How to succeed in the role of chief risk officer (CRO)

Overview

New Chief Risk Officers (CROs) can succeed by adopting six key habits early in their tenure. These include establishing a clear risk strategy, optimizing the risk organization, and building strong relationships with the board and supervisors.

Key Insights

Establish a Clear Risk Strategy: Align the risk function's mission with the organization's strategy. Brian Leach emphasized shifting the mindset from advisers to decision-makers.
Optimize the Risk Organization: Shaun Dooley highlighted aligning risk teams with business lines and adjusting resources based on team maturity.
Build Relationships with the Board: Nigel Williams stressed the importance of transparency and trust with the board and executive team.

BFSI Relevance

Why Relevant: Effective risk management is crucial for financial stability and regulatory compliance.
Primary Sector: Banking
Subsectors: Corporate Banking, Risk Management
Actionable Implications: CROs should focus on aligning risk strategies with business goals, optimizing team structures, and fostering strong board relationships to enhance risk management effectiveness.