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Theoretical and Applied Economics
Reference:

Managing business risks based on procedural approach
Doroshenko Marina Vasil'evna

Post-graduate student, the department of Management and Business Technologies, Plekhanov Russian University of Economics.

650040, Russia, Druzhby oblast', g. Kemerovo, ul. Druzhby, 19, kv. 99

MVDoroshenko@mail.ru
Другие публикации этого автора
 

 
Isupova Ol'ga Alekseevna

PhD in Economics

Docent, the department of Management, Institute of Economics and Industrial Engineering, Siberian Branch of the Russian Academy of Sciences; Kemerovo Laboratory of Economic Research

650992, Russia, Kemerovo, Prospekt Kuznetskiy Street 39

rinozerus@mail.ru
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Abstract.

Business risk is an intrinsic part of the activity of organization that penetrates all stages of life cycle of the production, starting from project development and finishing with sales of products and services, as well as its improvement. Efficient business risk management is one of the key factor ensuring sustainable functioning of business organizations. The goal of this article consists in substantiating applicability of the procedural approach for the optimal risk management of manufacturing enterprise. The article demonstrates that business risk management can be organized as a separate process, associated with the corporate management in general based on formalization of the processes within the organization. Formalization of business processes allows streamlining the identification process of business risks, as well as solving the tasks on risk management. For implementation of the procedural approach towards risk management in an organization, the author suggests the method of formalization of processes based on their identification by origin and destination, character of internal transformation, and place within the administration system. It can lead to creation of the network of organization processes that includes the process of risk management with its decomposition according to the types and zones of business risks. It is demonstrated that the advantage of this approach lies in its simplicity, universality, and possibility of its implementation in organizations of any format, as well as in the fact that the formalization of processes itself is a factor that reduces likelihood of the emergence of multiple business risks, especially related to human factor.

Keywords: Business process, Procedural approach, Life cycle of production, Manufacturing enterprise , Formalization, Risk management, Business risk areas, Business risk, Procedural approach, Risk

DOI:

10.25136/2409-8647.2017.4.18433

Article was received:

24-03-2016


Review date:

26-03-2016


Publish date:

15-01-2018


This article written in Russian. You can find full text of article in Russian here .

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