Gareth Ellis

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Session 5b Issuing Solutions

• Gareth Ellis
• Senior Business Consultant

2
Agenda

• The move to chip
• Options for Issuance
• ACI Chip Card Solutions
• Summary

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The EMV Migration Staircase
Post issuance
Full multi-application
Dynamic risk management and scripting
Static risk management and off-line payments
EMV issuance and personalisation
Magnetic stripe issuance and personalisation
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Smart Card Costs

• Highest cost in Smart Card issuance are the
  actual cards
• Save on card costs
• Avoid unnecessary card replacements increase
  the cards life-span
• Create card vendor competition
• Use high-end cards for high-end users, low-end
  cards for low-end users

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Smart Card IssuanceMigrating from magnetic
strip to chip
Current Banks CMS
Chip Data Conv.
Perso Bureaux or In-house
Smart Card Perso Bureau
HSM
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Options for Chipcard Issuance
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Options for chip issuance

• Outsource to Bureau/Card Vendor
• In-house development
• Simple dataprep
• Smart Card Management System

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a) Outsource to card vendor
Existing Card management system
Cards customers accounts
Personalisation
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a) Outsourcing to card vendors

• Expensive
• Vendor lock-in, difficult to negotiate
• Timescales
• Risk! - Handing secure master keys to Bureaux
• No guarantee against mistakes
• Ultimately inflexible towards next level of EMV
• Chip data stays at the Bureau prevents you
  from
• performing Dynamic Risk Management
• Performing Post Issuance Application Download
• Inheritance re-issuing cards with new params

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b) In-house development to upgrade the legacy
host
Existing Card management system
parameters
helpdesk
clearing
Card profiles
Etc.
disputes
Etc.
Key mgt.
Fraud control
Etc.
audits
Cards customers accounts
Data preparation
EMV data
Chip perso software
Personalisation
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b) Upgrading legacy host - Conclusions

• Development is often more complex than first
  appears
• Magstripe technology is very mature and stable
  current card management systems reflect this.
• Chip technology is still evolving
• Any development will only meet current
  requirements
• Add chip data to a payment card
• Its no longer the card that needs managing, its
  the applications on the card
• Solution needs to look to future applications
• Strategic view is needed

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c) Add a simple Dataprep box
Existing Card management system
What is lacking
Embossing file
Cards customers accounts
Product mgt
Data Prep Security box
Access mgt
Workflow mgt
Reporting
Chip Database
Auditing
Chip enriched data
Chip Perso software
Personalisation
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d) Using Smart Card Manager System
Existing Card management system
Cards customers accounts
Data Prep Security box
Chip data etc
Chip data etc
Chip data etc

• Gradually fill the chip database with every
  issuance request that passes through the system.
• Ultimately, every entry in the gray database also
  refers to an entry in the blue chip database.

Chip Perso software
Personalisation
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ACI Chip Card Solutions
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ACI Chip Card Solutions

• ACI Smart Chip Manager
• ACI DataPrep Plus
• In-Branch Issuance
• ACI Consultants

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Smart Card IssuanceMigrating from magnetic
strip to chip
Current Banks CMS
Chip Data Conv.
Perso Bureaux or In-house
Smart Card Perso Bureau
HSM
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ACIs Solution for EMV IssuancePerforming
dynamic risk management
Auth System
Banks Risk mgt centre
ACIs SCM APM
ACIs SCM APM Entry
Current Banks CMS
ACIs SCM CPM Conv.
Perso Bureaux or In-house
ACIs SCM CPM
HSM
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Smart Chip Manager RoleGeneral

• Retain customer plastic management system
• SCM adds chip-technology aspect
• Minimize need for change in existing systems
• Manage complexity introduced by chip
• More data on the chip originating in many systems
• More card types/products to be supported in
  parallel
• One or more applications per card
• Sophisticated cryptography required

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Smart Chip Manager Role IssuanceHow to get the
cards out

• Integration issues
• Collecting input data
• Informing other systems about the new card
• Data preparation key management
• Small, but important aspect of the issuance
  process
• Store chip data for later use
• Be able to keep track of cards, down to
  individual data items in the chip
• Ring-fence problems by being able to pin-point
  which cards contain errors
• In contrast to magstripe cards, on-chip data is
  dynamic

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Smart Chip Manager rolePost-issuance Challenges

• Allows card parameters to be changed
  post-issuance
• Block the EMV application
• Change offline spend limit
• Add loyalty points to be added to card
• Allows new applications to be downloaded
  post-issuance
• Download new version of EMV payment application
  to a card
• Download new CAP authentication application
• Add Manchester United Season Ticket to a card

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ACI DataPrep Plus
Current Banks CMS
Chip Data Conv.
Perso Bureaux or In-house
Smart Card Perso Bureau
HSM
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ACI DataPrep Plus

• Support for any card, chip, payment application
• Provided with standard card products already
  configured
• Import and Export of Chip Profiles supported
• Centralised key management
• Provides a Chip Database and HelpDesk
• Upgrades your legacy system to EMV with few
  impacts

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Benefits of ACI DataPrep Plus

• Provides elements of a Smart Card Management
  system to make issuance of chip cards easier
• Workflow management
• Product segmentation, etc
• Interface tool means no software development is
  needed for new file formats
• Provision of a chip database means that your
  investment is future proof

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In-Branch Issuance
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ACI Consultancy

• ACI consultancy department includes experts on
• Chip
• EMV
• Banking
• Payments
• ID applications
• Project Implementation
• Smart Card Management systems
• etc

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Summary
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Summary

• The most important message is to take a Strategic
  decision
• Many ways of chip enabling your systems
• Take the decision that enables you to support
  todays requirements and tomorrows
• Solutions from ACI are
• ACI Smart Chip Manager
• ACI DataPrep Plus
• In-Branch Issuance
• ACI Consultants

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