Page 35 - Risk Management Bulletin April-June 2022

RMAI BULLETIN APRIL - JUNE 2022

Y Risk functions need to move beyond the formal step will entail revising short-term performance
views of administration, control, and governance, and corporate resilience strategies to enable
as well as the formal processes for risk longer-term profitable growth. Consciously invest
assessment. Find a way to replace these in the resilience dimensions, with strategic options
structures, integrating their constituent activities and big bets, when needed, to strengthen the
into strategy. Like strategy, risk and resilience strategies. Develop action plans for alternative
management requires a strong business and futures.
market perspective, a risk mindset, and
interdisciplinary thinking. For risk professionals, Y Build first-line capabilities in resilience; build
this is a call to come out of the ivory towers and personal resilience and resilience within teams.
into the marketplace. These efforts also better integrate people into the
transition.
Y Identify the organization’s natural strengths and
Achilles’ heels. Test strategy and underlying Y Create an early-warning system that truly
assumptions against different scenarios—for monitors internal and external risks. The board
example, by deploying qualitative and quantitative should be involved, but crowdsourcing can be
scenario analyses. used judiciously, for a more secure view on the

Y Define a portfolio of resilience investments. This risks the organization is facing.

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