APAC risk managers optimistic about 2021 outlook, says GARP
A report from the Global Association of Risk Professionals (GARP) shows most Asia-Pacific risk managers are optimistic, with COVID-19 and economic uncertainty emphasising the need for organisational risk management.
This marks a strong contrast with a similar report prior to the pandemic, in 2019, when Asia-Pacific risk managers reported the lowest percentage of bonuses or commissions among all surveyed regions, as well as the highest percentage of professionals earning less than US$100,000.
The new report – which surveyed more than 800 APAC members and 2,100 risk professionals globally – revealed nearly 72% of APAC risk managers reported a salary increase in the past year. And 36% said they received pay raises of 6 per cent or more, compared with 29% in EMEA and 21% in Americas.
Eighty-two per cent of APAC respondents said they would recommend risk management as a profession.
"We’re living in a time of rapid change, with risks to companies growing because of increasing international linkages, the use of technology, and the emergence of new risks related to climate change, cyber, and financial crime,” said Richard Apostolik, president and CEO of GARP.
“Professional risk managers have become indispensable in assisting financial institutions of all sizes around the world in meeting their strategic and business objectives.”
Rising need for risk management
The survey suggests a greater need for risk management has left some organisations understaffed. Throughout the COVID-19 pandemic, workloads either “increased significantly” or “increased slightly” for 71% of global respondents, with COVID-19, regulation, and new technology as the top factors driving this increase.
It therefore comes as little surprise that around two thirds of APAC professionals anticipate their organisation’s risk management department will take on more staff in the coming year, compared with around half of EMEA respondents and two fifths in the Americas.
“Despite higher workloads and other challenges, Asia-Pacific risk professionals will likely be in a better place after the pandemic than they were before it,” says Louise Holden, vice president of GARP Membership and Chapters. “The outlook in this report reveals a bright future.”
To learn more about the state of risk management careers and insights into future opportunities, read the GARP Risk Careers Survey: Executive Summary.