The Role of a CRO (Chief Risk Officer)

In this article, the VP of content at Falcon, former director of content for performance marketing and deputy managing editor of Investopedia, Will Kenton, writes about the role of a CRO (Chief Risk Officer) in a company.

Role of CRO

Beginning with the definition, a CRO is an executive responsible for identifying and managing both external and internal potential risks to the company. It takes years of experience in accounting, economics, legal, or actuarial backgrounds to become a CRO. The primary role of a CRO is to make sure that the company abides by government regulations and to evaluate the factors that might vandalize the company’s investments.

Kenton writes that the risk landscape is constantly changing and growing complex, ergo a CRO is expected to be capable of adapting to new technologies, organizational changes, and all in all match a rapidly changing world. CRO challenges are mostly regulatory, competitive, and technical. Apart from these, a CRO should also anticipate procedural issues that might draw threats in the future, and develop alternatives in order to safeguard the company’s people and company’s data confidentiality.