Risk management offers visibility from corporate epicentre, say UK practitioners

Risk management provides a great opportunity to see all parts of a business, learn how it works and get exposure to senior management, which all helps to accelerate careers, agree leading UK risk managers. Although many of those we spoke to either came into the role via the insurance industry or fell into it from other functions, none of them seem to regret the move, stressing they enjoy the varied and interesting job, where no two days are the same. Jordane Terrasse, head of group corporate sustainability risk management and risk transfer at the London Stock Exchange Group, said young talent should consider a career in risk management because they will then sit at the “epicentre” of any business. “In a risk function or role, you are exposed to all parts of the business and need to understand its intricacies. It is an excellent way to learn and become familiar with how businesses are run and the challenges they face, learn how to manage a multitude of different stakeholders, and how to provide creative solutions that build resilience,” she said. Terrasse said the risk manager role has “greatly changed” in recent years and is now more visible than ever as companies realise the function’s importance. This means risk managers can increasingly help assist in pursuing the right risk transfer strategy, by understanding the business needs, how the balance sheet operates, and what needs must be met in the future, she added. Fellow survey participant Richard Hoult, former head of risk and internal audit at Portakabin Ltd, said risk management makes a good career for young people because they generally see a lot more of a business compared to other roles. “They are likely to be exposed to very senior individuals, even in junior risk roles, which is great for learning and mentorship. It can accelerate your career and visibility around the organisation,” he continued. “Then if you decide that you want to move into something that is not core risk, you’ve had a good grounding. And finally, the role is varied. No two days are the same as the risk environment constantly moves,” added Hoult. Kate Loades, global insurance director at Arcadis, agreed. “The risk and insurance space has so much to offer for those coming into it, with opportunities to specialise and, of course, it helps to be inquisitive. So it gives you an opportunity to see all parts of the business and then branch off as and where you want to,” she said. Virgin Atlantic senior insurance manager James Straker-Nesbit said very few roles offer a better way of getting exposure to very senior management and having a “really significant” impact on a company’s direction of travel. And he stressed the importance of focusing on wider risk management rather than just insurance to make the most of this prominence. “When you talk about driving a car in the UK, you don’t ever mention the insurance company you use. But what you might do is tell someone about an amazing driving course you did and explain what they taught you on the course. That’s the risk management piece. I think that’s why focusing on the risk and risk mitigation is an easier way of getting people’s attention,” he said. George Ong, partner at IRIS (Innovative Risk and Insurance Solutions) Partnership, a not-for-profit organisation that supports students and professionals in the risk and insurance community, has been a risk manager for more than 30 years and thinks there has never been a better time to be in the profession. He said risk management has moved away from a purely governance and compliance function towards focusing on threats and opportunities to boost corporate resilience. He added that risk managers are no longer in a “cocoon”, trying to solve all the complex risks unique to their organisation themselves. “The fundamentals of risk and resilience management have come of age, thanks to the likes of Airmic, with all its research, publications, engagement with members and partner organisations, to help work in collaboration across all business sectors to provide leadership by highlighting key risks factors and case studies for supportive learning,” said Ong. Terrasse was one of those that came into risk management from a broking role, and has returned to the insurance sector at points in her career. But since moving to LSEG, she hasn’t looked back. Terrasse believes working on both sides of the risk transfer divide has helped her in the different roles. “Working as a broker helped me understand not only the challenges that risk managers face on a daily basis, but also the way the insurance market operates and how it could adapt and respond to the needs of risk managers. After five years as a risk manager, I returned to the insurance market as a client director on the insurance carrier side. My experience as a risk manager helped me proactively drive our client relationships as I had gained a deep appreciation of the hurdles faced by clients. This was invaluable. After five years, I decided to return to the client side as an in-house insurance risk manager at LSEG and I haven’t looked back! Understanding the risks faced by the various parts of the business so that I can support the company remains a constant education as the business evolves and grows,” she said. Loades also initially worked as a broker before swapping to risk management, and is pleased with her decision. “It wasn’t my chosen career path but I started with a broker in a ‘year out’ before I planned to go to university and enjoyed it, so studied while working. I quickly realised that I wanted to work on the client side, which I’ve done ever since and it’s been really fulfilling. You meet so many people and get to see so many aspects of your own business and, through the opportunities that Airmic provides, meet so many others as well,” she said. Hoult was persuaded by a divisional finance director at British Gas to move into a risk role, and establish a risk team. Despite initial reservations, the move has clearly paid off. “My colleague thought I’d be good at risk management due to my process-driven approach and problem-solving attitude. However, initially I didn’t want to do the role and it took a lot of persuasion for me to take it up. He was right. I thoroughly enjoy the role,” said Hoult.

Risk management offers visibility from corporate epicentre, say UK practitioners

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