Amrae president calls for fresh approach to risk, as WEF highlights challenges in geopolitical, cyber, and climate change

Brigitte Bouquot, president of French risk management association AMRAE, called on risk managers to take a “forward-thinking” approach to help businesses tackle complex modern risks including geopolitical, cyber, and climate change issues. 

Bouquot says risk management has evolved and is no longer “defensive” or “just about insurance and prevention”. She also says modern risk managers can help to shape their company’s future strategy.

Speaking to StrategicRISK, she says risk managers have a responsibility to guide their business through change: “It is about being well-educated and having a good understanding of challenges in the economic world and being able to help with these challenges. Risk managers should not just be seen as someone with sole expertise in risk and insurance, but as someone with a broader strategic role.”

Risk is not something for top executives to delegate. It is about being resilient for the future. Risk management is a tool for the board.”

Bouquot, who holds the role of VP risk and insurance manager at French aerospace company, Thales, adds: “Risk is now closer to the board, and it is an integral part of company thinking. Risk managers need to be leaders. It is not our role to know everything, but to make sure businesses are connected, in order to identify risks and establish action plans.”

Transformation is the key theme of this year’s conference, as global businesses contend with technological advancements, globalisation, and changing business models. Bouquot says risk management should be “at the heart of company transformation”.

Resilience for the future

She adds: “Risk is not something for top executives to delegate. It is about being resilient for the future. Risk management is a tool for the board.”

Bouquot believes risk managers face difficulties in 2019 in a “dramatically-changing” world: “The world faces a paramount challenge, from climate change to mastering new technology,” she says. “On top of this, there is a crisis of trust in the real world and the economy.”

Amid concerns over global stability and climate change, Bouquot says risk managers have an opportunity to influence their company’s future strategy for the better: “Businesses are thinking more about why they operate, as well as their social responsibilities. Risk management will be a key part of their transformation.”

New tools

During the conference, Amrae is set to announce a series of initiatives to help risk managers. One of which focuses on cybersecurity.

Amrae has partnered with French regulator Agence Nationale de la Sécurité des Systèmes d’Information (ANSSI) to produce a cyber risk document for members. The paper aims to help managers understand changing regulation.

“Risk managers should not just be seen as someone with sole expertise in risk and insurance, but as someone with a broader strategic role.”

Amrae has also launched a tool for small businesses, which will help companies with risk mapping in four hours.

Bouquot says the Amrae body will continue to provide resources for members: “We work in a diverse number of sectors, but all share the view that risk is a key topic. We are able to provide education and training to make sure risk managers are well supported and connected.”

Looking ahead, Bouquot believes global companies will face familiar risks this year, including business interruption, cyber attacks, and reputational risk. Yet she believes uncertainty about the economic and political model, demonstrated by upheaval in France and Britain, is an unknown heading into the next 12 months.

She adds: “Will Europe remain strong? How will the US/China situation have an impact? And how will the global economic model be affected? That is the question.”