{"revision":"c10276e953456835cdbb1f3a60d58ae1980be353","document":{"id":18223,"path":"governance-risk-compliance/review-and-manage-model.md","title":"Initiate a model risk assessment","bundle":null,"doc_type":null,"release":"australia","body":"\n# Initiate a model risk assessment\n\nInitiate a model risk assessment by verifying the details, assigning stakeholders, and create an assessment using the Model Risk Management application.\n\n## Before you begin\n\nRole required: sn\\_model\\_risk\\_mgmt.model\\_governance or sn\\_model\\_risk\\_mgmt.risk\\_coordinator\n\n## Procedure\n\n1. Navigate to **All** > **Model Risk Workspace**.\n\n2. Select the list icon \\[Omitted image \"list-icon-mrm.png\"\\] Alt text:.\n\n3. From the list, navigate to **Models** > **Initiation**.\n\n4. Select the model.\n\n5. On the Details card, review and modify the field values copied from the model intake form.\n\n\n
\n\nField\n\n\n\nDescription\n\n
\n\nName\n\n\n\nUnique name of the model that reflects its purpose and functionality. The field value is auto-populated from the model intake form entry. You can edit the name as required.\n\n
\n\nDescription\n\n\n\nBrief summary explaining what the model does and how it functions. The field value is auto-populated from the model intake form entry. You can edit the description as required.\n\n
\n\nPurpose\n\n\n\nSpecific business objective or problem that the model is designed to address. The field value is auto-populated from the model intake form entry. You can edit the purpose as required.\n\n
\n\nActive\n\n\n\nOption to indicate whether the model is in use.\n\n
\n\nModel classification\n\n\n\nIdentification of whether the item qualifies as a model or not. The options are as follows:- Model: Meets the criteria to be treated as a model.\n- Non Model: Doesn’t meet the criteria for classification as a model.\n\n\n
\n\nModel type\n\n\n\nClassification of the model, such as statistical, machine learning, or rule-based. The options are as follows:- Statistical Model\n- AI Model\n\n\n
\n\nThird party model\n\n\n\nOption to indicate whether the model has been obtained from an external vendor or service provider.\n\n
\n\nModel category\n\n\n\nInternal classification based on the model’s use case. The options are as follows:- **Retail**: Models designed for individual customer products or services, such as personal loans, credit cards, or consumer risk assessment.\n- **Corporate**: Models used for business or institutional clients, typically involving larger exposures or complex financial products.\n\n\n
\n\nModel complexity\n\n\n\nEstimated level of model complexity. The options are as follows:- Simple\n- Moderate\n- Complex\n\n\n
\n\nInput data\n\n\n\nDetails about the data sources or datasets the model uses.\n\n
\n\nOutput data\n\n\n\nThe result or prediction generated by the model based on input data. For example, Value at Risk \\(VaR\\) or projected cash flows.\n\n
\n\nAttachments\n\n\n\nOption to attach any supporting files or documents.\n\n
6. To save the information entered in Details card, select the **Save** button next to the **Mark as complete** button.\n\n7. Select **Mark as complete**.\n\n The Stakeholders stage in the Model Workflow playbook opens.\n\n8. Select **Edit** to define the Persona, Group, and Users.\n\n **Note:** The **Users** field is auto-populated with the model owner and model developer defined in the model intake form. A user with the Model Risk Governance or Model Risk Coordinator roles can edit stakeholders at any point in the workflow.\n\n9. Select **Mark as complete** to move to the Assessment stage.\n\n **Note:** If you update the model owner in the stakeholder list, the model record continues to display the name of the user who submitted the model request as Owner. However, all ongoing activities are assigned to the new model owner selected in the stakeholder list.\n\n10. Select **Create assessment**.\n\n11. On the Model Risk Assessment dialog, fill in the fields.\n\n |Field|Description|\n |-----|-----------|\n |Assessment template|Predefined template that outlines the structure, questions, and scoring logic for the assessment. This field is auto-populated with the default assessment template.|\n |Assessment assignee|Individual assigned to complete the assessment task. This field is auto-populated with the model owner name.|\n |Due date|Date by which the assessment task must be completed.|\n\n12. Select **Create**.\n\n \\[Omitted image \"model-risk-task.png\"\\] Alt text: This image shows the model risk task in the Model Risk record.\n\n A model risk task is created and assigned to the model owner.\n\n\n## What to do next\n\n[Perform model risk assessment](https://raw.githubusercontent.com/ServiceNow/ServiceNowDocs/australia/markdown/australia/governance-risk-compliance/perform-model-risk-assessment.md)\n\n**Parent Topic:**[Using Model Risk Management](https://raw.githubusercontent.com/ServiceNow/ServiceNowDocs/australia/markdown/australia/governance-risk-compliance/using-mrm.md)\n\n"}}