Access of SMEs to the risk management process

Abstract

Every year in the Czech Republic, the number of incurred companies is increasing regardless of the industry in which the companies do business. However, this not only brings new jobs and the prospect of profit but also brings new unidentified risks. Some risks are predictable and entrepreneurs are aware of their probability of occurrence but also of their impact long before their business is established and can intervene in a timely manner to eliminate or reduce the likelihood of their occurrence. However, there are also risks that entrepreneurs may not be aware of and which, without any treatment, can reach such proportions that they will be liquidation for the company. There are a number of studies showing that risks largely affect not only the project results, but the whole business plan. Depending on the level of implementation of the risk management process in a company, we can find a significant difference between successful and unsuccessful companies, which indicates the importance of the risk management process in companies. Of course, the larger the scope of the risk management process in all areas of the business, the better the business results. There is no doubt about how important it is for an enterprise to have an established risk management process. The introduction of a functional risk management system is essential for the long-term functioning of the company. © 2020 Italian Association of Chemical Engineering - AIDIC. All rights reserved.