Institutions must consider model implementation as a separate phase of the model life-cycle process, with its own set of principles.
3.4.2
The implementation of a model must be treated as a project with clear governance, planning, funding and timing. It must include comprehensive user acceptance testing with record keeping and associated documentation. Upon request, these records shall be made available to the CBUAE, other regulators and auditors to assess whether a particular model has been implemented successfully.
3.4.3
The system infrastructure supporting the ongoing usage of models must be carefully designed and assessed before the model implementation phase, to adequately address the needs of model usage. It must cope with the demand of the model sophistication and the volume of regular production.
3.4.4
After the model implementation, institutions must regularly assess the suitability of their system infrastructure for their current and future usage of models. This assessment must be made in light of (i) evolving model design and methodologies, (ii) rapid technology developments and (iii) growing volume of transactions to be processed.
3.4.5
Institutions should avoid spreadsheets for the implementation of large and complex models. Where this is unavoidable, and preferably on a temporary basis, institutions must implement rules and rigorous validation to mitigate the risks posed by spreadsheet tools which are highly susceptible to operational errors. Institutions must implement internal policies and guidelines for the development of spreadsheet tools used in production.