Standardized Risk Management Framework and deeper digital integration essential to manage Covid like crisis: Sunil Mehta
Launch of PRMIA's Delhi chapter
Hyderabad: The Professional Risk Managers' International Association (PRMIA), a global forum for the development and promotion of the risk profession, has launched its 50th chapter in New Delhi. It was digitally inaugurated with discussions on "Evolving Role of Risk Management in the Times of COVID & Beyond."
The webinar deep dived into the unforeseen challenges being faced due to the COVID pandemic, various challenges faced and lessons learned from the crisis, the playbook towards standards and best practices to ensure operational resilience in the future. In attendance were leaders from the financial sector: mainly comprising C-Suite Executives and Senior Risk Professionals from Banks, Asset Management Companies, Non- Banking Finance Companies, Insurance Companies, besides students and members from the media community.
Chief Guest of the event, Sunil Mehta - Chief Executive of Indian Banks' Association - virtually inaugurated New Delhi Chapter. He highlighted the emerging reputational, environmental, and people risk over and above the traditional credit, market and operational risks in this context. Trust, transparency and confidence are the foundation of the BFSI sector. He appreciated PRMIA's efforts in promoting risk management ecosystems and recommended building enablers to mitigate risks emerging from COVID like events in the future.
"Reputation risk arising from small internal control failure can cause more loss than the total of all risks taken together. Indian banking and economy have sailed through the COVID rather smoothly due to faster digital adoption and proactive policies and strategies adopted by the government, regulators, leading players and public", Sunil Mehta emphasized.
Srinivasa Rao Sureddi, Dy. Managing Director & Chief Risk Officer at State Bank of India (SBI), the Guest of honor in the event, highlighted how pandemic had been a high dimension stress test. Lessons learned include adopting an agile and standardized risk management framework, building a local supply chain and liquidity for financial and non-financial institutions.
This was followed by a panel discussion moderated by Sudhir Kumar Tyagi, General Manager & Director of State Bank Institute of Credit and Risk Management. Besides Shrinivasa Rao Sureddi, Sriram Sri Kannan - Sales and consulting leader from Amazon Web Services and Narendra Patra - SVP (Risk) at Axis Bank, participated in the panel discussion.
The panel explored the challenges, dimensions, impacts, and lessons from a Risk Management perspective. The ways and means to adopt cost-effective, future-proofing digital infrastructure, deeper digital integration, mitigants to work from home, liquidity-driven demand creation, analytical stress tests, a sharper focus on people and reputational risk, and continuous compliance monitoring to mitigate data and privacy risk to stay ahead of such crisis in the future.
Ken Radigan, CEO of PRMIA Global, thanked volunteers for the excellent work. He announced a partnership with SRICHID Academy to boost risk training and job placement assistance to India's PRMIA community, which was appreciated by participants with thunderous applause.
Nirakar Pradhan, CEO of PRMIA India, welcomed guests and highlighted its impressive journey in India during the last two years. Even though a late starter in the country, PRMIA has opened four chapters and conducted 16 market events.