IIA Auditing Model Risk Management

Organizations across various sectors of the economy recognize the benefit of utilizing mathematical models to validate decisions. With large amounts of data coming from a myriad of dynamic sources, organizations need to develop models to review, evaluate, validate, and transform data with the purpose of optimizing strategic forecasting and tactical actions. This course from the Institute of Internal Auditors (IIA) provides an overview of model development, testing and validation, as well as practical applications of model risk management (MRM). It describes the important role of the three lines of defense in the MRM process and defines the internal audit function’s responsibilities related to MRM. Additionally, this course identifies methods and processes internal auditors can use to review the design, implementation, and operation of their organization’s MRM framework.