Where has the innovation of risk gone…

Hello everyone,

It has been some time since I posted on my blog site.  The main reason has been that I have been executing the innovation of risk rather than just talking about it.

However, today I am back!

During my time away the key areas of the innovation of risk I have been thinking about have been around enabling people to consider innovation in regards to how they execute their roles as risk professionals.

The critical aspects of making this happen have been in providing the space to operate outside the normal comfort zones of risk management.  In order to do this, you have to allow people the opportunity to not only fail but to also overlap with other areas of technical competency, such as fraud, information technology, finance, strategy, marketing and operations.

On the first aspect, the opportunity to fail.  People must be able to feel as though that a failure in innovation in risk is not a failure as such, but rather a positive learning experience.  Allowing people to experiment, with some degree of risk (in itself), is an imperative to successful innovation.

On the second aspect, the freedom to over-step their area of expertise and impact other areas.  This is a trickier element as it involves other roles and people.  It specifically requires an organisational model that is less concerned about role or structure, and more about outcomes and advancement.  If your organisation does not quite have this yet, then you as a leader must provide that space through dealing with the “politics” yourself.

So, that is my thought of the day and my thought for my return to the blogosphere.

It feels great to be back.

Cheers,

Scott
Scott North has extensive experience in enterprise risk management, internal audit, operational risk and compliance, risk strategy, scenario planning, technology risk, technology business analysis, systems design, financial accounting, and management accounting. Scott is a Fellow of the Australian Institute of Chartered Accountants with a Masters Degree from the University of Melbourne in Business and Information Technology. Scott is also a Fellow of the University of Melbourne.

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