Distributed Rules System for Credit Authorization Continuity
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Solution Overview
Problem
Credit account systems face disruptions when the main rules system goes down, leading to inability to perform authorized purchases or provide credit account applications, resulting in lost sales and frustration due to communication disruptions.
Innovation Solution
A distributed 'light' rules system is implemented, where a subset of rules and authorization criteria is distributed to brands, allowing them to make reduced-level decisions independently when the main rules system is unavailable, using a proprietary authorization manager, subset of rules generator, distributor, manager, utilizer, and reconciliator to manage and utilize these rules for credit account approvals and fraud determinations.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If a centralized main rules system is used for credit authorization, then centralized control and comprehensive fraud analysis are achieved, but system availability and service continuity deteriorate when communication disruptions occur
Solution Approach 1:
The patent segments the centralized rules system into distributed edge rules systems deployed at individual store levels. Each edge system contains a local rules engine and database that can independently process credit authorization requests without requiring continuous communication with the central system. This segmentation enables service continuity during communication disruptions while maintaining the benefits of centralized rule management during normal operations.
Solution Approach 2:
The patent implements preliminary action by pre-loading rules and authorization criteria into the distributed edge rules systems before communication disruptions occur. The edge systems are configured with sufficient local intelligence and decision-making capacity to handle credit authorizations autonomously when needed, eliminating the need for real-time central system communication during outages.
2Productivity
If a distributed 'light' rules system is implemented for autonomous decision-making, then service continuity during main system downtime is improved, but rules management complexity and data synchronization requirements increase
Solution Approach 1:
The patent implements feedback mechanisms where the distributed edge rules systems continuously report transaction data and performance metrics back to the central rules system when communication is available. This feedback enables the central system to monitor and analyze transactions performed at edge locations, maintain updated rules databases, and synchronize any rule changes back to the edge systems, ensuring data consistency without compromising autonomous operation during outages.
Solution Approach 2:
The patent uses copying by creating simplified replicas of the central rules system at each edge location. These edge copies contain essential rules and authorization logic that mirror the central system's decision-making capabilities. When communication is restored, the edge copies can be updated with changes from the central system through data synchronization, maintaining accuracy while enabling independent operation during disruptions.
3Adaptability or versatility
If full rules and authorization criteria are distributed to all locations, then autonomous decision-making capability is maximized, but data security risks and fraud vulnerability increase
Solution Approach 1:
The patent applies local quality by distributing different levels and types of rules to edge systems based on their specific needs and risk profiles. Not all locations receive identical rule sets; instead, each edge system is configured with appropriate authorization criteria and decision-making powers tailored to its operational context. This selective distribution maintains autonomous capability while limiting exposure to fraud risks by not universally deploying full rule complexity across all locations.
Data Source
AI summary
A system and method for distributed risk rules is disclosed. The method receives, at a subsystem, a subset of rules from a main rules system. The subsystem then determines that a communication to the main rules system is disrupted. The subsystem utilizes the subset of rules to make at least one business decision. After determining that the communication to the main rules system is operational, the subsystem provides a reconciliation data file including the at least one business decision to the main rules system.