FERMA president urges record number of attendees to join ‘risk revolution’

This year’s FERMA Forum, celebrating its 50th year, is the largest ever gathering in its history, with more than 2,800 participants, Charlotte Hedemark, president of FERMA, told delegates in her opening remarks at the conference yesterday (Monday October 21).

She described the high level of participation in the Forum, the theme of which is ‘Join the Risk Revolution’, as a real testament to how far FERMA has come in five decades and said it demonstrates the relevance of such a gathering at European level to complement work being done at national levels.

Commenting on the theme of the Forum, she said it reflects the idea of embracing a transformative approach to risk management and a shift in mindset from old-school, reactive methods of managing risks to a more proactive, strategic and integrated approach.

“The idea of revolution encourages us to think of the ways we can and must adapt to rapidly emerging risks, like cyber threats, climate change and the potential challenges of AI. It also incites risk managers to step into a more collaborative, strategic role, becoming central to their organisations, working across functions and with leadership, contributing both to long term resilience and to growth,” she told delegates yesterday.

She said the phrase ‘risk revolution’ should also reflect the ideals of risk managers being innovative and agile. “We need to find ways to respond to risks in real time, but also to adopt new tools and solutions, like AI or advanced data analytics to improve risk detection, prediction and mitigation,” she said. 

“That invitation to join the risk revolution prompts us to think about a change in culture, moving towards one where risk awareness is embedded across organisations and in which all colleagues understand the importance and value of proactively managing risks.

“This is a call to action. A rallying cry to us all to actively participate in reshaping and redefining risk management to meet the demands of an increasingly complex, interconnected world.”

Hedemark also reflected on how the risk landscape has changed over 50 years. She said members now face a rapidly changing and interconnected set of risks, driven by technological advancements, a climate crisis and geopolitical instability. “Resilience and adaptability are key to managing these evolving threats,” she said. 

“Risk managers today are faced with the twin challenges of responding to immediate, short-term shocks at the same time as integrating longer term concerns, like adapting to climate change and the green transition. As they join the risk revolution, the role of the risk manager is changing.”

She said these themes are also reflected in the findings of the Global Risk Managers Survey, also launched yesterday (see p6). The survey, which takes place every two years, gathers the views of risk managers across Europe. 

“The idea of revolution encourages us to think of the ways we can and must adapt to rapidly emerging risks.” Charlotte Hedemark, FERMA

After summarising some of the survey’s findings, she went on to explain more about how FERMA is supporting risk managers. She said the federation seeks to “connect, influence and empower” the risk management community and enhance the profile of the profession across Europe—and beyond.

“As we look to the future, I am pleased to say that we have a busy and proactive year ahead,” she said.

In terms of advocacy, she said FERMA will continue to push for risk-based approaches to be integrated into key areas of European legislation, like digitalisation, sustainability, risk transfer and enterprise risk management. 

It also recently published its policy manifesto for 2024 to 2029 which aims to “make Europe risk ready for a brighter future”.

The manifesto, which was developed in close collaboration with members, presents EU policymakers with four priorities for the current institutional mandate and outlines how FERMA can contribute to those goals.

Hedemark noted that a major focus for FERMA has been its new EU policy notes to help risk managers with the implementation of key EU legislation. Over the course of the Forum it has also held several Fast-Track FERMA learning sessions with experts on some key topics including AI, sustainability reporting and cyber.

“FERMA will continue to push for risk-based approaches to be integrated into key areas of European legislation.”

“FERMA is committed to equipping risk managers with the tools and frameworks needed to adapt to the changing risk environment,” she said. “Our new ERM committee is developing practical, risk management guidance to empower risk managers to influence decision-making at the highest levels.”

She added that a white paper outlining this guidance will be published next year.

Hedemark also spoke about FERMA’s newly established Foresight Committee, which brings together experts from various fields such as strategy, climate, AI, economy and law. “We will use their perspectives on future risks and opportunities to ensure that FERMA remains at the forefront of trend analysis and strategic planning,” she said.

“FERMA will continue to provide a platform for dialogue on some of the thornier issues of the day, bringing all stakeholders around the table to discuss topics including ways to close the cyber and climate protection gaps, insurance for transition-related activities, among others.

“And, of course, we have our eyes on boosting the professionalism of the risk management sector through the Rimap certification process. We are creating pathways for young talent to join our vibrant industry.”

She noted that in attendance are a number of students from the University Autónoma de Madrid, the University Paris Dauphine and via its partnership with the European University College Association, as well as a number of students via member associations. 

In conclusion, she said: “Over the past 50 years, the risk management profession has evolved rapidly. The strategic actions we are taking at FERMA reflect our commitment to addressing the needs of risk managers across Europe while navigating this change and readying ourselves for the next 50 years. I welcome you all to this Forum and invite you to join me in the risk revolution.”

FERMA Forum Today is in partnership with Captive Review, part of Newton Media.

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