Aligning risk management and strategic planning

Aligning risk management and strategic planning

By Fabrice Fiol, MD, Deputy Head of ERM, Societe Generale

Can you please tell the Risk Insights readers a little bit about yourself, your experiences and what your current professional focus is?

My current role is deputy head of Enterprise Risk Management for Societe Generale in the Americas. I also lead the Enterprise Stress Testing team, which is one of the ERM teams, the others being Governance, Risk Identification and Risk Appetite. Prior to ERM, I held various positions in trading and market risk departments in the U.S

What, for you, are the benefits of attending a conference like the Risk Americas and what can attendees expect to learn from your session?

Industry events allow me to exchange viewpoints with my peers , from their achievements to the challenges they are facing.  As enterprise risk management covers all risk types, I have no shortage of questions!

Intellectual curiosity and business environment understanding are key attributes for all risk managers, so I am hoping to learn and discover innovative solutions to old problems.

You will be speaking on aligning strategic planning and risk management, without giving too much away, can you provide an overview as to how the two can interact?

Strategic objectives should be analyzed in the context of the firm risk appetite as well as the existing risk limit framework. What would occur under adverse conditions should be addressed from a quantitative standpoint.. I am hoping to share my thoughts on how risk management can work with the business lines as well as the finance division to deliver relevant firmwide assessments impacting scares resources allocation and ulimately the firm’s strategy.

How do you see the industry evolving over the next 6 to 18 months?

Emerging risks on the non-financial side as well macro-economics shifts should be closely monitored . Short-term rate structure changes with Sofr/Ester introduction as well as Basel III roll-outs could have a lasting impact on our industry . Finally, technology breakthroughs we are hearing about in other sectors  could make their way into financial institutions at a faster rate than previously anticipated.