Open AccessEmpirical investigation of risk management practices
Author(s) -
Vilma Nasteckienė
Publication year - 2021
Publication title -
management
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.196
H-Index - 15
eISSN - 1846-3363
pISSN - 1331-0194
DOI - 10.30924/mjcmi.26.2.5
Subject(s) - risk management , enterprise risk management , it risk management , risk management plan , business , risk management framework , knowledge management , set (abstract data type) , risk analysis (engineering) , thematic analysis , empirical research , process management , qualitative research , computer science , finance , programming language , social science , sociology , philosophy , epistemology
In risk management research, dealing with known risks and helping companies foresee new risks are areas for subject matter experts. In practice, risk management is often perceived as a set of formal tools and procedures that must be delegated to the professionals. Despite this overall perception of risk, general managers, department managers, and other senior or line managers in organizations deal with questions associated with risk on a daily basis. They are, therefore, sometimes—even without consciously realizing it—involved in risk management practices. This article aims to analyze 'managers' involvement in risk management by empirically exploring how managers identify, assess, and respond to risks. Based on thematic analysis of observational and interview data, management practices used to manage risks were identified, and risk management as a non-linear process that is anchored on the strategic and operational levels and supported by learning from failures was defined. Two different ways of risk management can co-exist in an organization as a result of formal Enterprise Risk Management implementation.