations and supply chain
Anticipatory: Surfacing when relationships between entities are fraying, providing early warning of unmaterialized risks automatically
Auditable: Providing information down to the individual document where risk was detected, allowing companies to have confidence in the data and their mitigation strategies
Accessible: Offering a wide array of channels through which customers can integrate its data into their risk management framework — from email delivery, to expansive APIs, to hosted solutions

Equipped with these insights, companies can rapidly determine whether doing business with a specific company or individual might lead to supply chain or regulatory compliance issues due to undeclared relationships, front companies, or other risk-related behavior. Whereas other tools are limited in scope and speed, FiscalNote Risk Connector fully maps relationships and detects risks in near real time, while providing a fully auditable data trail. For example, a customer or partner of Silicon Valley Bank could have leveraged the power of FiscalNote Risk Connector to detect SVB’s increased vulnerabilities — and taken mitigating steps — more than six months prior to the eventual collapse of the bank. Similarly, military or government entities that rely on complex and regulated supply chains in the midst of rising geopolitical tensions could have leveraged AI-driven insights from FiscalNote Risk Connector to understand shifting supply chains and operational risks that may derail government objectives.

“Without the technology in place to help anticipate and manage potential adverse impacts, operational risk has become a multifaceted, complex ‘field of unknowns’ that can quickly create a dangerous domino effect of ramifications,” said Josh Resnik, President and COO of FiscalNote. “In both the public and private sectors, exposure to operational risk can have immediate and lasting impacts — including massive financial and regulatory concerns, legal liability, brand and reputation issues, and consequential negative impacts on customers and shareholders. The AI-powered FiscalNote Risk Connector product creates visibility into the thousands of associations between our customers and their connections, determining and predicting risk up to five layers removed.”

“Over the past decade, we have been working with thousands of global customers in the public and private sector to track, manage, and tackle risk from multiple directions, including regulatory, geopolitical, economic, and – most recently, with our addition of Dragonfly – security risks,” Resnik added. “FiscalNote Risk Connector is a natural extension of our expertise and strategy to holistically address operational risk for large enterprises of all kinds, and it provides a tremendous market expansion opportunity for our business with governments, corporates, and any organization with risk exposure.”

In the past decade, the international supply chain has become increasingly complex, with McKinsey reporting at least one in twenty companies has suffered a supply-chain disruption costing at least $100 million in recent years. Companies are also contending with added costs of geopolitical and operational risks; a recent report by WTW in partnership with FiscalNote’s Oxford Analytica found that manufacturing companies are facing escalating costs due to these geopolitical risks, with one panelist claiming worldwide sanctions related to Ukraine are costing the company three cents per share, and another reporting the loss of 10% in global revenues. Threats to national security via risks to military supply chains have also been exposed, with one U.S. armed forces leader stating “the supply chain is the No. 1 risk” to their naval program — with this lack of full visibility preventing defense agencies from identifying disruptions early and planning for them proactively.

To learn more, please visit the FiscalNote Risk Connector webpage here.

About FiscalNote

FiscalNote (NYSE: NOTE) is a leading technology provider of global policy and market intelligence. By uniquely combining AI technology, actionable data, and expert and peer insights, FiscalNote empowers customers to manage policy, address regulatory developments, and mitigate global risk. Since 2013, FiscalNote has pioneered technology that delivers mission-critical insights and the tools to turn them into action. Home to CQ, FrontierView, Oxford Analytica, VoterVoice, and many other industry-leading brands, FiscalNote serves approximately 5,000 customers worldwide with global offices in North America, Europe, Asia, and Australia. To learn more about FiscalNote and its family of brands, visit FiscalNote.com and follow @FiscalNote.