Become a CRO to lead Strategic Risk Management in Companies
Strategic risk is something unavoidable, and if it cared less, it can lead the company to loss or even extinction. Giant companies have crumbled down in history due to neglecting 5 major factors - disruptive technologies, new customer preferences, stiff-neck competition, social volatility, and regulatory burdens. If your dream spot after your graduation is getting into financial risk management, then an FRM certificate is all that you need to reach your dream career. Today becoming a CRO is made possible by Kaplan Schweser with its partner Miles Education by launching the first-ever Original CFA Study package. The world-class package will enable you to build, approve and execute well-informed strategies in the right context and time. Let’s look at some of the key areas where your strategies are in-demand.
Business Expansion
Business is dynamic, and so are finance leaders. They expand business boundaries and look for new horizons. In the event of business expansion, they might ignore the varied risk factors, or even if they did, they may not do a thorough analysis of the risk associated with expansion. Some of the critical risks are- Expanding into areas that are more competitive than the current situation and landscape. Expanding business at the wrong time - if you are trying to expand your retail when online sales are on the rise. Moreover, expanding when your internal indicators like customer satisfaction are low.
Business Status Quo
Innovation is integral to business growth and success. If finance leaders and risk managers are ignoring change that is fueled by digital capabilities and automation, then they are heading towards major risk. The status quo is not just moving away from change but also losing a major part of the futuristic skills and capabilities. Slow adoption of new-age technologies by finance companies decimated competitive advantage and those who have tweaked with suitable business models matching market trends have reduced the risk. Societal changes can sneak up on companies that are focused solely on business-as-usual.
Explosive Growth
There is no business without investors and investors need growth and profit at the end of the day. To get the products and services out the door, you may need to stress the talent and infrastructure of your company, which may lead to a risk of poor decision-making. If decisions are directionless, the result may be diminishing quality of products/services and high customer dissatisfaction. Rapid business expansion might require cash outlays for innovating new products/services before the new revenue. Finance risk managers can face insolvency risks that can destabilize balance sheets as they ignore this inherent risk.
Strategic Risk
Strategic risk is one of the extreme types of risk in organizations as they are the result of the actions of the top finance leaders and management. In strategic financial planning, a CRO needs to ask basic and critical questions of identifying potential risk factors and developing suitable strategies to mitigate them. The process does not end there but goes into monitoring the risk and record for building due diligence to avoid any future damages to business performance and success.
To stay atop the risk management field and deploy your strategic risk traits, you need a bolstering course that gives you a wide picture to manage these critical areas and now it comes through the Miles -Kaplan Schweser FRM program.