scholarly journals A MANAGEMENT RISKS OF ENTERPRISE IS IN MODERN TERMS MENAGE

2021 ◽  
Author(s):  
Lesia Sarana ◽  
Olena Bilan ◽  
Inna Bitiuk
Keyword(s):  
Risk Management ◽  
Risk Mitigation ◽  
Action Plan ◽  
Management Strategies ◽  
Risk Identification ◽  
Monitoring And Control ◽  
Advantages And Disadvantages ◽  
The Future ◽  
Risk Management Strategies ◽  
Reactive Strategy

The article examines the definition of "risk" and "risk management" based on the scientific works of domestic scientists. There are six main interrelated stages (risk identification, risk analysis, risk assessment, action plan development, risk mitigation, risk monitoring and control) of risk management, which will prevent problems or adverse events through effective crisis management and prevention occurrence of additional costs at the enterprise. The end result of each stage of risk management is a decision. Usually the output is more solutions. An unacceptable level of risk requires stopping the current process and taking measures to reduce the risk. If the risk is acceptable and not insignificant and the profit potential is significant, a precautionary plan is usually used to mitigate it. A system model of risk management is developed and the characteristics of its constituent elements are given (risk management strategy; identification of processes and risks; risk management; monitoring of risks and their impact; optimization of corporate risk management system). Proactive and reactive risk management strategies are researched and characterized, indicating the advantages and disadvantages of strategies. Reactive strategy is used to solve problems after they arise, without planning for the long term. In some cases, unforeseen problems can arise, both internal and external. In such cases, the company must respond quickly. Proactive strategies are designed to anticipate challenges, threats and opportunities. This approach focuses on planning for the future. In addition, it helps to identify and prevent potential hazards before they appear. In this way, he can predict the future and achieve better results. Planning for the future will bring favorable results for the organization in all aspects. If the company follows a purely reactive approach, it will be exposed to enormous risk. However, there are problems that business cannot avoid, especially problems related to the external environment. In these circumstances, the organization must act quickly, and pre-planning does not work. Thus, businesses should apply both strategies in risk management.

The Effects of Decision Aid Orientation on Risk Factor Identification and Audit Test Planning

2002 ◽  
Vol 21 (2) ◽  
pp. 39-56 ◽  
Author(s):  
Jean C. Bedard ◽  
Lynford E. Graham
Keyword(s):  
Risk Factors ◽  
Risk Management ◽  
Decision Aid ◽  
Decision Aids ◽  
Management Strategies ◽  
Risk Identification ◽  
Matched Pair ◽  
Audit Planning ◽  
Audit Firms ◽  
Risk Management Strategies

In auditing, risk management involves identifying client facts or issues that may affect engagement risk, and planning evidence-gathering strategies accordingly. The purpose of this paper is to examine whether auditors' identification of risk factors and planning of audit tests is affected by decision aid orientation, i.e., a “negative” focus wherein client risk and its consequences are emphasized, or a “positive” focus where such factors are not emphasized. Specifically, we expect that auditors will identify more risk factors using a negatively oriented risk identification decision aid, but only when engagement risk is relatively high. We address this issue in the context of auditors' knowledge of actual clients, manipulating decision aid orientation as negative or positive in a matched-pair design. Results show that auditors using the negative decision aid orientation identify more risk factors than do those using a positive orientation, for their higher-risk clients. We also find that decisions to apply substantive tests are more directly linked to specific risk factors identified than to direct risk assessments. Further, our results show that auditors with repeat engagement experience with the client identify more risk factors. The findings of this study imply that audit firms may improve their risk management strategies through simple changes in the design of decision aids used to support audit planning.

Risk Management Strategies for Project Success

2018 ◽  
pp. 250-267
Author(s):  
Vittal S. Anantatmula ◽  
Yang Fan
Keyword(s):  
Risk Management ◽  
Project Success ◽  
Risk Mitigation ◽  
Management Strategies ◽  
Management Plan ◽  
Mitigation Strategies ◽  
Risk Management Plan ◽  
Industrial Sectors ◽  
Risk Management Strategies ◽  
Risk Mitigation Strategies

As projects are associated with risks due to the presence of uncertainties and unknowns, risk management assumes importance in project success. This chapter is an attempt to examine various risk mitigation strategies that are commonly employed if different industrial sectors. The chosen risk strategy would also largely depend either on individual's or organization's propensity to take risks. The authors summarize the findings of a research study in this chapter. The research results show that effort and details of a risk management for a project are governed by risks associated with cost and time and not necessarily with the project scope. Also, many organizations prefer a contingency budget to the project plan to developing a detailed risk management plan.

scholarly journals Risk Assessment of Additional Works in Railway Construction Investments Using the Bayes Network

2019 ◽  
Vol 11 (19) ◽  
pp. 5388 ◽  
Author(s):  
Agnieszka Leśniak ◽  
Filip Janowiec
Keyword(s):  
Risk Assessment ◽  
Construction Projects ◽  
Risk Mitigation ◽  
Management Strategies ◽  
Risk Identification ◽  
Bayes Network ◽  
Risk Management Strategies ◽  
Significant Extension ◽  
Development Goals ◽  
Mitigation Methods

The implementation of railway infrastructure construction projects including sustainable development goals is a complex process characterized by a significant extension of individual investment stages. The need for additional works has a big impact on construction railway projects, representing a risk which is the result of many different factors. During the execution of works, both the design assumptions and the conditions of the project’s implementation can be changed. An attempt to eliminate potential risks is a key element of construction projects. The article proposes a proprietary management method for the risk of additional works in railway projects. A methodology for creating risk management strategies using a standard algorithm that includes risk identification, risk analysis, and risk assessment is presented. The original elements of the work include risk identification followed by analysis using Bayesian networks. Using the example of a scenario of events, it is shown that a well-programmed network can be used to implement risk mitigation methods. Using the network, it is possible to compare different ways to reduce risk, check the effect of reducing the risk factors, and determine a satisfactory level of effects, e.g., increased financial resources as a result of additional works.

scholarly journals Proposed Model of Business Retail Continuity Process during Pandemic Covid-19 Based on Risk identification and Response

2021 ◽  
Vol 6 (2) ◽  
pp. 238-262
Keyword(s):  
Risk Management ◽  
Practical Implication ◽  
Management Strategies ◽  
Risk Identification ◽  
Business Continuity ◽  
Retail Industry ◽  
Competitive Strategies ◽  
Retail Business ◽  
Risk Management Strategies ◽  
The Impact

Recognizing competitive strategies, the retail industry must anticipate business risks. Business risk is related to managerial risk, and it depends on its ability to adapt its policies to unforeseen events and changes. Currently, the whole world is facing the Covid-19 outbreak. In facing the challenges and risks from Covid-19, retail businesses must manage and respond to these risks so that their business can recover and business continuity is realized. This study seeks to identify the risks experienced by retail businesses in Indonesia during the COVID-19 pandemic and what risk management strategies are appropriate for business continuity and retail business recovery. Previous studies have explained the impact of Covid-19 on the retail industry. However, there is still a lack of research that tries to identify the risks and how to overcome them. This research will try to fill that gap. Semi-systematic or narrative review techniques were conducted in this study. The study’s result is a framework related to risk management in retail industries. This study contributes to knowledge and practical implication regarding the risk that the retail industry is experiencing during the COVID-19 pandemic.

scholarly journals Conceptualising the moderating role of knowledge management within supply chain risks and supply chain risk management

2019 ◽  
Vol 3 (2) ◽  
pp. 209 ◽  
Author(s):  
Umair Waqas ◽  
Azmawani Binti Abd. Rahman ◽  
Normaz Wana Ismail ◽  
Norazlyn Kamal Basha ◽  
Sonia Umair
Keyword(s):  
Risk Management ◽  
Knowledge Management ◽  
Supply Chain ◽  
Management Strategies ◽  
Risk Identification ◽  
Supply Chain Risk Management ◽  
Supply Chain Risk ◽  
Risk Management Strategies ◽  
Trading Partners ◽  
Supply Chain Risks

There is a dearth of empirical and theoretical investigation in the field of supply chain risk management. Even though SCRM is an important component in supply chain management research, there is still a lack of understanding regarding the term and the concept to develop advantageous SCRM. In the literature of SCRM, different aspects have been discussed, for instance, risk identification, risk assessment, risk management strategies, risk monitoring, and contingency plans. Supply chain risks are increasing because of multiple outsourced partners linked with each other making it more complex, along with this, business is also uncertain, so these scenarios increase supply chain risks. Knowledge management has been used to know about the market scenarios and the information of trading partners and supply chain managers from different firms to know about the uncertainty or risks. However, the discussion shows that the efficient implication of KM capabilities on the SCRs and SCRM is still lacking. This paper provides a comprehensive conceptual framework on the effect of knowledge management within supply chain risk and supply chain risk management.

scholarly journals Investigating the relationships between uncertainty types and risk management strategies in cross-border e-commerce logistics

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Maria Giuffrida ◽  
Hai Jiang ◽  
Riccardo Mangiaracina
Keyword(s):  
Risk Management ◽  
Structural Equation ◽  
Management Practices ◽  
Service Providers ◽  
Home Country ◽  
Management Strategies ◽  
Risk Identification ◽  
Content Type ◽  
Cross Border ◽  
Risk Management Strategies

PurposeDue to its fast growth, cross-border e-commerce (CBEC) is becoming a popular internationalization model, especially in those destination markets with impressive e-commerce development like China. However, CBEC also brings new logistics challenges and uncertainty. This paper aims to understand how companies cope with logistics uncertainty in this field and whether the different types of uncertainty influence the risk management strategies adopted to face them.Design/methodology/approachA survey targeting online exporters to China and third-party forwarding logistics service providers (3PFLs) is conducted. A structural equation model (SEM) analysis is performed to test the possible relationship between the adopted risk management strategies and the types of uncertainty. The type, industry and size of the company, as well as the distance between the company's home country and China, are used as control variables in the study. Survey results are enriched via interviews with some of the respondents.FindingsThe risk management strategies adopted are dependent on the type of logistics uncertainty that the companies face and, to a minor extent, on the industry the company operates in. Conversely, no significant influence is exerted by other types of control factors, i.e. home country, company size or company type.Originality/valueThe paper investigates logistics uncertainty and risk management approaches in the novel context of CBEC. A systematic review of relevant sources of uncertainty is offered to help both scholars and practitioners understand the current complexities of CBEC. From a theoretical perspective, the paper models the investigated concepts in light of the contingency approach. From a practical perspective, results can be of interest since the list of proposed items can support risk identification and evaluation while the interviews with managers can provide insights on risk management practices.

scholarly journals Adaptation Potential of Farmers’ Own Risk Management Strategies in Smallholder Agriculture: Some Evidence from India

2021 ◽  
Author(s):  
Pratap Singh Birthal ◽  
Jaweriah Hazrana ◽  
Digvijay Negi
Keyword(s):  
Risk Management ◽  
Agricultural Production ◽  
Risk Mitigation ◽  
Management Strategies ◽  
Farm Size ◽  
Risk Exposure ◽  
Indian Agriculture ◽  
Management Measure ◽  
Risk Management Strategies ◽  
And Coping

Abstract Farmers in developing countries are more exposed to frequent climatic shocks, and they, in the absence of a well-functioning market for crop insurance, rely on their own risk management strategies to reduce adverse effects of climatic shocks on agricultural production. This study evaluates adaptation benefits of farmers’ own risk management strategies in Indian agriculture, and comes out four key highlights. One, farmers, based on their historical exposures to climatic shocks, resource endowments and access to information and credit, often use more than one risk management measure at a time. Two, all risk management strategies, including the mitigation, transfer and coping, contribute towards improving agricultural productivity and reducing downside risk exposure, but it is the risk mitigation strategy that is more efficient. Three, joint adoption of risk management strategies generates even larger adaptation benefits. Four, although joint adoption of these strategies is positively associated with farm size, with information and liquidity constraints relaxed probability of their joint adoption is likely to increase on smaller farms.

scholarly journals Risk Mitigation Analysis in a Supply Chain of Coffee Using House of Risk Method

2021 ◽  
Vol 10 (2) ◽  
pp. 111-124
Author(s):  
Bambang Herry Purnomo ◽  
◽  
Bertung Suryadharma ◽  
Ridha Ghaniy Al-hakim ◽  
◽  
...  
Keyword(s):  
Risk Management ◽  
Supply Chain ◽  
Risk Mitigation ◽  
Management Strategies ◽  
Management Approach ◽  
Coffee Beans ◽  
Risk Management Strategies ◽  
Risk Sources ◽  
Two Phases ◽  
Ground Coffee

Perusahaan Daerah Perkebeunan (PDP) Kahyangan Jember in East Java is a regional company owned by The Jember Regency Government that is engaged in the plantation business. PDP Kahyangan Jember implements supply chain management in its business, however there are still some problems in its implementation and management. Some of the issues are the quantity of ground coffee production that does not meet the targeted quantity, decreased coffee beans quality, and reduced coffee yields. These problems can be reduced using a risk management approach. This study aimed to identify the activities of the ground coffee supply chain in PDP Kahyangan Jember and its risks, to determine the level of the risks, and to develop a risk management strategy for PDP Kahyangan Jember ground coffee supply chain. This study used the House of Risk (HOR) method which consists of two phases, i.e. HOR 1 and HOR 2. HOR 1 is used to identify risks in the supply chain. HOR 2 is used to develop a strategy for handling these risks. The HOR 1 analysis results show there are 28 risk events and 33 risk sources, with 15 priority risk sources being considered in the risk management strategies preparation. The results of HOR 2 analysis show eight priority management strategies that can be implemented by PDP Kahyangan Jember.

scholarly journals Empirical approach to risk management strategies of Mediterranean mussel farmers in Greece

2021 ◽  
Vol 50 (4) ◽  
pp. 455-472
Author(s):  
John A. Theodorou ◽  
Ioannis Tzovenis ◽  
George Katselis
Keyword(s):  
Risk Management ◽  
Harmful Algal Blooms ◽  
Algal Blooms ◽  
Risk Mitigation ◽  
Management Strategies ◽  
Mitigation Strategies ◽  
Alternative Source ◽  
Empirical Survey ◽  
Insurance Contracts ◽  
Risk Management Strategies

Abstract Risk perception and risk responses of Greek mussel farmers are important for understanding their risk behavior and the likely success of different risk mitigation strategies. This allows policy makers and actuarial companies to decide what risk management products to offer to address specific types of risks. Results from an empirical survey showed that ex-farm prices and health/disability status of farmers are perceived as the most important sources of risk. Risk management decisions were strongly influenced by the attitudes of mussel farmers rather than their socioeconomic status or perception of risk sources. Financial reserves and an alternative source of stable income are both preferred by mussel farmers as risk management strategies, while optimizing farm management to produce at the lowest possible cost is commonly practiced to eliminate losses. Farmers recommend that for certain types of risks that lead to total losses, e.g. anoxia, tsunamis, harmful algal blooms (HABs), insurance contracts should be provided by the public sector, as in similar situations in agriculture. For other needs, customized insurance contracts should be provided by the actuarial market.

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