The Chartered Institute of Loan and Risk Management of Nigeria has encouraged professionals from various sectors to harness artificial intelligence for risk management.
During its recent Executive Masterclass and Induction ceremony in Lagos, the CILRM highlighted how AI could transform risk management practices and provide advantages in sectors such as finance, healthcare, politics, and governance, ultimately contributing to Nigeria’s socio-economic growth, according to The Punch.
The President of CILRM of Nigeria, Dr Nkechi Akubuiro emphasized that risk management is essential in every profession, urging Nigerians to adopt AI as a crucial tool for enhancing decision-making processes and minimizing uncertainties.
“There is no way we can manage risk without AI’s benefits,” Akubuiro said.
She highlighted AI’s potential in banking, healthcare, and everyday business decisions, highlighting its ability to process vast amounts of data efficiently to mitigate risks and seize opportunities.
She said, “The profession of risk management is important for everybody. The doctor needs to look at risks as they pertain to his work; the lawyer and the management consultant need to look at risks and the politician needs to look at risks. Everybody, the management consultant, needs to know the risks; so there is risk in everything.
“How would you use AI to manage the risk of giving out loans in the bank? How would you use AI to manage the risk of a patient dying on the operation table?
“How would you use AI to manage the risks involved in making decisions in your office, on your table, and to cope with all the data? The (place of the) huge data in everything you do in life is what we are doing today, and that’s what we’ve been doing for decades.”
She noted that while Nigeria had developed strong policies, the lack of risk management strategies had often undermined its success.
The introduction of AI, according to the CILRM president, will allow professionals to identify, assess, and mitigate risks better, resulting in more accurate and data-driven decision-making.
“If we can begin to imbibe the strategies, assess our risks; identify, assess, evaluate, mitigate against and treat them, then we would have given room to either reduce the evil that risks can bring or take the opportunities they present. That’s what risk management is all about,” she noted.
The keynote speaker, Dr Martina McPherson discussed the significance of AI for Nigeria’s economic future, addressing the increasing complexities of global risks, including economic shifts and environmental challenges.
He urged Nigerian risk professionals to leverage AI to manage threats and capitalize on opportunities, positioning Nigeria as a leader in innovative risk management practices.
“The responsibilities we carry are immense. But they also provide us with incredible opportunities to shape the future of our industries, pioneer new approaches to risk management, and lead with courage and integrity.
“The skills we acquire, the networks we build, and the knowledge we share through gatherings like this will be instrumental in the journey ahead,” she asserted.
The Registrar General of CILRM, Dr Innocent Uzombah, reinforced the need for professionals to adopt AI in risk management, saying, “We are encouraging all risk professionals to embrace artificial intelligence because it’s crucial in processing large datasets and making accurate decisions.”
According to Uzombah, AI minimizes human errors, thereby improving operational efficiency.
A highlight of the masterclass was a paper presentation by Dr Olanrewaju Sharafa on ‘Embracing Change and Opportunity: A Risk Professional’s Journey to a New Challenge’ and the induction of new members to the International Certified Risk Management Professional body.
