How Banca Intesa Sanpaolo is Transforming Model Risk Management with AI and Digitalization

As banks adopt AI and machine learning across business functions, model risk management must evolve in parallel. Rita Gnutti highlights how Banca Intesa Sanpaolo has seen its model inventory more than double in just a few years, with many of these new models powered by AI. This growth has outpaced the capacity of internal validation teams, prompting the need for smarter, more scalable solutions.

Gnutti explains how they’ve transformed their approach by integrating AI-specific risk indicators, adjusting tiering methodologies, and building more nuanced validation frameworks that reflect the distinct characteristics of AI models—such as fairness, explainability, and hyperparameter complexity.