BALANCING RISK AND BUSINESS ENABLEMENT

Chris Purdum

October 2014

AGENDA

Introduction and Problem Statement

Pluto Design

Process

Features

Monitoring

PROBLEM STATEMENT

Need to be able to quickly balance

Risk evaluation

Good user experience

Business enablement

The Challenge:

The Decision strategy involves thousands of rules and data points

Decisions need to be made in real time in most of the use cases.

Scalability, availability and performance challenges

Hundreds of rule writers spread across the world

Hundreds of rules changed every week to adapt to changing business conditions

Data and rule governance will pose its own unique challenges as well.

So, How do we manage all of this? We call it Pluto

PLUTO

What is it? PayPal Risk Infrastructure component to implement Decision Strategy

IBM Operational Decision Management (Business Rule Engine) at its heart

Rich feature set to deploy Rules, to monitor and to have fine grained control run time characteristics

Customizations to Rule Authoring system

WHEN WE USE PLUTO

If Yes to following questions If Business or Non-Technical person needs to maintain logic

Logic needs to change very often (>once per month)

Logic is not very complex

Changed logic needs to be reflected in live in less than a day

At PayPal, we use it at various user interaction “checkpoints:” Profile changes (add/edit/remove funding instruments, address,

email, etc)

Payments

Post-Payment (Recoveries, Resolutions, etc)

PLUTO SYSTEM OVERVIEW

Web based tool to write business rules in natural language like language (ODM Decision Center)

Business Rules can be “IF – THEN” format or Decision Table or Decision Tree

Rule Flow support (Branching, merging logic branches etc.)

Rules are written on a Object Model called Rules Business Objects (RBO, or XOM in ODM parlance) Rules are written with interfaces – “XOM” used to generate BOM for

Rules Authoring

Runtime uses implementation

Rules are written off-line and transferred into Run time using a process called ‘Deployment’.

PLUTO – COMPONENTS - RBO

Events RADD Non-Event DataTSAContext

Risk Code BOM (Not ODM BOM)

RBO Impl

DOM

RBO Interface

Rule Business Objects are Data Abstraction Layer

Exposed to Rule Authors

RBO Interfaces are Bundled as Artifacts (libraries)

PLUTO – COMPONENTS – DC

Decision Center is a Web Based Rule Authoring Tool

DC is Bundled with BOM generated from RBO Interfaces

Rule Deployment is the process of pushing rules from Corp to Live

RULE

AUTHOR

ODM

Server

Rule

Repository

RBO

Interface

BOM

Risk Application

PLUTO – COMPONENTS – RUN TIME

Runtime is where Rules are executed

Runtime is bundled with server code

Pluto

Runtime

Published Rules

DB

RBO

Interface

RBO

Impl

.

Rule Designer

PUTTING IT ALTOGETHER

Published

Rules

Decision Center

(Rule Authoring)

Logging

Risk Application (+RBO

Implementation)

Pluto wrapper

ODM Rule

Runtime

RBO interface

RULE PUBLISH

RULE REPOSITORY

RULE

AUTHOR

CORP

IDI

PLUTO PROCESSES

Expose Business Objects (BOM) to Rule Authors… Developers and Business Users agree on interface.

Implement RBO interface and implementation

Do RBO Artifact Release (once every 2 weeks)

Release service with the above RBO artifact

Use Rule Designer to generate BOM from RBO

Publish BOM to Live DC

PLUTO PROCESSES

Write Rules

Initially, rules written in “evaluation” mode

After they’re monitored and shown to work as expected, they are changed to do real actions.

Any new rule will start as ‘Inactive’. Only a few people can activate the rule.

PLUTO PROCESSES

Deploy Rules Rules are extracted from repository in rulesets inside ruleapp jar

Ruleapp jar copied from DC network to LIVE network

A daily running batch job pushes the jar to DB in production.

Run time picks it up automatically.

The whole thing is automated

FEATURES AT A GLANCE

No PD touch rule deployment

Smart runtime RBO/ruleset version checking

“Slow Roll” Rule Release

Enable and Disable Rule using Admin tool

Rule Statistics - evaluation counter, fired counter, Rule fired rates

Auto disable feature based on rules statistics

FEATURES AT A GLANCE (CONTD.)

Auto – null check injection

White Listing Actions

Some Authoring tool customizations

CAL and DB logging for monitoring

Checkpoint to Checkpoint communication using TSA

Smart Caching of Bind Values

PLUTO MONITORING

Every Rule Fired will be logged in DB, CAL and our Biz Logging framework

Pluto Rule Performance is available in CAL

Refer to Appendix

QUESTIONS?

THANK YOU