Model Risk Management (MRM) Solutions
Reduce model risk and improve decision-making with industry-leading model risk management solutions for model discovery, validation, monitoring, reporting, and more.
What is Model Risk? (And Why Should You Care?)
When an organization uses a model, the term ‘model risk’ simply refers to the potential losses it may incur due to errors in development or use of the model in question.
And why should you care about monitoring model risk?
Models — whether based on economic theories, statistical calculations, or predictive analytics — often rely on assumptions that can be flawed or incomplete, or become so over time (“model drift”). Factor in risks tied to inaccurate data inputs, human error, and technical or programming issues, and that risk can get costly (especially at scale) in terms of operational losses, regulatory fines, and repetitional damage.
New MRM Rules Are Reshaping Risk Strategy - Are You Controlling Your Tools and DQMs?
Financial institutions have come under increasing scrutiny from regulatory bodies about their use of models.
The UK’s SS1/23 from the Bank of England’s PRA, OSFI Canada’s E23, and the OCC’s renewed focus on model risk management (Comptrollers Handbook – Model Risk Management) — all are emphasizing the critical need for board-level oversight and the establishment of robust model risk frameworks.
They are also expecting firms to look at the wider ecosystem that models reply on for data — these Tools or DQMs (Deterministic Quantitative Methods as defined by the PRA) are integral to the Models they support, and as such, the Regulators expect them to have similar, but appropriate, controls in place. As a minimum, firms should:
- Have a centralized inventory
- Ensure they are risk ranked
- Keep the appropriate controls in place
Discover What Our Clients Have to Say about Mitratech's MRM
“[Mitratech MRM Solution]: the only conceivable way that we can comply and mitigate spreadsheet risk.”
“ We identified the questions we wanted to ask users to ensure compliance with the rule and used the solution to create a template that works more efficiently for the business.”
“Mitratech is a key pillar to the development of our consulting. They are committed to understanding our challenges and those of our customers, working together to leverage our strengths to our client’s advantage.”
Take the Guesswork Out of Model Risk
We’ll show you how to streamline processes, reduce errors, and stay compliant — all in one demo.
Schedule Your DemoModel Risk Management Frameworks
As reliance on models (particularly AI-driven ones) accelerates, businesses must ensure that they:
- Have a complete inventory of models
- Adopt stringent safeguards to ensure accuracy and compliance
Neglecting these controls isn’t just a technical oversight — it’s a strategic and regulatory risk.
With a strong model risk framework in place, institutions can vastly improve the efficiency and governance of their models, helping to avoid errors, losses, and reputational harm. But, how are businesses ensuring their risk management processes are up to the test?
Manual Processes Are No Longer Enough for Model Governance
Model environments often span multiple platforms—SAS, Python, R, and even Excel—creating value but also significant challenges in sustaining informal, decentralized systems.
Manual Model Risk Management adds pressure on staff to ensure accuracy, track changes, generate reports, and meet growing transparency demands from management and regulators. With constrained resources, teams struggle to maintain models, mitigate risk, and meet heightened regulatory requirements efficiently.
Managing Model Risk Doesn’t Have to Be Complex
Explore a smarter, simpler solution.
Schedule Your DemoBuild a Central Inventory of Models, Tools, & Calculators
Easily identify, analyze, and manage all your models, tools, and calculators through a centralized, enterprise-wide inventory.
Our platform offers a highly configurable interface, robust document storage, and advanced data connection mapping features, enabling rapid deployment of a model risk management solution—no custom development required.
Document & track models throughout their lifecycle
Build an automated model risk management workflow and task management process utilizing our proactive monitoring and alerting capabilities.
Quickly define attributes, workflows, reports, screen layouts, risk profiling, risk checks, data flows and lineage. Capture the structure and complexity of your models, tools and calculators.
Gain confidence with role-based security & full audit trails
Get a complete audit trail of updates and interactions with your model risk management framework, allowing you to understand your model risk. Define roles and access to the platform giving you full role-based security management, delivering increased transparency with an enterprise-wide view.
Lighten the Pressures and Cut Your Costs
Model applications are often managed manually, placing significant pressure on teams to verify accuracy, manage change documentation, generate reports, and meet regulatory transparency requirements—often within tight budgets and timelines.
Mitratech’s Model Risk Management (MRM) solution automates model governance, helping mitigate risk, ensure compliance, and deliver unmatched efficiency and precision—far beyond the capabilities of manual processes.
The Mitratech Difference – What Sets Mitratech’s Solution Apart in Model Risk Governance?
Fast Implementation
Leverage ready-to-deploy templates to implement your model risk solution quickly. Be ready in weeks, not months.
Discover Enterprise-Wide Model Risk Management
The Mitratech Model Risk Management Platform is a uniquely comprehensive solution for managing model risk by helping your modeling team better understand the capabilities and limitations of models. This lets you use models more effectively with problems and inefficiencies spotted earlier and more easily, thus improving your business-critical models.
Sophisticated, automated risk management models not only satisfy regulators but also streamline workflow and are more cost-effective, thanks to time savings and reduced financial losses. Plus, they allow better business judgments to be made through increased model transparency.
Effective Model Risk Management in a New Age (A white paper with Chartis Research)
Read the White PaperFrequently Asked Questions (FAQs)
What is Model Risk Management, and why is it important?
Model Risk Management (MRM) is the process of identifying, assessing, and mitigating risks associated with the use of models within an organization. This includes ensuring models are accurate, compliant, and transparent. Effective MRM helps prevent financial, operational, and regulatory risks arising from model errors or misuse, ensuring models deliver reliable results and maintain business integrity.
What are the key benefits of automating model risk assessments?
Automating model risk assessments leads to several key benefits:
- Improved Efficiency: Reduces manual effort and accelerates the assessment process.
- Consistency: Ensures assessments are thorough and standardized across the organization.
- Transparency: Automatically documents processes and results, making it easier to demonstrate compliance.
- Reduced Risk: Minimizes human error and provides more timely insights into potential model failures.
How do you ensure compliance with regulatory standards in model risk management?
Our platform is designed to align with key regulatory frameworks, ensuring that all model risk assessments, validations, and documentation comply with industry standards and regulatory requirements. Automated compliance checks, integration with popular control frameworks, and built-in audit trails make it easier for organizations to demonstrate adherence to regulatory guidelines and mitigate potential risks.
How can your solution help streamline my model risk management processes?
Our solution simplifies and automates the model risk management process by providing tools to centralize model assessments, enhance documentation, and ensure compliance with industry standards. With ready-to-deploy templates, no-code configuration, and automated reporting, we reduce the need for manual intervention, saving time and resources while ensuring greater accuracy and transparency.
What types of models can be managed through your platform?
Our platform supports a wide range of models, including predictive models, statistical models, machine learning models, financial models, and risk management models. Whether you are managing models in SAS, Python, R, or Excel, our solution can centralize, assess, and manage them all, regardless of the platform or complexity.
©2025 Mitratech, Inc. All rights reserved.
©2025 Mitratech, Inc. All rights reserved.