Businesses are subject to risk from both internally and externally. These risks could harm the business’ productivity and eventually productivity. For this reason, business enterprises have embarked on hiring risk officers whose main role is to assess and provide mitigation against competitive, technological and regulatory threats to the business enterprise. This includes ensuring compliance with both regulatory and internal policies, understanding competition actions which could affect the enterprise’s productivity and ensuring that the enterprise is protected against any external threat. Risk officers are responsible for implementing operational risk management and mitigation processes to safeguard against losses resulting from inadequate internal procedures, systems or policies. Operational risk management involves planning for activities meant to ensure business continuity and recovery. An enterprise can choose to recruit fulltime or part-time risk officers.
There are several advantages to recruiting part-time risk officers. These include:
• Less overhead costs. Employees working for lesser hours are not eligible for some of the services that the employer is giving full-time employees thus reducing overhead costs in the business.
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• It gives the enterprise the ability to recruit competent risk officers with desirable characteristics. Most part-time employees have sufficient and broad knowledge of business risk thus offering adequate qualities in the business.
However, there are several disadvantages of recruiting part-time risk officers. These are:
• Lack of loyalty to the business. Due to the lack of full commitment to the enterprise, part-time risk officers can quickly leave the business for better offers in other businesses including competition. This could expose the business to threats that the officer has not disclosed or mitigated upon due to lack of loyalty.
• Slow or poor productivity. Generally, part-time risk officers spent little time with the business enterprise. As a result, the officers may fail to understand the business entity to its entirety which could hinder efficient risk management planning. This could expose the business to threats that the officers have not addressed since they don’t understand the business entirely.
• Hiring part-time risk officers could expose the business to challenges in recovering when they have been affected by unexpected occurrences. This comes as a result of the lack of accessibility of the risk officers to respond to the effects of the event quickly.
