What are the qualities of risk committee chairs?

In April 2018, NEDonBoard hosted a Risk Committee Board Best Practice® evening event. Marcia Cantor-Grable was one of the panelists and NEDonBoard had the opportunity to interview her ahead of the panel discussion to get her view over the essential qualities that a risk committee chair should possess.

As our September Chair Board Best Practice® event is approaching, we bring to you a teaser for a great upcoming evening, which we strongly encourage you to attend. Book your attendance here.

What are the qualities of risk committee chairs? Expert interview with Marcia Cantor Grable.

The qualities of the risk committee chairs are not that different from other chairs of specialist committees such as the audit committee.

A “deep seeded knowledge of the industry” in which the Company he/she serves on is. The Chair will benefit from having operating experience in the same industry.

“Curiosity and drive to understand the business model of the Company”. This second point is about having the understanding of where risks will arise and the ability to help other members of the risk committee in understanding where their respective areas of expertise and interest might touch upon those risks. 3.

Ability to build an inclusive environment. The risk committee Chair will conduct and ensure that there is an inclusive discussion. He/she will seek to ask probing questions and bring others into the discussion. The Chair will in many ways “nudge people into provocative areas to ensure that the risks are fully covered off”. 4.

Humility. It is important to keep the “ego checked out at the doors”. What matter in the risk committee are the quality of the conversations and what the decisions are that come out. 5

Healthy level of skepticism. The Chair is professional and inclusive and potentially uses a sense of humour to diffuse difficult conversations.

NEDonBoard thanks Marcia Cantor-Grable for her contribution to the Risk Committee, Board Best Practice white papers and evening event.

Marcia Cantor-Grable is building her non-executive portfolio following a 35+ year career with blue chip financial services companies, principally Prudential plc, GE, and, Mellon Bank. She has operated at Board and Executive Committee levels in global and regional positions as chief executive, chief risk officer, chief compliance officer, capital markets and product management leader. Currently she holds Board positions at Societe Generale International Ltd., where she chairs the Board Risk Committee, and, the Institute and Faculty of Actuaries, where she is a lay member of the Regulation Board. Until it was sold to the Bank of England in November 2017, she was a member of the CHAPS Co Board, where she also chaired the Risk Committee. Marcia is a NEDonBoard member.

The recording of our Risk Committee Board Best Practice® panel event, the white paper that was produced by the taskforce as well as our expert interviews will soon be available to members of the NEDonBoard network. If you are not yet a member, join the NEDonBoard community today.

Please visit our Board Best Practice® webpage and past blog post for more information on our Board Best Practice® series.

Please e-mail [email protected] to express your interest in contributing to our of our upcoming Board Best Practice® initiative. We also welcome input and ideas from the NEDonBoard community.