You're considering a career in Risk Management. How can you ensure success?

Risk Management certainly it's not a one-size-fits all suit, since not even every enterprise is the same within the same industry. Certainly, it should be more like a fine tailor-made suit. I mean, all suits should have sleeves, trousers and probably buttons, but not of same size, length, fabric, colour and pattern. Just like that, Risk Management is governed from the same basic principles (identification, appetite, assessment, management, monitoring, reporting, etc) but the means by which each one those principles are applied should be definitely unique, so as they can be meaningful, become able to achieve their purpose and bring true value to an organisation.

Understanding the underlying business is critical to being an effective risk manager. It is difficult to identify, assess, measure, manage, and mitigate risk, and play the effective challenge role, without a solid understanding of the mechanics and environment of the subject matter.

Gain relevant education and certifications: Obtain a degree in a related field such as finance, business administration, or risk management. Consider pursuing certifications such as the Certified Risk Manager (CRM), Financial Risk Manager (FRM), or Chartered Enterprise Risk Analyst (CERA) to enhance your credentials and demonstrate expertise in the field.Develop technical skills: Acquire technical skills relevant to risk management, including proficiency in statistical analysis, financial modeling, and risk assessment methodologies. Stay abreast of industry trends and emerging technologies that impact risk management practices.

If you are considering a career in risk management and have not graduated from university, it will be good to apply for risk internships at a commodity house or an investment bank. Nothing beats trying it out yourself. This will also allow you to speak to risk managers and find out what skills you need and importantly decide if it is a route you want to take. If you are an early career or even mid career professional and want to do risk, just apply for it! You may take courses like the FRM (Financial Risk Manager) or a degree program in risk but you will still need to need to apply, network and speak to people to make a successful career foray into risk management.

Familiarize yourself with fundamental concepts such as risk identification, assessment,mitigation & monitoring. Learn about different types of risks, including financial,operational, strategic, and compliance risks.You can study industry standard frameworks like COSO (Committee of Sponsoring Organizations of the Treadway Commission) to gain a comprehensive understanding of risk management principles & best practices. Attend workshops,seminars, or online courses on risk management fundamentals. Participate in case studies or simulations to practice application of concepts. Seek mentorship from experienced risk management professionals who can provide guidance & insights based on their practical experience in the field.

Learn from every source and every day. And maybe even more importantly, learn how to learn. How you will filter and think what is truly useful for the organisation, what will help you achieve your goals and support the desirable growth. Information is coming nowadays from everywhere. Academic courses, books, certifications, seminars, conferences, networking, advisors, consultants, colleagues, internet blogs, posts, editorials, you name it. For me, the key is to be wide-open to receive but very selective to filter and always curious to experiment and apply.

To excel in a career in Risk Management, learning from seasoned professionals is key. Seek mentorship, attend industry events, and pursue ongoing education to gain insights, stay updated, and develop essential skills. Adopting a proactive mindset and embracing continuous learning will help navigate the challenges of the field successfully.

To ensure success in risk management, it's crucial to stay informed about the latest technological advancements and industry trends including updated regulatory norms. This involves continuous learning, attending industry conferences, participating in relevant webinars, and engaging with professional networks. Additionally, adaptability and a proactive approach to risk prediction and mitigation are key. Keeping abreast of regulatory changes and understanding their implications on your organisation and in industry will also play a critical role in your success.

To ensure success in a career in risk management, it's essential to pursue relevant education and certifications, build analytical skills, stay informed about industry trends, develop strong communication abilities, cultivate critical thinking and problem-solving skills, gain practical experience, network within the industry, and embrace continuous learning. By following these strategies, you can position yourself for a fulfilling and impactful career in risk management.

Acting in risk management means protecting the organization's reputation, encouraging a culture of doing the right thing, increasing the risk perception of stakeholders, providing paths for identifying, monitoring and reporting risks, reducing fines and sanctions for organizations, generating sustainable results, attract investors, comply with laws and regulations, etc. Certifications, projects, trends are certainly part of the journey. I recommend that professionals always focus on ethics, integrity, respect and professionalism. Seek an attitude that balances a strategic vision of business, people, and risks, not only pointing out problems, but providing mitigation alternatives that help in decision making.