How to Know Your Risk Management Director Isn’t Cutting It

risk mgmt blog

Here is a frightening thought – your risk management director might actually be putting you at risk. If this individual isn’t doing his job, your company could be taking on unacceptable amounts of risk without even realizing it. Conversely, you could be missing out on opportunities if they don’t spend the time to identify risks worth taking. In either instance, your company is weaker because the wrong person is making major decisions. If you suspect that your risk management director might not be cutting it, look for these signs:

  • Taking Bad Risks – If you have repeatedly been burned because of big gambles and wild risk taking, the person in charge is clearly not doing his due diligence. His entire job is to help your company avoid this kind of reckless behavior.
  • Focusing Too Narrowly – Risk management can only really be effective when it’s conducted enterprise wide. If you still conduct risk assessment in silos, you clearly lack the leadership necessary to integrate everyone and everything under one risk-management umbrella.
  • Lacking Creativity – Not all risks are easy to measure. But that doesn’t mean they can’t be managed. If you frequently hear from your risk management director there was simply not enough data, it a shows a lack of creativity and an unwillingness to go a step or two beyond the norm.
  • Failing to Work with Others – Risk management is crucial, but it’s just one step in your overall performance management strategy. If your risk management efforts haven’t been effectively integrated with strategy setting and performance management, it suggests your director can’t or won’t work well with others.
  • Ignoring Cultural Factors – Your company’s culture has a huge impact on the way it approaches risk management. It’s your director’s job to understand this and adapt accordingly. If the culture and the approach to risk seem to be out of step, look at the director first.
  • Dragging Feet – Risk management is a timely process. If your company has been hurt because it acted too slowly, it should raise red flags about the person in the director position. It’s this person’s job to understand that time is of the essence.
  • Missing Communications – Your risk management director must stay in constant communication with attorneys, insurance companies, individuals and more. If this communication starts to break down or take too long, it’s a serious professional lapse.

If it’s time to find a new risk management director, find a good one fast by working with Artemis Consultants.Artemis_CTA_RequestTalent

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