article thumbnail

What is Model Risk and Why Does it Matter?

DataRobot Blog

In 2011, the Federal Reserve Board (FRB) and the Office of Comptroller of the Currency (OCC) issued a joint regulation specifically targeting Model Risk Management (respectively, SR 11-7 and OCC Bulletin 2011-12 ). The regulators have provided a universal definition that has been adopted across the financial industry.

Risk 111
article thumbnail

What Are the Most Important Steps to Protect Your Organization’s Data?

Smart Data Collective

Based on figures from Statista , the volume of data breaches increased from 2005 to 2008, then dropped in 2009 and rose again in 2010 until it dropped again in 2011. One of the best solutions for data protection is advanced automated penetration testing. The instances of data breaches in the United States are rather interesting.

Testing 122
Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Automating Model Risk Compliance: Model Validation

DataRobot Blog

When the FRB’s guidance was first introduced in 2011, modelers often employed traditional regression -based models for their business needs. This may be accomplished through a wide variety of tests, to develop a deeper introspection into how the model behaves. Conclusion.

Risk 52
article thumbnail

Diversity for Businesses: What happens if Diversity is at odds with the organization?

Jen Stirrup

For the leaders, the simplest option can simply be doing nothing, but let someone run around burning themselves out so that eventually it becomes a test of patience and stamina, rather than a test of what is right and wrong. Office for National Statistics (2015) Gender Pay Gap. The Diversity Management Perspective.

article thumbnail

The Lean Analytics Cycle: Metrics > Hypothesis > Experiment > Act

Occam's Razor

Sometimes, we escape the clutches of this sub optimal existence and do pick good metrics or engage in simple A/B testing. Testing out a new feature. Identify, hypothesize, test, react. But at the same time, they had to have a real test of an actual feature. You don’t need a beautiful beast to go out and test.

Metrics 156
article thumbnail

Six Nudges: Creating A Sense Of Urgency For Higher Conversion Rates!

Occam's Razor

I mean developing and inserting a subtle collection of gentle nudges that can help increase the conversion rate by a statistically significant amount. Checkout the Kimbao Sauvignon Blanc you can see sales and would buy it again rates since 2011. Such is the case with A/B testing. I don’t mean: BUY IT NOW OR ELSE! Add to Basket!

Strategy 124
article thumbnail

Estimating causal effects using geo experiments

The Unofficial Google Data Science Blog

Similarly, we could test the effectiveness of a search ad compared to showing only organic search results. Structure of a geo experiment A typical geo experiment consists of two distinct time periods: pretest and test. After the test period finishes, the campaigns in the treatment group are reset to their original configurations.