Effect of Risk Identification on Performance of Financial Institutions

Lagat, Fredrick Kiprop; Tenai, Joel

doi:10.47672/ijbs.283

Cited by 11 publications

(9 citation statements)

References 7 publications

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“…The findings indicated that all the respondents agreed that financial risk identification affected financial performance of small and medium enterprises in Hirshabelle state-Somalia with an aggregate mean of 3.41. The study concurs with findings by (Lagat & Tenai, 2017), that risk identification ensures risk management effectiveness and that when managers do not succeed in identifying all possible losses or gains that challenge the organization, then these nonidentified risks will become non-manageable. Risk identification reveals and determines the potential risks which are highly occurring and other events which occur very frequently.…”

Section: Methodssupporting

confidence: 87%

“…Risk identification ensures risk management effectiveness and that when managers do not succeed in identifying all possible losses or gains that challenge the organization, then these nonidentified risks will become non-manageable. (Lagat & Tenai, 2017) Risk identification process needs to be a continuing process, and should be understood at both the transaction and portfolio levels. Risk identification reveals and determines the potential risks which are highly occurring and other events which occur very frequently.…”

Section: Financial Risk Identificationmentioning

confidence: 99%

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Effect of Financial Risk Management on Financial Performance of Small and Medium Enterprises in Hirshabelle State-Somalia

AHMED,

MUKHONGO,

DATCHE (Ph.D)

2019

strategicjournals.com

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Firms are exposed to numerous financial risks which can greatly affect their performance. Despite the increasing exposure to risk events organizations view risk management as primarily a cost center and undervalue or under invest in integrated risk management practices. The purpose of this study was to study on the effect of financial risk management on the performance of SMEs in Hirshabelle state-Somalia. The study was guided by the following specific variable, effect of financial risk identification on financial performance of small and medium enterprises in Hirshabelle state-Somalia, effect of financial risk analysis on financial performance of small and medium enterprises in Hirshabelle state-Somalia, effect of financial risk monitoring on financial performance of small and medium enterprises in Hirshabelle state-Somalia, and effect of financial risk mitigation on financial performance of small and medium enterprises in Hirshabelle state-Somalia. This study was conducted through the use of cross-sectional survey research design. The target population included the 2,657 SMEs in Hirshabelle state-Somalia. Stratified sampling technique was used to ensure that the target population was divided into different homogeneous strata Random sampling technique was used. The study had a sample size of 348 respondents. The study did a pilot of 10% of the respondents who did not take part in the study. The researcher used internal consistency measure known as Cronbach 's Alpha (α) where the recommended value of 0.7 and above as a measure of reliability. Data was analyzed using the descriptive statistics with the help of data analysis software -Statistical Package for Social Sciences (SPSS version 23). Multiple regressions helped the researcher identify the relationship between financial risk management factors and financial performance of small and medium enterprises.

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Section: Methodssupporting

confidence: 87%

Section: Financial Risk Identificationmentioning

confidence: 99%

Effect of Financial Risk Management on Financial Performance of Small and Medium Enterprises in Hirshabelle State-Somalia

AHMED,

MUKHONGO,

DATCHE (Ph.D)

2019

strategicjournals.com

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“…The results of this study are consistent with theory of risk return, namely there is direct relationship between risk and return. That theory is known as efficient market theory, also in line with Lagat F. Kiprop [42] and Thitima Chaiyakul [27], who found a positive relationship between risk and financial performance but on contrary with Yu -Luen Ma & Yayuan Ren [30] which found a negative relationship between institutional ownership measured by (ratio of equity owned) and financial performance of insures during the financial crisis of 2008, but the relationship between institutional ownership with risk is positive, and the results consistent with asymmetric information approach Greenwald, Bruce and Stiglitz, Joseph E (43).…”

Section: Parameter Estimatesmentioning

confidence: 89%

Risk Performance on Financial Assessment of Insurance Firms in Egypt

Eladly¹

2022

ujaf

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The subject matter of this study is the analysis of the relationship between risk assessment and firm size on financial performance. The population encompasses thirty-nine listed insurance firms in Egypt during the period 1999 -2019, whereas a sample of nineteen insurance companies was selected. The financial assessment is a dependent variable, while the independent variable is risk assessment. This study used general linear multivariate analysis and descriptive statistics. The article is an attempt to investigate the relationship between risk assessment and firm size on financial assessment of insurance sector in Egypt. The results indicate that there is significant positive linear relationship between standard deviation of return on equity, standard deviation of return on asset, and natural logarithm of total assets with return on equity. Moreover, there is significant positive linear relationship between standard deviation of return on equity, standard deviation of return on asset and natural logarithm of total assets where on return on asset. Therefore, there is significant positive linear relationship between standard deviation of return on equity and standard deviation of return on asset on liquidity. Nevertheless, there is a negative relationship between natural logarithm of total assets.

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“…It establishes the foundation for subsequent procedures, such as risk analysis and risk control, and assures the success of risk management (Hopkin, 2018). If risk managers fail to identify all potential losses or profits that pose a threat to the firm, these unidentified risks will become unmanageable (Lagat & Tenai, 2017). The organization will not account for them and will not take any activities in their behalf, and the results may be unexpected (Salichos, 2015).…”

Section: Risk Identificationmentioning

confidence: 99%

Evaluating Risk Management at Luxor and Aswan Hotels during the Covid-19

Ibrahim¹,

Morsy²,

Sayed³

et al. 2022

International Journal of Heritage, Tourism and Hospitality

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This study aimed to evaluate the risk management practices at Luxor and Aswan hotels. To achieve the objective of the study; the quantitative method was used as 412 questionnaires were distributed to a sample of five stars hotel workers in Luxor and Aswan. Only 342 questionnaires were analyzed using the SPSS program v.26. The results of the study highlighted that there is no statistically significant differences in the responses of the sample members to the variables of risk management, risk identification, risk assessment, risk mitigation, and risk management procedures due to demographic variables (gender, age, educational level, work experience). As well, the results indicated that there is a high level of risk identification risk assessment, risk mitigation, and risk management procedures in Luxor and Aswan hotels. In the light of these results, we recommended that forming a permanent teamwork to analyze the work environment, anticipate and analyze what hotels may face from risks and crises (political, health, financial, operational...etc), and develop mechanisms to deal with those risks, in order to enhance the hotels' ability to face any future risks may affect its performance.

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Effect of Risk Identification on Performance of Financial Institutions

Cited by 11 publications

References 7 publications

Effect of Financial Risk Management on Financial Performance of Small and Medium Enterprises in Hirshabelle State-Somalia

Effect of Financial Risk Management on Financial Performance of Small and Medium Enterprises in Hirshabelle State-Somalia

Risk Performance on Financial Assessment of Insurance Firms in Egypt

Evaluating Risk Management at Luxor and Aswan Hotels during the Covid-19

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