Working as a Risk Management Consultant
Organisations face many different risks that can affect their performance and reputation, including: natural disasters, cyber security, fraud, and regulatory changes for example. Without effective risk management, hard-earned brand image can be lost over a single incident; hence why proper identification and contingency planning are so important. By anticipating what is coming down the track, organisations are much better placed to deal with uncertainty and achieve their objectives.
The responsibility for all this rests with the risk management department which mostly comprises full-time staff. However, internal teams are often supplemented by risk management consultants to help with the planning process. A Risk Management Consultant is more than simply an extra pair of hands because they bring external perspective accompanied by fresh insight. To make best use of this insight, consultants are typically employed to help with the identification, assessment, and mitigation of risk as well the evaluation and improvement of plans moving forward.
Risk management skills
It usually takes complex modelling to unlock future trends, so if you are thinking about becoming a Risk Management Consultant, it helps to be analytical with the ability to think strategically. Communication skills are also important, plus you will need to be adaptable when things change because events can move extremely quickly.
Risk management consultants usually have specific industry knowledge, so any kind of specialism will stand you in good stead, along with a degree in an area like law, finance, or economics. And previous risk management experience is obviously advantageous.
Risk management certifications
In addition to academic degrees and real-world experience, there are also a number of certifications that are highly prized by prospective employers. If you are serious about becoming a risk management consultant, you’ll likely need one of the following qualifications:
Chartered Enterprise Risk Analyst (CERA)
CERA gives you a holistic risk of risk and once qualified, you’ll be proficient in assessing risk and implementing action plans.
Certified Risk Management (CRM)
Awarded by the National Alliance for Insurance Education and Research, this qualification covers all key organisations risks including operational, political, legal, and reputational.
Financial Risk Manager (FRM)
If you want to become a consultant in financial risk management, this specialist qualification teaches you to manage liquidity and credit risks, along with external threats. Highly respected within the finance industry, the award is offered by the Global Association of Risk Professionals.
Professional Risk Manager (PRM)
Very similar in content to FRM, this certification is awarded by the Professional Risk Managers’ International Association.
Risk and Insurance Management Society Fellow (RIMS Fellow)
Offered by the Risk Management Society, this prestigious qualification is ideal for anyone with leadership aspirations. Upon completion, you’re entitled to use the letters RF next to your name.
A career in risk management
Becoming a Risk Management Consultant is an interesting career path that offers lucrative and rewarding work across many different industries. If you have an analytical mind and are a good communicator, then you have the fundamental skills to succeed in this field. An industry recognised certification can set you apart from other candidates and each option outlined above offers a flexible mix of classroom and self-study, enabling you to qualify without leaving full time employment.