Who is a Chartered Risk Manager and Why Must Every Organization Have One?

One of the most important expertise needed in every organization but rarely found in many, globally, is that of Risk Management expertise. In this day and age, organizations, businesses, governments and critical public institutions can only be managed and sustained through the fortification of solid pillars to guide decision-making while ensuring growth, stability and the sustainability of organizational reputation. With the ever-complex and uncertain state of affairs in the corporate world, leaders have strengthened their internal governance systems, ensuring a solid, fool-proof risk management strategy.

While the growth and popularity of risk management as a field of study and a strategy for corporate sustainability dates back to the 20th century, man have been making decisions based on future predictions and probabilities for centuries and, even at those historical times, most of these decisions were risk-based. Kings, queens, thinkers and scientists have constantly played pivotal roles within historical kingdoms, bringing their skills and foresight to bear while making decisions for the good of entire clans and communities.

This is why the occurrence of war, famine, economic downturns, and even environmental disasters have, over the years, disrupted entire nations, forcing transformative changes that impact the lives of people, both negatively and positively. The field of risk management has developed gradually from traditional insurance-based risk management to more sophisticated, data-driven enterprise risk management with solutions targeted at different layers of an organization.

Over the years, Chartered Risk Managers have become critical to every institution, armed with the requisite skills, foresight, analytical skills and expertise to navigate the unpredictable, mitigating risks and keeping institutions afloat. As a trained, professional Chartered Risk Manager, it is expected that you have honed the highest practical expertise and professional skills and are equally armed with strategies and tools to provide quality advisory on risk management.

As a Chartered Risk Manager (CRM), you therefore hold one of the highest standards of competence in the corporate world, across sectors. This is why the Chartered Risk Management Institute continues to train and certify CRMs, equipping them with, not just the theories of risk management but the practical expertise to carry out real-life interventions across various industries.

Formerly known as the Risk Management Association of Nigeria (RIMAN), the Chartered Risk Management Institute of Nigeria (CRMI) was established by Act No. 39 of 2022, and was founded on 29th March 2000, becoming the sole professional body for risk management expertise and certification in Nigeria.

In today’s world, Chartered Risk Managers have become one of the most sought-after professionals globally. As the CRMI continues to expand its network of members in Nigeria and across the globe, there are key skills and knowledge expected of a certified Chartered Risk Manager.

1. A Good Eye for Risk Identification and Assessment: A CRM, upon certification by the CRMI will become skilled and adept at identifying and assessing potential risks and threats before they materialize. While this might sound easy, it is, in no way an easy task due to the unpredictable nature of dynamics in business, government and corporate ecosystems as well as the multi-layered dimensions to risk identification and assessment that only a certified CRM will have a keen eye for.

2. Requisite Knowledge on Risk Mitigation: The deeper level of insights that a CRM can leverage to identify and assess risks is acquired through quality knowledge acquisition. In the same light, this knowledge must enable a CRM to appropriately develop and implement mitigation strategies to aid the reduction of the impact of possible threats and/or prevent these threats or risks from taking place. Risk mitigation strategies are often tailored to specific scenarios, specific industries or specific institutions as it involves knowledge-driven techniques designed to serve as a safeguard.

3. Strong Stakeholder Communication Skills: Communication is key to business growth and sustainability. This is why business leaders and C-suite professionals must continue to strengthen their interpersonal and strategic communication skills to aid the smooth delivery of policy messaging and stakeholder feedback, especially during a crisis. From investors to customers. From board members to employees. Every institution has a long list of critical stakeholders who must never be kept in the dark. CRMs must be armed with the right strategies for communication, including appropriate language use, channels and frequency.

4. Good Crisis Management Skills: Great CRMs are like firewalls to an organization. At the Chartered Risk Management Institute of Nigeria, membership and certifications ensure that CRMs remain war-ready. When organizations face impending threats or when risks become a reality, you are responsible, as the CRM, for piloting the organization through the appropriate steps to achieve the desired results. This is why the activation of crisis response plans is a key role of the CRM in any organization. Beyond steering an organization to safety through a crisis management strategy, great CRMs can control their emotions and maintain their composures in the delivery of their expertise.

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