Are you competent coping with uncertainty and risk? Implications for work-applied management

Abstract

Purpose – In a rapidly changing world, organisations are constantly presented with threats and opportunities and the need to be responsive and resilient. This necessitates developing risk and uncertainty management capabilities within organisations. This article aims to consider risk and uncertainty competence, knowledge, skills, attitudes and the behaviours required by contemporary managers to protect their organisations from threat and harm, whilst seizing opportunity and reward. Design/methodology/approach – This article presents answers to three fundamental questions: (1) Do all managers (those not specialising in risk management) need to be competent in risk and uncertainty management? (2) What does risk competence mean? and (3) How can managers develop the capabilities to become risk competent? The content can be used by practicing managers or educators to develop individual and ultimately organisational risk competence. Findings – All contemporary managers should have some degree of risk competence. Risk competence behavioural indicators and requisite risk knowledge and skills are identified and discussed. Originality/value – This article provides a contemporary view on risk and uncertainty management competence, drawing on relevant competence frameworks and the existing risk literature.

Keywords

• Risk
• Uncertainty
• Risk competence
• Risk management