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The importance of risk management training

Your people's perception, attitude, risk culture, engagement, behaviour and actions, with respect to risk management, will make or break the success of your risk management framework. It is the number one ingredient for success.

Developing and maintaining the right culture requires knowledge, understanding and skills. This can be acquired in a number of ways including: life experience, work experience, informal learning and structured training. Given the maturity of risk management in most organisations is at the early stages, structured risk management training is the most critical. 

The key to Successful Risk Management in your business is your people

Getting a consistent view through specific risk management training gets everyone on the same page. 

There is a wide range of views and opinions over what risk and risk management is. 

Training provides a safe environment to ask the perceived “silly” questions which are invaluable in creating practical understanding.

Every person within your organisation is responsible for risk management and must play a role in its operation. It is not the sole responsibility of a “risk manager”. Risk and risk knowledge must, therefore, be widely dispersed. Risk Management needs to be demystified.

The perception of risk and risk management is often a negative one with staff seeing risk as "bad" and risk management as an "inhibitor" to the business. This is wrong but is a common attitude which must be changed to incentivise staff through seeing the value add and positives of risk management. The right training will correct this misconception and invigorate staff to engage with the risk management process.

Many staff have a limited view or awareness of risk management and perceive it as complex and vague. In order to practice good risk management, staff must be risk aware and risk must be well understood and perceive risk and risk management in a negative light – more of a hindrance than an enabler. The related risk processes must be simple, understood and embedded in day to day practices. 

The language and lingo that has developed around risk management can be a hindrance to understanding. Training gives the opportunity to promote a consistent language across the organisation.

Practical top quality risk management training provides all of the above.

Good training helps change that perception by focusing on the value add of risk management and the “what’s in it for me?”

 

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Risk management training can help your team to recognise and understand how managing their risk benefits them, their performance and the broader enterprise. Only then can they make precise and powerful decisions on behalf of your business, driving actions that work in the real world.

About the author

David Tattam is the Chief Research and Content Officer and co-founder of the Protecht Group. David’s vision is the redefine the way the world thinks about risk and to develop risk management to its rightful place as being a key driver of value creation in each of Protecht’s clients. David is the driving force in driving Protecht’s risk thinking to the frontiers of what is possible in risk management and to support the uplift of people risk capability through training and content.