RIMScast

In this engaging discussion, Jeff Strege, Senior Director for Risk Management at Academy Sports + Outdoors, shares his journey into the world of risk management. He dives into the intricacies of building an Enterprise Risk Management (ERM) framework tailored for retail. Jeff emphasizes the importance of worker recovery in workers' compensation and addresses innovative strategies for liability prevention. They also touch on his upcoming panel on third-party litigation funding and its industry implications, showcasing insights vital for enhancing risk approaches.

Welcome to RIMScast. Your host is Justin Smulison, Business Content Manager at RIMS, the Risk and Insurance Management Society.   Justin and his guests, Denise Sobczak and Michael Zuraw, introduce the new RIMS paper: “The Pre-Mortem Method: Learning From Failure Without Actually Failing”. Unlike post-mortem analysis, a pre-mortem risk assessment attempts to learn from failure before a project even begins. This report highlights the advantages of implementing a pre-mortem risk assessment approach to strategic projects. Download the report to learn about the three steps to activate a pre-mortem assessment that fosters a better understanding of a project’s overall objectives, and ultimately improves transparency, communication, and business outcomes. Justin, Michael, and Denise discuss implementation steps and frequency of pre-mortems in an organization. They cover ways of documentation and tracking insights from pre-mortem exercises, and tools for structuring an effective pre-mortem session. They explore how to involve participants and how to flip the script from naysaying to contributing insights. They consider the collateral benefits of involving your organization in a pre-mortem analysis. They share examples of how the pre-mortem works in their organizations.   Listen to gain insight into this innovative risk management tool to build upon the successes and achievements of your organization. Key Takeaways: [:01] About RIMS and RIMScast. [:17] About this episode of RIMScast. Our topic is pre-mortem analysis, which we will explore with past and present members of the RIMS Strategic & Enterprise Risk Management Council. [:42] RIMS-CRMP Workshops! As part of RIMS’s continuing strategic partnership with Purima, we have a two-day course coming up on April 22nd and 23rd. Links to these courses can be found through the Certification page of RIMS.org and this episode’s show notes. [1:01] Virtual Workshops! On April 16th and 17th, Chris Hansen will lead “Managing Worker Compensation, Employer’s Liability, and Employment Practices in the U.S.” [1:14] On June 12th, Pat Saporito will host “Managing Data for ERM” and will return on June 26th to present the very popular new course, “Generative AI for Risk Management”. [1:30] A link to 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 show notes. [1:41] RISKWORLD registration is open. Engage Today and Embrace Tomorrow, May 4th through 7th in Chicago. Register at RIMS.org/RISKWORLD. Also, remember that there will be lots of pre-conference workshops being held in Chicago just ahead of RISKWORLD. [1:59] These courses include “Applying and Integrating ERM,” “Captives as an Alternate Risk Financing Technique,” “Contractual Risk Transfer,” “Fundamentals of Insurance,” “Fundamentals of Risk Management,” RIMS-CRMP Exam Prep, and more! The links are in the show notes. [2:18] In March, RIMS released a new professional report called “The Pre-Mortem Method: Learning from Failure Without Actually Failing.” The two authors of this report are joining me here today! They have both been RIMScast guests. [2:39] Denise Sobczak is the Director of Group Risk Management at the BIC Group and Michael Zuraw is the Senior Director of Global Enterprise Risk Management for Onsemi. [2:52] Denise is a former member and Michael is a current member of the RIMS Strategic & Enterprise Risk Management Council. Their paper, “The Pre-Mortem Method,” is available through the Risk Knowledge page of RIMS.org. Tap on the White Paper button on that page. [3:10] We’re going to hear how Denise and Michael have used the pre-mortem method at their respective companies. We’re going to give you tips on how to lead pre-mortem analysis discussions at your organizations whether for a big merger or unveiling a new product. [3:32] This conversation will continue on May 7th at RISKWORLD when Denise hosts “Pre-Mortem or Post-Mortem: If You Were a Patient, What Would Choose?” That session will be held in Room BC185. [3:47] Interview! Michael Zuraw and Denise Sobczak, welcome back to RIMScast! [3:55] Denise and Michael’s paper is “The Pre-Mortem Method: Learning from Failure Without Actually Failing.” Pre-mortem analysis is a risk assessment approach that you apply to strategic projects. [4:13] The concept is simple. You assume that an initiative fails. Then you identify triggers of that failure and develop plans to avoid and mitigate them to achieve success. It was developed by Gary Klein and has been widely applied in the business world. [4:39] Michael says the approach was discovered by cognitive psychologists. It releases folks from some of the biases, such as groupthink and confirmation bias, that will muck up decisions. This approach encourages participation and takes risk identification to the next level. [5:07] Justin calls the paper an easy read that people can keep returning to. [5:22] The Strategic & ERM Council decided to do a track on scenario planning. One of their first shareouts was a paper on scenario planning with a segue on pre-mortem risk assessment on how to draw those scenarios. [5:44] Many things are going on, with a level of uncertainty in the external environment that drives uncertainty in the internal environment. As a risk practitioner, it’s very important to have these tools. [5:59] Michael joined the Strategic & ERM Council a little over a year ago after they had started the scenario planning. He had already read the SERM Council paper on scenario planning with great interest. Michael is a fan of Gary Klein’s and had used pre-mortems. [6:24] When Denise and others mentioned they were going to take the next step in their series of scenario planning to include a pre-mortem discussion, Michael immediately volunteered to be part of it. It was a topic he was familiar with and he had done some sessions on it already. [7:05] Denise explains a pre-mortem is one of many risk assessment tools available. There’s no set number for how often an organization should perform one. The main attraction of this tool is its use when you are short on time and have few resources and you want a high-value output. [7:53] It’s good to use a pre-mortem when there are a lot of cross-functional initiatives with interdependencies that create complexity and generate risks. [8:07] Michael thinks that for major strategic decisions, a pre-mortem should almost always be used. As you use it, you find out that it’s very efficient and not complicated. You can learn from it to include contrarians in discussions to question all assumptions. It changes your risk culture. [8:52] Pieces of the pre-mortem method find their way into the way people approach everyday decisions, even without doing a formal pre-mortem analysis. A pre-mortem analysis is not difficult or expensive to do. As often as you think it provides value, have at it! [9:20] The primary thing a pre-mortem does is open the door to legitimizing doubt. It allows the group decision process to stay in inquiry not to be sucked into advocacy before all the risks are discussed and mitigated. [9:44] Michael notes that as the pre-mortem opens up concerns, they can be put on the table and discussed. The key is you have to take the next step which is to consider what you can change and improve your plan to prepare for the possibility of that risk and mitigate it. [10:08] The goal is to take what you’ve learned, feed it back into the decision process, and come out with a better plan than you had going in. [10:16] It’s very key to get the insights and embed them into the company’s core processes versus having a stand-alone tracker for the pre-mortem that you’ve done. If you’ve done a pre-mortem for a strategic initiative, integrate it into the status update reports for that initiative. [10:34] If the pre-mortem is related to an event, integrate it into regular management reviews, operating reviews, or even risk governance. Integrate insights that will help you into your core processes. [10:49] Denise and Justin discuss recording remote pre-mortem sessions on Zoom and transcribing them. Justin suggests recording even in-person sessions on Zoom for a transcript. [11:40] Michael says having a transcript of a pre-mortem helps because you want people to focus attention on the conversation and not on note-taking. Sometimes you want to go back and get some context. In-person meetings also allow seeing body language. [12:11] The point of this is to get it out there and talk about it. It’s very interactive. [13:19] Pre-mortems are structured to picture a failure six months into the future. Then set a two-minute timer and ask everyone to write down what went wrong. Each one comes up with ideas without the group’s influence and writes down key failure points that caused this outcome. [14:04] As a result, things that were just below the surface come out first. Even the staunchest advocate of the plan has to come up with something. The creativity of what could have gone wrong becomes an asset, not a detriment. [14:31] You’re not a naysayer, you’re an identifier. The basic premises of ERM are risk identification, risk prioritization, and risk response. A pre-mortem creates a more robust identification. You’re a contributor. You’ve discussed something that you hadn’t before. [14:54] Denise explains that a pre-mortem is a paradise for the naysayers because they don’t have the burden to say it failed. We give that to them. It’s not about being skeptical or negative but identifying the contributors that could have caused the failure and being part of the solution. [15:18] Plug Time! RIMS Webinars! On April 10th, Audit Board will present “What CISOs Want Risk Executives to Know About Cyber Risk in 2025”. [15:30] Following the success of their recent webinar, HUB International returns for the next installment of their Ready for Tomorrow Series, “From Defense to Prevention: Strengthening Your Liability Risk Management Approach”. That session will be on April 17th. [15:45] On April 24th, RiskConnect returns to deliver “Better Together: The Marriage of Insurable Risk and Business Continuity”. [15:54] More webinars will be announced soon and added to the RIMS.org/webinars page. Go there to register. Registration is complimentary for RIMS members. [16:05] Important Announcement! RIMS and the Institute of Internal Auditors have entered into an agreement to deliver a selection of the other group’s educational programming to their members. Twenty-nine shared courses will be available to both association’s members. [16:23] RIMS members can explore the IIA courses that are now available to them at See Courses Here. To access RIMS’s complete selection of workshops, webinars, and courses, visit RIMS.org/Education. [16:42] Let’s Get Back to our Discussion about Pre-Mortem Analysis with Michael Zurow and Denise Sobczak! [17:09] Denise says individuals who have had experience with failures can tap into that experience in new situations. Newcomers can offer a fresh perspective. The key is diversity of thought and experience. Make participants comfortable to express their opinions. [17:38] Watch out for those who would take over. As you facilitate the pre-mortem, make sure that you’re engaging and that it’s a responsive type of facilitation. There’s no right or wrong answer when you’re looking for triggers. Later on, you will prioritize. [18:22] Michael has been at Onsemi for 20 years with broad exposure in product line management and supply chain. Four and a half years ago, Onsemi had a new CO and much of the top management changed. The question was what did the stakeholders want from ERM. [18:44] There was some change in how they approached it. He did pre-mortems before and he has done them since. The key is broad participation of the players, broad perspectives, and leading it to say that we want to know what you think. We want to question our assumptions. [19:08] That basic approach is to try to make the plan better, not bring it down, trying to improve the likelihood of success. That plays through all types of corporate change. [19:35] Participants should not be in the top tier of leaders, but in middle management with some boots on the ground. The middle management group forms the culture and they know enough key details about what the planners are thinking and to ask, what if they’re wrong? [20:14] Denise expects the participants to be the people who are knee-deep in the initiative and are the subject matter experts. You can also invite folks who are not in the initiative but who have a say from the legal, financial, and business support perspectives. [20:42] The number of participants depends on the setting. An in-person setting can accommodate 10 or 15. In a virtual setting, you can have eight to 10. You need to make sure that everyone can participate. [21:14] More RIMS Plugs! The Spencer Educational Foundation’s goal to help build a talent pipeline of risk management and insurance professionals is achieved in part by its collaboration with risk management and insurance educators across the U.S. and Canada. [21:33] Since 2010, Spencer has awarded over $3.3 million in general grants to support over 130 student-centered experiential learning initiatives at universities and RMI non-profits. [21:46] Spencer’s 2026 application process will open on May 1st, 2025, and close on July 30th, 2025. General Grant awardees are typically notified at the end of October. Learn more about Spencer’s General Grants through the Programs tab of SpencerEd.org. [22:06] Spencer has several events lined up before and during RISKWORLD 2025. On May 3rd, there’s the Spencer-CNA Pickle Ball Social, on May 4th, the Spencer-Gallagher Golf Tournament, on May 5th, the Spencer Soiree, and on May 6th, the Spencer-Sedgwick 5K Fun Run. [22:25] You can register for or sponsor any of these through the links on this page or by visiting SpencerEd.org/riskworld2025. [22:35] The call for submissions for the RIMS Canada Conference, which will be held in Calgary from September 14th through the 17th, 2025, is now open. We want to hear from you! We are looking for dynamic, insightful presentations on key industry topics. [22:49] Topics may include are but not limited to alternative risk transfer, insurance, legal and regulatory, risk modification and loss control, the DEI Studio, the Thought Leader Stage, corporate sustainability, ESG, and more. [23:03] Submit your proposal by the submission deadline, Wednesday, April 16th at 11:59 p.m. Eastern Time. Visit RIMSCanadaConference.ca and the link in this episode’s notes for information. [23:17] If you will be in the Dallas/Fort Worth area on April 17th, be sure to stop by Lone Star Park for DFW RIMS’s 7th Annual Night at the Races. It’s going to be a blast! Guest, member, and student tickets are available. Visit DFWRIMS.org and the link in this episode’s show notes. [23:41] Let’s Return to our Discussion about Pre-Mortem Analysis with Denise Sobczak and Michael Zurow! [24:02] Denise mentions different ways to measure the ROI of a pre-mortem, in the light of inherited risk impact before mitigation versus residual risk, post-mitigation. [24:16] For a consumer goods company like BIC, Denise says it is more sensible to tie the effectiveness of the pre-mortem exercise with the overall achievement of the strategic goals or the operating targets because you are changing as you go. [24:38] Michael says it’s tough to measure the effectiveness of a pre-mortem. You’re asking a team that has already been assembled to spend half a day looking at the plan and, at the end, asking if they learned something that helped improve the plan. [25:30] Is the plan or decision better the day after the pre-mortem than it was the day before? Was it worth the four hours? Would you suggest doing this again? Would you recommend it to your peer? Advocating for a pre-mortem indicates its value, way beyond the cost of doing it. [26:16] Denise stresses the collateral benefits of a pre-mortem. If you are facilitating this type of risk assessment, you will reach a lot of folks in the organization and help them think differently. They will think of the risk management department or the ERM practitioner as a resource to use. [26:37] There is some amplification from a showcase of value to the organization from your function. Denise says a pre-mortem never took a day for her. Once she applied a pre-mortem in a 20-minute phone call with all the constituents. They came up with 15 reasons it could fail. [27:02] A pre-mortem can be formal or informal. The informal pre-mortem is as efficient and it is quicker. You need to understand what the culture of your organization is. If it is very formal, adapt to that. Denise tends to work in more agile organizations. [27:36] Michael works for a company that is heavy in engineering. A pre-mortem takes about two hours there. Engineers want to solve problems and tell you why their solution to the problem is awesome! They want data and rationalization justification. [28:15] Part of it is the moderation. Say the goal of this meeting is to get the concerns and issues out on the table. Afterward, we’ll do a quick prioritization so we can assign owners to address the next step of how this feeds back into improving the plan. [28:32] As everybody took two minutes to write down the issues, get them out on the table and rotate through the biggest issue from each person as quickly as you can, one at a time, so no one gets into a laundry list of items. Keep the discussion moving across all the participants. [28:55] What you get is honest dialog and everyone participates. If you do that, you’ll avoid overcomplicating it. It can be very simple. It’s structured to help you manage that. As long as you keep it moving, it will be fine. [29:12] On 1:45 p.m., on May 7th, at RISKWORLD, in Room 185BC. Denise will be presenting “Pre-Mortem or Post-Mortem: If You Were Patient, Which One Would You Choose?” Denise will be extending the dialog from the paper and this episode. [29:37] Denise will miss Michael on stage. They had a successful session together at the RIMS ERM Fall Conference. Now that the paper is published, the presentation will be more robust. [29:55] The presentation will cover what pre-mortem risk assessment entails. You basically assume the strategic project has failed. Then you identify the triggers of that failure and develop plans to avoid and mitigate them to achieve success. Then you monitor. [30:25] Once Denise goes through the fundamentals, she will take you through a hands-on exercise of applying this technique. She will give a business case and have the audience start solving it and finding triggers. It’s very easy. It will give a sense of what this is all about. [30:52] Denise’s aim is that the participants, with the presentation and the white paper, will have another skillset to apply and bring value to their organization. There will be audience participation to close out the last day of the education track at RISKWORLD. [31:20] Denise will have a full hour and then there will be more audience participation when the Second City takes the stage for the Conference Finale. [31:34] Justin recommends attendees check out Denise’s solid one-hour presentation. She assures you there will be no coasting in her session! [31:59] It has been such a pleasure to see you both. I appreciate you taking the time. You wrote a wonderful paper. The link is in this episode’s notes. Go to RIMS.org/riskknowledge to check it out. Press the White Paper button and it will pop right up. Thank you both so much! [32:18] Special thanks again to Michael Zuraw and Denise Sobczak for joining us here on RIMScast. A link to their paper, “The Pre-Mortem Method: Learning from Failure Without Actually Failing” is available through the Risk Knowledge of RIMS.org. A link is in this episode’s notes. [32:35] Beyond the pages and this episode, Denise will be extending the dialog at RISKWORLD on May 7th at 1:45 p.m. local time. She will deliver “Pre-Mortem or Post-Mortem: If You Were a Patient, Which Would You Choose?” That session will be held in room 185BC. [32:52] Register in advance through the RIMS Events App. [32:55] 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. [33:24] 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. [33:41] 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. [33:59] 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. [34:16] 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. [34:30] Justin Smulison is the Business Content Manager at RIMS. You can email Justin at Content@RIMS.org. [34:37] Thank you all for your continued support and engagement on social media channels! We appreciate all your kind words. Listen every week! Stay safe!   Links: Presented by the RIMS SERMC: “The Pre-Mortem Method: Learning From Failure Without Actually Failing” RISKWORLD 2025 — May 4‒7 | Register today! Spencer Educational Foundation — General Grants 2026 — Application Dates Spencer’s RISKWORLD Events — Register or Sponsor! RIMS-Certified Risk Management Professional (RIMS-CRMP) RISK PAC | RIMS Advocacy RIMS Risk Management magazine RIMS Now Announcement: RIMS and The Institute for Internal Auditors' Strategic Alliance on Education RIMS Canada Conference 2025 | September 14‒17 | Calgary | Submit a session by April 16. DFW RIMS — 7th Annual Night at the Races / Lone Star Park – April 17, 2025 Nominations for the Donald M. Stuart Award [Canada] The Strategic and Enterprise Risk Center “Truly Long-Term Strategic Risk Management in Focus” — RIMS Q&A with Michael Zuraw (2019) RIMS Webinars: RIMS.org/Webinars “What CISOs Want Risk Executives to Know About Cyber Risk in 2025” | Sponsored by Auditboard | April 10, 2025 “Ready for Tomorrow? From Defense to Prevention: Strengthening Your Liability Risk Management Approach” | Sponsored by Hub International | April 17, 2025 “Better Together: The Marriage of Insurable Risk and Business Continuity” | Sponsored by Riskonnect | April 24, 2025 “Understanding Third-Party Litigation Funding: Its Importance and How You Can Contribute” | Sponsored by Zurich | May 1, 2025   Upcoming RIMS-CRMP Prep Virtual Workshops: RIMS-CRMP Exam Prep with PARIMA | April 22‒23 Full RIMS-CRMP Prep Course Schedule   Upcoming Virtual Workshops: “Managing Worker Compensation, Employer's Liability and Employment Practices in the U.S.” | April 16‒17 | Instructor: Chris Hansen “Managing Data for ERM” | June 12 | Instructor: Pat Saporito  “Generative AI for Risk Management” | June 26 | Instructor: Pat Saporito See the full calendar of RIMS Virtual Workshops RIMS-CRMP Prep Workshops   Related RIMScast Episodes: “Maintaining an Award-Winning ERM Program with Michael Zuraw” “Scenario Planning with the RIMS SERMC” “Q1 2025 Risks with Morgan O'Rourke” “ERMotivation with Carrie Frandsen, RIMS-CRMP” “Risk Quantification Through Value-Based Frameworks” “Applying ERM Theory with Elise Farnham” “On Risk Appetite and Tolerance”   Sponsored RIMScast Episodes: “Understanding Third-Party Litigation Funding” | Sponsored by Zurich (New!) “What Risk Managers Can Learn From School Shootings” | Sponsored by Merrill Herzog (New!) “Simplifying the Challenges of OSHA Recordkeeping” | Sponsored by Medcor “Risk Management in a Changing World: A Deep Dive into AXA's 2024 Future Risks Report” | Sponsored by AXA XL “How Insurance Builds Resilience Against An Active Assailant Attack” | Sponsored by Merrill Herzog “Third-Party and Cyber Risk Management Tips” | Sponsored by Alliant “RMIS Innovation with Archer” | Sponsored by Archer “Navigating Commercial Property Risks with Captives” | Sponsored by Zurich “Breaking Down Silos: AXA XL’s New Approach to Casualty Insurance” | Sponsored by AXA XL “Weathering Today’s Property Claims Management Challenges” | Sponsored by AXA XL “Storm Prep 2024: The Growing Impact of Convective Storms and Hail” | Sponsored by Global Risk Consultants, a TÜV SÜD Company “Partnering Against Cyberrisk” | Sponsored by AXA XL “Harnessing the Power of Data and Analytics for Effective Risk Management” | Sponsored by Marsh “Accident Prevention — The Winning Formula For Construction and Insurance” | Sponsored by Otoos “Platinum Protection: Underwriting and Risk Engineering's Role in Protecting Commercial Properties” | Sponsored by AXA XL “Elevating RMIS — The Archer Way” | Sponsored by Archer   RIMS Publications, Content, and Links: RIMS Membership — Whether you are a new member or need to transition, be a part of the global risk management community! RIMS Virtual Workshops On-Demand Webinars RIMS-Certified Risk Management Professional (RIMS-CRMP) RISK PAC | RIMS Advocacy RIMS Strategic & Enterprise Risk Center RIMS-CRMP Stories — Featuring Walmart ERM Director Michelle Black!   RIMS Events, Education, and Services: RIMS Risk Maturity Model®   Sponsor RIMScast: Contact sales@rims.org or pd@rims.org for more information.   Want to Learn More? Keep up with the podcast on RIMS.org, and listen on Spotify and Apple Podcasts.   Have a question or suggestion? Email: Content@rims.org.   Join the Conversation! Follow @RIMSorg on Facebook, Twitter, and LinkedIn.   About our guests: Denise Sobczak, Director of Group Risk Management at the BIC Group Michael Zuraw, Senior Director of Global Enterprize Risk Management for Onsemi   Production and engineering provided by Podfly.  

Welcome to RIMScast. Your host is Justin Smulison, Business Content Manager at RIMS, the Risk and Insurance Management Society.   Crystal Trout is a director with Baker Tilly's Risk Advisory practice. Justin and Crystal discuss her career in anti-money laundering compliance, and what brought her to consulting. They discuss the elements of AML compliance and how the need for it stretches beyond financial institutions to any sector that involves large transactions, including virtual digital assets and investing. They talk about the $3 billion settlement TD Bank entered into with regulators in October of 2024 and the messages that sends both to financial institutions and money criminals. Listen to Crystal’s advice to risk professionals who may oversee large transactions. Key Takeaways: [:01] About RIMS and RIMScast. [:15] Public registration is open for RISKWORLD 2025! Engage Today and Embrace Tomorrow with RIMS at RISKWORLD from May 4th through May 7th in Chicago, Illinois. Register at RIMS.org/RISKWORLD. [:31] About this episode of RIMScast. Crystal Trout of Baker Tilly and I will discuss how Anti-Money Laundering regulations are impacting the risk profession. [:56] RIMS-CRMP Workshops! As part of RIMS’s continuing strategic partnership with Purima, we have a two-day course coming up on April 22nd and 23rd. Links to these courses can be found through the Certification page of RIMS.org and this episode’s show notes. [1:15] Virtual Workshops! On April 16th and 17th, Chris Hansen will lead “Managing Worker Compensation, Employer’s Liability, and Employment Practices in the U.S.” [1:29] On June 12th, Pat Saporito will host “Managing Data for ERM” and will return on June 26th to present the very popular new course, “Generative AI for Risk Management”. [1:44] A link to 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 show notes. [1:55] RISKWORLD registration is open. Engage Today and Embrace Tomorrow, May 4th through 7th in Chicago. Register at RIMS.org/RISKWORLD. Also, remember that there will be lots of pre-conference workshops being held in Chicago just ahead of RISKWORLD. [2:14] These courses include “Applying and Integrating ERM,” “Captives as an Alternate Risk Financing Technique,” “Contractual Risk Transfer,” “Fundamentals of Insurance,” “Fundamentals of Risk Management,” RIMS-CRMP Exam Prep, and more! The links are in the show notes. [2:38] Money laundering should be one of the top risks on your risk radar, especially in 2025 as new regulations are added or rolled back. Some high-profile resolutions have made recent headlines. [2:51] To help me make sense of it all for the RIMScast audience, here is the Director of Baker Tilly’s Risk Advisory Practice, Crystal Trout. Crystal has more than 23 years of experience working with financial institutions with a focus on financial crimes compliance. [3:08] We’re going to talk about anti-money laundering (AML) programs and get some best practices for implementation and reporting. [3:18] Interview! Crystal Trout, welcome to RIMScast! [3:33] Crystal Trout is a director with Baker Tilly's Risk Advisory Group. She joined Baker Tilly after having worked in financial crimes risk for over 23 years. Previously, she was in the financial institution space. [3:51] Crystal switched to consulting to help other financial institutions build out their AML compliance programs and ensure that they’re in a good spot for regulatory exams. [4:19] Crystal tells how she was drawn to anti-money laundering. In high school, she had an internship with a financial institution, and it was robbed. [4:37] When the FBI was doing their investigation, Crystal was trying to understand what they were doing and how they were going to catch the robber. She was so fascinated by the process that she changed what she went to school for and altered her career path.  [5:09] Crystal’s interest in understanding how fraudsters and money launderers act led her to use her banking career to work in the back office and investigation space. [5:38] Crystal says the institution used dispensers that limited cash, and the robbers only got $500. Because of the weapon they used, the robbers got a massive sentence at trial. [6:38] Crystal explains the current AML environment. Baker Tilly is staying close to any regulatory changes. The complexity of regulations is extensive. It’s critical that professionals in this space stay close to the challenges that extend even beyond the regulatory requirements. [6:59] We’re seeing more changes in regulations than we have historically had, Crystal observes. It’s a matter of understanding the landscape, staying close to the changes, and trying to predict which direction they may go and plan for either direction. The key is planning and not waiting. [7:32] Crystal suggests you should hope for the best and plan for the worst. Make sure that you’re prepared to go in either direction, whether regulations are rolled back or strengthened. [7:57] Justin recalls that TD Bank reached a $3 billion settlement with U.S. regulators in October 2024, pleading guilty to failing to maintain an adequate AML program, which unfortunately led to the facilitation of money laundering activities. That’s a huge penalty, Crystal points out. [8:37] This event provides valuable insight for risk professionals regarding regulatory expectations and also the consequences of inadequacies in their programs. [8:49] People need to understand that they can’t be lackadaisical in their compliance program. They need to be ahead of it. It’s all about preparation and planning.  [9:03] In the TD Bank case, regulators had identified substantial weaknesses in the overall transaction monitoring system and due diligence procedures. [9:17] TD Bank had allegedly failed to allocate the resources needed to operate their AML program, but they continued to have significant growth within their higher-risk customer segment and geographical region. [9:35] TD Bank wasn’t staying ahead and keeping current with its customer base and the risks that were taking place. Beyond the penalty, TD Bank has expenses for remediation efforts, enhanced compliance infrastructure, and independent monitoring. All of these are added costs. [9:57] Financial institutions may fail to realize the costs that happen beyond the penalty. They may say it costs too much to add the staffing or build the correct tools, not realizing it will cost them more when the regulators find these faults and weaknesses within their program. [10:18] A key lesson to learn is that compliance programs must be able to scale appropriately with the institution’s business growth and evolving risk profiles. [10:30] Regulators focus on the overall program effectiveness rather than mere technical compliance, particularly regarding the quality of suspicious activity identification and reporting. [10:41] It’s important for institutions that have to comply with these programs to be proactive and make sure they have the correct resource allocation. Those things are key when it comes to ensuring that AML compliance programs operate effectively. [11:11] There are five key pillars involved in an AML compliance program, including a designated compliance officer and following customer due diligence. You build an AML Bible, with paperwork that documents the steps you’re going to take to be in compliance. [11:39] It allows your people to understand the risk that the institution is willing to take, and what it’s not willing to accept. You document everything as evidence base for regulators, as having the correct tools and technology to support the program’s overall risk tolerance. [12:33] Justin and Crystal address the reputational risk to an institution that may come from a regulatory settlement. Crystal states that these settlements signal to the bad guys that they are going to be caught and they’re not going to be able to continue to act at that institution. [13:14] Crystal tells about the bank robber. For prevention, when someone comes into the bank, make eye contact, talk to them, and acknowledge them. If they’re scouting it out, there’s a lot less chance they’ll come back to that bank because they are being noticed. [13:37] A criminal may not physically be in the bank, but if you do due diligence up front when they open an account, asking the right questions, and looking for red flags, they may realize that you have a very strong AML program in place and they’ll go elsewhere. [14:07] Plug Time! RIMS Webinars! On April 3rd, join Zurich for “Understanding Third-Party Litigation Funding”. On April 10th, Audit Board will present “What CISOs Want Risk Executives to Know About Cyber Risk in 2025”. [14:24] Following the success of their recent webinar, HUB International returns for the next installment of their Ready for Tomorrow Series, “From Defense to Prevention: Strengthening Your Liability Risk Management Approach”. That session will be on April 17th. [14:40] On April 24th, RiskConnect returns to deliver “Better Together: The Marriage of Insurable Risk and Business Continuity”. [14:48] More webinars will be announced soon and added to the RIMS.org/webinars page. Go there to register. Registration is complimentary for RIMS members. [14:59] Important Announcement! RIMS and the Institute of Internal Auditors have entered into an agreement to deliver a selection of the other group’s educational programming to their members. Twenty-nine shared courses will be available to both association’s members. [15:17] RIMS members can explore the IIA courses that are now available to them at See Courses Here. To access RIMS’s complete selection of workshops, webinars, and courses, visit RIMS.org/Education. [15:35] Let’s Return to my Interview with Crystal Trout! [15:50] Are risk professionals who are not at financial institutions at risk of inadvertently being caught up in a money laundering crime? Crystal says this question is in the back of the mind of any risk professional. She remembers that running an AML compliance program is stressful. [16:22] There’s always the risk that a chief compliance manager could be cited for a failure and have to pay a significant, hefty fine. A risk manager should be aware of this when they’re performing any form of transaction. Listen to your gut if something seems off. Don’t ignore it. [17:26] Is paying in cryptocurrency a red flag? Navigating AML compliance specifically regarding cryptocurrency is new for a lot of professionals. There are risks and benefits to digital assets concerning AML compliance. [17:54] With any evolving form of payment, if risk professionals aren’t staying ahead, truly understanding and navigating how it works, it’s going to make it difficult for them to understand red flags and risks that might come, as well. [18:13] There is sometimes a natural fear in risk professionals that because they’re not comfortable with cryptocurrency, they’re not able to address any legitimate concerns or concerns that may be their internal fear due to the lack of knowledge. [18:45] Is it too risky for a company to announce the voluntary departure of a Chief Compliance Officer? Crystal says the company should already have a plan for somebody to temporarily step in and continue to operate so it doesn’t leave a gap or exposure in the organization. [19:22] It’s an opportunity for a risk professional to go into a financial institution and make a mark for themselves by helping the institution strengthen its overall compliance program. [19:49] It’s a good practice for a company to announce the replacement chief compliance officer at the same time as the announcement of the leaving chief compliance officer. It’s part of succession planning. [20:47] The money laundering risk landscape is expanding significantly. Industries outside of finance and banking face substantial financial crime risk and corresponding regulatory scrutiny. They have less mature compliance infrastructure than their banking counterparts. [21:07] Crystal mentions the real estate sector as a potential vehicle for money laundering due to the high-value transactions, price stability, and the lack of historical regulatory oversight. [21:19] Digital asset providers, cryptocurrency exchanges, wallet providers, and any type of virtual asset service providers face intensifying regulatory scrutiny because the platforms can facilitate anonymous transactions. [21:35] The Financial Action Task Force has established clear expectations for virtual asset service providers to implement robust AML controls. Gaming and gambling services present money laundering risk. [21:53] There are other high-risk sectors that money laundering risk could expand to. FinCEN recently required registered investment advisors and exempt reporting advisors who have not been required to have an AML compliance program to have one in place by January 2026. [22:22] We’re seeing AML compliance extend beyond traditional banking. [22:34] There are very few industries that, in some form or fashion, could not be a victim of a bad actor performing money laundering. It’s just a matter of the bad guy finding a way to do it. [23:09] What steps should a company take when money laundering by an employee is discovered? The appropriate officer needs to start an internal investigation. That’s a lengthy process. Make sure the “i”s are dotted and the “t”s are crossed within the investigation. [23:47] Make sure all the evidence and documentation are aligned. Involve HR and the appropriate supervisor authority. If it’s shown to be true, interview the individual. It could lead to termination. The investigative process could take months. The authorities may be alerted. [24:39] The company may not want it out in public knowledge and may not file a police report. It can damage a company’s reputation. [25:00] Crystal explains her passion for AML compliance and why she became a compliance consultant to help more institutions. The downstream impact is so significant. She wants to make sure the bad apples don’t have the opportunity to launder funds. [25:54] Special thanks again to Crystal Trout for joining us here on RIMScast. I’ve got links to more RIMS coverage of fraud, compliance, financial risk management, and anti-money laundering in this episode’s show notes. [26:09] 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. [26:38] 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. [26:55] 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. [27:13] 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. [27:30] 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. [27:44] Justin Smulison is the Business Content Manager at RIMS. You can email Justin at Content@RIMS.org. [27:51] Thank you all for your continued support and engagement on social media channels! We appreciate all your kind words. Listen every week! Stay safe!   Links: RISKWORLD 2025 — May 4‒7 | Register today! Nominations for the Donald M. Stuart Award [Canada] Spencer Educational Foundation — General Grants 2026 — Application Dates Spencer’s RISKWORLD Events — Register or Sponsor! RIMS-Certified Risk Management Professional (RIMS-CRMP) RISK PAC | RIMS Advocacy RIMS Risk Management magazine RIMS Now Announcement: RIMS and The Institute for Internal Auditors' Strategic Alliance on Education RIMS Webinars: RIMS.org/Webinars “Understanding Third-Party Litigation Funding” | Sponsored by Zurich | April 3, 2025 “What CISOs Want Risk Executives to Know About Cyber Risk in 2025” | Sponsored by Auditboard | April 10, 2025 “Ready for Tomorrow? From Defense to Prevention: Strengthening Your Liability Risk Management Approach” | Sponsored by Hub International | April 17, 2025 “Better Together: The Marriage of Insurable Risk and Business Continuity” | Sponsored by Riskonnect | April 24, 2025   Upcoming RIMS-CRMP Prep Virtual Workshops: RIMS-CRMP Exam Prep with PARIMA | April 22‒23 Full RIMS-CRMP Prep Course Schedule   Upcoming Virtual Workshops: “Managing Worker Compensation, Employer's Liability and Employment Practices in the U.S.” | April 16‒17 | Instructor: Chris Hansen “Managing Data for ERM” | June 12 | Instructor: Pat Saporito  “Generative AI for Risk Management” | June 26 | Instructor: Pat Saporito See the full calendar of RIMS Virtual Workshops RIMS-CRMP Prep Workshops   Related RIMScast Episodes: “RIMS Legislative Priorities in 2025 with Mark Prysock” “AI and Regulatory Risk Trends with Caroline Shleifer” “Financial Risk Management with Chris Willey of American Eagle FCU” “Maintaining an Award-Winning ERM Program with Michael Zuraw” “ERM in Banking & Finance with Eleni Willis”   Sponsored RIMScast Episodes: “Understanding Third-Party Litigation Funding” | Sponsored by Zurich (New!) “What Risk Managers Can Learn From School Shootings” | Sponsored by Merrill Herzog (New!) “Simplifying the Challenges of OSHA Recordkeeping” | Sponsored by Medcor “Risk Management in a Changing World: A Deep Dive into AXA's 2024 Future Risks Report” | Sponsored by AXA XL “How Insurance Builds Resilience Against An Active Assailant Attack” | Sponsored by Merrill Herzog “Third-Party and Cyber Risk Management Tips” | Sponsored by Alliant “RMIS Innovation with Archer” | Sponsored by Archer “Navigating Commercial Property Risks with Captives” | Sponsored by Zurich “Breaking Down Silos: AXA XL’s New Approach to Casualty Insurance” | Sponsored by AXA XL “Weathering Today’s Property Claims Management Challenges” | Sponsored by AXA XL “Storm Prep 2024: The Growing Impact of Convective Storms and Hail” | Sponsored by Global Risk Consultants, a TÜV SÜD Company “Partnering Against Cyberrisk” | Sponsored by AXA XL “Harnessing the Power of Data and Analytics for Effective Risk Management” | Sponsored by Marsh “Accident Prevention — The Winning Formula For Construction and Insurance” | Sponsored by Otoos “Platinum Protection: Underwriting and Risk Engineering's Role in Protecting Commercial Properties” | Sponsored by AXA XL “Elevating RMIS — The Archer Way” | Sponsored by Archer   RIMS Publications, Content, and Links: RIMS Membership — Whether you are a new member or need to transition, be a part of the global risk management community! RIMS Virtual Workshops On-Demand Webinars RIMS-Certified Risk Management Professional (RIMS-CRMP) RISK PAC | RIMS Advocacy RIMS Strategic & Enterprise Risk Center RIMS-CRMP Stories — Featuring Walmart ERM Director Michelle Black!   RIMS Events, Education, and Services: RIMS Risk Maturity Model®   Sponsor RIMScast: Contact sales@rims.org or pd@rims.org for more information.   Want to Learn More? Keep up with the podcast on RIMS.org, and listen on Spotify and Apple Podcasts.   Have a question or suggestion? Email: Content@rims.org.   Join the Conversation! Follow @RIMSorg on Facebook, Twitter, and LinkedIn.   About our guest: Crystal Trout, Director, Risk Services Advisory Group at Baker Tilly   Production and engineering provided by Podfly.  

Welcome to RIMScast. Your host is Justin Smulison, Business Content Manager at RIMS, the Risk and Insurance Management Society.   William Sako is a security and risk expert. Justin and William address issues such as how security tech makes buildings smarter and safer, examples of the risk tech used in these buildings, and mistakes that risk leaders might make today. They discuss how COVID-19 has facilitated change in enhancing security measures that will be with us forever. They talk about the important role of the risk manager when designing a security plan for a building. They dig into how risk managers can lead the charge, going above and beyond check-the-box compliance. Listen to William’s perspectives on risk technology, communication within an organization, and the future of building security. Key Takeaways: [:01] About RIMS and RIMScast. [:15] Public registration is open for RISKWORLD 2025! Engage Today and Embrace Tomorrow with RIMS at RISKWORLD from May 4th through May 7th in Chicago, Illinois. Register at RIMS.org/RISKWORLD. [:31] About this episode of RIMScast. We will be joined by Bill Sako of Telgian Engineering to discuss security risk management in 2025. [:58] RIMS-CRMP Workshops! As part of RIMS’s continuing strategic partnership with Purima, we have a two-day course coming up on April 22nd and 23rd. Links to these courses can be found through the Certification page of RIMS.org and this episode’s show notes. [1:15] Virtual Workshops! On March 26th, Pat Saporito will host “Generative AI for Risk Management”. The next course will be on June 26th. [1:29] On April 16th and 17th, Chris Hansen will lead “Managing Worker Compensation, Employer’s Liability, and Employment Practices in the U.S.” [1:42] A link to 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 show notes. [1:53] RISKWORLD registration is open. Engage Today and Embrace Tomorrow, May 4th through 7th in Chicago. Register at RIMS.org/RISKWORLD. Also, remember that there will be lots of pre-conference workshops being held in Chicago just ahead of RISKWORLD. [2:12] These courses include “Applying and Integrating ERM,” “Captives as an Alternate Risk Financing Technique,” “Contractual Risk Transfer,” “Fundamentals of Insurance,” “Fundamentals of Risk Management,” RIMS-CRMP Exam Prep, and more! The links are in the show notes. [2:35] Our guest today, Bill Sako, is the Vice President and Senior Security Consultant at Telgian Engineering and Consulting. He has 50 years of experience in security risk management. [2:49] Bill will tell us what’s keeping him up at night in security, risk management, visitor management, and workplace safety in 2025. We’ll also provide tips for risk managers on how to be more of a leading voice in finding a new location, renovating it, and installing security tech. [3:15] Interview! Bill Sako, welcome back to RIMScast! [3:33] Bill got into the business of security in 1974 by starting Sako & Associates, a security consulting firm. It became the second largest in the U.S. with 28 engineers and support staff, doing every kind of security project in buildings and venues. [3:54] Sako & Associates did security projects at U.S. Embassies, F.B.I. Headquarters, super highrise buildings all over the world, large mixed-use projects, and developing multiple security programs that have to meld together in a large, complicated building. [4:20] These projects include large medical centers and college campuses around the world. A lot of its work was done with architects in corporate America when they were developing office buildings. [4:39] Sako & Associates developed over $2.2 billion in security plans over many projects. [5:33] Today’s security tech is transforming buildings into smarter and safer environments through advanced sensors, AI, and connectivity. AI-powered surveillance cameras detect unusual behavior, recognize faces, and track movement in real-time. [5:58] That technology was in its infancy 10 years ago. It’s come a long way and the technology is becoming rock-solid. The systems can differentiate between threats and harmless activities to reduce false alarms and help the person monitoring the system understand them. [6:18] Access control to the building and tenant spaces within the building is provided through biometric scanners, mobile-based apps, and smart card readers, with logs for digital security auditing.  [6:37] Smart IoT sensors monitor temperature and air quality. They trigger alarms very quickly in case of fire, gas leak, or unauthorized entry, to keep the building occupants safe. [6:54] Automated threat response is provided through automatically locking doors, alerting authorities, and activating emergency lighting, in response to hazards and breaches. We’ve had this capability for 20 years, but it is being used more now. [7:27] Cloud-based surveillance allows remote monitoring by management and first responders through web access and smartphones to see the cameras in the building in real time. It’s becoming a trend. [7:59] Cyber security measures, with increased connectivity, can provide solutions to protect networks from threats like hacking and data breaches to ensure physical security systems are uncompromised. [8:12] Fire response systems have been hardwired for years. Engineers are starting to implement connected capabilities for them. [8:39] Bill talks about companies paying to install cameras, but when a camera fails, not paying to replace them, leaving black monitor screens. That gave birth to predictive maintenance plans with established lifelines for any piece of equipment and budgets for replacement as needed. [9:49] All the functions of emergency management are being automated. These innovations collectively create smarter buildings that are more secure, efficient, and responsive to any potential threat. [10:40] Many times, the technology that’s put into a building is assumed to be static. That’s true until you make changes to the building. Then you have to update the system. [11:02] Security is a different ball game. Security is based on behaviors. The threat environment can change from hour to hour or day to day, depending on who’s visiting the building and what’s going on down the street. You have to have flexibility and people to operate the equipment. [11:28] The technology needs a human operator to interpret the signals and determine the right response in real time. AI and machine learning are great technologies and we’re using them virtually in every piece of equipment going in. [12:09] You still need a human to be able to assess what’s happening and how they’re supposed to respond when multiple sensors are going off. Bill tells of a break-in when the right response was to send three armed security officers to the asset vault. The suspects were apprehended. [13:46] Bill explains some of the changes in security technology that have been incorporated as a result of COVID-19. Increased reliance on technology led to changes in security practices.  Touchless access control came about as a result of COVID-19. [14:28] Occupancy management lets building owners know who is in the building and allows for the building to be evacuated safely. [14:48] With people working from home, COVID-19 led to an expansion in remote monitoring. [15:02] Visitor management is important. Healthcare facilities realize today that they have to protect their staff and patients in the building. They need screening in the lobby and must use visitor management. Automated systems make it easy. [16:28] Touchless and mobile access control will be with us forever. Bill also includes hybrid security management, AI-powered surveillance and analytics, and moving security and surveillance to the cloud provides greater capability. Your command center can be your laptop. [17:35] As security moved more into the digital domain, we figured out how to operate across networks and maintain security for all the data we have. Bill says it’s rock-solid today. [17:55] Bill believes cloud-based services are the way to go for most buildings today. It gives you the capability to do everything remotely. [18:04] Data-driven decision-making will stay with us for a long time. It allows you to predict and mitigate risk on the fly. You have to train people well to know how to respond to the data. [18:26] Zero trust is a practice where no one coming into the network is trusted without proof through multi-factor identification. Even the Chairman of the Board must be verified. [19:01] Bill continues with crisis management and business continuity planning. A bullet list is not a business continuity plan. With crisis management and business continuity, you have to train people so they understand the plans. [19:24] The pandemic introduced new security practices and accelerated the modernization of legacy systems. Security includes integrating legacy systems with new systems. Command centers may have multiple disparate systems in one security management enterprise system. [20:14] Plug Time! RIMS Webinars! On Wednesday, March 26th at 2:00 p.m. Eastern Time, members of the RIMS Strategic and Enterprise Risk Management Council will extend the dialog that began in the recent RIMS Executive Report “Understanding Interconnected Risks”. [20:33] On Thursday, March 27th, Descartes Underwriting will make its RIMS Webinar debut with a session about parametric insurance. On April 3rd, join Zurich for “Understanding Third-Party Litigation Funding”. [20:47] On April 10th, Audit Board will present “What CISOs Want Risk Executives to Know About Cyber Risk in 2025”. [20:54] Following the success of their recent webinar, HUB International returns for the next installment of their Ready for Tomorrow Series, “From Defense to Prevention: Strengthening Your Liability Risk Management Approach”. That session will be on April 17th. [21:10] On April 24th, RiskConnect returns to deliver “Better Together: The Marriage of Insurable Risk and Business Continuity”. [21:18 More webinars will be announced soon and added to the RIMS.org/webinars page. Go there to register. Registration is complimentary for RIMS members. [21:30] Let’s Resume Our Dialogue about Security Risks with Bill Sako! [22:10] In 50 years of security work, Bill did not encounter many leaders with Risk in their titles. While all insurance is about risk, in the corporate world, only very large companies have risk officers. Everything is in its silo. Getting the silos to talk together can be a nightmare. [22:48] Typical buildings don’t have risk managers. Corporate campuses may have a risk manager to manage 50 or 60 buildings. That person is strained. [23:02] When Telgian Engineering & Consulting is brought in for an audit or to develop a new system design for a client, they identify who the risk leader is, whatever title they may have. They team with the people who know the vulnerabilities and the threats of the organization. [23:47] Telgian has recommended to several clients that they should hire a risk management person on staff. In a lot of cases, they say they don’t have the budget but they’ll think about it for the future. At that organization, who is evaluating risk for them? [24:07] Telgian, as a consultant, takes that role for the organization while they’re doing the assessment, creating detailed risk models. Then they educate the client to the extent that the client understands what the risks are and the risk mitigation techniques they could use. [24:47] Bill says the hard thing is to dig into organizations internally to find who that risk leader might be. Someone is doing it, even without the title. It might be the CEO. [25:36] In organizations with a titled risk officer, they may be siloed, in a lot of cases. That risk manager needs to understand whom to work with within the organization to address all the organization’s security concerns. The siloes need to be taken down. [26:17] Telgian Engineering & Consulting has always had the responsibility to educate its clients. The clients may think they understand what security is and what the risks are, but they often have a very narrow view without seeing the big picture. [27:06] The person at the lobby reception desk of an office building is often the first line of defense. There may be security officers there. What happens when the visitor goes up the elevator? [27:38] The organization should provide security training for the lobby receptionist. They can see if a visitor is acting agitated. They can attempt to de-escalate an angry visitor. They need to be briefed on the organization’s security practices, especially when they identify a threat. [29:23] When Telgian does an assessment, they don’t want one point person to show them around. They want to talk to everybody who is in touch with what’s going on in the organization. Receptionists are one of the primary sources of information for Telgian. [30:13] Bill says that risk leaders and officers need to find a way to become embedded in the organization and the things that are going on. The risk manager needs to be part of the security team, the facilities team, the legal team, and the IT team. [30:32] Bill has recommended to risk managers that they should set up monthly or bi-monthly meetings with the leaders of the siloes to discuss concerns and risks and how to solve those problems together. The risk manager is usually the right person to pull that team together. [31:42] Bill says identifying risks through AI on video cameras and following a visitor through the building is happening in many organizations now. This is critical for post-incident analysis. [33:07] One thing the government is great at is doing a full-blown report after an incident. That incident report winds up informing security of the risks to watch for. [33:19] On every consultation project, Bill got past reports upfront from the organization to see what the issues have been with the organization. They design security systems to meet those threats. Organizations have to do that to manage their risks properly. [33:42] Special thanks again to William Saco for joining us here on RIMScast. In this episode’s show notes, I have links to more RIMS Risk Management magazine and RIMScast coverage on security risks and workplace violence preparedness and prevention.  [33:59] 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. [34:27] 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. [34:46] 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. [35:03] 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. [35:20] 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. [35:34] Justin Smulison is the Business Content Manager at RIMS. You can email Justin at Content@RIMS.org. [35:41] Thank you all for your continued support and engagement on social media channels! We appreciate all your kind words. Listen every week! Stay safe!   Links: RISKWORLD 2025 — May 4‒7. | Register today! Nominations for the Donald M. Stuart Award [Canada] Spencer Educational Foundation — General Grants 2026 — Application Dates Spencer’s RISKWORLD Events — Register or Sponsor! RIMS-Certified Risk Management Professional (RIMS-CRMP) RISK PAC | RIMS Advocacy RIMS Risk Management magazine RIMS Now RIMS Webinars: RIMS.org/Webinars “Understanding Interconnected Risks” | Presented by RIMS and the Strategic and Enterprise Risk Management Council | March 26, 2025 “Parametric Insurance and Climate Risk: An Innovative Tool for CAT Risk Management” | Sponsored by Descartes Underwriting | March 27, 2025 “Understanding Third-Party Litigation Funding” | Sponsored by Zurich | April 3, 2025 “What CISOs Want Risk Executives to Know About Cyber Risk in 2025” | Sponsored by Auditboard | April 10, 2025 “Ready for Tomorrow? From Defense to Prevention: Strengthening Your Liability Risk Management Approach” | Sponsored by Hub International | April 17, 2025 “Better Together: The Marriage of Insurable Risk and Business Continuity” | Sponsored by Riskonnect | April 24, 2025   Upcoming RIMS-CRMP Prep Virtual Workshops: RIMS-CRMP Exam Prep with PARIMA | April 22‒23 Full RIMS-CRMP Prep Course Schedule   Upcoming Virtual Workshops: “Generative AI for Risk Management” | March 26 and June 26 | Instructor: Pat Saporito “Managing Worker Compensation, Employer's Liability and Employment Practices in the U.S.” | April 16‒17 | Instructor: Chris Hansen See the full calendar of RIMS Virtual Workshops RIMS-CRMP Prep Workshops   Related RIMScast Episodes: “Evolving Fire Risks with Ralph Bless” “Public Violence and Workplace Safety with Lauris Freidenfelds” “E-Commerce’s Impact on Fire Safety in Supply Chains with Leonard Ramo” “Data Privacy and Protection with CISA Chief Privacy Officer James Burd” “Solving Wicked Problems with Dr. Gav Schneider”   Sponsored RIMScast Episodes: “What Risk Managers Can Learn From School Shootings” | Sponsored by Merrill Herzog (New!) “Simplifying the Challenges of OSHA Recordkeeping” | Sponsored by Medcor “Risk Management in a Changing World: A Deep Dive into AXA's 2024 Future Risks Report” | Sponsored by AXA XL “How Insurance Builds Resilience Against An Active Assailant Attack” | Sponsored by Merrill Herzog “Third-Party and Cyber Risk Management Tips” | Sponsored by Alliant “RMIS Innovation with Archer” | Sponsored by Archer “Navigating Commercial Property Risks with Captives” | Sponsored by Zurich “Breaking Down Silos: AXA XL’s New Approach to Casualty Insurance” | Sponsored by AXA XL “Weathering Today’s Property Claims Management Challenges” | Sponsored by AXA XL “Storm Prep 2024: The Growing Impact of Convective Storms and Hail” | Sponsored by Global Risk Consultants, a TÜV SÜD Company “Partnering Against Cyberrisk” | Sponsored by AXA XL “Harnessing the Power of Data and Analytics for Effective Risk Management” | Sponsored by Marsh “Accident Prevention — The Winning Formula For Construction and Insurance” | Sponsored by Otoos “Platinum Protection: Underwriting and Risk Engineering's Role in Protecting Commercial Properties” | Sponsored by AXA XL “Elevating RMIS — The Archer Way” | Sponsored by Archer   RIMS Publications, Content, and Links: RIMS Membership — Whether you are a new member or need to transition, be a part of the global risk management community! RIMS Virtual Workshops On-Demand Webinars RIMS-Certified Risk Management Professional (RIMS-CRMP) RISK PAC | RIMS Advocacy RIMS Strategic & Enterprise Risk Center RIMS-CRMP Stories — Featuring Walmart ERM Director Michelle Black!   RIMS Events, Education, and Services: RIMS Risk Maturity Model®   Sponsor RIMScast: Contact sales@rims.org or pd@rims.org for more information.   Want to Learn More? Keep up with the podcast on RIMS.org, and listen on Spotify and Apple Podcasts.   Have a question or suggestion? Email: Content@rims.org.   Join the Conversation! Follow @RIMSorg on Facebook, Twitter, and LinkedIn.   About our guest: William Sako, Vice President, Senior Security Consultant at Telgian Engineering & Consulting, LLC   Production and engineering provided by Podfly.  

In this engaging discussion, Morgan O'Rourke, Senior Director of Content & Publications at RIMS, shares insights on emerging risks in 2025. He highlights the pioneering role of AI in risk management, addressing both its opportunities and challenges. The conversation also covers the accolade for their superb digital transitions and the launch of RIMS Now, a new member-centric newsletter. O'Rourke emphasizes the importance of tailored strategies to navigate significant risks like climate change and interconnected threats.

Welcome to RIMScast. Your host is Justin Smulison, Business Content Manager at RIMS, the Risk and Insurance Management Society.   Our guest, Kristen Peed, is the Chief Risk Officer of Sequoia, and RIMS 2025 President. Kristen was recently promoted to Chief Risk Officer. She tells about that role and how it differs from her other risk roles.   Kristen speaks of a few of the risks to organizations today. She shares two stories of mentorship from her past and her efforts to provide mentorship today. Kristen shares thoughts about the evolving role of the risk manager and her pathway to the C-Suite for a seat at the table. She discusses the legislative summit, the topic of third-party-funded litigation, and the need for transparency and regulation.   Justin and Kristen discuss how every day is a brand new day for RIMS, what will be celebrated at RISKWORLD 2025, and a couple of new RIMS initiatives you can expect to learn about there. Kristen shares her gratitude to all the RIMS volunteers who make her job as 2025 president possible.   Listen for Kristen’s career advancement advice and her final suggestion for growth. Key Takeaways: [:01] About RIMS and RIMScast. [:14] Public registration is open for RISKWORLD 2025! Engage Today and Embrace Tomorrow with RIMS at RISKWORLD from May 4th through May 7th in Chicago, Illinois. Register at RIMS.org/RISKWORLD and the link in this episode’s show notes. [:31] About this episode of RIMScast. We will be joined by RIMS President Kristen Peed. [:48] RIMS-CRMP Workshops! The next workshop will be March 19th and 20th. Register by March 12th. As part of our continuing strategic partnership with Purima, we have a two-day course coming up on April 22nd and 23rd. [1:03] Links to these courses can be found through the Certification page of RIMS.org and this episode’s show notes. [1:10] Virtual Workshops! On March 26th, Pat Saporito will host “Generative AI for Risk Management”. [1:18] On April 16th and 17th, Chris Hansen will lead “Managing Worker Compensation, Employer’s Liability, and Employment Practices in the U.S.”. [1:31] A link to 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 show notes. [1:40] RISKWORLD registration is open. Engage Today and Embrace Tomorrow, May 4th through 7th in Chicago. Register at RIMS.org/RISKWORLD. Also, remember there will be lots of pre-conference workshops being held in Chicago just ahead of RISKWORLD. [1:57] These courses include “Applying and Integrating ERM,” “Captives as an Alternate Risk Financing Technique,” “Contractual Risk Transfer,” “Fundamentals of Insurance,” “Fundamentals of Risk Management,” RIMS-CRMP Exam Prep, and more! Links are in the show notes. [2:17] Our guest today is the Chief Risk Officer at Sequoia and the RIMS 2025 President, Kristen Peed. We’re going to talk about her risk management career journey, what it took for her to ascend to the level of Chief Risk Officer, and what that means for her organization. [2:38] We will also talk about the power of mentorship, networking, and what’s in store for us at RISKWORLD 2025 and throughout the year as we celebrate the 75th anniversary of RIMS. [2:50] Interview! RIMS 2025 President, Kristen Peed, welcome to RIMScast! [3:07] This is Kristen’s eighth year on the RIMS Board. It’s been an amazing journey! Most of her best friends are RIMS staff members or RIMS members, all over the globe. RIMS is a huge part of her life! Justin joined RIMS almost eight years ago. They have known each other for years. [3:33] Justin shares a memory with Kristen in Halifax. Kristen took part in an impromptu presentation, in the role of a petulant child. [4:06] Kristen wears sneakers; she has branded herself as the sneaker queen. She has stopped counting how many pairs of sneakers she has. [4:34] This year is the 75th anniversary of RIMS. There is a big RISKWORLD in May; its theme is Engage Today and Embrace Tomorrow with RIMS. [4:54] Kristen Peed was recently promoted to Chief Risk Officer of Sequoia. Sequoia has ambitious growth goals, which is one of the reasons Kristen joined it. In her new role, Kristen has oversight of all corporate risks. [5:27] These include enterprise risks, IT risks, security risks, property & casualty risks, and E&O risks. It’s overarching. [5:46] Kristen sees there has been a slow transition for risk managers in general, from a transactional, procurement role to a strategic role, where they see opportunities with risk. Where they see places where they can offer value and insight. [6:07] Sequoia is a client-based company. Clients are reaching out to Kristen for help dealing with deep-fake interviews. Kristen looked to the RIMS Board of Directors and Cherise Papadopolo, RIMS VP of DEI, People, & Culture, and got some helpful HR information. [6:48] Kristen was able to provide strategic advice to a Sequoia client’s Chief People Officer. It’s a perfect example of how RIMS helps risk managers to be viewed as strategic. The RIMS community is part of the reason Kristen was able to take on the role of Chief Risk Officer. [7:13] The role is something Kristen has been preparing for ever since she started as a risk analyst. Every step has been more of a strategic and leadership role rather than being in the weeds doing stuff. The Chief Risk Officer helps navigate and chart the map for the “captain.” [7:55] Kristen’s career advancement came both from having a plan and from being seen for her hard work. She has learned to ask for things more. She was fortunate to have some success early in her career and capitalized on it. A new boss provided amazing mentorship for Kristen. [8:41] She asked, “What’s the next role for Kristen?” Kristen realized she would like to be considered for a Chief Risk Officer role. Kristen’s boss understood her value and wanted to make sure she felt appreciated. Six months later, Kristen was offered the role if she wanted to take it. [9:45] Part of it is making your leadership aware that these titles exist, showing your value, and asking for it. [10:05] One of Kristen’s early successes at Sequoia involved using her RIMS network to put together a presentation on using surplus funds from the captive PEO insurer to fuel additional risk management activities. Leadership was excited and Kristen implemented it right away. [11:03] Another success was the consolidation of insurance programs. Sequoia had grown quickly and had renewal dates in different places. Kristen showed her market savvy and leveraged her relationships with carriers to bring down some initial premium costs. [12:00] Kristen says that putting the C-level title on a risk officer differentiates it. When she partners with the CISO or the Chief Data Officer, they are on equal footing. The C-level carries more weight. It also helps carriers in the marketplace see her as being in company leadership. [12:42] When Kristen meets with underwriters and carriers, they have a greater sense of comfort knowing she has a seat at the table and understands the direction of the company and how to mitigate against risk before it hits insurance. [13:01] Plug Time! RIMS Webinars! On March 13th, our friends from Global Risk Consultants will return to discuss “How to Make Your Property Insurance Submission AI-Ready”. [13:15] On Wednesday, March 26th at 2:00 p.m. Eastern Time, members of the RIMS Strategic and Enterprise Risk Management Council will extend the dialog that began in the recent RIMS Executive Report “Understanding Interconnected Risks”. [13:30] On Thursday, March 27th, Descartes Underwriting will make its RIMS Webinar debut with a session about parametric insurance. On April 3rd, join Zurich for “Understanding Third-Party Litigation Funding”. [13:43] On April 10th, Audit Board will present, “What CISOs Want Risk Executives to Know About Cyber Risk in 2025”. [13:51] Following the success of their recent webinar, HUB International returns for the next installment of their Ready for Tomorrow Series, “From Defense to Prevention: Strengthening Your Liability Risk Management Approach”. That session will be on April 17th. [14:07] On April 24th, RiskConnect returns to deliver “Better Together: The Marriage of Insurable Risk and Business Continuity”. [14:40] More webinars will be announced soon and added to the RIMS.org/webinars page. Go there to register. Registration is complimentary for RIMS members. [14:26] Let’s Return to Our Interview with RIMS 2025 President Kristen Peed! [14:37] As a follow-up to the RIMScast episode with Mark Prysock on RIMS’s legislative priorities, Kristen talks about third-party-funded litigation. It affects risk managers, carriers, and brokers because of premium pricing. [15:06] It’s necessary to have transparency around third-party-funded litigation and eliminate the ability of foreign entities to fund and profit from it. The concern is around nuclear verdicts that are detrimental to the industry as a whole. [15:39] Nuclear verdicts will impact pricing, not only for that one company but for all risk managers. These verdicts are not sustainable. We need transparency. We want Congress to act upon this. We can all get behind this. Kristen doesn’t think this is a partisan issue. [15:58] Being able to partner with our carriers and brokers to have a strong message on the Hill is critical to the success and continuation of our industry. [16:08] Time and money are finite resources. There is no bottomless pit of money. [16:30] Kristen will soon be going to Capitol Hill with fellow risk practitioners for the RIMS Legislative Summit. [16:43] Kristen got involved in legislative advocacy after getting a mailer for the Legislative Summit. She attended and met the staff, including Robert Cartwright. She saw It was an amazing platform for risk managers to have their voices heard by the people they elect. [17:17] The RIMS Legislative Summit is one of Kristen’s favorite annual events. It can be so impactful to the community as a whole. It will be March 19th and 20th. This is your last chance to register for it. Prepare for the trip to D.C. [17:54] March is Women’s History Month. Kristen says she was lucky to have some key female leaders placed in her life at critical moments, that helped her down this path. [18:15] At CBIZ, Nancy Mallard was the GC for CBIZ’s Benefits and Insurance Division. She was the first female chair of the CIAB (The Council). Kristen saw Nancy’s leadership throughout the years in the industry. Kristen used her great example to figure out how to get involved at RIMS. [19:15] Kristen’s new boss, Kathy Ross, is amazing. She’s been a great advocate for Kristen and it has been awesome to learn from her how to elevate her leadership skills. Kristen feels blessed to have had these two impactful women in her life. [19:47] Sequoia’s culture is paramount to its people. One of its service commandments is “Be of extraordinary value to others.” Sequoia’s mission is “Coming through for others that put their trust in us.” Kristen takes these values to heart, whether in mentoring or calling on the phone.  [20:39] Kristen looks at how she can help create career paths for people and develop them, at Sequoia and in the risk community, as well. Kristen brings together interns and “externs” from other companies and stays in touch with them. She always asks them to pay the help forward. [21:35] Plug Time! Kristen Peed was a board member of the Spencer Educational Foundation. [21:41] The Spencer Educational Foundation’s goal to help build a talent pipeline of risk management and insurance professionals is achieved in part by its collaboration with risk management and insurance educators across the U.S. and Canada. [21:59] Since 2010, Spencer has awarded over $3.3 million in general grants to support over 130 student-centered experiential learning initiatives at universities and RMI non-profits. [22:13] Spencer’s 2026 application process will open on May 1st, 2025, and close on July 30th, 2025. General Grant awardees are typically notified at the end of October. Learn more about Spencer’s General Grants through the Programs tab of SpencerEd.org. [22:31] Spencer has several events lined up before and during RISKWORLD 2025. On May 3rd, there’s the Spencer-CNA Pickle Ball Social, on May 4th, the Spencer-Gallagher Golf Tournament, on May 5th, the Spencer Soiree, and on May 6th, the Spencer-Sedgwick 5K Fun Run. [22:51] You can register for or sponsor any of these through the links on this page or by visiting SpencerEd.org/riskworld2025. [23:00] The Conclusion of My Interview with RIMS 2025 President, Kristen Peed! [23:27] Kristen’s theme for her presidency is Brand New Day. Every day is a brand new day of risks. Every day, new risks are popping up. Whether AI, advancements in cyber threats, wildfires, or climate change, everything is changing. [24:12] It’s a brand new day for risk managers. We have to be more nimble and strategic. That means it’s a brand new day for RIMS. It’s about how RIMS is going to support us in this moment and also as we move into the future, making sure we stay relevant for the next 75 years and on. [24:41] A new track, Alternative Risk Transfer, highly focused on captives, is being presented at RISKWORLD 2025. This is something risk managers have been asking to learn more about. It’s part of the strategic conversation; how do you start to offer value back to your company? [25:09] How do you more strategically look at risk from a long-term perspective? That dovetails with Enterprise Risk Management. RIMS ERM content is relevant and has evolved over time. Captives will continue to be a value-generating part of the profession. [26:06] The 75th anniversary of RIMS is special for Kristen because it shows that RIMS has come so far. This year, RIMS is launching the RIMS Foundation to create opportunities for early-career students. That’s the critical time to help them stay in the profession. [26:47] The RIMS Foundation will provide them with opportunities for growth, learning, and networking. This is a graying industry. We need to attract the next generation of talent to the industry and fill the pipeline with lots of people to backfill when current risk professionals retire. [27:21] Also in 2025, RIMS has a brand new Texas regional conference from August 4th through the 6th, on the San Antonio River Walk. People are reaching out to Kristen to submit sessions. It’s exciting to see all the buzz around that conference. [28:35] Kristen’s concludes: “Never quit learning. In my role, I’ve been doing this for two-plus decades, but I learn something new every day. When I took the RIMS-CRMP, I learned even more. It’s the only risk management credential accredited by ANSI. Go and get your RIMS-CRMP.” [28:56] “It is one of the best educational opportunities you will have to demonstrate your proficiency and excellence and show your senior leadership team that you have the skills to elevate and provide strategic direction to your company.” [29:18] Justin notes that later this year, you can look for a RIMS-CRMP story, featuring RIMS 2025 President Kristen Peed. [29:23] Kristen, it is such a pleasure to see you! I’m so happy that you’re our president this year and I’m happy for your continued success. I look forward to being able to celebrate with you in May at RISKWORLD 2025! [29:35] Kristen says she is honored to lead RIMS this year but it wouldn’t be possible without all the other volunteer risk professionals around the world, all our chapter leaders, all committee members, and all our council volunteers. [29:53] Kristen wants to thank everybody who donates their time and energy to making RIMS so relevant and future-thinking. I could not do what I do without your support. [30:10] Special thanks again to RIMS 2025 President, Kristen Peed. Be sure to catch her at RISKWORLD 2025. She will have a presence on the main stage and during many of the ceremonies. Be sure to register for RISKWORLD 2025 at RIMS.org/riskworld. [30:23] More RIMS Plugs! You can sponsor a RIMScast episode for this, our weekly show, or a dedicated episode. Links to sponsored episodes are in the show notes. [30:48] 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. [31:05] 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. [31:21] 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. [31:35] 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. [31:48] Justin Smulison is the Business Content Manager at RIMS. You can email Justin at Content@RIMS.org. [31:54] Thank you all for your continued support and engagement on social media channels! We appreciate all your kind words. Listen every week! Stay safe!   Mentioned in this Episode: RISKWORLD 2025 — May 4‒7 | Register today! RIMS Legislative Summit — March 19‒20, 2025 Nominations for the Donald M. Stuart Award [Canada] Spencer Educational Foundation — General Grants 2026 — Application Dates Spencer’s RISKWORLD Events — Register or Sponsor! RIMS-Certified Risk Management Professional (RIMS-CRMP) RISK PAC | RIMS Advocacy RIMS Risk Management magazine RIMS Leadership Corner — Featuring Kristen Peed RIMS Webinars: RIMS.org/Webinars “How to Make Your Property Insurance Submission AI-Ready” | Sponsored by Global Risk Consultants, a TÜV SÜD Company | March 13, 2025 “Understanding Interconnected Risks” | Presented by RIMS and the Strategic and Enterprise Risk Management Council | March 26, 2025 “Parametric Insurance and Climate Risk: An Innovative Tool for CAT Risk Management” | Sponsored by Descartes Underwriting | March 27, 2025 “Understanding Third-Party Litigation Funding” | Sponsored by Zurich | April 3, 2025 “What CISOs Want Risk Executives to Know About Cyber Risk in 2025” | Sponsored by Auditboard | April 10, 2025 “Ready for Tomorrow? From Defense to Prevention: Strengthening Your Liability Risk Management Approach” | Sponsored by Hub International | April 17, 2025 “Better Together: The Marriage of Insurable Risk and Business Continuity” | Sponsored by Riskonnect | April 24, 2025   Upcoming RIMS-CRMP Prep Virtual Workshops: RIMS-CRMP | March 19‒20 | Register by March 12 RIMS-CRMP Exam Prep with PARIMA | April 22‒23 Full RIMS-CRMP Prep Course Schedule   Upcoming Virtual Workshops: “Generative AI for Risk Management” | March 26 | Instructor: Pat Saporito “Managing Worker Compensation, Employer's Liability and Employment Practices in the U.S.” | April 16‒17 | Instructor: Chris Hansen See the full calendar of RIMS Virtual Workshops RIMS-CRMP Prep Workshops   Related RIMScast Episodes: “Kicking off 2025 with RIMS CEO Gary LaBranche” “RIMS Legislative Priorities in 2025 with Mark Prysock” “(Re)Humanizing Leadership in Risk Management with Holly Ransom” (RISKWORLD Keynote) “Risk and Relatability with Rachel DeAlto, RISKWORLD Keynote” “Risk and Leadership Patterns with Super Bowl Champion Ryan Harris” (RISKWORLD Keynote)   Sponsored RIMScast Episodes: “Simplifying the Challenges of OSHA Recordkeeping” | Sponsored by Medcor “Risk Management in a Changing World: A Deep Dive into AXA's 2024 Future Risks Report” | Sponsored by AXA XL “How Insurance Builds Resilience Against An Active Assailant Attack” | Sponsored by Merrill Herzog “Third-Party and Cyber Risk Management Tips” | Sponsored by Alliant “RMIS Innovation with Archer” | Sponsored by Archer “Navigating Commercial Property Risks with Captives” | Sponsored by Zurich “Breaking Down Silos: AXA XL’s New Approach to Casualty Insurance” | Sponsored by AXA XL “Weathering Today’s Property Claims Management Challenges” | Sponsored by AXA XL “Storm Prep 2024: The Growing Impact of Convective Storms and Hail” | Sponsored by Global Risk Consultants, a TÜV SÜD Company “Partnering Against Cyberrisk” | Sponsored by AXA XL “Harnessing the Power of Data and Analytics for Effective Risk Management” | Sponsored by Marsh “Accident Prevention — The Winning Formula For Construction and Insurance” | Sponsored by Otoos “Platinum Protection: Underwriting and Risk Engineering's Role in Protecting Commercial Properties” | Sponsored by AXA XL “Elevating RMIS — The Archer Way” | Sponsored by Archer   RIMS Publications, Content, and Links: RIMS Membership — Whether you are a new member or need to transition, be a part of the global risk management community! RIMS Virtual Workshops On-Demand Webinars RIMS-Certified Risk Management Professional (RIMS-CRMP) RISK PAC | RIMS Advocacy RIMS Strategic & Enterprise Risk Center RIMS-CRMP Stories — Featuring RIMS Vice President Manny Padilla!   RIMS Events, Education, and Services: RIMS Risk Maturity Model®   Sponsor RIMScast: Contact sales@rims.org or pd@rims.org for more information.   Want to Learn More? Keep up with the podcast on RIMS.org, and listen on Spotify and Apple Podcasts.   Have a question or suggestion? Email: Content@rims.org.   Join the Conversation! Follow @RIMSorg on Facebook, Twitter, and LinkedIn.   About our guest: Kristen Peed, Chief Risk Officer at Sequoia and the RIMS 2025 President   Production and engineering provided by Podfly.  

Nicole Sherwin, Chief Impact Officer at EcoVadis, passionately discusses the crucial role of sustainable supply chains in mitigating risks and fostering growth. She highlights the importance of transparency in supply chains for investors and outlines tools for effective ESG and sustainability reporting. The conversation dives into the challenges of climate risks and human rights, advocating for sustainable sourcing and collaboration. Sherwin emphasizes how sustainability initiatives can enhance ROI and corporate reputation while addressing modern slavery issues in supply chains.

Welcome to RIMScast. Your host is Justin Smulison, Business Content Manager at RIMS, the Risk and Insurance Management Society.   Our guest, Holly Ransom, an internationally acclaimed speaker and leadership trailblazer, will be a keynote speaker on May 6th at RISKWORLD 2025 in Chicago. Holly previews her keynote as well as shares nuggets of risk knowledge she has collected throughout her career. Holly gives tips for leadership qualities and skills that are needed more than ever in this uncertain environment. She speaks of resilient leadership and confidence in crises. She tells how to recover a strong brand from a crisis when handled properly. She speaks of the importance of lifelong learning, not as an ideal but as a practice. Listen for Holly’s keynote theme and her advice for leaders today in this insightful episode. Key Takeaways: [:01] About RIMS and RIMScast. [:14] Public registration is open for RISKWORLD 2025! RIMS wants you to Engage Today and Embrace Tomorrow in Chicago from May 4th through May 7th. Register at RIMS.org/RISKWORLD and the link in this episode’s show notes. [:29] Register now! The Super Savings Rate ends on February 28th! [:37] About this episode. We will be joined by Holly Ransom, who is one of the keynote speakers who will be on the main stage at RISKWORLD 2025 on May 6th. We will get a preview of her session, “Humanizing Leadership in a Tech-Enhanced World.” [1:10] RIMS-CRMP Workshops! RIMS will partner with Purima once again on March 5th and 6th to deliver a virtual RIMS-CRMP Prep Course. Links to these courses can be found through the Certification page of RIMS.org and this episode’s show notes. [1:30] Virtual Workshops! “Managing Data for ERM” will be hosted by Pat Saporito. That course starts on March 12th, 2025. On March 26th, Pat will also host “Generative AI for Risk Management.” [1:52] On April 16th and 17th, Chris Hansen will lead “Managing Worker Compensation, Employer’s Liability, and Employment Practices in the U.S.”  [2:05] A link to 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 show notes. [2:16] RISKWORLD registration is open. Take advantage of our Super Savings Rate by February 28th. Register at RIMS.org/RISKWORLD. Also, remember there will be lots of pre-conference workshops being held in Chicago just ahead of RISKWORLD. [2:34] These courses include “Applying and Integrating ERM,” “Captives as an Alternate Risk Financing Technique,” “Contractual Risk Transfer,” “Fundamentals of Insurance,” “Fundamentals of Risk Management,” RIMS-CRMP Exam Prep, and more! Links are in the show notes. [2:55] Our guest today is Holly Ransom, and she is one of the keynote speakers who will be on the main stage on May 6th at RISKWORLD. She will lead the session “Humanizing Leadership in a Tech-Enhanced World.” We’re going to get a preview of her presentation. [3:08] Holly will also talk about some of the world leaders she has shared the stage with and why she found them impactful. [3:17] Interview! Holly Ransom, welcome to RIMScast! [3:24] At RISKWORLD 2025, on May 6th, Holly Ransom will present a TED-style talk, “Humanizing Leadership in a Tech-Enchanced World.” [3:41] Holly can’t wait to be there in Chicago. She is excited that so many will be attending! Her keynote goal is to explore how important authenticity, empathy, and purpose in leadership are amid technological change. [3:59] It’s easy to lose sight of authenticity in an industry that’s all about metrics and frameworks. We need to maintain that focus on building resilient teams that can navigate uncertainty with confidence and clarity. That’s what Holly will share at RISKWORLD. [4:34] Holly will be diving into the high-performing culture element. A lot of Holly’s work with high-performing sports teams and in the corporate landscape is about how to get collective effectiveness. [4:45] Holly’s keynote will pull on those insights to ask what it looks like to influence positively the environment to get the best out of the people around her, maximize creativity, and seize the innovation opportunity. That will be where it comes together in her conversation. [5:22] Holly discusses the metrics of success. It depends on the organization. There are performance metrics for revenue and reputation that show how effective a business is. She talks about looking beyond traditional KPIs to other ways to measure effectiveness. [5:51] These other measures may include new products to market, rate of innovation, successful growth of new products versus legacy brands, psychological safety scores, team engagement, and recognition. [6:12] Holly looks for proactive measures and team collaboration quality. That’s a combination of metrics beyond what organizations have traditionally measured. Pick out of the KPI soup the ones that benefit you. Which ones measure the needle moving in your organization? [7:01] Holly has spoken at events within the risk industry. RISKWORLD will be her largest risk management speaking event. [7:23] Holly sees the risk profession as having an incredibly important role, making sure that safety is maintained and people safely get to where they want to go, inside their organizations.  [7:39] These are the people laying down strategy and setting the innovation roadmap, and how we get there while maintaining the expectations of our customers, standards for our employees, and the license we have to operate within our community and the broader society. [8:05] Holly says risk management is one of the most complex jobs inside an organization. Holly worked in large corporations in mining and banking early in her career. She spent a lot of time with CROs. Their risk reports to the board were around 150 pages, before cyber frontier. [8:44] Holly has empathy for risk managers who must influence other executives to understand the risk agenda and embrace and support it. The skills of risk professionals have probably never mattered more as we navigate the complexity. [9:30] The 150-page risk reports Holly saw in her corporate career were filled with information, including heatmaps. It was important to call attention to what mattered most and report it realistically while discharging risk duties responsibly. It’s an interesting tightrope to walk. [10:22] Holly mentions the role that smart risk plays in innovation and progress. In high-performing teams, if you keep doing the same thing, you can’t maintain your competitive edge. There is always an element of risk in the evolution of strategy and approach. [10:49] Netflix embraced risk in its strategy of pivoting away from rental to streaming, first with owned content and now into live sports. There were difficulties, but now Netflix is one of the most successful stories of the last 20 years. [11:52] Netflix was prepared to “cannibalize” itself and jump on what it saw as an emerging technology opportunity to stake out a new business model. Netflix continues to add new subscribers. [12:40] What can leaders learn from Netflix? Ask yourself what you are doing as a leader to build your peripheral vision. How do you make sure you’re not getting caught in the way you do things or the way your industry operates? [13:02] How do you expand your view so change does not catch you off-guard and the opportunities and threats that come are things that you as a leader are beginning to think about? AI could be an example of something relevant to leaders at the moment. [13:21] Ask what’s the question you need to be reflecting on. What’s the strategic question you can take to your leadership team or board that allows you to get into a “meaty” conversation on the topic with ideas on how the board wants to respond to it, proactively versus reactively? [13:40] How are you keeping your finger on the pulse? Do you have a source outside your deep industry expertise or outside where you operate? Are you having periodic conversations with a leader in another industry sharing observations and data points? [14:06] How do you turn an observation into a question that sparks the thinking and the conversation that can be the catalyst for transformation? Get into conversations with your colleagues. What does this mean for us and how can we do something significant for us with it? [14:27] Netflix started very early in strategic conversation and prepared to take strategic bets on what part of its portfolio and what allocation of its resources to give to this new idea. [14:41] You see this process in a range of businesses, however they structure it. Some businesses have an innovation arm. Other places have a budget allocation per department for new ideas each year. [15:05] There needs to be a meaningful skin in the game each year, building the muscle of working up an idea and attempting execution. That allows you to get real opportunities, rather than just intellectualizing risk. What will you learn in the process to try better next time? [15:35] Plug Time! RIMS Webinars! On March 13th, our friends from Global Risk Consultants will return to discuss “How to Make Your Property Insurance Submission AI-Ready”. [15:49] On a unique day and time, March 26th at 2:00 p.m. Eastern Time, members of the RIMS Strategic and Enterprise Risk Management Council will extend the dialog that began in the recent RIMS Executive Report “Understanding Interconnected Risks”. [16:07] More webinars will be announced soon and added to the RIMS.org/webinars page. Go there to register. Registration is complimentary for RIMS members. [16:19] Nominations are also open for the Donald M. Stuart Award which recognizes excellence in risk management in Canada. [16:27] The Spencer Educational Foundation’s goal to help build a talent pipeline of risk management and insurance professionals is achieved in part by its collaboration with risk management and insurance educators across the U.S. and Canada. [16:46] Since 2010, Spencer has awarded over $3.3 million in general grants to support over 130 student-centered experiential learning initiatives at universities and RMI non-profits. [16:59] Spencer’s 2026 application process will open on May 1st, 2025, and close on July 30th, 2025. General Grant awardees are typically notified at the end of October. Learn more about Spencer’s Grants through the Programs tab of SpencerEd.org. [17:18] The Conclusion of My Interview with Upcoming RISKWORLD 2025 Keynote, Holly Ransom! [17:37] Holly has been to Chicago and loves it, but not Chicago winters! This will be Justin’s first time in Chicago. He’ll do the generic bucket list Chicago stuff when he finds a couple of pockets of time, to enhance the experience. [18:34] During the pandemic, there were studies done on leadership communication during a crisis. There was a difference between leaders in companies who performed well in the face of adversity, versus others. [18:58] There was a big piece around leaders who could demonstrate authentic concern. An example of this was New Zealand’s former Prime Minister, Jacinda Ardern, after the terrorist attack in Christchurch. [19:14] She had an incredible ability to show empathy and to see it as a moment of extreme sadness; an opportunity to bring the nation together. [19:31] Successful leaders in crisis focus on what they can control and communicate with a transparent confidence. Ed Bastian at Delta did a good job managing the 2017 system outage across Delta. He appeared in a video message to customers within hours and took ownership. [20:12] He offered compensation proactively versus reactively, making it right for his customers, knowing that how he handled the situation would set Delta’s reputation and make the comeback stronger. [20:29] You can build back a stronger brand and reputation by how you handle a crisis. You can have a higher brand score after a crisis you’ve handled well. Your relationships need to be in hand before the crisis. Be proactive in stakeholder relations so there are credits “in the bank.” [21:08] Then, when the crisis comes, you can call in favors and ask people to come in, in support. Those people show up. [22:04] Holly describes her feelings on giving a keynote. She loves it. She says she’s on the strange end of the psych profile, in liking to be in front of an audience and talking. Holly says that for her, there is nothing more precious than people’s time. [22:25] She calls it a privilege to have time to impart a message. Her goal is always to give the audience practical tools and new ideas that leave them feeling empowered and less overwhelmed, with things they can immediately put to work to enhance their effectiveness. [22:56] Holly wants to practically equip leaders as she feels we are in desperate need of new tools to help us overcome the overwhelm, make sense of the complexity, and find our way through the uncertainty. [23:23] Justin checked out Holly’s highlight reel where she has hosted sessions with major world leaders, including former President Barack Obama. Of everyone she has shared a stage with, who stood out to her as a magnetic personality? [24:06] Matthew McConaughey comes to mind as someone who has real confidence in himself, doesn’t take himself too seriously, is very funny, engaging, extroverted, and is a natural storyteller. He is as delightful offstage as he is on. [24:25] Without exception, the world leaders Holly has had the privilege of interviewing and hosting, tend to be incredible communicators and have an “X” factor to them. [24:57] Brené Brown was warm, authentically passionate about the work that she does, and genuine in her desire to connect and converse. Holly said Brené Brown was everything you would hope she would be. [25:55] Holly’s last thoughts for leaders of the risk profession: There is an increasing communication demand on every leader to be a storyteller, to be able to cut through because the world has never been noisier, and to help people make sense of what they’re saying. [26:20] People feel overloaded. Uncertainty leads to a bias of inaction rather than action. Risk professionals need to cultivate the skill of storytelling and influencing to convey the critical information they have to stakeholders who don’t have the same depth of understanding. [26:55] We give a lot of lip service to life-long learning. We need to start practicing what we preach, getting “in the gym” and building that new muscle, whatever you can do to widen your view into topics that may not have been traditionally part of your wheelhouse, like AI. [27:23] AI is becoming increasingly important to understand opportunities and risks. Have you humbled yourself and been a beginner and gotten on the tools, played with them, and taken a master class, to get your hand around it and think about what it means for your organization? [27:52] It could be GenZ coming in. Do you have a mentor under the age of 26? Think about that if you haven’t. There could be a whole range of factors that are looming as things that are going to reset the table. What are you doing to build your understanding and experience? [28:36] Holly, it has been such a pleasure to speak with you and meet you, in advance of your presence at RISKWORLD 2025. I can’t wait to see you on May 6th! You’re going to be fantastic, along with Ryan and Rachel! It’s been insightful to speak with you, I appreciate you very much! [29:02] Special thanks again to Holly Ransom for joining us on RIMScast! You can learn more about her at HollyRansom.com. We look forward to seeing Holly at RISKWORLD 2025 on the main stage on May 6th. [29:15] Remember to register for RISKWORLD at RIMS.org/RISKWORLD. Recent episodes with the other keynote speakers, Ryan Harris and Rachel DeAlto, are now in this episode’s show notes. Remember to lock in that Sweet Super Rate for RISKWORLD 2025 before March 1st! [29:35] More RIMS Plugs! You can sponsor a RIMScast episode for this, our weekly show, or a dedicated episode. Links to sponsored episodes are in the show notes. [30:04] 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. [30:22] 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. [30:40] 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. [30:56] 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. [31:10] Justin Smulison is the Business Content Manager at RIMS. You can email Justin at Content@RIMS.org. [31:17] Thank you all for your continued support and engagement on social media channels! We appreciate all your kind words. Listen every week! Stay safe!   Mentioned in this Episode: RISKWORLD 2025 — May 4‒7 | Register today! | Super savings rate ends Feb. 28. RIMS Legislative Summit — March 19‒20, 2025 Nominations for the Donald M. Stuart Award Spencer Educational Foundation — General Grants 2026 — Application Dates RIMS-Certified Risk Management Professional (RIMS-CRMP)RISK PAC | RIMS Advocacy RIMS Texas Regional Conference 2025 | Submit an Educational Session by Feb. 24. RIMS Risk Management magazine Hollyransom.com RIMS Webinars: RIMS.org/Webinars “How to Make Your Property Insurance Submission AI-Ready” | Sponsored by Global Risk Consultants, a TÜV SÜD Company | March 13, 2025 “Understanding Interconnected Risks” | Presented by RIMS and the Strategic and Enterprise Risk Management Council | March 26, 2025   Upcoming RIMS-CRMP Prep Virtual Workshops: RIMS-CRMP Exam Prep with PARIMA | March 5‒6 and April 22‒23 | Virtual Full RIMS-CRMP Prep Course Schedule   Upcoming Virtual Workshops: “Applying and Integrating ERM” | Feb. 26‒27 | Instructor: Elise Farnham “Managing Data for ERM” | March 12 | Instructor: Pat Saporito “Managing Worker Compensation, Employer's Liability and Employment Practices in the US” | April 16‒17 | Instructor: Chris Hansen See the full calendar of RIMS Virtual Workshops RIMS-CRMP Prep Workshops   Related RIMScast Episodes: “Risk and Relatability with Rachel DeAlto, RISKWORLD Keynote” “Risk and Leadership Patterns with Super Bowl Champion Ryan Harris” (RISKWORLD Keynote) “Kicking off 2025 with RIMS CEO Gary LaBranche”   Sponsored RIMScast Episodes: “Simplifying the Challenges of OSHA Recordkeeping” | Sponsored by Medcor “Risk Management in a Changing World: A Deep Dive into AXA's 2024 Future Risks Report” | Sponsored by AXA XL “How Insurance Builds Resilience Against An Active Assailant Attack” | Sponsored by Merrill Herzog “Third-Party and Cyber Risk Management Tips” | Sponsored by Alliant “RMIS Innovation with Archer” | Sponsored by Archer “Navigating Commercial Property Risks with Captives” | Sponsored by Zurich “Breaking Down Silos: AXA XL’s New Approach to Casualty Insurance” | Sponsored by AXA XL “Weathering Today’s Property Claims Management Challenges” | Sponsored by AXA XL “Storm Prep 2024: The Growing Impact of Convective Storms and Hail” | Sponsored by Global Risk Consultants, a TÜV SÜD Company “Partnering Against Cyberrisk” | Sponsored by AXA XL “Harnessing the Power of Data and Analytics for Effective Risk Management” | Sponsored by Marsh “Accident Prevention — The Winning Formula For Construction and Insurance” | Sponsored by Otoos “Platinum Protection: Underwriting and Risk Engineering's Role in Protecting Commercial Properties” | Sponsored by AXA XL “Elevating RMIS — The Archer Way” | Sponsored by Archer   RIMS Publications, Content, and Links: RIMS Membership — Whether you are a new member or need to transition, be a part of the global risk management community! RIMS Virtual Workshops On-Demand Webinars RIMS-Certified Risk Management Professional (RIMS-CRMP) RISK PAC | RIMS Advocacy RIMS Strategic & Enterprise Risk Center RIMS-CRMP Stories — Featuring RIMS Vice President Manny Padilla!   RIMS Events, Education, and Services: RIMS Risk Maturity Model®   Sponsor RIMScast: Contact sales@rims.org or pd@rims.org for more information.   Want to Learn More? Keep up with the podcast on RIMS.org, and listen on Spotify and Apple Podcasts.   Have a question or suggestion? Email: Content@rims.org.   Join the Conversation! Follow @RIMSorg on Facebook, Twitter, and LinkedIn.   About our guest: Holly Ransom, internationally acclaimed speaker and leadership trailblazer   Production and engineering provided by Podfly.  

Welcome to RIMScast. Your host is Justin Smulison, Business Content Manager at RIMS, the Risk and Insurance Management Society.   Our guest, Mark Prysock, RIMS General Counsel & VP of External Affairs, is here to tell us about the RIMS Legislative Summit 2025, in Washington D.C. on March 19th and 20th. Mark shares the top five RIMS legislative priorities, what they mean, and how they impact the risk management profession. These include the need to regulate private third-party legislation funding, data privacy, and cyber security, the National Flood Insurance Program, non-profit tax reform, and the Investing in Tomorrow’s Workforce Act, liberalizing College 529s to allow using them for certifications. Listen for details on the RIMS Legislative Summit 2025, why you should attend, and what you can expect from it. Key Takeaways: [:01] About RIMS and RIMScast. [:15] Public registration is open for RISKWORLD 2025! RIMS wants you to Engage Today and Embrace Tomorrow in Chicago from May 4th through May 7th. Register at RIMS.org/RISKWORLD and the link in this episode’s show notes. [:33] About this episode. We will be joined by RIMS General Counsel and Vice President for External Affairs, Mark Prysock to discuss RIMS’s legislative priorities and the RIMS Legislative Summit.. [:59] RIMS-CRMP Workshops! RIMS will partner with Purima once again on March 5th and 6th to deliver a virtual RIMS-CRMP Prep Course. Links to these courses can be found through the Certification page of RIMS.org and this episode’s show notes. [1:18] Virtual Workshops! On February 26th and 27th, Elise Farnham of Illumine Consulting will lead “Applying and Integrating ERM”. “Managing Data for ERM” will be hosted by Pat Saporito. That course starts on March 12th, 2025. [1:44] A link to 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 show notes. [1:55] RISKWORLD registration is open. Take advantage of our Super Savings Rate by February 28th. Register at RIMS.org/RISKWORLD. [2:07] Speaking of RISKWORLD, next week, we will have one of the main stage keynotes, Holly Ransom, join us. Be sure to subscribe to RIMScast to make sure you get that episode as it comes out! [2:19] Today’s episode is all about RIMS’s legislative priorities and how those priorities will be addressed at the RIMS Legislative Summit 2025, March 19th and 20th in Washington, D.C. You can learn more about it at RIMS.org/advocacy. [2:37] One of my favorite RIMS colleagues is here to discuss all things legislation. Mark Prysock is our General Counsel and Vice President for External Affairs. [2:48] Mark is the point person for the RIMS Legislative Summit 2025, helping to ensure that our priorities at RIMS are communicated on behalf of our members to representatives in Congress. [3:02] Mark is going to join me today to discuss the top five RIMS legislative priorities in a little bit more detail, provide some additional perspective, and discuss the agenda a little bit, which will be finalized soon. [3:19] Interview! Mark Prysock, welcome back to RIMScast! [3:26] The RIMS Legislative Summit 2025 will be held on March 19th and 20th in Washington, D.C. This is a different time of year to host the summit. It was formerly held in September or October, depending on whether it was an election year. [3:56] Mark says the event was shifted to March because Congress, in general, seems to be fatigued by the end of the year. By September or October, it seemed that Congress was pretty much done with what they planned to get done for the year already. [4:13] RIMS thought it would make sense to meet with them in the first quarter of the year rather than the last quarter and see if they can’t get more engagement or interest in RIMS’s issues. Mark is excited about this change to March for the Summit. Congress will be newly in session. [4:41] The Summit participants will be meeting some new committee chairs and ranking members for the first time. This is going to be a great shift for the RIMS Legislative Summit. [5:02] This year will be a little different because there is going to be a significant tax bill passed. In 2017 there was a large package of temporary tax cuts which are set to expire this year. No one in Congress wants those tax cuts to expire and hit the American people with a tax hike. [5:27] To extend those tax cuts, Congress has to find other ways to generate tax revenue. So there will probably be a big tax bill this year. This is a good time to engage with the broader association community and members of Congress on these issues. [6:05] Mark says the Congressional Budget Office will rate how much of an impact, positively or negatively, a bill is going to have on the government’s finances. Eight years was the maximum they could push out these tax cuts without the government going over the tax cliff. [6:30] These temporary tax cuts are set to expire in September. Congress will need to do something about that. [6:39] The top five RIMS legislative priorities are listed on the RIMS.org site. Please see the link in this episode’s show notes. Justin and RIMS CEO Gary LaBranche discussed these legislative priorities in a recent RIMScast episode. [7:07] The top five legislative priorities, in no particular order, include third-party litigation funding. This issue is gaining a lot of traction in Washington. Mark defines third-party litigation funding as private investors backing civil litigation with significant sums of money. [7:39] There are currently no disclosure requirements. It can be a national security risk when foreign agents fund litigation here in the United States. Funders are often in a position to take control of litigation. They often get paid before the claimants and there is little regulation. [8:23] On both sides of the aisle, there’s a feeling that Congress needs to adopt, at least, some disclosure requirements so the courts and arguably, the other parties to the lawsuit are aware of who is backing this litigation. [8:43] RIMS is particularly concerned about the national security threat. There could be bad players from around the world funding litigation against American businesses. This concern seems to be gaining traction in the House and the Senate. [9:08] RIMS is very happy to be actively involved in a broader group that’s working on this issue. [9:27] The Plaintiffs Bar loves third-party litigation funding because it can make filing and pursuing lawsuits extremely profitable. They may not embrace limits on it. [10:10] Another legislative priority is data privacy and cyber security. RIMS is interested in having Congress pass a uniform data privacy law. Right now, there’s a patchwork of state laws that your company needs to know if it operates in multiple jurisdictions. It’s not an easy thing to do. [10:45] The last session of Congress came close to passing a Uniform Data Privacy Bill. That bill had a couple of significant flaws. It created carve-outs for the laws of favored states such as California, New York, and Massachusetts. [11:24] It also created a private right of action so individuals could sue companies for failing to comply with this law. The outcome of those cases would be on a state-by-state basis. Over time, this would lead to a patchwork of state laws. [11:48] RIMS is hoping to get a better version of the unified standard bill passed this session. [11:53] RIMS is looking for a reauthorization of the National Flood Insurance Program (NFIP), currently part of the Continuing Resolution funding the federal government. It’s “must pass” legislation. Few serious lawmakers would consider it good to shut down the government. [12:25] The Continuing Resolution gets renewed regularly. The NFIP, rolled up into it, also gets renewed regularly. It’s hard to make structural enhancements to a program that is part of the Continuing Resolution. The CR is often passed at the last minute; it’s hard to change it. [13:21] Non-profit Tax Reform is a new issue. It’s in a tax bill being considered to generate revenue to cover extending the expiring tax cuts. Tax-exempt organizations pay taxes on unrelated business income, which is a foggy area. Many organizations don’t pay any tax. [13:54] There is a movement to reconsider non-profit tax exemptions. The idea is that the corporate tax rate, currently 21%, should be levied against all non-donation revenue that associations and non-profit organizations generate. [14:10] For RIMS, that would include event revenue, sponsorships, royalties, membership dues, and any other non-donation revenue. It’s a significant deal. [14:29] Mark sees two drivers to this idea. The first is, that Congress does need to find a big pot of money to make sure the government doesn’t go off this tax cliff. The second is an intellectual argument that it’s time to take another look at why we’re not taxing these organizations more. [14:52] It’s a significant issue for RIMS and the association community at large because of the financial hit they could all take. Mark believes it will be considered by Congress relatively early this year. [15:05] Justin adds a statement that “RIMS has joined the steering committee of ASAE’s Community Impact Coalition to protect the non-profit community and educate Congress on the societal benefits of the tax-exempt sector.” [15:21] ASAE is the American Society of Association Executives. It’s an association for association people. Justin met some of the ASAE executives at an NYSAE event last year. They are all in alignment on this issue. [15:43] Plug Time! RIMS Webinars! HUB International continues its Ready for Tomorrow Series with RIMS. On February 20th, they will host “Ready for the Unexpected? Strategies for Property Valuation, Disaster Recovery and Business Continuity in 2025”. [16:03] On March 13th, our friends from Global Risk Consultants will return to discuss “How to Make Your Property Insurance Submission AI-Ready”. [16:13] On a unique day and time, March 26th at 2:00 p.m. Eastern Time, members of the RIMS Strategic and Enterprise Risk Management Council will extend the dialog that began in the recent RIMS Executive Report “Understanding Interconnected Risks”. [16:31] More webinars will be announced soon and added to the RIMS.org/webinars page. Go there to register. Registration is complimentary for RIMS members. [16:43] Nominations are also open for the Donald M. Stuart Award which recognizes excellence in risk management in Canada. Links are in this episode’s show notes. [16:54] The First of (hopefully) Many RIMS Texas Regional Conferences will be held in San Antonio from August 4th through 6th, 2025. The Risk Management Roundup in San Antonio is set to unite the Texas RIMS Chapters and welcome risk professionals from around the world. [17:13] You can join as a speaker. The Conference Planning Committee is interested in submissions that explore technology and cyber risk, workforce protection and advancement, energy and sustainability, extreme weather, construction, restaurant, retail, hospitality, and more. [17:35] The deadline to submit your proposal is Monday, February 24th. The link to the event and the submission process is in this episode’s show notes. Go check it out! [17:47] Let’s Return to My Interview with RIMS General Counsel & VP of External Affairs, Mark Prysock! [17:58] The fifth RIMS top legislative priority is the Invest in Tomorrow’s Workforce Act. That has emerged in the last year or so, about 529 Savings Plans. In the last Congress, there was strong bi-partisan, bi-cameral support to pass this legislation. [18:15] This bill would allow College 529 plans to be used to pay for certification programs, like the RIMS-CRMP. There’s a strong coalition, led by ASAE, that emerged last year to get this legislation moving. [19:06] This bill would benefit association members in two ways: Members with 529 plans could use them for certifications, and many associations have certification programs that would benefit if 529 dollars were used to pay for them. [19:34] Will all five priorities be addressed on Capitol Hill during the Summit? Mark will prep RIMS members to go forward and talk about all five issues. It’s possible that some of the issues will not have surfaced enough for RIMS members to spend a lot of time discussing them. [19:50] If no House or Senate bill has been introduced on the issue, it would be premature to try to have a conversation about it with a Congressional staffer or a member of Congress. On the other hand, an issue may already have been settled and wouldn’t be a priority to discuss. [20:23] Mark is moving forward with the idea that there will probably be five issues, but practically speaking, it may work out to be three. [20:39] The agenda for the Legislative Summit is on the RIMS Advocacy page. Click on the Register Now button to see it. [20:58] Mark gives an overview of what to expect at the RIMS Legislative Summit 2025. Wednesday, March 19th, is Education Day, a crash course in legislation. U.S. Chamber lobbyists, members of the administration, members from Capitol Hill, and Mark will talk on these issues. [21:24] The idea is to make sure RIMS members are well-briefed before they go to the Hill. They will understand the key talking points and will have the key talking points in hand. It’s very important to know what the “ask” is; what we are asking the members of Congress to do. [21:46] By the end of the day, the RIMS member will be prepped. On Wednesday evening there will be a nice reception. [21:56] Thursday, March 20th, is the day the RIMS members go to the Hill, meet with Congressional Staff, maybe meet with members of Congress, and talk about the RIMS legislative priorities. [22:38] Something Mark is working on and hopes to finalize and announce soon is a private tour of the U.S. Capitol Building on Tuesday, for those who arrive early enough. Tours are normally led by current or former members of Congress. The tours are entertaining and memorable. [23:09] Mark is a former Congressional staffer. He enjoyed working on Capitol Hill. He spent a lot of time sitting across the table from people like the RIMS members. He emphasizes that Congressional staff are more interested in hearing from you (constituents) than from lobbyists. [24:11] Don’t in any way be intimidated by the thought of going up to Capitol Hill and lobbying. The staff do want to hear from you! [24:24] Mark and his experience help put the RIMS attendees at a little bit of an advantage in putting things in a way that will get through to the staffers and be heard. He speaks the language! [24:52] Mark, it has been a pleasure to see you. One thing I want to mention: Only U.S. RIMS members and individuals who are representing U.S.-based entities of RIMS can attend the RIMS Legislative Summit! You don’t have to live in the U.S. to be an attendee. [25:16] Mark is looking for a keynote speaker to speak to the RIMS Legislative Summit 2025 at the reception on Wednesday the 19th. Stay tuned! [25:56] Special thanks again to RIMS General Counsel and Vice President of External Affairs, Mark Prysock. Learn more about RIMS advocacy efforts at RIMS.org/Advocacy. If you go there, you’ll find the registration page for the RIMS Legislative Summit on March 19th and 20th, 2025. [26:18] More announcements about the summit will be made here on RIMScast as they are released. Also on the RIMS Advocacy page, check out the RISKPAC, the RIMS Political Action Committee, the Chapter Advocacy Ambassador program, and more. [26:33] More RIMS Plugs! You can sponsor a RIMScast episode for this, our weekly show, or a dedicated episode. Links to sponsored episodes are in our show notes. [27:01] 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. [27:19] 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. [27:37] 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. [27:53] 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. [28:07] Justin Smulison is the Business Content Manager at RIMS. You can email Justin at Content@RIMS.org. [28:15] Thank you all for your continued support and engagement on social media channels! We appreciate all your kind words. Listen every week! Stay safe!   Mentioned in this Episode: RISKWORLD 2025 — May 4‒7 | Register today! | Super savings rate ends Feb. 28. RIMS Legislative Summit — March 19‒20, 2025 RIMS Announces Legislative Priorities for 2025 Nominations for the Donald M. Stuart Award Spencer Educational Foundation — General Grants 2026 — Application Dates RIMS-Certified Risk Management Professional (RIMS-CRMP) RISK PAC | RIMS Advocacy RIMS Texas Regional Conference 2025 | Submit an Educational Session by Feb. 24. RIMS Risk Management magazine RIMS Webinars: RIMS.org/Webinars “Ready for the Unexpected? Strategies for Property Valuation, Disaster Recovery and Business Continuity in 2025” | Sponsored by Hub International | Feb. 20, 2025 “How to Make Your Property Insurance Submission AI-Ready” | Sponsored by Global Risk Consultants, a TÜV SÜD Company | March 13, 2025 “Understanding Interconnected Risks” | Presented by RIMS and the Strategic and Enterprise Risk Management Council | March 26, 2025   Upcoming RIMS-CRMP Prep Virtual Workshops: “Stay Competitive with the RIMS-CRMP” | Presented by the RIMS Greater Bluegrass Chapter February 19‒20, 2025 | Instructor: Chris Mandel RIMS-CRMP Exam Prep with PARIMA | March 5‒6 and April 22‒23 | Virtual Full RIMS-CRMP Prep Course Schedule   Upcoming Virtual Workshops: “Fundamentals of Insurance” | Feb. 19‒20 | Instructor: Gail Kiyomura “Applying and Integrating ERM” | Feb. 26‒27 | Instructor: Elise Farnham “Managing Data for ERM” | March 12 | Instructor: Pat Saporito See the full calendar of RIMS Virtual Workshops RIMS-CRMP Prep Workshops   Related RIMScast Episodes: “Kicking off 2025 with RIMS CEO Gary LaBranche”   Sponsored RIMScast Episodes: “Simplifying the Challenges of OSHA Recordkeeping” | Sponsored by Medcor “Risk Management in a Changing World: A Deep Dive into AXA's 2024 Future Risks Report” | Sponsored by AXA XL “How Insurance Builds Resilience Against An Active Assailant Attack” | Sponsored by Merrill Herzog “Third-Party and Cyber Risk Management Tips” | Sponsored by Alliant “RMIS Innovation with Archer” | Sponsored by Archer “Navigating Commercial Property Risks with Captives” | Sponsored by Zurich “Breaking Down Silos: AXA XL’s New Approach to Casualty Insurance” | Sponsored by AXA XL “Weathering Today’s Property Claims Management Challenges” | Sponsored by AXA XL “Storm Prep 2024: The Growing Impact of Convective Storms and Hail” | Sponsored by Global Risk Consultants, a TÜV SÜD Company “Partnering Against Cyberrisk” | Sponsored by AXA XL “Harnessing the Power of Data and Analytics for Effective Risk Management” | Sponsored by Marsh “Accident Prevention — The Winning Formula For Construction and Insurance” | Sponsored by Otoos “Platinum Protection: Underwriting and Risk Engineering's Role in Protecting Commercial Properties” | Sponsored by AXA XL “Elevating RMIS — The Archer Way” | Sponsored by Archer “Alliant’s P&C Outlook For 2024” | Sponsored by Alliant “Why Subrogation is the New Arbitration” | Sponsored by Fleet Response “Cyclone Season: Proactive Preparation for Loss Minimization” | Sponsored by Prudent Insurance Brokers Ltd. “Subrogation and the Competitive Advantage” | Sponsored by Fleet Response   RIMS Publications, Content, and Links: RIMS Membership — Whether you are a new member or need to transition, be a part of the global risk management community! RIMS Virtual Workshops On-Demand Webinars RIMS-Certified Risk Management Professional (RIMS-CRMP) RISK PAC | RIMS Advocacy RIMS Strategic & Enterprise Risk Center RIMS-CRMP Stories — Featuring RIMS Vice President Manny Padilla!   RIMS Events, Education, and Services: RIMS Risk Maturity Model®   Sponsor RIMScast: Contact sales@rims.org or pd@rims.org for more information.   Want to Learn More? Keep up with the podcast on RIMS.org, and listen on Spotify and Apple Podcasts.   Have a question or suggestion? Email: Content@rims.org.   Join the Conversation! Follow @RIMSorg on Facebook, Twitter, and LinkedIn.   About our guest: Mark Prysock, RIMS General Counsel & VP of External Affairs   Production and engineering provided by Podfly.  

Rachel DeAlto, a communication expert and former insurance defense attorney, shares her intriguing journey from law to leadership. She emphasizes the importance of authenticity and relatability in building connections and trust within professional settings. Rachel discusses how resilience and compassion play vital roles in personal and professional growth, particularly in high-risk environments. Her insights include practical tips on fostering empathy and creating a relatable leadership style to enhance workplace relationships and team efficiency.