As owners of the risk management process, each of us is responsible for understanding how types of risk could implicate the other side of the business through a dotted line. Making these transparent connections, analyzing the risk, and making contingency plans becomes the most important skill set risk managers can have to succeed in the future.
Positive or negative risks cannot be managed as individual or standalone items, and as such, must be seen as part of a broader connection of items in the overall risk assessment. Your challenge is to be creative about how you establish and evaluate these interrelationships to better identify levels of risk.
Think about how you use your risk register to serve as not just an aggregator, but a connector of risk records. Moving forward, we’ll predict controls becoming more pervasive throughout businesses and captured across broader ranges. As a leader, start to develop the skillsets of your project teams to amplify their analysis and data modeling capabilities.
We asked our live discussion attendees, “As a result of the pandemic, how are you enhancing your ability to connect organizational risks?” 41% responded to say they’re adding technology to improve their risk program, 26% are adding training for employees, 23% are making no changes, 15% are using unmentioned alternatives, and 13% are exploring smart devices.