Implementation Of Risk Management Practices Research Articles

IN LIGHT OF THE CURRENT ECONOMIC STATUS: DO BOARD CHARACTERISTICS AND RISK MANAGEMENT COMMITTEES PROMOTE FIRM PERFORMANCE IN SAUDI ARABIA?

The current study aimed to investigate the impact of corporate governance mechanisms on the profitability of listed companies within the Saudi Stock Exchange (SSE). The methodology involved data collection from the SSE for the fiscal year 2021, with a research sample comprising 60 corporations. The study's independent variables encompassed the size of the board of directors, frequency of board meetings, and the presence of risk management practices. The dependent variable was corporate performance, as indicated by the return on assets (ROA). To enhance the evaluation of the relationship between the independent variables and the dependent variable, the study also incorporated a control variable - the size of the corporation. The study's findings unveiled that a larger board size had a positive impact on the performance of Saudi corporations. Furthermore, both an increased frequency of board meetings and the implementation of risk management practices exhibited positive effects on corporate performance. This research contributes significantly by exploring the direct influence of board size, board meeting frequency, and risk management practices on the performance of SSE-listed companies. The study's novelty lies in its comprehensive examination of these specific corporate governance mechanisms and their correlation with return on assets.

Assessing Physical Attributes Associated with Implementation of Risk Management Practices among Small Strawberry Farms

Fresh strawberries are susceptible to contamination with foodborne pathogens, illustrating the importance of on-farm risk management practices (RMP). Understanding context is necessary for successful implementation of RMP, highlighting the importance of characterizing physical attributes (PA) associated with RMP. We determined the PA associated with implementation of eight RMP on 20 small (≤ 2 acres; 8,094 m2) strawberry farms in the southeastern United States. Descriptive statistics were performed to determine frequency of PA across farms. PA scores, presence or absence of observed PA expressed as a percentage, were calculated for each of the eight RMP. All 20 (100%) farms used plasticulture to grow strawberries. All (100%) used drip irrigation systems, and 19 (95%) had an adequate number of bathrooms and handwashing stations. Nearly all (95%) did not have a body fluid spill kit. Sixteen (80%) farms used groundwater or surface water for irrigation, with five (31%) treating the water and eight (50%) testing the microbiological quality of irrigation water. PA scores ranged from 55 to 90%, with the highest (90%) for animal control and the lowest (55%) for food safety signage. These findings can inform strawberry-specific safety interventions aimed to increase RMP implementation. More broadly, this represents another approach to informing commodity-specific training needs.

Characterization of risk management practices among strawberry growers in the southeastern United States and the factors associated with implementation

Strawberries, the fifth most preferred fresh fruit in the United Sates, are one of several fresh produce commodities in the U.S. linked to outbreaks of foodborne disease. However, the industry is not well characterized. Additionally, in the southeastern U.S. (SEUS), very small strawberry-growing operations are particularly common, presenting unique challenges to implementation of risk management practices (RMP). A 45-item survey was developed to collect data regarding each strawberry grower's location, farm characteristics, and RMP. The majority of SEUS growers in this study harvested strawberries on less than 5 acres with 2.00–4.99 acres being most common (41%) and reported a revenue based on strawberry production of US$25,001–250,000 (63%). Implementation of a pre-harvest policy and animal intrusion monitoring were both highly prevalent whereas testing of pre-harvest agricultural water was least common. Growers also reported using RMP but were less likely to document them. For example, 76.6% of growers reported their employees had attended food safety training; meanwhile, only 38.9% had documented training. The frequency of use and documentation of RMP were also found to be impacted by certain farm characteristics, most notably acreage, revenue, presence of third-party audit, and presence of a written food safety plan. Based on these results, strawberry growers, particularly in the SEUS, may benefit from additional education tailored to align with farm scale that includes instruction on documentation.

The Relationship between Environmental Characteristics and Risk Management Practices on Produce Farms: A Systematic Literature Review

Produce-associated foodborne disease outbreaks have increased worldwide highlighting the importance of proper implementation of risk management practices (RMP). We determined the relationship between environmental characteristics (i.e., physical resources) of produce farms and implementation of RMP. Following Preferred Reporting Items for Systematic Reviews and Meta-Analyses principles, we identified 36 studies to include in our analysis. Most study data were collected through surveys administered to growers in developed countries. Quality assessment results showed that studies on this topic should be more rigorously conducted (e.g., powering sample sizes and training data collectors) to yield better quality evidence. Agricultural waters were the most common environmental characteristic assessed, with many farms using unsafe water sources. Hygiene aids (e.g., accessible handwashing facilities), were lacking across many farms. Animal intrusion RMP were the least commonly assessed environmental characteristic. Only one study tested the relationship between on-farm environmental characteristics and RMP implementation reporting a positive relationship between accessible handwashing and worker hygiene practices. Grower knowledge and perception of RMP combined with cost and ease in carrying out RMP might influence the availability of physical resources for proper RMP implementation. These results can inform practical interventions aimed to increase adoption of RMP on produce farms.

Current trends in corporate risk management in the system for ensuring the economic sustainability of industrial enterprises

The results of research of risk management trends in the system for ensuring the economic sustainability of industrial enterprises have been presented in the article. The purpose of the study was to identify and analyse trends in corporate risk management of industrial enterprises. The study solved the following tasks: clarified the concepts of risk management and the main risks of the enterprise; determined the composition of corporate risks; disclosed the sources of risks that affect the economic stability of an industrial enterprise; investigated modern methodology of strategic corporate risk management. The necessity of identifying, assessing and determining priorities among risks with the further application of methods for their minimization, monitoring and control of risk events has been substantiated. The trends in corporate risk management in the field of intangible risk management have been analysed. As a result of the study, the author proposed the main elements of the risk management planning process, including: managing operational risks of an industrial enterprise that cannot be planned in advance; management of financial risks arising from the impact of various markets on the assets of an industrial enterprise; strategic risk management or longterm planning of the industrial enterprise. Measures to reduce the risk in industrial enterprises have been developed: abandonment of business processes with the highest risks; optimization, minimization and / or reduction of risks; transfer of risks to outsourcing or insurance; taking risks and creating a backup plan of action in the event of a risk event at an industrial enterprise. The revealed current trends in corporate risk management in the system for ensuring the economic sustainability of industrial enterprises have been summarized and systematized, including: achieving a balance between the realization of opportunities for making profit and minimizing losses; implementation of risk management practices based on GOST R ISO 31000-2019; application of relevant risk management strategies; development ofbusiness processes with adequate means to control and contain risks; audit of risks and timely adjustment of measures to reduce them; risk outsourcing to an external agency; risk avoidance; accounting for risk management of intangible assets.

Drivers to the Implementation of Risk Management Practices: A Conceptual Framework

The implementation of risk management (RM) practices in past research has shown to be diverse. Although many studies have attempted to explore the drivers to the wide variation of RM implementation, there is sparse conceptual framework which describes the linking between the RM implementation drivers with the implementation of RM practices. Therefore, this study focuses on understanding the influence of RM drivers particularly the corporate governance, compliance to rules and regulations, pressure from external auditors, firm and industry characteristics, internal factors, acknowledgment of RM potential benefits, emergence of new business trends, occurrence of risk events, and vulnerabilities of small and medium enterprises (SMEs). To understand the influences of the aforementioned drivers towards the implementation of RM practices, this study proposes a conceptual framework which extends the institutional theory and contingency theory by introducing the diffusion of innovation (DOI) theory into the present literature. Finally, this paper outlines the methodology of how an empirical research might be systematically conducted by using the proposed conceptual framework.

The risk organisation: or how organisations reconcile themselves to failure

Over the last decade, the ideas, concepts and tools of risk management have colonised the way that organisations frame potential adverse outcomes associated with their activities. Intended as a means of optimising the tolerance, rather than elimination, of adverse organisational outcomes, risk management has been promoted as a means of challenging organisational practice, particularly in the context of heightened accountability pressures that can readily make organisations risk averse. Relatively little attention, however, has been paid to the extent to which risk ideas are able to challenge traditional organisational ways of understanding and responding to adverse outcomes. In this article, therefore, we examine the implementation of risk management practices in two contrasting organisational contexts; the UK Department for the Environment, Farming and Rural Affairs (Defra) and the English university sector. Our studies suggest that risk management processes can be readily filtered and reinterpreted through a series of ideological, methodological and organisational mechanisms to reflect and reinforce organisational understandings and practices. We build on this analysis to point to what might tentatively be termed ‘Risk Organizations’, which are distinctive, at least in principle, by the way in which they seek to identify, but also come to terms with, failure. As such, rather than providing a means of organisational challenge, the systematic application of risk management practices tends to act as a conservative force of organisational continuity.

A call for trust in cross border business

Organisations expanding their business to African countries place particular emphasis on risk management and tend to follow known practices applicable to their own context. An investigation was conducted into the experiences of the implementation of a risk management framework involving indepth interviews with role-players of an East African subsidiary of a South African financial institution. This research studied the impact of socio-cultural differences on the implementation of a risk management framework in East Africa and in particular considers the role and influence of trust. The implementation of risk management practices is often experienced negatively, and the importance of trust as a key element in the process is frequently not sufficiently considered. The management of risk should not only be based on financial criteria, but should also be influenced by psychosocial factors. Disregarding an important factor such as trust is counterproductive to risk management risk.