Chief Risk Officer - Absa Bank

Job Summary

To develop multi-functional risk and securities operating models and frameworks in a broadly defined Business functional strategy; positioning and enabling horizontal alignment, implementation and adoption.

The leadership of the Risk franchise at a country level and contribution to ARO risk management including accountability for:

• The key purpose of this role is to ensure that the risk profile and performance is effectively managed and reported (in country and group) in an integrated, efficient and effective manner
• Development of the Risk strategy and business objectives at a country level in alignment with Country priorities, objectives and Group requirements.
• Advise Management and Board on issues relating to significant risk exposures and risk mitigation options to allow for appropriate and timely decision-making
• Advise Senior Management and the Board on the control and measurement of risks, develop and implement best practices in the management and mitigation of risks to be within risk appetite set.
• Make recommendations to the Senior Management and the Boards on the type and level of exposures and risk outcomes in each activity segment permitted by policy;
• Advise and recommend to the Senior Management and the Boards on all matters relating to risk management and the overall health of the Risk franchise at a country level;
• Managing risk in alignment with relevant policies and standards, ensuring compliance with applicable regulations and ensuring stringent utilization of financial

Job Description

Strategy Formulation:

Strategy development and implementation | Risk Management: Ensure applicable Principal Risks are in place, Direct and Influence Business Risk Activities |

Leadership and Execution:

Develop People Management Strategy | Budgetary and Financial Management: Ownership and accountability for credit risk annual planning and review of MTP, STP and revised annual forecast budget | Enterprise Risk Management Framework: Implement the ERMF for the management and oversight of all Principal and Key Risks

Key Accountabilities

Strategy development & execution

• Ensure an integrated and effective risk management framework is implemented and embedded across the bank
• Formulate policies and measurement models for the various units involved in carrying out significant risk activities that create exposures in the various activity segments in the bank.
• Monitor the external business and market environment and develop/amend risk strategies as and when required in partnership with relevant stakeholders.
• Develop and implement timely corrective actions with respect to country goals, business and financial plans to mitigate risks, emanating from threats and opportunities arising from internal and/or external environmental changes.
• Ensure that Risk is well-positioned to provide competitive and industry-leading practices, and the delivery of excellent service to our customers and stakeholders.

Financial and Resource Management

• Ensure that capital on risk is managed as a resource and desired returns on this are achieved.
• Ensure rigorous cost management within country by implementing a highly risk structured budget, monitoring and reporting process and instilling discipline within the team around cost control.
• Monitor annual risk resource utilization and implement strategies to improve the efficient allocation and utilization of resources within the country.
• Drive the effective identification, funding and resourcing of new change initiatives within the country.

Country Risk leadership

• Design appropriate structures to deliver the desired results and acquire and retain the right talent.
• Regulate, monitor and/or review control procedures and report on matters relating to exposures management and report deviations from set limits and exception to policy to the Senior Management and/or the Board for their appropriate actions.
• Work in consultation with the Board and senior management to establish the risk appetite framework and relevant risk limits or boundaries as well as the risk acceptance criteria relevant for sustainability and supportive of the Bank’s strategic objectives.
• Support change initiatives that deliver on the Bank’s strategic objectives.
• To deliver within an agreed impairment budget, ensuring that the agreed asset quality of the portfolio is maintained in line with Risk Appetite
• Influence and maintain an engaging and high performing Risk culture that is conducive to attracting, motivating and retaining a diverse group of talented employees at all levels.
• In partnership with relevant matrix stakeholders manage the performance, recruitment, remuneration, development, mobility, succession and career development of the in-country Risk team.
• Creating a motivating environment for Risk in country

Internal and external stakeholder management

• Establish and maintain networks of external stakeholder relationships in order to proactively identify opportunities to grow the Risk service of the Bank.
• Effectively engage and communicate developments within areas of activity to all relevant internal, group and external stakeholders.

Governance

• Safeguard the integrity and reputation of the bank by ensuring that the Risk Function operates within legal and regulatory requirements
• Proactively identify and mitigate potential risks;
• Determine action plans to effectively reduce and manage risk issues related to Internal Audit findings, Management Assurance findings, Compliance issues, etc….
• Interact with the different risk management specialist areas to ensure an understanding of the requirements and that risk policies and processes incorporate all the necessary elements.
• Fulfil a governance role in serving as a member of in-country executive and management committees.

Risk

• Identify and take accountability for the assigned principal risks relevant to the area in terms of the Absa Operational Risk Management framework and ensure that adequate controls are in place within the country.
• Ensure that all activities and duties are carried out in full compliance with regulatory requirements, Enterprise-Wide Risk Management Framework and internal Absa Policies and Policy Standards
• Working with the Business function heads to ensure that the country strategic objectives are delivered within the risk appetite framework set by the Bank and/or the Group.
• To create an environment where all individuals are developed to the best of their ability ensuring underperformance and talent are proactively managed.
• As a member of the country management and other executive committee, actively participate in relevant committees.
• As a member of key Absa Regional Operations and in country committees be responsible for ensuring robust oversight, reporting and effective management of principal risks
• Integral part of wider Risk Executive Team for Africa
• Understand and manage risks and risk events (incidents) relevant to the role.
• Perform regular or periodic stress-tests on risk portfolios and at least on a quarterly basis, review and approve the appropriateness of the stresses applied at the business levels.
• Also, perform semi-annual reverse stress-testing to examine the impact of selected scenarios from a ‘bottom up’ perspective.
• Incorporate the results of the stress-tests (which will inform management of the expected risk tendency of the portfolio as against the approved risk appetite of the Bank) into the risk governance structure of the Bank.
• Oversight responsibility for all principal and key risk within the risk function as established by the Bank.
• Ensure the supervision and management of all risk unit/dept. heads. To lead and drive the performance of direct reports for high/higher performance.
• Ensure that risk policies and framework, processes and procedure are customer centric and service enhancing whilst ensuring sustainability and value addition to the Bank, its shareholders and meeting the regulator’s expectations.
• Oversee and direct the enterprise-wide management of risk exposures;
• Monitor all business risk activities (including business assurance and operational risk management) within the remit of this operating environment through obtaining feedback and providing guidance for tactical plans to ensure compliance to Group standards.
• Drive a culture of proactive compliance and risk management within the country team and the function as a whole.
• Review the risk management and compliance practices of the function as a whole and highlight areas that require improvement to leaders in the team. Ensure that they understand their responsibility for risk ownership.
• On a quarterly basis, evaluate the status of Operational and Principal Risks within this function and complete the required attestations to confirm control status.
• Oversee the combined assurance process and ensure appropriate management and reporting in country and Group.

Role/Person Specification

Education and Experience Required

• Minimum 1st degree
• Minimum 12 years experience in risk management
• Experience in a large international bank
• Experience and knowledge in Credit risk management
• Experience and/or knowledge in Treasury and Market risk management
• Experience and/or knowledge in Operational and Fraud Risk management

Technical skills / Competencies (Maximum of 8 competencies)

• Bank Product knowledge
• Awareness of Basel II and IFRS9
• Regulatory, Country and Group reporting requirements
• Experience in creating/managing risk models
• Ability to think and act in a strategic manner
• In-depth knowledge of Market risk methodologies & tools
• Strong people, communication and stakeholder management skills
• Effective time management and meeting deadlines

Knowledge, Expertise And Experience (Maximum Of 6)

• Knowledge of Governance, legal and Compliance issues with its implications and consequences.
• Knowledge/practice experience of risk systems and operational processes;
• In-depth knowledge of Market risk methodologies & tools
• Analysis and Judgement: Analytical/risk assessment, assimilation and appraisal of complex data for meaning/information.
• Sound technical knowledge of risk management and risk systems
• Knowledge/practice experience of risk systems and operational processes;

Education

Postgraduate Degrees and Professional Qualifications: Business, Commerce and Management Studies (Required)