Risk Management: Cleaning Out the Company Closet

Risk management is a growing industry and people with experience or training in this field are in demand. Many colleges now offer risk management programs--at degree and certificate levels.

by Jane Smallman jane.smallman@college-degrees-search.com
College Degrees Search Columnist

Following the corporate financial scandals of recent years companies are trying to forestall potential problems by practicing risk management. People with experience and qualifications in this area are in demand, and there has been a growth in the number of college programs offering risk management training.

Why Is Risk Management A Growing Industry?

The series of major corporate financial scandals of the late 1990’s, which included Enron and WorldCom, forced changes in both the law, and in the way that companies operate. A direct result was the passing of the 2002 Sarbanes-Oxley Act (SOX), which laid down new and stricter rules regarding the way that companies conduct their financial affairs. Violation of the SOX requirements brings criminal and/or civil penalties for those responsible, so companies have been compelled to make greater efforts to identify and make transparent the financial and operational risks they face.

With the enormous complexity and size of many financial systems, assessing levels of risk is a difficult task, and many companies have responded to the challenge by creating new posts for specialized risk management personnel. This has led to a dramatic increase in the demand for people with experience and training in this area, and in the number of college programs on offer.

Risk Management Training

If the idea of working in risk management interests you, the first thing you should think about is what sort of training you will need to do the job.

For a first degree, a number of colleges have associate and bachelor’s degree programs that offer risk management as a major; if you already have a degree, you can study for a certificate in risk management, or even go on to earn a master’s in the subject. Some colleges even offer these programs online.

Risk management is a growth area, so if you have an interest in the nitty-gritty of financial regulations why not take advantage of the demand for people with expertise in this area and look for a college where you can earn the qualification that will help you on your way?

Sources

U.S. Bureau of Labor Statistics

About the Author

Jane Smallman combines freelance writing with running a mountain-guiding business with her husband. She has a bachelor’s and master’s degree in the Social Sciences.

Posted on May 3, 2007 at 12:10 PM

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