THE PARIMA RISK COMPETENCY FRAMEWORK™
The PARIMA Risk Competency Framework aims to empower and develop risk practitioners at various stages of their career. It outlines the knowledge, skills and behavioural attributes that demonstrate the relevance and capabilities of a risk professional as a trusted and strategic business partner.
What is the Risk Competency Framework?
The Risk Competency Framework is a comprehensive, APAC-specific, industry-consistent, competency model. It seeks to articulate the behaviours and skills essential for risk professionals to succeed and contribute to their organisation in a meaningful way. It also provides risk professionals with a ‘common language’ that defines proficiency at each stage of their career and further their professional development.
2,005
Risk Professionals Profiled & Interviewed
113
Risk Management Job Descriptions Reviewed & Mapped
92
Final Competencies Shortlisted & Validated
The Development Process
The PARIMA Risk Competency Framework was developed through multiple rounds of research. Data was gathered from a diverse range of sources to provide insights into the building blocks for the competencies. Sources include future and industry trend reports, job descriptions, one-to-one interviews, external benchmarks and profiling questionnaires. The findings from each round were validated and extended in subsequent rounds. This approach was used to ensure the rigour of the research and thus enhanced its credibility and relevance.
ROUND 1
Market Research
Future and industry trend reports were studied alongside existing risk competency models, skill libraries and job banks. More than 79 different job descriptions were reviewed and compared to extract common themes and career levels.
ROUND 2
Insights & Interviews
Managers and senior executives across Asia provided their profiles, responsibilities and shared their views on the ideal risk role, key success factors for Risk Managers today and what is required to be future-ready.
ROUND 3
Mapping & Validation
The competency model went through several enhancements and review. Risk professionals provided ratings regarding the accuracy, relevance and importance of the competency model’s content. The model is refined based on this data.
"You need to be able to quantify your risk and therefore being able to understand data and formulate a strategy based on it is important."
Saurabh VermaChief Insurance Officer, Reliance Industries 
WHO IS THIS FOR?
Risk practitioners
of all levels
Use the competency framework as a road map to achieve their professional goals, build their skills and capabilities
Managers &
team leads
Evaluate employees on their competencies to improve hiring, performance expectations, career development and succession plans
Recruiters
Refer to the competency framework to ensure they are seeking the full breadth and depth of skills required for risk professional roles
Organisations
Build their internal risk capability across different functions and business units and embed a risk management mindset
WHO IS THIS FOR?
Risk practitioners
of all levels
Use the competency framework as a road map to achieve their professional goals, build their skills and capabilities
Managers &
team leads
Evaluate employees on their competencies to improve hiring, performance expectations, career development and succession plans
Recruiters
Refer to the competency framework to ensure they are seeking the full breadth and depth of skills required for risk professional roles
Organisations
Build their internal risk capability across different functions and business units and embed a risk management mindset
The Competency Model
The PARIMA Risk Competency Framework was created based on combining all inputs gathered to date. After multiple rounds of review and validation, 5 categories emerged as key elements.
Risk Technical Skills
Business Knowledge
Relationship Management
Judgement and Decision Making
Learning Agility
Risk Technical Skills
are the functional knowledge of risk principles, practices, tactics, tools and processes across the various specialisation areas.
Business Knowledge
is the understanding of an organisation's activities, components and operations that is needed to derive actionable and practical risk insights to achieve strategic goals.
Relationship Management
is the ability to manage internal and external interactions to provide risk-related services and support the needs of the organisation.
Judgement and Decision Making
is the ability to access and interpret information and risks, from sound and evidence-based judgements, make choices and take accountability for results.
Learning Agility
is about keeping abreast of new developments, promoting knowledge management and risk culture, while being innovative and open to new ideas and approaches.
Risk Technical Skills
are the functional knowledge of risk principles, practices, tactics, tools and processes across the various specialisation areas.
Business Knowledge
is the understanding of an organisation’s activities, components and operations that is needed to derive actionable and practical risk insights to achieve strategic goals.
Relationship Management
is the ability to manage internal and external interactions to provide risk-related services and support the needs of the organisation.
Judgement and Decision Making
is the ability to access and interpret information and risks, from sound and evidence-based judgements, make choices and take accountability for results.
Learning Agility
is about keeping abreast of new developments, promoting knowledge management and risk culture, while being innovative and open to new ideas and approaches.
"The major challenge in Japan is to convince people why and make them believe that Risk Management is important."
Satoshi HoshiPreviously Senior General Manager of Risk Management, Mitsubishi Heavy Industries 
The Competency Assessment Tool
Risk Managers can take the PARIMA Risk Competency Assessment© to determine their proficiency across the 5 categories. The profiles generated would provide a visual summary of the areas of technical expertise a Risk Manager specialises in, their strength across different business domains, as well as their perceived capability on relationship management, judgment and decision making and learning agility.
The Competency Model
The Proficiency Levels
Foundational
(STAFF/ENTRY LEVEL)
Intermediate
(SUPERVISOR/MANAGER)
Advanced
(SENIOR MANAGER)
Expert
(EXECUTIVE/C-SUITE)
HOW TO GET THE BEST OUT OF THE RISK COMPETENCY FRAMEWORK
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FOR INDIVIDUALS
- Join PARIMA as a Member to access the dashboard for your profile.
- Take the Risk Competency Assessment Tool to gauge your proficiency level for each skill category.
- Gain access to the complete Risk Competency Framework report to understand your results better and take necessary steps for your career progression
- Join PARIMA workshops and take advantage of materials provided through the Member Area to strengthen specific sub-skills
- Be a Certified Risk Professional through the PA-CRP Certification Programme and learn how to integrate your skills into your work as a risk manager
FOR TEAMS AND ORGANISATIONS
- Come discuss with PARIMA how you could use the Competency Framework in your team and/or organisation
- Support this initiative and connect with us to discuss partnership opportunities
