Today more women than ever are joining the corporate workforce, and this holds true even in the area of risk management. Interestingly, women’s risk appetite and flair for managing risk is rooted in their history – of having to constantly handle the challenges and threats mostly posed by a patriarchal society and balancing responsibilities that have traditionally been only that of a woman’s. From identification, preparedness, and evaluation, to the eventual mitigation of risks, women have been habitually doing it all, every single day. Centuries of experience later, therefore, it is little wonder that women are an obvious fit in risk management.
Traditionally, risk management was associated only with banks and specifically with tasks such as statistical modelling, to calculate market and financial risks. However, come 2008 the profession underwent a sea change, with risk professionals grappling with the financial crisis and developing ways to ensure stability in the years to come. Today, every single organisation recognises risk as a strategic function, and the overall breadth of risk grows every day – cybersecurity, extended enterprise risks, and climate change to name a few. Cybersecurity in particular has a huge mindshare for organisations currently with the evolving threat landscape and potential losses.
Globally, nearly 24 percent of employees in the cybersecurity workforce are women and the ratio of female CIOs/CTOs is only 18 percent, per a recent survey1. Encouraging more capable women to join the cybersecurity industry can help meet the sector’s growing demand and also introduce diverse perspectives, experiences, and leadership, which will further benefit companies. To tap into the full potential of women as risk champions and to explore new horizons of risk management, organisations will need to lead from the front. For example, Deloitte’s Global “Women in Cyber” programme was launched during Women’s Day 2021 with an ambition to inspire meritorious women to join the cybersecurity industry; adapt to a rapidly changing career environment; raise public awareness of their challenges and opportunities and provide them with a platform that can demonstrate the value that they bring to the risk landscape.
The digital revolution that started in recent years has propelled risk management to take centre stage in the priority-list of organisations. Additionally, the pandemic shifted the goalposts of risk management too, like never before. From cyber to financial and technology, the world became vulnerable to too many risks, all at once. Another consequence of the pandemic is that working environments have become hybrid – facilitating flexibility, support systems, and resources that are key enablers to women managing their career in the long run. This has catalysed women participation, resulting in a newfound perspective to include more women in corporate roles.
It is especially pertinent in today’s times when gender diversity is directly proportional to the success of any organisation. Fortune 1000 companies run by women CEOs have witnessed three times the returns2 of S&P 500 enterprises that are run without them. According to Deloitte’s “Women in boardroom” 2022 report3, only 6.7 percent of board chairs are women, with even fewer women holding the CEO role, at just 5 percent. Companies with women CEOs have significantly more balanced boards than those led by men—33.5 percent women vs. 19.4 percent, respectively. We need to consciously aim at including talented women leaders in corporate boards. Creating an environment that nurtures and provides equal opportunities for women to grow and advance their careers will be critical to achieve this ambition. A healthy mix of women on the board brings a balanced approach in decision making and in the overall focus of the company to stay ahead of the curve.
Whether it is women in leadership roles, in the boardroom or in risk management, it is undeniable that they bring tremendous value. Here’s to the unstoppable, real, risk-taking women who are making an impact that matters to organisations.
Courtesy- https://www.businessworld.in/article/Risk-Done-Right-Women-In-Shining-Armour/07-03-2022-422251/