Evaluation of Risk Management Maturity in the Czech Automotive Industry: Model and Methodology
This article provides a review of currently used risk maturity models to provide an overview of the assessment and diagnostics of risk management maturity in companies. The main research goal is to develop an entry-level easy-to-use diagnostic tool for enterprise-wide risk management maturity ass...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
| Published: |
Academy of Economic Studies of Bucharest
2020-08-01
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| Series: | Amfiteatru Economic |
| Subjects: | |
| Online Access: | https://www.amfiteatrueconomic.ro/temp/Article_2934.pdf |
| Summary: | This article provides a review of currently used risk maturity models to provide an overview
of the assessment and diagnostics of risk management maturity in companies. The main
research goal is to develop an entry-level easy-to-use diagnostic tool for enterprise-wide risk
management maturity assessment tailored to Tier I suppliers of the automotive industry. In
the first step, the questionnaire for self-evaluation was prepared with the help of a panel of
experts using a synthesis of existing models suitable for use in the automotive industry. The
risk maturity assessment model is then prepared using the Delphi method and the Likert scale
for multi-criteria evaluation since the experts insisted on setting different weights for each
criterion. Based on the results presented in the paper, a risk maturity self-evaluation tool in
the form of a questionnaire was created for companies.
Findings: The initial purpose of the research was to provide a review of the currently used
risk maturity models, which led us to find more than 77 maturity models. The origin of risk
maturity models can be credited to Hillson (1997) who built the first risk maturity model
based on the capability maturity model from the IT sector. A significant research effort was
put into the observation of hard and soft benefits of risk management. Based on the analysis
of carefully chosen models, the new model was synthesized. The proposed model uses a selfevaluating easy-to-use questionnaire. The questionnaire consists of 24 attributes divided into
5 modules that were evaluated based on the 25 questions. All attributes were assessed on a
10-point Likert scale using the Delphi method conducted with the panel of experts.
The outcome and purpose of the model is an entry-level diagnostics questionnaire of
company risk management maturity tailored for Tier I suppliers of the automotive industry.
Originality/value: As risk management is complex, maturity models provide companies with
the ability to assess their situation and set strategic goals in the field of risk management.
Tailoring a risk maturity model for the needs of the specific organization or industry sector
has been recommended by researchers and industry practitioners in risk management
(Antonucci, 2016; Kaplan and Mikes, 2016; Marks, 2015; MARSH, 2018; McKay, 2017) |
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| ISSN: | 1582-9146 2247-9104 |