18
December
2020

Chief risk officer /

Chief risk officer

Business Term of the Day

Definition

The chief risk officer is a member of a company’s management responsible for identifying risks so that the organization may avoid them or at least mitigate their possible impacts.

Example sentence

Working as a chief risk officer for a large bank requires long experience in the banking sector and an ability to identify, quantify, and manage financial as well as nonfinancial risks.

Comment

A chief risk officer (abbreviated CRO) is usually a member of an organization’s Board of Directors and reports to the Chief executive officer. This position requires not only many years of experience in corporate finance and in business generally but also knowledge and skills in many other areas because the range of possible risks is expanding. These areas may include legal and regulatory matters, IT and technology, intellectual property, reputation, human resources, and even climate change. A CRO needs to monitor constantly the business environment and its changing practices in order to define and respond adequately to new risks. These days, most CROs are thinking about how the spread of Covid-19 will and could impact their businesses and what can be done to mitigate these damages and risks.

Definice

Chief risk officer je člen managementu společnosti odpovědný za identifikaci rizik, tak aby se jich daná organizace mohla vyvarovat nebo alespoň zmírnit jejich případný dopad.

Příklad použití ve větě

Práce Chief risk officera velké banky vyžaduje dlouhodobou zkušenost v bankovním sektoru a schopnost identifikovat, kvantifikovat a řídit jak finanční tak nefinanční rizika.

Poznámka

Chief risk officer (v češtině někdy nazývaný také jako ředitel pro rizika) je obvykle členem představenstva organizace podřízený generálnímu řediteli. Tato pozice vyžaduje nejen mnoho let zkušeností v podnikových financích a podnikání obecně, ale také znalosti a dovednosti v mnoha jiných oblastech, protože rozsah možných rizik se stále zvěšuje. Tyto oblasti mohou zahrnovat právní a regulatorní záležitosti, IT a technologie, duševní vlastnictví, reputaci, lidské zdroje nebo třeba i změnu klimatu. Chief risk officer musí neustále monitorovat podnikatelské prostředí a změny, ke kterým v něm dochází, aby mohl definovat nová rizika a adekvátně reagovat. Dnes se většina ředitelů pro rizika se zabývá tím, jaký dopad by mohlo a bude mít na jejich organizaci šíření koronaviru a jak škody a rizika  minimalizovat.

Business Term of the Day

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Business Term of the Day

English Editorial Services’ mission is to assist international businesses and organizations of all sizes to communicate clearly, correctly, and persuasively with their business partners and target audiences.

Simply subscribe to receive our Business Term of the Day at no charge to your inbox each business day, with explanation in English and Czech.

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