That of the Risk Manager is a forward-looking profession that is growing in popularity every year. However, depending on the industry, the responsibilities of a risk manager may vary. However, the most important tasks remain the same – the Risk Manager is primarily responsible for analysing the risks in a company or organisation. What exactly does this profession consist of? What are the salaries and what is the best university degree to be able to do it? Check.
Who is a Risk Manager?
A Risk Manager is someone who is responsible for managing risk within a company or organisation. This means that he or she identifies, analyses and assesses the risks that may affect the safety, reputation, image and financial success of the company in question. It also develops procedures to minimise the occurrence of potential crisis situations. Business owners are increasingly recognising that one of the key elements of running a successful business is identifying the risks and threats to which a company is exposed. These can relate to many different levels. In addition to identifying a given type of risk, a Risk Manager also needs to know the likelihood of it occurring in a particular company. Most often, Risk Managers’ work is office-based, but sometimes they also meet at other companies’ premises or at conferences. What is more, if they are employed in the construction or energy sector, they are often on site as well.So a lot depends on the industry itself. Experienced Risk Managers sometimes set up their own consulting companies and, as there are more and more attractive jobs for them, they often go to the West.
Risk Manager – main responsibilities
Although risk managers can work in almost any industry and type of organisation, the main responsibilities of a Risk Manager can be distinguished:
conducting ongoing risk assessments based on analysis of documentation, reports, statistics and market trends, conducting, developing and presenting risk reports and proposals to management and senior staff, reviewing and analysing various types of metrics and data, such as cash flow, failures, inventories, employee activity – thus detecting fraudulent practices,
recommending and implementing risk management solutions, e.g. business continuity plans, insurance or corrective actions, establishing the level of risk the company intends to take at a given level, putting in place policies and procedures that help identify and counteract risks in the company, educating, training and supporting management as well as colleagues to build risk awareness.
What qualifications should a Risk Manager have?
Above all, a Risk Manager should have a thorough knowledge of the industry as well as the company itself in which he works. Moreover, it is essential that he or she has an orientation in finance and management accounting, as well as insurance and investor relations. It is also important that he or she has analytical skills and is able to process a vast amount of information and data and then use this knowledge to provide business context and identify and analyse risks. Planning, good communication and presentation skills are also important. The Risk Manager should also be able to design a flexible management model that works with the specifics of the business.
Risk Manager – what should I study to become one?
What studies are worth choosing to become a Risk Manager? A great option would be to major in Business Management at the bachelor’s level, or Strategic Business Management at the master’s level. As it turns out, it is possible to study these or similar majors at, for example, some Polish or English universities. Through these studies you will gain an in-depth knowledge of strategic management in a global context. You will learn to apply theoretical concepts and business models in practice. You will also acquire skills that will enable you to understand how to manage national and international organisations. You will also learn how to anticipate future trends, lay out a well-considered strategy and use the tools of so-called strategic planning. It is worth mentioning that graduates in economics, finance and accounting are also often accepted as Risk Managers.
How much does a Risk Manager earn?
It is worth choosing the Risk Manager profession not only because of the huge development opportunities, but also because of the attractive salaries. In Poland, 90 percent of risk managers earn more than PLN 13 491 gross per month. In England, the average salary for this profession is £61 857 per annum, or £5154.75 per month. In the US, by contrast, those employed earn $127,990 a year, or around $10,665 a month.
