Figure 1.
This figure shows a framework for model governance principles. It consists of three concentric circles. The second and third circles are separated into thirds by lines that extend from the center circle, which is labeled Model. The second circle has three areas: clockwise from 11:00, they are Controls, Validation, and Oversight. The third circle also has three areas, each of which has multiple items: clockwise from 11:00, aligning with Controls, they are Security Controls, Change Control, Data Integrity, and Model Documentation. Aligning with Validation are Outcome Analysis, Developmental Evidence, and Process Verification. Aligning with Oversight are Roles and Responsibilities, Policies, and Model Inventories. Outside the circles are four labels: at the upper left is Board and Senior Management; at the upper right is Line of Business Management; at the bottom right is Model Validation Resources; at the bottom left is Internal Audit.