Authored by: Nishkar Ballasur, IRMSA Risk Chat Contributor
Over the recent period, there has been much conversation about the 4th Industrial revolution and its impact on industries and the resources that work within. This conversation continues and has intensified given the COVID-19 pandemic impact on the world which has thrust organisations into not just speaking about working in the digital age but rather enabling people, processes and systems to now continue operations with a strong digital presence. These conversations, in most cases, were supplemented with multiple pleas made to employees to ensure that they embrace this new revolution by enhancing their knowledge and skills. This is probably and arguably one of the most recently and frequently mentioned encouragement notes made from line management to direct reports. A key observation to note though is whether the employee knows what he/she needs to do to upskill themselves to remain relevant? The current risk practitioner faces the same challenges in that they have been informed and are aware that they need to re-armour themselves to operate within the new challenging environment however is there what I refer to as a “bridge”? Is there a learning map, guide, curriculum or similar that the risk practitioner can follow to help transform him/her into the digital risk manager? A simple analogy to serve as reference is requesting a new employee to begin a new piece of work without providing him/her with the guidance or tools to do so, it is simply not enough to just inform, enablers must exist for effective development and execution. Many opinions exist on what knowledge and skills the risk manager of the future is required to obtain, in this article I refer to this role as the digital risk manager, however there could be various title interpretations across organisations. Simply positioned, this refers to the risk manager of the future. In my opinion, this role is not similar to the IT Risk and Information Security Risk practitioner roles as these roles are normally more technical in nature; the digital risk manager role is intended to obtain sufficient and relevant competencies to understand and operate within the technology domain by bridging the gap between business and technical acumen and allowing them the opportunity to branch full time into a more technology risk role should their career path dictate. Following below, I have expressed my opinion of what I believe are the top 10 competencies required for the digital risk manager/risk manager of the future. I further recommend that specific courses within these competencies be sought after. Competency levels can range from basic, intermediary to advanced, it is up to you as to how far you wish to develop your knowledge and skill level. Top 10 Competencies Required for the Digital Risk Manager Competency 1 – IT 101 Obtain an understanding of information technology concepts such as hardware, software, databases, operating systems, applications, networking and similar. Competency 2 – Data Analytics/Big Data Obtain an understanding of data, information, insights, analysis and reporting tools, data interrogation and similar. Competency 3 – Phyton Programming In my opinion, it is not essential that a digital risk manager be able to perform programming however it is extremely useful for (i) providing logical and structured thinking skills and (ii) creating excitement and enjoyment when viewing how a program is created from infancy to product level. Competency 4 – MS Office 365 Understanding the MS Office 365 toolset allows the digital risk manager to suggest solutions to business problems and allows for efficiencies to be created within current processes. Competency 5 – Robotics Obtaining an understanding of the robotic process automation process and the various tools that exist to develop robots (automation of processes). The digital risk manager does not need to know how to develop a robot using a particular software tool however if the interest exists, it’s a very useful aid in his/her armoury. Competency 6 – Cyber Obtaining an understanding of the cyber space along with touchpoints to the other risk types. Competency 7 – Blockchain and Cryptocurrencies Obtaining an understanding of the definitions thereof and the potential threats to and opportunities for business. Competency 8 – Agile/Innovation/Invention Obtaining an understanding as this will enable risk practioniers to look inwards to determine where this can be applied to optimise risk processes and delivery to our customers (internal and external). This helps promote innovative thinking on process and product improvements. Competency 9 – FinTech/RegTech Obtaining an understanding of the concepts and industries impacted including risk and opportunity. Competency 10 – Soft Skills Although being the last item listed, certainly not the least important, soft skills are critical especially during an age of robots where we do not wish for humans to behave in the same way as robots do thus making this the major differentiator in the modern world. In addition to my suggested top 10 competencies, a reminder to take reference from the World Economic Forum (WEF) and its’ top list of skills required for the fourth industrial revolution, these being:
Still, we need to begin the journey and cross the bridge but must also remember that there is no destination, the bridge will continue to expand as our destination changes with time. The major principle remains, a bridge must exist to help move us to the changing landscape! ENDS MEDIA CONTACT: Rosa-Mari, 060 995 6277, [email protected], www.atthatpoint.co.za For more information on IRMSA please visit: Website: https://www.irmsa.org.za/ Twitter: https://twitter.com/IRMSAInsight Facebook: https://www.facebook.com/IRMSAInsight/?ref=hl LinkedIn: https://www.linkedin.com/company/irmsa-institute-of-risk-management-sa/
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![]() South Africa has one of the highest unemployment rates in the world, with many being unable to provide for their families. This has been the motivation behind The Institute of Risk Management South Africa’s (IRMSA’s) drive to make a meaningful contribution to the fight against hunger and food scarcity. The institute has indicated that it realised the risk that food insecurity poses to the South African business landscape and felt responsible to be part of the solution. Choosing a food champion On World Food Day earlier this month the impact of Covid-19 and the emerging risk of food scarcity were driven home more profoundly than ever before, says IRMSA. The institute, together with nine other organisations including the Institute of Directors South Africa (IoDSA), the Association of Certified Fraud Examiners South Africa (ACFESA), the Corporate Counsel Association of South Africa (CCASA), the Compliance Institute of Southern Africa (CISA), and the Financial Planning Institute (FPI), have continued with their relationship with FoodForward SA as their champion to collect, store, preserve, package and distribute meals to the vulnerable during this time. Millions are food insecure Judging from the number of people that have become unemployed in the first and second quarters, FoodForward SA estimates that 30 million people are food insecure. This means they are not getting regular access to safe and nutritious food. “There are no easy fixes to the current threats posed by poverty, unemployment and structural inequality. Food is foundational for the rest of the country to work well,” says Andy Du Plessis, Managing Director at FoodForward SA. FoodForward SA is involved in recovering edible surplus food from the consumer goods supply chain and distributing it to registered community organisations that serve the poor. “I believe that our food banking model – recovering good quality edible surplus food from the supply chain is the most cost-effective way to address food insecurity.” Good supply chains Du Plessis warns that the country is in a food security crisis like never before. “It is not that South Africa does not have enough food. We do. However, the allocation and access of food is inequitable because of poverty dynamics.” He says SA has a net surplus of food, but most of it is lost or wasted because of weaknesses in the supply chain. FoodForward SA has since it was established in 2009 secured a sophisticated supply chain based on the collaboration of numerous partners. Distribution during Covid-19 During the previous financial year FoodForward SA distributed 5,115 tons of food which represents 20 million meals. In the past six months, directly because of the Covid-19 pandemic, the organisation has distributed 5,500 tons of food or the equivalent of 22 million meals. Du Plessis notes that they were operating in only six provinces before the coronavirus started spreading in SA. “We are now operating in all nine provinces as we make sure better access to food is realised,” he adds. Bedrock of food security The scourge of farm attacks and brutal murders has become a huge risk to food production in SA. “Farmers are the bedrock of our food security. If we disrupt this, the economic impact will be catastrophic.” Du Plessis says Zimbabwe is a prime example. “If we become a net importer of what we currently grow, food prices will skyrocket, and food insecurity will deepen severely,” he warns. ENDS MEDIA CONTACT: Idele Prinsloo, 082 573 9219, [email protected], www.atthatpoint.co.za For more information on IRMSA please visit: Website: https://www.irmsa.org.za/ Twitter: https://twitter.com/IRMSAInsight Facebook: https://www.facebook.com/IRMSAInsight/?ref=hl LinkedIn: https://www.linkedin.com/company/irmsa-institute-of-risk-management-sa/ By: The Institute of Risk Management South Africa (IRMSA)
World Hunger Day sees many Corporate Social Responsibility (CSR) initiatives take flight. Teams of employees pack boxes full of non-perishable goods for hungry communities and share their good work on social media. Feeding programmes get an influx of help and social media is flooded with a stream of #volunteer selfies. Retailers place shopping trolleys for food donations at store entrances so that shoppers can #makeadifference. The ‘fight against hunger’ box is ticked for another year. What if, instead of seeing hunger as a ‘do-good’ activity, corporates saw decreasing global food security for what it is: the risk with impending probability and disastrous impact? What if, instead of being prompted by marketing teams to ‘do something for World Hunger Day’, top executives – and boards – of companies proactively created long term sustainable plans to address and eventually prevent the effect on hunger on the global economic climate? Children that are malnourished struggle to benefit from education, even if they have access to education. Top scoring candidates won’t be considered for job opportunities simply because they have a criminal record from that one time, they had to steal to feed an ailing family member. Entrepreneurs that can only afford to feed their family and not themselves struggle to ‘be the best they can be’ for national economic growth; hunger simply saps their energy. Community leaders can’t ‘engage productively’ about a new infrastructure project with their ears ringing from the hunger pleas of their constituents. There is so much money going around. Surely a portion of it can be invested to feed the next Patrice Motsepe, Magda Wierscka, Michael Jordaan … Cyril Ramaphosa? And surely those tasked with feeding our next generation of business and nation leaders should be kept to task when they mismanage those funds? The crisis of hunger seems to bring up more debate and questions, and not nearly enough solutions. When solutions are discussed it seems that the wheel keeps on being reinvented, but it never really gets rolling fast enough, or at all. Why does everyone want to go at it alone? Why not partner with those that are already experts in getting the right food to the right communities within a system that doesn’t fall victim to fraud and corruption? Earlier in 2020 when the COVID-19 pandemic wreaked havoc on food programmes IRMSA – Institute of Risk Management South Africa – identified the risks of civil unrest and an increase in crime related to food scarcity that might be triggered by the national lockdown. IRMSA also identified FoodForward SA as a company that has been around long enough, with a solid enough track record to significantly relieve the persistent hunger of vulnerable South Africans. In the words of Andy Du Plessis, Managing Director of FoodForward SA: “We use quality edible surplus food from the supply chain, so our model is sustainable and environmentally friendly. Because all the food is donated, it costs us only R0,85 to provide one meal. We also prioritise providing food to the most vulnerable groups - children, women and youth. And, since 75% of our beneficiary organisations focus on education, skills development, women and youth, our food is a catalyst for social change in under-served communities.” Since the start of lock down FoodForwardSA has been able to distribute 5,300 tons of food, amounting to 21 million meals, to vulnerable communities across the country. The organisation was able to achieve this through the support of donors that include a heartening number of big SA brands. While lockdown has been lifted for the most part, the hunger of vulnerable South Africans haven’t. And since hunger isn’t something you solve once, but something that comes around three times a day, the solution can’t rely on the dedication of a few. More funds need to reach the hands of organisations already set up to serve without lining their own pockets. Solving the hunger crisis isn’t easy, but it’s vital. Any company that wants to grow needs a stable economy and an eager workforce. Hunger threatens both. It’s time for big business to stop just ticking the ‘fight against hunger box’ and start truly solving the hunger crisis. ENDS MEDIA CONTACT: Rosa-Mari, 060 995 6277, [email protected], www.atthatpoint.co.za For more information on IRMSA please visit: Website: https://www.irmsa.org.za/ Twitter: https://twitter.com/IRMSAInsight Facebook: https://www.facebook.com/IRMSAInsight/?ref=hl LinkedIn: https://www.linkedin.com/company/irmsa-institute-of-risk-management-sa/ Written by Mark Victor - IRMSA Risk Intelligence Committee Member
The current pandemic has helped organisations confirm the criticality of further digitising their business value chains, fuelled by the need to operate remotely and to provide greater access to the workforce to better enable the performance of their tasks. As a result, there is wide recognition that digitisation of business processes is set to increase significantly in the years to come, potentially at an exponential rate. The impact of this business transformation should not be ignored by risk practitioners, as it comes with significantly greater risks and opportunities, and business leaders need to fully understand the potential strategic choices to make in redirecting their strategy, whilst carefully managing the real risks introduced by a digital future. An excellent example of this has been the global impact of reliance on financial models and algorithms that have replaced many of the decisions that have traditionally been made by humans, which has contributed towards increased market volatility as a result of automated share trading, the global credit crunch as a result of flawed assumptions and the underestimation of the global systemic impact of these exposures, and increasing impact of robotics in everyday life, which is now broaching on the future of mobility. The fourth industrial revolution is driving exponential change, with the advent of new digital eco-systems, business and service models that are impacting the very core of what organisations do and the products and services they provide from the way they interface with their customers, manage and operate the enterprise, and even the future of work and the workforce. This is translating to new operating models, new products, new digital and technology strategies that need to be supported by evolving technology platforms, data and infrastructure. This requires a change in corporate culture, strong leadership direction and possibly even a reimagined corporate brand and focus. Whilst the governance and management of enterprise IT and risks has received more attention over the last decade, the current risk focus is inadequate to respond to the digital future we all are expected to face in our organisations and an approach that is strategic, focussed and proactive is essential in understanding the potential and uncertainties relating to this future. Risk considerations go beyond the identification and management of emerging technology and cyber risks, and need to extend to the careful assessment of strategic risks and opportunities, ethical and reputation risks, people and culture risks, legal and regulatory risks, and also execution risk. Key questions to consider include:
MEDIA CONTACT: Rosa-Mari, 060 995 6277, [email protected], www.atthatpoint.co.za For more information on IRMSA please visit: Website: https://www.irmsa.org.za/ Twitter: https://twitter.com/IRMSAInsight Facebook: https://www.facebook.com/IRMSAInsight/?ref=hl LinkedIn: https://www.linkedin.com/company/irmsa-institute-of-risk-management-sa/ |
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