Apac
  • Home
  • CXO Insights
  • CIO Views
  • News
  • Conferences
  • Newsletter
  • Whitepapers
  • About us
Apac
  • Admired Tech

    Agile

    AI Healthcare

    Artificial Intelligence

    Augmented Reality

    Aviation

    Big Data

    Blockchain

    Cloud

    Cryptocurrency

    Cyber Security

    Digital Transformation

    Drone

    HPC

    Infrared

    Internet of Things

    Networking

    PropTech

    Remote Work

    Scheduling Software

    Simulation

    Startup

    Storage

    Wireless

  • Banking

    E-Commerce

    Education

    FinTech

    Food and Beverages

    Healthcare

    Insurance

    Legal

    Manufacturing

    Pharma and Life Science

    Retail

    Travel and Hospitality

  • CISCO

    Microsoft

    Oracle

    Salesforce

    SAP

    ServiceNow

  • Business Intelligence

    CEM

    Cloud-based Planning

    Cognitive

    Compliance

    Contact Center

    Contact Tracing

    Contactless Payments

    Content Management System

    Corporate Finance

    CRM

    Custom Software Development

    Data Center

    Enterprise Architecture

    Enterprise Communications

    Enterprise Contract Management

    ERP

    Field Service

    HR Technology

    IT Service Management

    Managed Services

    Procurement

    Product Management

    RegTech

    Revenue Management

Menu
    • Risk Management
    • Cognitive
    • Digital Transformation
    • E-Commerce
    • Blockchain
    • RegTech
    • IT Service Management
    • Augmented Reality
    • Microsoft
    • Contact Center
    • Collaboration
    • Healthcare
    • MORE
    #

    Apac CIO Outlook Weekly Brief

    ×

    Be first to read the latest tech news, Industry Leader's Insights, and CIO interviews of medium and large enterprises exclusively from Apac CIO Outlook

    Subscribe

    loading

    THANK YOU FOR SUBSCRIBING

    • Home
    • Risk Management
    Editor's Pick (1 - 4 of 8)
    left
    Risk Assessment Keeping Cyber Bully Away

    Paul Ernst, CIO, Sandler Capital Management

    Digitization Transforming Business in all Sectors

    Robert Aitken, CIO, Beyond Bank Australia

    Trend Micro: Nurturing Risk Management with Hybrid Cloud

    CEO & Co-founder

    Ensuring your Seat on the Leadership Table

    David Otte, CAO and CIO, Bingham Greenebaum Doll LLP

    Cyber Fraud - the Silent Killer

    Bill Murphy, SVP, CIO & CRO, Fidelity Bank of Florida N.A.

    All Roads Lead to Risk Assessment

    Christopher R. Barber, EVP & CIO, Commonwealth Business Bank

    Fintech: Opportunities and Challenges in APAC

    Huankiat Seh, Co-founder and CTO, CoAssets Limited

    Big Data Analytics - Finding Diamonds in the Rough

    Fulvio Barbuio, Head Corporate Treasury and Risk, Australian Broadcasting Corporation

    right

    Taking Risk ...Well

    By Sean Hughes, Chief Risk and Legal Officer, UniSuper

    Tweet
    content-image

    Sean Hughes, Chief Risk and Legal Officer, UniSuper

    Readers of this publication will readily appreciate the benefits and opportunities which technological innovation has delivered to society over the course of your careers. My grandmother learned to cook for her brothers and sisters over an open campfire on her family’s farm, and by the time she died she had mastered the art of microwave meals. But in all the technological advances she witnessed and experienced in her lifetime – one thing remained constant. With all the benefits of emerging technologies and consumerism, she still had to manage risks–some of them simple and foreseeable, others which were far beyond her control or imagination.

    For those of us in the financial services sector, risk management is the oxygen in our blood. Without risk-taking there is no return, and without return, there is no capital flow to businesses and the broader economy will falter. Yet, over my time working in financial markets, we have seen some examples of the worst form of risk-taking: naked, ruthless, brutal, careless and ignorant behaviour which has infected the financial health of individuals, families, companies, and communities.

    “Cyber resilience is a critical competency for corporates and their senior management personnel, as well as the demonstrable ability to have a robust capability to identify, control and respond to cyber risk events”

    A common response has been to impose more and more compliance obligations to manage political, populist, and community expectations that “something must be done”! And boards are playing an increasingly forensic role in seeking assurance from management that mistakes must be avoided and failures should be punished.

    Have we now reached a point where the addition of ever more demanding obligations to catch those who would do harm, risks curtailing legitimate commercial enterprise, including (good) risk taking? Can we ever create a society in which no harm will be done, no loss suffered and no failure occurs? Is perfect the new normal? And what particular impacts will this have in the technology sector?

    Fintech is leading the latest wave of innovation and creativity

    in the way in which traditional financial products and services are developed and delivered. Fintech is also creating new channels to meet consumers’ needs more efficiently and cost-effectively. As with each wave of societal advance, this creates both opportunities and risks.

    1. Fintech arguably cuts out the middle layer of intermediaries and enables consumers to access products and services directly from a range of manufacturers. Data analytics assists both product developers and consumers to better understand needs and risk appetite, ideally leading to better tailored outcomes. More nimble and agile fintech competitors will challenge traditional businesses operating antiquated legacy systems to become more efficient, responsive and competitive, or their sustainability will be threatened.

    2. Public authorities should be able to access data and apply tools which don’t just tell them what went wrong and what harms may have been prevented or avoided (‘near misses’) – but more critically, better anticipate and foresee threats on the horizon which might be preventable and avoidable. The potential for regulators to be more than first responders at the bottom of the cliff is too great an opportunity to be passed up.

    3. Enhanced inclusion of marginalised communities and developing economies is a real possibility through the broader reach of digital finance capabilities such as mobile banking apps, peer-to-peer lending for micro and small businesses and blockchain for settlements.

    With these benefits, come some threats and risks which all market players and gatekeepers have a role to control. The most common policy panacea to manage the disparity in bargaining power between financial consumers and businesses has traditionally been disclosure. So the theory went: consumers would read and understand all the features, benefits and risks of the product or service offering they were entering into, not just at inception, but on a periodic basis for the life of the contract or arrangement. The assumptions underpinning that theory of consumer protection were seriously undermined by events which unfolded not only before but increasingly during and after the financial crisis. Learnings from consumer experiences over that period and behavioural analysis of consumer and investor behaviour has led to a significant re-think of what tools are better equipped to address this risk of mis-matched expectations and outcomes.

    With the increase in speed and accessibility of product delivery through technological innovation, the risk of harm too is increasing through incidents such as cyber-attacks, misuse or theft of data and identity. Cyber resilience is a critical competency for corporates and their senior management personnel, as well as the demonstrable ability to have a robust capability to identify, control and respond to cyber risk events.

    The evolving and dynamic nature of the global economy, coupled with enhanced borderless e-commerce capability and the constraints on law-makers and regulators to operate outside their geographic boundaries, means that risk management in the fintech era is both challenging as well as exciting. Underpinning much of what good risk managers do is the preservation of a relationship of trust between product and service providers and their customers.

    Just as my grandmother had to trust in her ability to use more complex and intangible products over her lifetime, we are asking our financial consumers to trust us that we will develop and deliver the right products to them and we will make good when we get it wrong. Regulators and law-makers are constrained by what they can do with one eye on the past, but good risk managers can look ahead and help us try to avoid getting our fingers burnt.

    UniSuper manages the retirement savings for more than 400,000 Australians and other nationalities working in the university; higher education and research sector, and has approximately a $54.7 billion in assets under management.

    tag

    Financial

    Weekly Brief

    loading
    10 Most Promising Risk Management Solution Providers - 2017

    Featured Vendors

    Delta Insurance

    Ian Pollard, Co-Founder & MD

    Broadridge

    David Becker , MD, Asia Pacific

    ON THE DECK

    Other 2021

    Top Vendors

    Content Management System 2020

    Top Vendors

    Previous Next

    I agree We use cookies on this website to enhance your user experience. By clicking any link on this page you are giving your consent for us to set cookies. More info

    Read Also

    Transforming business performance by taking an outside-looking-in customer perspective

    Transforming business performance by taking an outside-looking-in customer perspective

    Graham Perry, Managing Director, BWH Hotel Group Australasia
    Winning the Customer Service Rush During the Holiday Returns Season

    Winning the Customer Service Rush During the Holiday Returns Season

    Mark Abramowitz, SVP Marketing, Service Cloud at Salesforce
    MOBILE APPS IN THE NEW DECADE

    MOBILE APPS IN THE NEW DECADE

    Bibaswan Banerjee, Director, CRM and User Analytics, Klook
    Covid-19 and Lessons from the largest Work from Home Experiment

    Covid-19 and Lessons from the largest Work from Home Experiment

    Vikas Verma, Director Human Resources, United Overseas Bank
    Reimagine the Future of Education in a post-COVID-19 World

    Reimagine the Future of Education in a post-COVID-19 World

    Samson Tan, Head, Centre for Innovation in Learning, National Institute of Education
    A creative approach to remote simulator installations

    A creative approach to remote simulator installations

    Sharon Cooke, CEO, Airways International Ltd
    Priority 2021: Achieving 100% Automation in Finance

    Priority 2021: Achieving 100% Automation in Finance

    Ekaterina Sejourne, CFO, Puma Energy Asia Pacific Pierre Costa, Global CIO, Puma Energy
    Tech Tonic: How technology is helping the travel sector recover from the impact of Covid-19

    Tech Tonic: How technology is helping the travel sector recover from the impact of Covid-19

    Patrice Simon, CTO Data and Analytics, CWT
    Loading...

    Copyright © 2021 APAC CIOoutlook. All rights reserved. Registration on or use of this site constitutes acceptance of our Terms of Use and Privacy Policy  |  Sitemap |  Subscribe

    follow on linkedinfollow on twitter follow on rss
    This content is copyright protected

    However, if you would like to share the information in this article, you may use the link below:

    https://risk-management.apacciooutlook.com/cxoinsights/taking-risk-well-nwid-3917.html