Mike Murphy of Kennametal
R&I: What was your first job?
I worked at our family-owned neighborhood tavern from an early age. Talk about life lessons! Outside of that, my first job was as a lifeguard at the Rogers-McFeely pool in Latrobe.
R&I: How did you come to work in risk management?
My predecessor worked in a nearby cube and always had interesting stories. When he retired, it sounded like something that would be fun to pursue.
R&I: What is the risk management community doing right? Where could it improve?
The risk management community does a good job of providing educational and awareness opportunities, like market updates, emerging risks, best practice sharing, etc. There are many learning and networking opportunities.
There is still room for improvement in developing talent; I see movement in that direction, but we could do a better job of communicating the opportunities in the industry.
R&I: What’s been the biggest change in the risk management and insurance industry since you’ve been in it?
Certainly technology improvements that enable risk managers to be more effective and efficient. Also, the change in image of risk managers from the stereotypical “insurance and claims guys” to business partners.
R&I: What emerging commercial risk most concerns you?
Cyber liability exposures in the manufacturing environment and keeping pace with change, especially with the advent of the Internet of Things.
R&I: Who is your mentor and why?
My first manager, Rob Hohn. Rob continually challenged me to drive improvements in the risk management function, which positioned me for the path forward.
R&I: What was the best location and year for the RIMS conference and why?
Philadelphia. It is the easiest place to get around.
R&I: What have you accomplished that you are proudest of?
This is a “we” accomplishment. I am most proud of Kennametal’s first quartile TCOR per sales performance, largely driven by a 75 percent reduction in workers’ compensation costs. Kennametal has a relentless
and unwavering commitment to safety.
R&I: What about this work do you find the most fulfilling or rewarding?
Risk management is literally dealing with something different every day. I enjoy the challenges that present themselves every day, and I enjoy the relationships with insurance carriers, brokers and fellow team members from around the globe.
R&I: How many emails do you get in a day and how many do you answer?
Too many. I get between 100 to 150 emails per day. I answer between 70 to 80.
R&I: What insurance carrier do you have the highest opinion of?
Sentry Insurance. They have been a consistent, dependable long-term partner that understands Kennametal.
R&I: Are you optimistic about the U.S. economy or pessimistic and why?
Optimistic, because of general macroeconomic conditions and changes to the tax laws. Once we get the tariff issues sorted out, it is full speed ahead.
R&I: If the world has a modern hero, who is it and why?
My heroes are the men and women of our armed services who sacrifice every day so that we can live the lives that we do.
R&I: What is the most unusual/interesting place you have ever visited?
My various responsibilities at Kennametal have afforded me the opportunity to travel the world and see many interesting and beautiful places. Among my favorites are Ireland, Israel and China.
R&I: What is the riskiest activity you’ve ever engaged in?
Walking along the Israel-Lebanon border where it converges with the Mediterranean Sea. I’m not sure if it was risky, but it felt like it.
R&I: What is your favorite movie?
Top five movies: The Godfather, Godfather II, Shawshank Redemption, The Outlaw Josey Wales, and any of the Bourne series.
R&I: What’s the best restaurant you’ve ever eaten at?
LeVel 33 in Singapore, a microbrewery with fantastic views of the skyline.
R&I: Favorite drink?
Beer. I enjoy different microbrews, almost all of which pair well with pizza.
R&I: What do your friends and family think you do?
They are not sure, but they know that I like what I do. If they were forced to respond it would be “insurance stuff,” but they don’t firmly grasp all that I am responsible for as a risk manager.