How can you effectively communicate complex risk analysis findings to non-technical stakeholders?

Know your audience! This is the bedrock of effective customer engagement, especially for fintech companies. If your audience doesn’t understand technical terms, then about it. Focus more on leaving a good impression and communicating what’s essential, and this will easily help you retain your clients.

In finance and tech, understanding and managing risk is crucial. But explaining detailed risk analysis to people who aren't experts can be tough. How do we make it easier? First, keep it clear. Use simple language, not complicated terms. Explain what the numbers mean in real life terms. Second, make it relevant. Show how the risks could affect the company's goals. Talk about how they might impact everyday operations. Lastly, encourage questions. Make it a conversation, not a lecture. Let them ask about anything they don't understand. By focusing on clarity, relevance, and open communication, we can help everyone understand risk analysis better. This teamwork leads to smarter decisions and better outcomes for the company.

Much life age old banking KYC norms - it’s pivotal( like human’s need to breathe) to understand client needs, not limited to past experience and financial understanding before presenting any financial improvement model or suggestions. Its advisable to present financial models in extremely simplified terms and net revenue growth impact( What’s in for client) Once buy-in is created- at each step .. objective remains to enhance clients financial knowledge & understanding.

Non-technical stakeholders might not understand detailed financial models or statistical probabilities, so simplifying your message is key. Start by identifying what aspects of the analysis are crucial for their decision-making. Emphasize the practical implications of the risks rather than the technical specifics. Use straightforward language and connect the findings to their specific roles or business objectives. This makes the information more relevant and easier to grasp, ultimately leading to better understanding and engagement.

To know your audience, is to know what they can comprehend and what they can't comprehend easily. So it's vital that you communicate your complex strategies or technical reports in a way that is tailored to suit the audience you are working with.

The ultimate goal of communication, is to have an understanding at the end, so if you really want to communicate to non-technical stakeholders, then you must tailor everything to suit their level of comprehension. They are equally deserving of knowing all your findings and complex strategies, you intend to implement, so be sure to approach the conversation as a professional who takes delight in educating every stakeholder in the most comprehensive way possible.

This is a good opportunity to test if we know are stakeholders. Every stakeholder is different and we all process information differently. It’s imperative to bespoke the message accordingly and in closer alignment with stakeholders’ priorities. For example: revenue growth or new business is likely a key priority. I have found it impactful to discuss risks and findings in an open and timely manner in closer alignment with stakeholders’ strategic priorities. This is well received and a collaborative approach. Recommendations that address the risks/findings, and demonstrate value add to the framework will facilitate responsible growth and help earn stakeholders’ trust, build credibility and gain their confidence in the proposed solutions.

Complex concepts can be daunting, so it's crucial to break them down into more digestible pieces. Use everyday language and relatable examples to explain technical terms. Analogies can be particularly helpful, as they provide a familiar reference point. For instance, likening a risk to the probability of encountering traffic during a commute can make the concept of likelihood more relatable. The aim is to bridge the gap between technical complexity and everyday understanding, making it easier for stakeholders to grasp the significance of the findings.

Visual aids are probably the best tool to highlight changes required in complex processes, understand downstream impacts, and to make clear the "where, why and how" of changes to risk systems. Flow diagrams, infographics, and customer journeys are crucial, in conjunction with technical specs, to fully and clearly explaining analysis to non-techy's

Visual aids can be a powerful tool in conveying complex risk analysis findings. Charts, graphs, and infographics can illustrate trends, comparisons, and relationships in the data that might be lost in translation if only conveyed verbally or through text. When designing these visuals, ensure they are clear, uncluttered, and highlight the most important data points. Color coding or using symbols can help emphasize key information. Visuals should serve as a complement to your narrative, making the abstract more concrete and the complex more comprehensible for non-technical stakeholders.

Yes, pictorial depiction or even audio videos aids are helpful to convey information. But the key is to make the message resonate with the stakeholders. Context such as recent developments in the industry and regulatory focus (without being perceived as scaremongering) can assist in outlining the severity and impact of the risks and findings. In one particular instance we chose to not colour code FCC Assurance reports as Red, Amber and Green yet retain the ratings as unsatisfactory, needs improvement and satisfactory. While it was a tough pill to swallow at the time from a methodology perspective, we were able to deliver impact by adapting to navigate complexities. Thanks to my manager at the time for their suggestion and foresight.

Visual aids are invaluable in making complex data more accessible. They can distill large amounts of information into easily understood formats. When creating visual aids like charts, graphs, and infographics, clarity is paramount. Choose visuals that best represent the data's key points, using color coding and symbols to emphasize important information. Ensure that each visual is self-explanatory and reinforces the main message, providing a visual narrative that complements the spoken or written explanation. This approach helps in highlighting trends and correlations that might otherwise be overlooked.

A story telling approach is a great way to carry everyone along, it drives the interest of your audience and gives them a sense of belonging. It generally makes them adjust and feel comfortable with everything you're putting out, because they are following with everything. But it's also important to not make the story too catchy that it drives people away from the main line of thought.

A couple of ways that help bridge the gap: - use analogies from your audience’s frame of reference. Or even better, get them to the point where they can draw the parallels for them, “oh yeah, it’s like…” - Use a unit of measurement that speaks to the audience. Percentages are scalable but not intuitive. Dollars are much more intuitive. “You could lose 5%” vs “you could lose $5M”… the second is way more intuitive.

Anecdotes and precedents do assist in delivering the message and help demonstrate preparedness. But consulting for solutions and desired outcome for the stakeholders is a collaborative approach in solving problems. This demonstrates that recommendations to address the risks/ findings are in favour of mutual interest , stakeholders’ priorities and recommendations to assess risks/findings.

Storytelling is a powerful tool in conveying complex information. By framing the risk analysis within a narrative structure, you can create a more engaging and memorable presentation. Start with the context and objectives, then move through the analysis process, and conclude with the implications and recommendations. This narrative should be tailored to resonate with the audience's experiences and concerns, making the data not just understandable but also meaningful. A well-crafted story helps stakeholders see the analysis in a broader context, emphasizing the relevance and urgency of the findings.

Nontechnical stakeholders are primarily interested in the outcomes of the analysis rather than the technical details. Focus on what the findings mean for the organization, such as potential financial impacts, operational risks, or strategic opportunities. Clearly outline the possible scenarios and recommended actions, emphasizing how these align with the stakeholders' goals and concerns. This outcome-centric approach ensures that the discussion remains relevant and focused, providing stakeholders with the actionable insights they need to make informed decisions.

Generally, your findings are all supposed to give insights into what kind of impact it can make on the business, so don't just bore people with data and graphs, explain clearly what all that information means for the business.

Action items, actions owners, target completion dates are integral to an effective closure meeting. Not to mention, perceived challenges or technological developments need to be factored in.