When credit grantors apply automated decisions to credit applications they resort to a variety of software solutions. In the beginning credit scoring formulas and policy rules used to be hardcoded in the bank core system. Today best practices in the retail banking industry point to the use of a decision engine with a graphical user interface to manage credit strategies.
These solutions put the risk user in control of every element that defines the credit policy of the bank. Enjoying such position is clearly beneficial for the risk user because changes to credit policies are implemented quickly without resorting to the help of a programmer. But relying on such sophisticated solutions brings about the danger of poor implementations if the risk user makes a mistake when maintaining the decision system. This danger has shifted from IT towards the risk department.
The new Decision Engine developed by IRB Modellica introduces a Quality Assurance Workbench that will make the risk user implement changes with confidence. Difference analysis, step-by-step processing and other leading edge features make IRB Modellica Decision Engine stand out in the decision systems crowd.
