Absa Bank has deployed a new credit risk management platform from SAS, replacing an older framework that relied on manual scripts and separate processes.
The new platform, built on SAS Viya, is hosted on Amazon Web Services.
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According to the tech vendor, the system has shortened the bank’s reporting cycles by 80% to 90%, reducing turnaround times from weeks to hours.
It has also cut the time needed to introduce new models by half, it added.
Absa uses more than 500 credit risk models in its retail business. It said slower monitoring and updating of those models could affect capital reserves, loss projections and compliance requirements.
According to SAS, its technology automates model monitoring reports and brings new frameworks into operation in under six months.
SAS risk, fraud and compliance solutions senior vice president Stu Bradley said: “Absa’s adoption of SAS Viya on AWS has transformed model risk management from a back-office function into a forward-looking strategic advantage.
“The focus on governance is helping streamline AI innovation, and this evolution enables faster, more reliable credit decisions, improves loss predictability and strengthens regulatory compliance for Absa.”
SAS said employees who were previously occupied with manual tasks have been moved to other work.
It further noted that computing capacity can now be adjusted according to demand rather than maintained at fixed levels.
To support the change, Absa created a centre of excellence and worked with SAS to redevelop its framework.
The system includes common reports and dashboards across models, automated processes intended to lower manual intervention and error, and real-time information for business and regulatory users.
Besides, the “Insights” function in SAS Viya provides recommendations for further optimisation.
Absa modelling data scientist Dewald Fourie said: “Model monitoring is a vital part of our model governance.
“Previously, analysts spent up to four weeks generating a single report. Now, with SAS Viya on AWS, we’ve automated the process and shifted our focus to strategic analysis and innovation.”
