Navigating the 7C’s of Risk Management©

Luz Angela Fethers

Navigating the 7C’s of Risk
Management©

RM
Navigating the 7C’s of Risk
Management©

Before navigating the 7C’s, please take this

moment to talk to your neighbor and ask:

– Name
– Occupation or area of expertise
– Expectations from this session
Objectives
• Share experiences from different countries in
Latin America.
• Explain the 7C’s used to solve problems
related with risks.
• Apply the 7C’s to identify the steps to take to
successfully solve Risk Management
problems.
Content
• The Cases
• The 7C’s
– Congruence
– Connection
– Communication
– Compilation
– Cohesion
– Compliance
– Controls
• The 7C’s vs. Issues, Challenges & Needs.
– Template
– Exercise
• Q&A
The Cases
• Case 1: Property Insurance (Fire, Explosion)
Property claims were not reported to the Insurance Dept.,
First notice of loss was received through the news.
• Case 2: Marine Insurance (Coverage & Claims)
- >400 pending claims: >10MM & 5 year backlog
- Unclear declaration and claims process
- People and areas involved worked isolated, and didn’t
understand the reason because the problem couldn’t be
solved.
• Case 3: Your own case

Write the name of the case at the top of the page

7C’s: (1) Congruence
• Integrity
• Emotional Intelligence
• Harmony
7 C’s: (2) Connection
Networking (Michael Goldberg’s definition*)
• Talking and learning from people
• Collaborating with them
• Create “re-dynamic”
(Help one another)

*Rediscovering Personal Networking, Michael Goldberg

7C’s: (3) Communication
• If possible, confirm by writing: conversations
and meetings conclusions
• If you have to say “No”, explain Why.
• Confirm if your understanding is correct by
asking questions.
7C’s: (4) Compilation
• Compile information:
– Review quality and content.
– Locations, goods, merchandise, insured value,
characteristics, policy term, deductible, other
contracts involved, taxes, etc.
– Information needed for:
• Underwriting
• Claims
• Inspections
• Audits, etc.
7C’s: (5) Cohesion
• Order and assemble the information
– Verify quality and content.
– Locations, goods, merchandise, insured value,
characteristics, policy term, deductible, other
contracts involved, taxes, etc.
– Information needed for:
• Underwriting
• Claims
• Inspections
• Audits, etc.
7 C’s: (6) Compliance
Be in compliance with rules, laws, etc.
• Internal: Values, Principles, Policies
• External: Rules, Laws, Regulations
– Local
– Domestic
– International
– Global
7 C’s: (7) Controls*
• Belief systems (i.e. values, principles)
• Boundary systems (i.e. internal policies)
• Diagnostic systems (i.e. budgets)
• Interactive systems (i.e. budget vs. real)
• Internal Control systems (i.e. audits)

*Levers of Control by Robert Simons

Issues, Challenges, and Needs
• Issues
Barriers to overcome to achieve an objective.
• Challenges
Stimuli that help to overcome the difficulties.
• Needs
Required actions or resources to achieve an
objective.
The 7C’s vs. Issues, Challenges & Needs
(Template)
The 7C’s vs. Issues, Challenges & Needs
(Template - Instructions)
The Cases
• Case 1: Property Insurance (Fire, Explosion)
Property claims were not reported to the Insurance Dept.,
First notice of loss was received through the news.
• Case 2: Marine Insurance (Coverage & Claims)
- >400 pending claims: >10MM & 5 year backlog
- Unclear declaration and claims process
- People and areas involved worked isolated, and didn’t
understand the reason because the problem couldn’t be
solved.
• Case 3: Your own case

- Exercise -
The 7C’s vs. Issues, Challenges & Needs
Exercise: Based on the case that you selected (or your own problem),
complete the chart.
Conclusions
• The 7Cs are a essential tool to solve
problems related to Risk Management.
• The use of 7C’s help to identify the actions to
take to successfully solve Risk Management
problems.
• The exercise using cases in different
countries in Latin America (or your case), help
to understand how to apply the 7C’s to solve
Risk Management problems.
Navigating the 7C’s of Risk
Management©

• Q&A
Thanks!
Navigating the 7C’s of Risk
Management©

RM
Navigating the 7C’s of Risk Management©

Luz Angela Fethers