Model Inventory: There is a Better Way
Creating and maintaining a Model Inventory is simple in concept but much harder in practice. Identifying the existing models to include can be challenging, especially given the fact that the line of business aren’t usually enthusiastic about documenting their model usage. Some model owners would prefer that you just go away, thank you very much. But it’s the “maintain” task that is really difficult. Keeping a model inventory accurate and up to date takes a lot of work. From chasing down various owners and users for updates to reporting on KRIs, it is a thankless job that never ends. Model Inventories are very resource intensive but there is an easier way that is better, faster and cheaper.
Manually maintaining a Model Inventory is hard work and inefficient
- Most model inventories are simple lists that are manually maintained, usually in Excel or SharePoint
- Model identification is usually voluntary, and the criteria for what constitutes a model is subjective
- Model owners and users in the line of business have less and less time to dedicate to updating the risk metadata and compliance information and thus it is rarely up to date
- Legacy software solutions focused on managing model inventory are expensive to buy and maintain. For large companies that have built their own inventory management solutions, the maintenance costs are high
- Commercial model inventory software has historically been one dimensional e.g. it works just for Excel models or just for SAS models
There is a better way…
- Model Inventory-as-a-Service; no software to install, no hardware to buy
- Highly secure; the models themselves stay where they are, only the risk metadata associated with those models is what is safely stored in the cloud
- Configurable risk assessment and attestation inputs produce consistent, objective evidence of the controls specific to your company
- Technology agnostic; works with any type of model regardless of the programming language
- Periodic updating of the risk information is automated. Say goodbye to manually chasing down individuals trying to get them to update their documentation
- Exception reporting instantly summarizes which models are not in compliance with standards/policy
Leveraging today’s modern Model Inventory Software-as-a-Service requires less resources and creates higher value for the business. It provides a clear view into where the model risks lie, who is accountable and what is being done to mitigate the risk. All of this is accomplished without the need for hardware or software installation, and without the need for dedicated personnel to administer the inventory.
AI Risk Management Framework
Explore the realm of Artificial Intelligence (AI) with our AI Risk Management Policy. This concise guide covers the spectrum of AI models, including supervised, unsupervised, and deep learning, and emphasizes making AI trustworthy based on the NIST AI Risk Management Framework.
Learn to assess and manage AI Risk, cultivate a culture of risk awareness, and utilize periodic testing with tools like ours. This policy is your essential toolkit for responsible and effective AI utilization in your organization.
