Defining audit, risk and compliance to remove the grey areas and clearly defining the roles and boundaries of each role will help risk managers fit better into organisations.
Speaking at StrategicRISK’s Risk Forum Australia, Narayanan said the value and relevance of the role of risk management are critical to shaping and moving the profession forward.
Making risk management a profession via standardised set of competencies is key to changing the perception of risk management.
Risk managers need to work harder at their communication skills. “If you cannot communicate to management and boards what they need to know within two minutes, you have already failed. I can’t stress this enough,” said Narayanan.
Narayanan argued that “risk needs to not be an afterthought” for organisations.
The profession needs to get better at innovating and embracing available technology. “We are not using technology as well as we could and I really think this is an area where risk falls down. We need to get better at this.”
Narayanan also noted that having clear direction from management and boards will make it easier for risk managers to manage expectations within organsations which, in turn, will assist in making sure risk management is not an afterthought.