PARIMA

Why We Developed the
Risk Competency Framework

Brought about by the rapidly changing business landscape, expectations towards tomorrow’s risk managers are amplified. It is a must for the risk managers of today to evolve and stay ahead of their game; else be completely left behind.

In 2018, PARIMA started the competency project to develop a comprehensive, APAC-specific, industry-consistent, competency model. From the input we have gathered, we found five common points that proved to be critical for risk managers:

Risk Managers have to strike a balance between the details, seeing the big picture and working with the business

Soft skills are far more critical than technical skills, with working with people, communicating, influencing and deciding & initiating action identified as the key drivers of success

Market volatility, faster pace of change and increasing complexity of the emerging risks implies that strategic thinking, critical evaluation and agility will become more critical in future

Gaining buy-in and stakeholder commitment is reported as one of the greatest challenges facing Risk Managers; they must be effective at communicating and influencing

‘Big Data’ and analytics is top of mind for many; however, the overriding consensus is that strategic thinking is the critical competence to ensure proper leverage of data analytics

"Risk Managers fail because they are either too operational, i.e. get caught up in details or are too high level and can’t connect well with operations (the latter is normally the case)"
Gordon Song
Gordon Song
Senior VP, Head of Group Risk & Internal Audit, Lazada

Does My Competency Level Matter?

Yes! Knowing your level for each competency subskill will enable you to:

Discover & Define
Your Strengths

Have a language for your abilities and assess your competence & position on risk management skills

Target Areas for Improvement

Plot out your professional development agenda around certain competencies to focus on cultivating key areas

Systematically
Feature Your Skillsets

You can include the assessment results on your CV. Teams can also use the RCF to benchmark members’ skills.

  1. Risk Managers have to strike a balance between the details, seeing the big picture and working with the business
  2. Soft skills are far more critical than technical skills, with working with people, communicating, influencing and deciding & initiating action identified as the key drivers of success
  3. Market volatility, faster pace of change and increasing complexity of the emerging risks implies that strategic thinking, critical evaluation and agility will become more critical in future
  4. Gaining buy-in and stakeholder commitment is reported as one of the greatest challenges facing Risk Managers; they must be effective at communicating and influencing
  5. ‘Big Data’ and analytics is top of mind for many; however, the overriding consensus is that strategic thinking is the critical competence to ensure proper leverage of data analytics

If you would like to learn more about how the RCF can support your professional growth as an individual or as a team, please be in touch with us through team@parima.org to discuss how we can collaborate.