CUNA News
  • LOG IN
  • Create Account
  • Sign Out
  • My Account
  • LOG IN
  • Create Account
  • Sign Out
  • My Account
  • Topics
    • Community Service
    • Compliance
    • Credit Union Hero
    • Credit Union Rock Star
    • Credit Union System
    • Directors
    • Human Resources
    • Leadership
    • Lending
    • Marketing
    • Operations
    • Policy & Issues
    • Sales & Service
    • Technology
  • Credit Union Magazine
    • Buyers' Guide
    • COVID-19
    • Digital Edition
    • Credit Union Hero
    • Credit Union Rock Star
    • Subscribe
    • Advertise
    • Contact
  • Advertise
  • Awards
    • Nominate Credit Union Hero
    • Nominate Credit Union Rock Star
  • Podcasts
  • Videos
  • Jobs
  • Contact

News

Home » The chief risk officer’s skill set
Compliance Management

The chief risk officer’s skill set

Their 'breadth of skills' could someday lead to the CEO’s office.

October 3, 2017
Ron Jooss
No Comments
Brian Hague

Brian Hague, senior risk intelligence adviser at Rochdale Paragon Group, a CUNA partner, offered a breakdown of the skill set required for today’s chief risk officer during a breakout session Monday at the CUNA Governance, Risk Management & Compliance Leadership Institute in Denver.

Those skills include:

Leadership. “If properly structured, the risk officer is going to be one or of the executives that leads the business forward,” Hague says.

Business. “This means understanding limitations, opportunities, goals, and objectives,” Hague says. He predicts that the career path to the CEO’s office may increasingly go through the chief risk officer role “because of the breadth of knowledge it offers.”

Ability to measure risk vs. reward. “That means that we can tangibly and meaningfully understand the risks that we are taking,” Hague says. “That means understanding our tolerance metrics that apply to the business at hand and understanding that limiting risk too much isn’t a good thing.”

Communication. The chief risk officer must interact with a wide variety of people, including the rest of the executive team, the board of directors, middle management, and even staff, regulators, and auditors. As a result, communication is a key skill they need to possess.

Technology. Much of risk measurement, such as stress testing, is driven by technology, Hague says.

Strong financial background. “This is just a function of who we are,” Hague says. “We are financial institutions. You have to understand how we work.”

The ability to influence. “If properly structured, this role will be allowed to help the credit union shape its direction and persuade other senior managers that we may have to take more risk in some areas and less risk in others,” he notes.

Big picture perspective. The chief risk officer must be able to remove themselves from “the weeds” of the compliance and risk. They must take a 30,000-foot view and communicate that view to others, Hague says.

Emotional intelligence. “Being a chief risk officer can result in turf wars, so it takes a certain amount of emotional intelligence to rise above that,” Hague says. “The other executives have to trust the chief risk officer, whether it’s other executives, the board, or staff members.”

Change agent. “The chief risk officer might influence the direction of the credit union, and that could actually mean talking on more risk,” Hague says.

KEYWORDS risk

Post a comment to this article

Report Abusive Comment

Credit Union Magazine: Winter 2022

Winter 2022

Credit Union Magazine’s Winter 2022 issue highlights data-driven marketing, the board’s role in cybersecurity, elder abuse scams, credit unions’ auto lending advantage, and more.
Digital Edition •  Subscribe

Trending

  • House passes CUNA, League-led board modernization bill

  • CFPB issues CUNA-opposed proposal on credit card late fees

  • Key committee leaders supportive of credit union priorities

Tweets by CUNA_News

Polls

Vote for the 2023 CU Hero of the Year

View Results
More

Champion for the Credit Union Movement

Credit Union National Association is the most influential financial services trade association and the only national association that advocates on behalf of all of America's credit unions. We work tirelessly to protect your best interests in Washington and all 50 states. We fuel your professional growth at every level and champion the credit union story at every turn.

More CUNA

  • Membership
  • Contact Us
  • Careers

Resources for

  • Credit Union Advocates
  • Leagues
  • Press
  • Providers

Our Affiliates

  • American Association of Credit Union Leagues (AACUL)
  • Credit Union Awareness
  • Credit Union House
  • CUNA Strategic Services
  • National Credit Union Foundation
GET CUNA UPDATES
© 2023 Credit Union National Association | ADA Compliance Notice & Legal
Email Us