| Summary: | Previous studies of risk-taking suggest there are significant variations across individuals' willingness to take financial risk within the organisational context. For example, a decision maker's propensity to take risk may be more aligned with his unique planning horizon. Previous research also suggests that division and lower level managers are typically more risk averse than top managers in the organisation. In this case study we investigate differences in risk propensity across managerial and functional designations in a major oil company, BP Exploration, Inc. We present a model for measuring risk propensity, examine the results of a survey of 39 staff and supervisory personnel, and explore the implications of a divergence between individual risk propensities and the firm's corporate risk policy.
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