Farmers’ responses to the changes in Hungarian agricultural insurance system

2018 ◽  
Vol 78 (2) ◽  
pp. 275-288 ◽  
Author(s):  
Anna Zubor-Nemes ◽  
József Fogarasi ◽  
András Molnár ◽  
Gábor Kemény
Keyword(s):  
Risk Management ◽  
Panel Data ◽  
Technical Efficiency ◽  
Management System ◽  
Crop Insurance ◽  
Two Stage ◽  
Agricultural Insurance ◽  
Content Type ◽  
Risk Management System ◽  
The Relationship

Purpose The purpose of this paper is to investigate the role of crop insurance among Hungarian crop farmers and the responses to the introduction of the two-scheme risk management system. Specifically, first, it examines the economic and environmental factors affecting the willingness of farmers to contract crop insurance. Second, it reveals the relationship between having crop insurance and technical efficiency of crop producing farms. Design/methodology/approach Probit models of panel data are applied to explore the factors of insurance decisions. The relationship between efficiency and insurance is investigated with two-stage data envelopment analysis (DEA) model with double bootstrap using panel data for the 2001 to 2014 period. Findings The results of Probit model estimations show that the education, the size, the indebtedness of crop producing farms and the new two-scheme risk management system are in positive correlation, while the concentration of farming activity are in negative correlation with the crop insurance contracting. The estimations of two-stage DEA model reveal that crop producing farms with an agricultural insurance contract are more efficient than the farmers without using this risk management tool. Originality/value Empirical investigation of the influencing factors of agricultural insurance demand in Hungary and the examination of the relationship between insurance and technical efficiency may contribute to the development of Hungarian risk management system.

scholarly journals The role of risk management system in ensuring the economic security of an industrial enterprise

2021 ◽  
pp. 15-21
Author(s):  
Andrey Bogatyrev ◽  
Oleg Morozov
Keyword(s):  
Decision Making ◽  
Risk Management ◽  
Management System ◽  
Economic Security ◽  
Industrial Enterprise ◽  
Risk Management System ◽  
Decision Making System ◽  
The Relationship

The role of risk management system in ensuring the economic security of the industrial enterprise is considered. On the basis of the analysis of the content of the category of economic security, the authors defined the relationship between the activity risks and the level of economic security of the industrial enterprise. The characteristic of the decision-making system in conditions of possible risks of operating activity as an important factor in ensuring economic security is given.

RISKS OF FOREIGN TRADE PARTICIPANTS IN THE FIELD OF CALCULATION AND ADMINISTRATION OF CUSTOMS PAYMENTS

2020 ◽  
Vol 16 (5) ◽  
pp. 42-52
Author(s):  
ALEKSEY KOSTIN ◽  
Keyword(s):  
Risk Management ◽  
Foreign Trade ◽  
Economic Activity ◽  
Management System ◽  
Business Environment ◽  
Cross Border ◽  
Risk Management System ◽  
The Russian Federation ◽  
Effectiveness And Efficiency ◽  
The Relationship

Purpose of research. The article deals with the problems of forming a business environment in foreign trade, taking into account the construction of a risk-based compliance management model by controlling state bodies. The purpose of the study is to establish and identify the features of identifying risks of participants in foreign economic activity and the state in the calculation and administration of customs payments, respectively. This is necessary not only for the administration of customs duties and taxes, but also for determining the main directions for the development of foreign trade activities of the Russian Federation. Conclusions. As a result of the research, the author comes to the conclusion that risk management occupies a special place in the system of managing the compliance of foreign trade activities with the criteria established by state regulatory (customs, tax) authorities. However, in addition to managing tax and customs risks, which according to current legislation are recognized as violations of the rules established by law, it is necessary to change the system for evaluating the effectiveness and efficiency of the Supervisory authorities themselves. Currently, the relationship between the risk management system and the violations of customs and other legislation themselves is mostly reduced to the implementation of the customs authorities ' fiscal task. According to the majority of importers, the application of the risk management system has a single goal - to increase the costs of participants in foreign economic activity associated with cross-border movement of goods. On the part of participants in foreign economic activity, it is necessary to restructure the strategy of interaction with regulatory authorities. In these circumstances, the key areas of such interaction are the development of the Institute of authorized economic operators, its sub-Institute of authorized exporters, as well as the creation of a self-regulating organization in the field of foreign trade that represents the interests of not only Russian exporters, but also importers.

Performance indicators for lifecycle process of public private partnership (PPP) projects in Malaysia

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Suhaiza Ismail ◽  
Rosnani Mohamad ◽  
Julia Mohd Said
Keyword(s):  
Risk Management ◽  
Private Sector ◽  
Performance Indicators ◽  
Management System ◽  
Cost Management ◽  
Public And Private ◽  
Private Partnership ◽  
Content Type ◽  
The Public ◽  
Risk Management System

PurposeThis paper has two objectives. The first objective is to examine the important performance indicators of the lifecycle process of public private partnership (PPP) projects. The second objective is to investigate the difference in the perception of the importance of the performance indicators between the public and private sectors.Design/methodology/approachTo achieve the research objectives, the study used a questionnaire survey. The questionnaire was distributed via postal mail to officers of government departments and private sector companies who may have been involved in PPP projects. A total of 237 completed questionnaires were received, representing a 51.52% response rate. To examine the importance of performance indicators, the descriptive statistical tests of mean, standard deviation and mean score ranking were used. Independent t-tests were conducted to investigate the differences in the perceptions of the importance of performance indicators between the two respondent groups.FindingsThe findings show that all the 16 performance indicators are perceived as important and very important. The top five important performance indicators for a PPP project lifecycle process are “Time management”, “Contractual management”, “Cost management”, “Safety management” and “Effective risk management system”, while “stress or conflicts management” is the least important. In terms of the differences in the perception of the public and private sector groups, the results indicate that four indicators (“environment protection”, “cost management”, “effective risk management system” and “good work environment”), show a significant statistical difference between the perception of the public and the private sector respondents.Originality/valueThis study offers empirical evidence on key performance indicators for a PPP project that are crucial throughout its lifecycle as perceived by two key parties in a PPP contract, i.e. the public and the private sectors.

scholarly journals The effectiveness of risk management system and firm performance in the European context

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Louai Ghazieh ◽  
Nadia Chebana
Keyword(s):  
Risk Management ◽  
Control System ◽  
Management System ◽  
Stock Exchange ◽  
Management Systems ◽  
Management Committee ◽  
Content Type ◽  
European Context ◽  
Risk Management System ◽  
Risk Management Committee

PurposeThe purpose of this paper is to study the effectiveness of the risk management system in the European context, especially with regard to the risk management committee, the uncertainty of the environment and company performance. In summary, it evaluates European companies listed on the stock exchange in France, Germany and the United Kingdom to determine how risk management systems influence financial companies' performance.Design/methodology/approachTo study the effectiveness of risk management systems and their influence on performance, the large companies selected in our sample are fairly representative of the European market, according to the Dutch indices of each country (SBF 120 in France, HDAX 110 in Germany and FTSE 100 in United Kingdom).The empirical evidence is based on an international quantitative analysis, using a data set involving 320 companies listed on the stock exchange over a ten-year period from 2005 to 2014.FindingsThe results indicate that the establishment of a risk management and control system by a company positively influences its management, and its performance level and value creation also improve. The results of this study demonstrate a significant strengthening of the role of the risk management committee in the three countries. The surveillance function is reinforced, and in particular, the internal control system is accentuated.Research limitations/implicationsThis study has some limitations that can form leads for future research. One of these limitations is the sample size. The authors have represented the European context by three countries that certainly constitute great European powers, but have regulations different from other countries. The company size is also a possible research element. Indeed, risk management system varies between large, small and medium-sized enterprises, so it is important to study each type of company well.Originality/valueThis study identifies the risk management committee as a mechanism of control that is highly important in the company, and it proposes an international framework that comparatively and empirically evaluates how the risk management system used in large European companies can improve their financial performance.

scholarly journals Development of the Strategy to Control the Enterprise Tax Risks

2019 ◽  
Vol 8 (4) ◽  
pp. 12193-12195
Keyword(s):  
Risk Management ◽  
Management System ◽  
Risk Indicators ◽  
Negative Events ◽  
Constant Attention ◽  
Risk Management System ◽  
Leading Industry ◽  
The Stability ◽  
Main Activity ◽  
The Relationship

In the rapidly changing economic and legal conditions, constant attention must be paid to identifying and assessing risks, as well as managing tax risks. The use of performance indicators is carried out through continuous monitoring of key risk indicators, which allow you to identify negative events in the early stages and take timely measures to reduce risks. Recently, there has been a trend in the relationship between the functions of tax risk management and monitoring compliance with current legislation. This leads to the fact that the discussion of one of these functions inevitably affects the other. Strengthening the requirements of the law, toughening the responsibility for their non-compliance with this risk of damage to the reputation of the organization. Many organizations continue to focus on top management and tax risk management. Achieving the goals of the organization requires specific ideas about the main activity of the organization, as well as the study of the main types of risks. The process in which the activities of an organization are directed and coordinated in terms of the effectiveness of risk management and is risk management. The application of the risk management system in the organization allows to increase the effectiveness of the organization, namely, to maximize profits due to the reasonable adoption and management of risks, meet leading industry practices, the expectations of counterparties and investors, increase planning efficiency, ensure the predictability of financial results, increase the stability of operating indicators for account of the implementation of the monitoring system. Thus, it should be concluded that tax risk management is one of the key tools aimed at improving the effectiveness of the organization’s leaders, which they can use by introducing a risk management system to identify and take measures to reduce risks to an acceptable level.

Corporate sustainability through non-financial risk management

2014 ◽  
Vol 14 (4) ◽  
pp. 575-586 ◽  
Author(s):  
Anson Wong
Keyword(s):  
Sustainable Development ◽  
Risk Management ◽  
Management System ◽  
Financial Risk ◽  
Social Issues ◽  
Corporate Sustainability ◽  
Effective Management ◽  
Financial Risk Management ◽  
Content Type ◽  
Risk Management System

Purpose – This paper aims at highlighting the significance in developing non-financial risk management, emphasizing the need of managing environmental and social issues for enhancing corporate sustainability. Particularly, through discussing the implications of non-financial risk management, its benefits, opportunities and challenges will also be presented. Design/methodology/approach – Drawing on authoritative academic literature, reports of corporations’ studies, current articles and documents, the researcher has managed to examine and construe the development and implications of non-financial risk management. Findings – Several key findings are covered in this article. First of all, environmental and social concerns are usually being deemed as intangible issues that need to be properly articulated and managed by an effective non-financial risk management system for enhancing corporate sustainability. Second, through different interpretations of sustainability, links could be drawn for highlighting the significance of non-financial risk management and corporate sustainability. Third, by explaining the impacts from non-financial risk management to sustainable development and profits, the article has illustrated corporate sustainability as a clear business case for any corporation. Fourth, challenges are also portrayed for the effective management of non-financial risk management by corporations. Finally, and most importantly, the need of a systematic and strategic non-financial risk management system for helping businesses to be more competitive, thus, moving closer to sustainable development, is discussed in this paper. Originality/value – The contribution of the article is thought to be significant. Although there exists a wide body of research on sustainable development, risk management and corporate sustainability, there is limited insight into how the corporations can effectively conceptualize such intangible or non-financial risk in relation to sustainability. Integrating environmental and social risks is critical to the effective management of any corporation’s real risks, and to improve resources allocation in a sustainable fashion. This demands a systematic and strategic identification of issues through non-financial risk management. Most significantly, this article has shown the way this can be achieved by any corporation, and the concepts can be applied globally.

scholarly journals ERM adoption in the insurance sector

2016 ◽  
Vol 13 (4) ◽  
pp. 472-510 ◽  
Author(s):  
Mirna Jabbour ◽  
Magdy Abdel-Kader
Keyword(s):  
Risk Management ◽  
Management System ◽  
Implementation Process ◽  
Value Added ◽  
Insurance Companies ◽  
Institutional Pressures ◽  
Multiple Sources ◽  
Content Type ◽  
Adoption Decision ◽  
Risk Management System

Purpose This paper aims to investigate various institutional pressures driving the adoption and implementation of a new risk management system; enterprise risk management (ERM). Design/methodology/approach The implementation of ERM-related practices is analysed based on an institutional framework and drawing on empirical evidence from multiple sources in ten large/medium-sized insurance companies. This paper focuses on extra-organisational pressures exerted by political, social and economic institutions on insurance companies which drove the adoption decision. Findings It was found that different change agents have taken part in the decision to introduce new risk management system as a part of ERM implementation process. Further, the institutional pressures, coercive, mimetic and normative, were found to differ in character and strength over different intervals of time in relation to the adoption of ERM. Companies that adopted ERM early were mostly driven by internal strategic drivers, whereas the recent adoption decision was more driven by coercive and mimetic pressures. Thus, evidence of divergence between insurance companies was found. Research limitations/implications The findings have implications for policy makers, regulatory agencies and innovation developers. ERM was considered not only as a necessity but also as a value added to the insurance companies under study. Thus, regulators and innovation developers should survey main players in any specific organisational field to understand their views before issuing new compulsory regulations or developing innovations. They also need to consider exploring companies’ experiences with ERM, which can provide a basis for the development of strengthened and more informative regulatory ERM frameworks. This will support a faster and easier understanding and implementation of ERM framework hindered by the confusions companies may face when considering the complicated/changing regulatory and risk requirements. Originality/value This study extends the scope of institutional analysis to the risk management field, particularly ERM and to the explanation of how different institutions affect the decision to move towards ERM and modify the risk management rules applied within the organisational environment. It looks not only at convergences but also divergences associated with the period of time when ERM adoption decision was made. Thus, it develops a processual view of change.

scholarly journals The Effects of Risk Management System on Financial Performance of Commercial Banks in Rwanda: A Case of Cogebanque Ltd.

2016 ◽  
Vol 3 (3) ◽  
pp. 77-84
Author(s):  
Mireille Hitimana ◽  
Julius Warren Kule ◽  
Peter Mbabazi Mbabazize
Keyword(s):  
Risk Management ◽  
Control System ◽  
Financial Performance ◽  
Commercial Banks ◽  
Management System ◽  
Preventive Control ◽  
Return On Equity ◽  
Risk Management System ◽  
Spss Software ◽  
The Relationship

This research study entitled an Assessment of the Effect of Risk Management System on Financial Performance of Commercial Banks in Rwanda aimed at assessing risk factors that performance of commercial banks like credit risk, embezzlement, theft and among others. Three specific objectives were formulated namely; to analyze the effect of directive control system on Financial Performance of Cogebanque Ltd; to establish the effect of preventive control system on Financial Performance of Cogebanque Ltd; to examine the effect of detective control system on Financial Performance of Cogebanque Ltd. The study examined risk management system and financial performances in Cogebanque Ltd located in Kigali City for a period of four years from 2011-2014. The study used descriptive design. A sample size of 40 staff of Cogebanque Ltd, participated in the study. SPSS software (version 22) was used to process the data and analysis were made by use of frequency/percentages, mean and standard deviation. The relationship between the variables was established by use of Pearsons correlation.  The study established that different risk management systems which consist of directive control system, preventive control system and detective control system. The study revealed that risk management system has improved Cogebanque bank’s return on investment, profitability, liquidity, return asset and return on equity and loan returns by 72.7%.  

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