Some people may say that Risk Management isn’t the most flashy job in the world, but there’s simply no denying that it is most certainly a degree of utmost importance. Risk Managers can be a powerful strategic tool that gives business that use them an edge in the market. It is a job that, as the name implies, largely focuses on studying statistics and figuring out what the acceptable rate of failure is so one can make a choice to minimize risk.
What do Risk Managers do?
Risk Management people are the type of people that are called in when a tough decision needs to be made about, say, two drastically different directions of a business, or if a business should invest in health insurance or hire new lawyers. The reason why they are so important is because all businesses want to avoid as much risk as possible when making decisions, but taking risks are essential for growth, and unless businesses want to remain stagnant they must take them. A balance must be found between taking positive risks (potentially amazing opportunities) and avoiding, or at least, minimizing negative risk (potentially threatening pitfalls).
As students can probably imagine, the amount of jobs for this degree are simply astronomical. Every business, and even some people, need a risk manager at one point and time before making a decision that could either make or break their future for them. There are different types of risk management, and a brief overview of them will give one the clear insight needed to see how many careers are possible in this immense field.
What are the types of risk management?
Financial risk: This is the risk that means the loss of key resources, like a loss of funding. Potential Career: Financial manager—median financial wage (MFW) from the Bureau of Labor Statistics (BLS) – $103,910 in 2010.
Credit, Investment, and Market risk: Credit risk is when a business cannot make payments as initially assumed and promised, while investment risk happens when the investor losses his initial investment and interest. Market risk is about risks business encounter on the market, like stock and foreign exchange rates. Potential Career: Stock Broker—MFW from BLS – $70,190 in 2010.
Operational Risk: Preventing financial loss or damage to a business’s public census when internal people, systems or equipment fail due to external events. Potential Career: Financial Analysts—MFW from BLS – $74,350 in 2010.
There are many more types of risk, but the point is that there are several high paying career paths for risk managers, and they embody several different types of careers.
What students learn and the benefits of online learning
Students will learn new things about minimizing the many types of risk everyday, both while studying for the degree and over the course of their entire career. They gain the ability to make decisions under pressure, critical thinking skills, and learn to appreciate the satisfaction of witnessing a company grow as a result of a successful decision made on the student’s part. Students who like pushing themselves to their limits will enjoy the challenge associated with such an ambitious career path.
Taking Risk Management courses online not only nets students the ability to plan their studies around their busy schedule and social life, but it also gives them an advantage in particular that gives them an edge over students taking the course traditionally—taking the course online gives them many more business connections in the long run, which are essential for success in any field.