In June 2018, #AIRMIC published the Roads to Revolution report https://www.airmic.com/technical/library/roads-revolution
The aim of the report was to research how organisations can build dynamic approaches to risk and resilience in an era of #digital transformation.
The report findings were based on research completed by Cass Business School, City University of London https://www.cass.city.ac.uk/faculties-and-research/centres/digital-leadership-research-centre. The research studied a number of leading organisations that are actively pursuing digital transformation strategies.
Implications for Risk Professionals
The report is clear in its findings, that to take advantage of the new opportunities #risk professionals will require a shift in emphasis:
- Better alignment with business priorities
Risk Functions need to demonstrate strong business acumen and engage more intensely with the firms strategic ambitions and major investments https://www.linkedin.com/pulse/22-entrepreneurial-cro-aligning-enterprise-risk-business-munday/
- More flexible deployment of resources
The introduction of advanced analytical methodologies will free up capacity for more high value/high impact project-based (as opposed to routine) risk work https://www.linkedin.com/pulse/8-entrepreneurial-cro-creating-smaller-more-strategic-darren-munday/
- Greater dynamism in stakeholder engagement
A more creative lens with regard to emerging risks, will enable Risk Functions to engage with individual biases and institutional blindspots https://www.linkedin.com/pulse/9-entrepreneurial-cro-strategic-emerging-risks-darren-munday/
- How can risk professionals help firms achieve resilience and transformation simultaneously?
- What business enablers should risk professionals help their boards focus on?
- Are legacy governance structures fit for purpose in a digital world?
- When pursuing a digital transformation strategy, what trade-offs must be explicitly acknowledged?
These are tough questions. In future Blogs I will attempt to provide some practical solutions to these evolving challenges.
Reciproco provides knowledge integration across risk, solvency and strategy, including digital transformation, leading complex and unique projects in regulated sectors. Helping senior executives and management teams focus on strategic challenges to create a competitive advantage.
Darren Munday is the founder and Managing Director of Reciproco. An experienced executive with over 20 years’ global experience with multinational companies, including Chief Risk Officer reporting to the Board.
Darren is an Honorary Visiting Fellow of the Digital Leadership Research Centre, Cass Business School where he also holds an Executive MBA. Darren is a Certified Fellow of the Institute of Risk Management (CFIRM) and Chartered Insurance Risk Manager (ACII) of the Chartered Insurance Institute.
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