RISK MODEL LIFECYCLE ON THE CLOUD
R&C: In your opinion, why has it become important to take an enterprise approach to managing the lifecycle of a risk model? What are the benefits of doing so?
Mancuso: Clearly, the ideal for all organisations is a fully integrated enterprise level model lifecycle, however the reality is that many firms are dealing with myriad challenges across technologies, methodologies and regulation. But these challenges should not deter the adoption of an enterprise model lifecycle blueprint. The backdrop to evolve the model lifecycle is one of an increasing number of models that need to be managed and a further expansion in types of models and model sophistication. In addition, it is important to consider the ability and agility of a firm’s model lifecycle to respond to rapidly changing market conditions. The journey is one of identifying step improvements starting with integration of model lifecycle systems and processes that offer opportunities for efficiency. These improvements should be viewed not just in terms of utilisation and managing resource costs, but also to deliver more accurate and timely decisions. But those better decisions also open positive opportunities to define and discover new markets – either untapped customer bases, new ways to reach customers, better products, or better up sell.
Jan-Mar 2021 Issue
SAS Institute