As industries grow more competitive and global instability increases, organizations are increasingly adopting risk management programs to help them improve their ability to adapt, develop more resilient strategies, and succeed.
Whether you are just starting your path to professional development or are considering switching or moving up in your career, this article will serve as a step-by-step guide to help you succeed in your risk management endeavors. 
What Does a Career in Risk Management Look Like?
The primary focus of risk management is to help organizations identify and predict potential risks and develop strategies to adequately prepare for or mitigate those risks. Daily duties can include monitoring and analyzing market trends, reviewing ongoing projects and their risk, reviewing company policies about regulatory compliance, meeting with various in-house divisions or executives, and preparing daily or weekly risk reports.
Types of Risk Management Positions
Within risk management, there are different positions you can hold depending on your level of experience. Most people starting their career in risk management will work as a risk analyst. In this position, you’ll support risk management superiors, with your primary duties likely involving researching and analyzing potential risks.
From there, you can move up to becoming a senior analyst or a risk manager. In this role, you may liaise with other risk management professionals, discuss risk reports with upper management, and develop and implement risk management policies.
The next step would be to become a senior risk manager or chief risk officer (CRO). In these positions, you will oversee all risk management projects and those within the department. This can involve various tasks but will likely be focused on performing audits, reviewing reports, and evaluating policies.
Step-by-Step Guide to Career Pathing Your Way to Risk Management
Risk managers often come from various professional backgrounds. You do not necessarily need a risk management degree to work in this field. That said, professional development and skill improvement are essential if you want to succeed and move up to higher-paying risk management positions.
1. Bachelor’s and Master’s Degrees
If you don’t yet have a college degree, there are various fields you can study to help you start a career in risk management. While some colleges may offer specialized risk management degrees or courses, many who work in this field have also earned business, finance, accounting, and economics degrees.
Analytics, investment, portfolio management, and business administration classes can also help. If you already have a bachelor’s degree and want to improve your chances of succeeding in risk management, you can also look into master’s degree programs in business, finance, accounting, or other related fields.
2. Certifications
If you already have a degree or aren’t interested in returning to school, you can seek professional risk management certifications to help you land your pursued role. While they are not required, they can enhance your skills and give you more of a competitive edge when you start applying for jobs.
Some common risk management certifications include:
- Risk and Information Systems Control (CRISC): Good for IT risk management roles
- Certified Information Systems Security Professional (CISSP): Ideal for those interested in cybersecurity risk management
- Certified Risk Management Professional (CRMP): Good for general risk management experience
- Risk Management Professional (RMP): For those interested in advancing their risk management career
- Certified Materials & Resource Professional (CMRP): Good for healthcare risk management
- Certified Management Accountant (CMA): For those wanting to work in financial risk management
- Enterprise Risk Management (ERM): For risk management professionals who wish to advance their skills and knowledge
These are just a few of the many different certifications available that can help you become a risk management professional. Again, while they are unnecessary, they can show your commitment and help you land a job or advance in your risk management career.
3. Practical Experience
Gaining practical work experience is an integral part of landing a job in risk management. You can do this by applying to internships related to risk management, such as those in business, finance, and accounting. You can also apply for other positions that help you develop transferable skills.
Risk management requires several soft and technical skills to succeed, such as data analysis, strategic planning, problem-solving, financial planning, market research, competitor analysis, and good communication.
In addition to gaining practical experience, it also helps to adequately prepare yourself for applying for your first job if you’ve just graduated. Having the educational experience and technical skills is only half the battle. You still need to be able to stand out during the application and interview process.
This means designing a professional resume and cover letter, refining your LinkedIn profile, creating a professional portfolio, and working on your interviewing skills. Before you apply for any job or internship, it’s also a good idea to thoroughly research the company you are applying to and use what you learn in your interview
4. Continued Learning
We cannot stress this enough: If you want to succeed in risk management, you must continuously seek new learning opportunities. Risk management is a competitive and ever-evolving field, so if you want to stand out and stay ahead, you must show initiative and update your skills and knowledge.
You can read journals, newsletters, articles, and reports. Attending workshops, conferences, and webinars is also a good idea. You can also seek feedback and coaching from mentors as well as advice on charting a career path to your desired position.
If you already work in a risk management position and are looking to advance, you can also ask your employer for continued learning opportunities. Companies should want to support your continued learning as it can also help them succeed. Continued learning initiatives encourage innovation, help companies stay ahead of industry trends, increase productivity, enhance compliance, boost retention rates, and help draw new skilled talent.
Is Risk Management Right For You?
If you thrive in high-pressure environments, enjoy solving complex problems, and are an analytical thinker, then you will likely enjoy and succeed in a career in risk management. Risk management isn’t for everyone, but it can be a rewarding career and presents numerous opportunities for growth and stability.
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