Chief Risk Officer RBB at Absa

This role is accountable to the AGL Group Chief Risk Officer (Group CRO), is member of the RBB Executive Committee and the Group Risk Executive Committee, and is expected to opine on and monitor risk taking activities and report adherence to limits to the relevant risk management structures.

The RBB business consists of Retail, Business and Commercial customers and also includes the Insurance product given the bankassurance model. The incumbent has full accountability for the effective independent oversight of RBB enterprise-wide risk in accordance with the second line of defence requirements set out in the Enterprise Risk Management Framework. The RBB CRO’s primary responsibility through the implementation of the risk framework is to drive an end-to-end risk culture that leverages appropriate tools and governance structures for the measurement, reporting and control of financial and non-financial risks. The RBB CRO, with input from the RBB CEO and management manages the risk appetite framework in relation to the Board’s stated risk tolerance

Key Accountabilities

Job Description

Accountability: Risk Appetite and Strategy
 

• In conjunction with business leadership, define and support the RBB risk appetite aspiration through the annual integrated planning process.
• Actively challenge and contribute to business growth with an enablement mind-set under the agreed risk appetite construct.
• Monitor risk appetite consumption and the drivers of the underlying portfolio risk profile to inform appropriate risk management actions.
• Check and challenge collections strategies, capacity requirements and delivery to ensure an appropriate response to current market and economic dynamics.
• Drive an appropriate risk/reward ethos that optimizes RWA consumption and ensures the effective use of economic capital.

Accountability: Risk Culture and Governance

• Create and manage a rigorous risk governance structure to ensure risk transparency and effective reporting and decision-making.
• Uphold the importance of frameworks and policies and drive the embedment and assessment of their ongoing effectiveness.
• Promote risk awareness and accountability throughout the business in accordance with the ERMF.
• Identify and assign management actions to address deviations from a sound risk culture and control environment.
• Design and implement an effective system of internal controls including a clear organisation structure, formal system of delegations of authority and accountability and a framework of supervision from the RBB CRO throughout the RBB Risk Function.
• Accurate and timely representation of the RBB risk profile at various Group governance forums by driving a fit-for-purpose risk reporting standard oriented to the needs of a specific audience.

Accountability: People and Culture

• Build a clearly articulated people management and culture framework consistent with the Absa values.
• Together with the RBB Risk People Partner/s, determine and agree on the people management strategy with a focus on leadership, talent management, development, resourcing, retention and succession planning.
• Drive the RBB Risk organizational transformation and diversity agenda with a focus on employment equity targets.
• Ongoing risk function rightsizing, skills adequacy and leadership coaching.
• Defining people and function scorecard objectives and measures that aligns to the RBB Business and Group Risk balanced scorecards.
• Lead, manage and develop the RBB Risk Function resources in the most effective and efficient manner to execute the function’s plan.
• Manage the RBB Risk Function within an agreed operational budget that supports the delivery of the appropriate risk capability in support of the business strategy.

Accountability: Frameworks, Controls and Processes

• All Principal and Key Risks, as defined in the Enterprise Risk Management Framework, to be proactively identified, assessed, controlled, reported, managed and challenged on a normal and stressed scenario basis.
• Champion an appropriate operational risk management and control culture across RBB.
• The design or operation of processes and controls are to be performed by or in conjunction with BU Managing Executives or other stakeholders, with the RBB CRO to retain accountability for the effectiveness, oversight and outcomes thereof.
• Ensure a continuing business drive to maintain a satisfactory management control approach and control environment that addresses all risk types and processes.
• Ensure that the operational framework is understood and embedded across all its facets in the entire RBB business, business front office through to infrastructure, operations, control functions and assurance providers, and across the entire value chain of products, services and channels.
• Establish an appropriate strategy around emerging risk themes and mitigation approaches, including specific plans and capabilities around fraud and cyber risk.
• Design, implement and maintain a system of RBB enterprise-wide controls that achieves expeditious, concise and reliable combined assurance assessments.
• Contribute to the development of the Enterprise Risk Management Framework and ensure embedment of the principal risk types and the effective ongoing management of all risks.

Accountability: Stakeholder Engagement

• Contribute as a key RBB Exco member to the overall RBB agenda and its stakeholders, and pursuant thereto ensure that the risk agenda is appropriately governed, managed and reported to all requisite stakeholders.
• Effective participation in key risk management committees covering RBB, Group and Board Risk Committees.
• Provide leadership in regulatory engagements and regulatory bodies and represent RBB in key industry associations and forums.
• Interact proactively with the Group Chief Risk Officer to ensure that he/she is kept abreast on RBB financial and non-financial risks, key initiatives and emerging issues.
• Ensure proactive/responsive engagement with the Prudential Authority.
• Engage with the Principal Risk Officers (PRO’s) to ensure appropriate policies, frameworks and standards are developed in support of the ERMF and engage in the assurance activities of the PRO’s.

Accountability: Risk Business Management

• Effective and consistent implementation and management of the BCBS239 Principles for Effective Risk Data Aggregation and Risk Reporting.
• Ensure measures are in place to adhere to the data policies and the effective implementation and ongoing management of RDARR requirements regarding the quality of data.
• Ensure data, MIS, and reporting of risk metrics are of the highest quality and take steps to remediate data inaccuracies and improve data standards.
• Ownership and accountability for the annual planning and review of MTP, STP, and RAF risk cost budgets.
• Manage the effective and efficient operation of the function in a manner consistent with the overall Risk Operating Model in compliance with the ERMF and as agreed with the Group CRO and Group Exco.
• Consistently review the effectiveness of risk systems in place and contract for improvement or replacement where required.