Credit Scoring Model Lifecycle

stateDiagram-v2
    [*] --> Development
    Development --> Validation: model owner submits the development documentation
    Validation --> Development: independent validation raises findings
    Validation --> Approved: model risk committee signs off
    Approved --> Shadow: score without acting for 60 days
    Shadow --> Production: PSI below 0.10 and gini within 2 points of development
    Shadow --> Development: shadow performance outside tolerance
    Production --> Monitoring
    Monitoring --> Production: monthly PSI below 0.10
    Monitoring --> Drifting: PSI 0.10 to 0.25 on any top-five feature
    Drifting --> Recalibration: score distribution shifted, rank ordering intact
    Drifting --> Redevelopment: PSI above 0.25 or gini drop above 5 points
    Recalibration --> Validation
    Redevelopment --> Development
    Production --> Retired: superseded by an approved successor
    Retired --> [*]