Browsing by Author "Temia, Shillah"

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    Evaluation of Operational Risk Management at National Enterprise Corporation (NEC) Uganda.
    (2023) Temia, Shillah
    ABSTRACT The study’s aims at evaluating the operational risk management at National Enterprise Corporation Uganda. Specifically, the study; assesses operational risk management practices employed; examines the challenges facing operational risk management; and examines the critical Success Factors for effective operations risk management at National Enterprise Corporation (NEC). The study used a cross sectional research design where a quantitative research approach was used. The samples size was 217 where questionnaires were given and only 193 were returned fully answered resulting in a response rate of 88.9%. The results were collected using a questionnaire survey tool and analyzed using SPSS V28.0. The key findings include: For operational risk management practices, the company practices risk retention (Average Mean=3.61, SD=.765), operational risk reporting (average mean value=3.6, standard deviation=0.885), risk sharing (average mean value=3.58, standard deviation=.865), and lastly the company practices risk reduction (mean average value= 3.52, standard deviation=.858); the key challenges for faced in operational risk management include; supply chain issues (mean=3.92, standard deviation=.892); mismanagement of known risks (mean= 3.77, standard deviation=.974); failure to use appropriate risk metrics (mean=3.68, standard deviation=.935); failure in communicating risks to top management (mean=3.65, standard deviation=.809); and failure to take known risks into account (mean=3.63, standard deviation=.780). The critical success factors that could be used for effective operation risk management within National Enterprise Corporation are training of workers (mean=3.81, standard deviation=.876); commitment and support from top management (mean=3.79, standard deviation=.873); awareness of risk management processes within an organization (mean=3.66, standard deviation=.761); effective communication (mean=3.60, standard deviation=.791); and having a risk management policy (mean=3.51, standard deviation=.936). The study concludes that risk retention, operational risk reporting, risk sharing and lastly risk reduction were operational risk management practices at the company. The study also concludes supply chain issues, mismanagement of known risks, failure to use appropriate risk metrics, failure in communicating risks to top management, and to take known risks into account were the challenges faced in operational risk management. Additionally, training of workers, commitment and support from top management, awareness of risk management processes within an organization, effective communication, and having a risk management policy were the most effective critical success factors for enhancing effective operation risk management at National Enterprise Corporation. The study recommends management of National Enterprise Corporation to invest in regular training of its workers within their firms. This critical success factor could be achieved through seminars and conferences either within or outside the company. Additionally, improving the working conditions for staff is one area where management should focus its attention on. This could be achieved by offering career growth opportunities to workers through promotion, supporting staff with tools to do their jobs, offering paid leave as well as promoting work-life balance policies. Also, management should ensure effective communication to all levels of workers through available channels such as staff meetings and written memos. This could make set targets and job expectations known to staff and as such operational risk management challenges can be minimized effectively.