IIARD International Institute of Academic Research and Development

INTERNATIONAL JOURNAL OF ECONOMICS AND FINANCIAL MANAGEMENT (IJEFM )

E-ISSN 2545-5966
P-ISSN 2695-1932
VOL. 9 NO. 6 2024
DOI: 10.56201/ijefm.v9.no6.2024.pg188.198

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Risk Management and Uncertainty Interplay

Olusola E. Igbekoyi, Oluyinka I. Oluwagbade, & Muyiwa E. Dagunduro

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Abstract

In the dynamic landscape of contemporary business environments, organizations encounter an array of challenges, among which risk management and uncertainty stand as formidable adversaries. The intricate interplay of global markets, technological advancements, and socio- political shifts has accentuated the need for a nuanced understanding and effective management of risks. This study seeks to unravel the dynamics of risk management and uncertainty, examining its sources, impact on organizational performance, and strategies for fostering resilience in the face of unpredictable scenarios. This study utilized an exploratory research design, and data were collected from secondary sources through a thorough review of relevant existing literature. The results underscored the complex interaction between risk management practices and uncertainty concerning organizational performance. The findings showed that organizations exhibiting effective and robust risk management practices, coupled with managing uncertainty adeptly, tended to achieve superior performance. In conclusion, the study emphasizes the importance of an integrated approach to risk management and uncertainty for organizational success. Based on the findings, it is recommended that organizations should adopt integrated risk management strategies that consider both internal and external uncertainties to enhance overall effectiveness.

keywords:

Risk management practices, uncertainty, organizational performance

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