IMPROVE ACCURACY AND RELIABILITY OF YOUR FINANCIAL MODELS

The requirement for proper model risk management can be a government mandate or driven by principles-based regulatory guidance, or perhaps there is no external regulatory oversight what so ever. Regardless, model risk management is smart business practice and you should be doing it whether the regulators require it or not. More and more of critical, day to day business decisions are based on models. If there is no governance of those models, you are tolerating an ever-increasing and unnecessary level of inherent risk.

The challenge is that effective model risk management takes resources. It needs people and their time to perform specific tasks and that costs money. In addition, there is a cultural dynamic in that the talented, innovative employee who is driving the use of models is typically reluctant to any type of governance and views risk management as a drag on their productivity.

The answer lies in the use of technology to automate many (not all) of the historically manual processes that were the mainstay of older model risk management practice. CIMCON’s technology can enable you to identify and track these risks, as well as implement the appropriate level of controls that align with your risk tolerance. The best practices of model risk management are well known, and CIMCON can’t help with all of them, but we can automate some helping to simultaneously reduce the cost and the risk.

Enabling more effective model risk management via:

  • Model inventory management tools that dramatically reduce the time required to maintain an accurate, up-to-date inventory

  • Tracking all critical models, regardless of the technology platform or the regulatory environment

  • Automating the collecting and reporting on self-assessed risk criteria
  • Delivering systematic diagnostic analytics for spreadsheet-based models

  • Providing error checking and remediation for spreadsheet-based models

  • Automating the production of objective evidence for use by Internal Audit and/or regulators

Model Inventory Management

With both an on-premises and a cloud-hosted offering, CIMCON provides a modern, cost-saving capability to know where your key models are stored and who is accountable for them

  1. Configurable Self-assessment Criteria

Many of the factors that determine criticality/materiality are unique to your organization. CIMCON provides a consistent, automated method to gather and report on this model risk data

  1. Automated Update Functionality

Putting together the initial list of models is easy, keeping that risk metadata current and up-to-date is the hard part. CIMCON automates the process of keeping all model risk information current.