Risk management is considered to be one of the major emerging careers in today’s world. The risk management portfolio has been there for many decades, but the relevance was much identified in recent years. The reason for a sudden surge in this field was majorly due to the global pandemic which affected every sector and resulted in the shutting down of companies and cutting down of employee numbers.
When this happened, naturally it fell in the hands of the risk managers to find a solution to the organization’s problems. This has led to the tremendous growth of risk management professionals which is not an easy field to jump into.
The risk management profession is understanding the ins and outs of a company, primarily dealing with the criticalities in the business sectors and understanding and interpreting the happenings the right way.
A risk manager plays a crucial role in the organization and that is the reason why he is placed at the top level in many companies. A risk manager can seek help from Cyber risk professionals, Security directors, Threat intelligence specialists, etc. in part, by quantifying the outcomes and communicating to the strategic decision makers of the company. The scope of the risk management profession emerged almost two decades back only out of the need for an all-rounder who takes care of companywide authority and responsibility.
The Risk Manager holds a number of responsibilities in an organization starting from the development and communication of risk policies, checking the safety rules of the company, developing the risk models for Marketing, HR, Credit, Operational, etc., overseeing risk assessments to review the contracts received in an organization before accepting it.
For securing a good position in the risk management portfolio you need to have a bachelor’s degree in finance, accounts, or any other related field with a minimum of two years of experience in the same field. If you have an additional certification like Certified Fraud Examiner (CFE), Certified Risk Analyst (CRA), Certification in Risk Management Assurance (CRMA), Financial Risk Manager (FRM), Professional Risk Manager (PRM), or Certified in Risk and Information Systems Control (CRISC) it will be an additional benefit.
The qualifications and skills needed vary with the requirement of the employer. Other than the
qualifications and experience, employers look for professionals who have the capability of problem-solving, negotiation, diplomacy, analytical skills, skill to work under pressure, financial knowledge, relationship-building skills, adaptability, etc.
Major sectors where one finds opportunity are Oil and Gas, Finance, Memory institutions like archives or museums, Construction, Medical Equipment, Medicines, Insurance, etc.
For industries, risk can appear in different ways. Market fluctuations, natural disasters, political reasons, sudden fall in raw materials, HR issues, etc. These risks, if affected, may result in the loss of customers, employees, infrastructure, investment, materials, and similar building blocks of a business or industry. The role of a Risk Manager is considered vital if s/he is capable to reduce or control these risks to protect the wealth and health of the industry.
She writer Manju Malathy is an Assistant Professor with 12 years of experience in higher education and is a Passionate trainer, Provisional Zone Trainer Junior Chamber International India Zone 20, and social activist.