Impacted Domains: Operational
Impacted Industries: Financial Services, E-Commerce
Date: September 24, 2025

Banking-as-a-Service (BaaS) and embedded finance models are raising the bar for operational resilience and oversight, but fintech partnerships are straining legacy processes and controls.

So What:
Without coordinated and modernized oversight, organizations face service disruptions, compliance breakdowns, and reputational fallout. Legacy systems and manual processes are not equipped for the speed, scale, or interdependencies of embedded finance—creating costly gaps in resilience, vendor governance, and risk visibility.

Risk Value:
$8M–$35M for mid-size firms, depending on partnership scale and operational dependencies.

Mitigation Cost:
$75K–$225K for small/mid-size organizations to strengthen governance, automation, and resilience.

What to Do:

• Automate mapping of all partner process flows and identify operational dependencies and failure points using AI agents.

• Standardize and automate onboarding, offboarding, and change management across all vendors.

• Centralize governance with continuous resilience testing, scenario simulations, and risk dashboards.

• Establish predefined escalation paths and contractual response plans for disruptions and outages.

Risk AIQ Score: 7

🔗 Wolters Kluwer — Fintech Trends Shaping Risk Assurance 2026