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Why the Real Model Risk Problem is Everywhere Now
Model risk is no longer confined to specialist teams, it is now embedded across the entire organization. Briony Pentecost explains how AI and advanced analytics have blurred traditional definitions of models, requiring a shift toward enterprise-wide governance. The article highlights the need for interdisciplinary collaboration and flexible frameworks that focus on risk impact rather than classification. As AI adoption spreads, managing model risk becomes a shared responsibility across all functions.
Apr 24, 2026
Briony Pentecost
Briony Pentecost, Model Risk Manager, Banner Bank
Tags: Resilience Model risk Operational and Non Financial Risk
Why the Real Model Risk Problem is Everywhere Now
The views and opinions expressed in this content are those of the thought leader as an individual and are not attributed to CeFPro or any other organization
  •   Model risk is now enterprise-wide
  •   Definitions of models are evolving
  •   AI increases governance complexity
  •   Collaboration across functions is essential
  •   Focus shifts from classification to risk impact
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