Читать книгу Intelligent Credit Scoring - Siddiqi Naeem - Страница 12

When the appropriate participants have been selected to develop a scorecard, it is helpful to review the main stages of the scorecard development and implementation process, and to be sure that you understand the tasks associated with each stage. The following list describes the main stages and tasks. Detailed descriptions of each stage are in the chapters that follow. The following table also summarizes the output of each stage, whether signoff is recommended, and which team members should sign off. Note that while the chapter recommends getting advice from those in the marketing or product management areas, they are not involved in any signoff. The abbreviations used in the Participants columns are:

MD: Model development, usually represented by the head of the model development team.

RM: Risk management, usually the portfolio risk/policy manager or end user on the business side.

MV: Model validation or vetting, usually those responsible for overseeing the process.

IT: Information technology or equivalent function responsible for implementing the models.

The following stages are for post-development work for strategy development, and are usually handled by the business risk management function.

STAGE 6. SCORECARD IMPLEMENTATION

● Scoring strategy

● Setting cutoffs

● Policy rules

● Override policy

STAGE 7. POST-IMPLEMENTATION

● Scorecard and portfolio monitoring reports

● Scorecard management reports

● Portfolio performance reports

The preceding stages are not exhaustive – they represent the major stages where key output is produced, discussed, and signed off. The signoff process, which encourages teamwork and identifying problems early, will be discussed in the next chapter. Involvement by the Model Vetting/Validation unit is dependent on the model audit policies of each individual bank as well as expectations from regulators.