RIMS ERM Global Award of Distinction 2025 Winner Sadig Hajiyev — Recorded live from the RIMS ERM Conference in Seattle!

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Justin Smulison opens RIMScast, details RIMS events, courses, and introduces the live Seattle ERM episode.

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Welcome to RIMScast. Your host is Justin Smulison, Business Content Manager at RIMS, the Risk and Insurance Management Society.

In this episode, Justin interviews Sadig Hajiyev, SOCAR Türkiye, Risk & Compliance Group Director, about SOCAR Turkiye and winning the RIMS ERM Global Award of Distinction. Sadig speaks of their ERM transformation that shifted SOCAR Türkiye from a compliance-oriented approach to an integrated, strategy-driven system, and a pivotal change. Sadig explains how they keep the ERM cohesive for business leaders, enabling decision-making. Sadig comments on external shocks that pressure-tested the program, showing the organization's true resilience and how it adapted its ERM approach. He speaks of one innovation with the biggest measurable impact. Justin and Sadig discuss SOCAR Türkiye's maturity jumping from a level-3 "repeatable" program to a level-5 "leading practice" in just a few years, supported by both the RIMS RMM and internal surveys, and how they are sustaining that momentum, having reached the top tier.

Listen for words of wisdom and encouragement for risk practitioners.

Key Takeaways:

[:01] About RIMS and RIMScast.

[:17] About this episode of RIMScast. Our guest today is Sadig Hajiyev. He is the Risk & Compliance Group Director for SOCAR Türkiye, and he was one of two recipients of the RIMS Global ERM Award of Distinction.

[:47] We will talk about the unique characteristics of his ERM Program and his unique risk philosophies. But first…

[:55] The next RIMS-CRMP-FED Exam Prep with AFERM will be held on December 3rd and 4th. The next RIMS-CRMP Exam Prep with PARIMA will be held on December 4th and 5th. These are virtual courses.

[1:12] Links to these courses can be found through the Certifications page of RIMS.org and through this episode's show notes.

[1:19] RIMS Virtual Workshops! "Managing Data for ERM" will be led again by Pat Saporito. That session will start on December 11th. Registration closes on December 10th. RIMS members always enjoy deep discounts on the virtual workshops.

[1:38] The full schedule of virtual workshops can be found on the RIMS.org/education and RIMS.org/education/online-learning pages. A link is also in this episode's notes.

[1:50] The RIMS CRO Certificate Program in Advanced Enterprise Risk Management is hosted by the famous James Lam. This is a live, virtual program that helps elevate your expertise and career in ERM.

[2:02] You can enroll now for the next cohort, which will be held over 12 weeks from January through March of 2026. Registration closes on January 5th. Or Spring ahead, and register for the cohort that will be held from April through June of 2026. Registration closes on April 6th.

[2:22] Links to registration and enrollment are in this episode's show notes.

[2:27] This episode was recorded at the RIMS ERM Conference 2025. We've covered a lot of ERM ground in the last few episodes, and for those who want to catch up, I've included a link to the RIMS ERM Special Digital Edition of Risk Management magazine in this episode's notes.

[2:50] RIMScast ERM coverage is linked as well. Enhance your ERM knowledge with RIMS.

[2:56] On with the show! This special episode was recorded live from Seattle at the RIMS ERM Conference 2025.

[3:05] It was one of the best-attended ERM Conferences in RIMS history, with hundreds of ERM practitioners and students from around the world connecting, learning, and celebrating.

[3:17] In RIMS tradition, we awarded the RIMS Global ERM Awards of Distinction. This year, there were two winners, one of which was SOCAR Türkiye, a pioneering energy company based in Turkey. The company's ERM program wowed our judges.

[3:34] Accepting the award is Sadig Hajiyev. He is the Risk & Compliance Group Director. As you will hear, he took the ERM Program to the next level. Since we were in person, it was the perfect time to sit down and speak with him after receiving his award.

[3:49] We're going to learn all about the program and Sadig's unique risk philosophies. Let's get to it!

[3:53] Interview! Sadig Hajiyev, welcome to RIMScast!

[4:18] Sadig says winning the award is a great feeling! Knowing someone here understands the value of the ERM Program and appreciates it is great! He shared photos and his reflections with his organization and got many congratulations, even though it was almost midnight in Turkey!

[5:09] Saig explains that SOCAR is a global company, based in Azerbaijan, with more than 100K people working in Turkey. They have refineries and petrochemical facilities working together. They are also in the energy trading business. They have terminals.

[5:34] They have multiple sectors, including fiber optic cables. They are doing so much in Turkey. SOCAR Türkiye is the biggest single-point investment in the history of Turkey, worth around $20 billion U.S.

[6:01] Sadig's department is 15 people, including compliance professionals. They have a resource pool of experts and allocate teams as needed.

[6:16] In 2022, SOCAR Türkiye shifted from a compliance-oriented approach to an integrated, strategy-driven system.

[6:29] SOCAR Türkiye does international business. It is highly dependent on international trade regulations, especially trade sanction regulations. Being compliant is not sufficient for SOCAR Türkiye. Sadig says sanction regulations are very dynamic, and you should be adaptive to them.

[6:57] Sadig says adaptation should be risk-based. At that time, SOCAR Türkiye started to implement risk-based compliance studies and approaches to make healthier decisions. They understood that it was the right decision.

[7:21] SOCAR Türkiye has a modular ERM framework that spans Scenario Analysis, Risk and Control Self-Assessments (RCSAs), Regulatory Attestation Cycles, the ISO 22301, and the Resilience Maturity Model.

[7:42] Justin asks how Sadig keeps them cohesive and digestible so that his leaders in SOCAR know that ERM is enabling decision-making. Sadig says it's not easy. They all met the needs that came up.

[8:14] The risk leader needs to understand the context of the company. Being very close to the first line, Sadig does not believe there is value in going to the C-Suite and asking what they expect of risk management. They have no idea.

[8:33] Sadig says it's more important to have a smooth discussion with them. At that point, the skill of the risk manager comes in to understand the context there and find out what would work best for this need. By that, you are supporting the company's decision-making.

[9:05] Sadig is a boxer. He keeps telling his team that risk management shouldn't be very friendly. Conversations shouldn't be easy or enjoyable. Discussions should be disruptive. Sadig risk is the department asking, if zombies are coming and invading our vault, what will happen?

[9:47] Risk leaders are the ones at the table to trigger those discussions and have the tough conversations. At that time, a leader's personality and personal brand are important. Managers should understand you are not doing it just to disrupt.

[10:08] You are doing it for the company's sake, to make the decision-makers consider all the aspects, risks, threats, and opportunities.

[10:43] SOCAR Türkiye faced significant external shocks in the last couple of years: security incidents, sanctions, and energy price volatility that pressure tested the ERM Program, but the company demonstrated resilience.

[11:11] Each of these incidents had its own dynamics that made the ERM Program learn or find a way to adapt.

[11:29] Turkey is a country with a very diverse range of uncertainties: political, economic, and geographical. The oil and gas sector is under pressure from international regulations, the climate, and more. There are so many issues going around.

[11:51] Facing real-time instances can be disruptive and impactful on daily business. The most important thing is the ability to adapt. It's the top management's job to adapt. Risk management is about the future. If something happens, risk management is there to support.

[12:23] Quick Break! RISKWORLD 2026 will be held from May 3rd through the 6th in Philadelphia, Pennsylvania. RISKWORLD attracts more than 10,000 risk professionals from across the globe. It's time to Connect, Cultivate, and Collaborate wth them. Booth sales are open now!

[12:45] Registration is open for RIMS members now, as well. General registration and speaker registration will open on December 3rd.

[12:53] Links are in this episode's show notes, and this year, when you purchase one Full-Conference Pass by December 2nd, you can add a second Full-Conference Pass at 50% off, through December 31st.

[13:07] When an eligible member selects a Full-Conference Pass while registering online, a Promo Code will be generated on the Review step of the registration form.

[13:05] This code will also be included in the Confirmation Email. It may be shared with a second eligible member from the same company or same email domain, and receive that 50% discount. Bring a colleague for 50% off. This is available to organizational and individual RIMS members.

[13:32] Links are in this episode's show notes.

[13:35] Let's Return to My Interview with 2025 RIMS ERM Global Award of Distinction Winner Sadig Hajiyev!

[13:46] Justin speaks of SOCAR Türkiye's impressive innovations, dynamic risk appetite metrics tied to EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization), an AI Geopolitical Scenario Engine, and a Resilience Scorecard linked to Capital Allocation.

[14:10] Justin says he thinks all of this helped drive SOCAR Türkiye's nomination to the winning category. Justin asks which one brought the biggest measurable impact.

[14:20] For the biggest financial result, Sadig says it was the assumption studies SOCAR Türkiye implemented to its financial projection. Sadig believes risk managers look at a range of values.

[14:50] Sadig says, like quantum physics, it's not one or zero. It can be one or zero in different contexts and times. The assumption studies proved that, in context, for a set point of time, a long-term financial projection is useless. Sadig focuses on short-term targets and planning.

[15:21] Sadig says short-term planning is annual to less than five years. Sadig believes the assumption studies had a measurable financial impact.

[15:34] Justin notes that SOCAR Türkiye's Maturity jumped from a Level 3 Repeatable Program to a Level 5 Leading Practice in just a few years, supported by the RIMS Risk Maturity Model and internal surveys.

[15:53] Justin asks what cultural or leadership behaviors Sadig believes were essential to achieving that Level 5 performance. Sadig says it is prioritization. They have a well-developed metric to model, mostly inspired by the RIMS Maturity Model, with tailored components added.

[16:29] Sadig says SOCAR Türkiye conducts a biannual Maturity Survey with its target audience, the risk champions, decision-makers, and C-Suite.

[16:41] The SOCAR Türkiye ERM Program defined its Maturity Model with the participation of an external auditor. They were missing the implementation of the GRC Platform, the digitalization of the whole system, strategy embedding, and risk-based budgeting.

[17:04] The ERM Program prepared a roadmap to link up with the GRC Platform, implemented the roadmap, and defined the latest state as a fixed level.

[17:27] Having achieved the top tier, the ERM Program is still chasing new things to do. Now, they are focusing first on incident management and second on captives.

[17:46] For incidents, it's easy to collect information based on the declaration, but Sadig is dreaming about eliminating the human factor from incident recording to have a very objective and transparent information base.

[18:03] The ERM Program has already worked on it to link the incident information to the risk assessment. This can automate the risk assessment based on the incident results or impacts.

[18:18] The next step is finding how to monetize the maturity level of risk management. This idea brought SOCAR Türkiye to implement captives.

[18:37] SOCAR Türkiye has a tremendous amount of budget allocated to insurance. They can rely on, to a certain threshold, the ability to manage risks in a controlled environment, in the effort to optimize their insurance program and budget. Captives are the future.

[19:07] Justin comments that the RIMS 2025 Risk Manager of the Year is the Captive Manager for her organization, Hyatt. The trend is that a lot of people are going toward captives to self-insure. It can be a revenue generator.

[19:27] Sadig adds that the move to captives is not just to put risk management in more of a position of strategy or as a budget supporter. It's because of the risk environment. There are new risks emerging and evolving.

[19:46] Sadig believes these new risks will be uninsurable in the near future because of AI and new cyber risks. The insurance sector is not able to adapt quickly enough to create a pool to insure the risk all around the world. The responsibility will stay with companies and captives.

[20:31] Sadig's final words on the value of ERM: Risk managers in the company are the only people who take the future in a systematic way. The future is always important, never urgent, but when it comes, it's already here.

[20:49] The board and the C-Suite rely on risk managers to be able to have better insight before the future comes.

[21:03] Justin says teşekkürler (thanks)! It's been a real pleasure to meet you, and congratulations again!

[21:11] Special thanks again to Sadig Hajiyev for joining us here on RIMScast. This episode was produced live on-site at the RIMS ERM Conference in Seattle. Our coverage of the RIMS ERM Conference will continue in the next installment of RIMScast with two interviews in one episode!

[21:28] Be sure to visit the RIMS LinkedIn page for all sorts of photos, videos, and coverage of this fantastic event! We had a great time, and we look forward to seeing you next year in Washington, D.C., for the RIMS ERM Conference 2026.

[21:44] Plug Time! You can sponsor a RIMScast episode for this, our weekly show, or a dedicated episode. Links to sponsored episodes are in the show notes.

[22:13] RIMScast has a global audience of risk and insurance professionals, legal professionals, students, business leaders, C-Suite executives, and more. Let's collaborate and help you reach them! Contact pd@rims.org for more information.

[22:31] Become a RIMS member and get access to the tools, thought leadership, and network you need to succeed. Visit RIMS.org/membership or email membershipdept@RIMS.org for more information.

[22:48] Risk Knowledge is the RIMS searchable content library that provides relevant information for today's risk professionals. Materials include RIMS executive reports, survey findings, contributed articles, industry research, benchmarking data, and more.

[23:05] For the best reporting on the profession of risk management, read Risk Management Magazine at RMMagazine.com. It is written and published by the best minds in risk management.

[23:19] Justin Smulison is the Business Content Manager at RIMS. Please remember to subscribe to RIMScast on your favorite podcasting app. You can email us at Content@RIMS.org.

[23:31] Practice good risk management, stay safe, and thank you again for your continuous support!

Links:

RIMS-CRO Certificate Program In Advanced Enterprise Risk Management | Jan‒March 2026 Cohort | Led by James Lam

RISK PAC | RIMS Advocacy | RIMS Legislative Summit SAVE THE DATE — March 18‒19, 2026

RIMS-Certified Risk Management Professional (RIMS-CRMP)

RISKWORLD 2026 Registration — Open for Members!

Reserve your booth at RISKWORLD 2026!

The Strategic and Enterprise Risk Center

RIMS Diversity Equity Inclusion Council

RIMS Risk Management magazine | Contribute

RIMS ERM Special Edition 2025

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