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A Case of Risk Management Control and Its Study in Non-Financial Risks

Received: 2 February 2023     Accepted: 7 March 2023     Published: 17 May 2023
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Abstract

The objective of the research work was to establish the context of non-financial risks in the company Brad of Wales, and it is recommended that they be managed as soon as possible, considering the low level of maturity of this international company. The applied paradigm was qualitative, the research method was descriptive, and the research tools were case studies. It was able to be carried out due to the adversities suffered in the company studied due to the pandemic and that generated risks that must be managed, adding to this new risks such as climate change, sustainability and social responsibility of the entity. Among the most important findings of this work, it was detected through an internal control survey with a focus on risks; a low level of maturity, explained by low risk assessment. In addition, the compliance risk showed a high level of criticality because basic risk management standards for any organization are not being considered by the regional corporate governance. And, therefore, a great opportunity was evidenced, not only at the local level, but also at the corporate level, for the application of the best practices around corporate risk management.

Published in International Journal of Accounting, Finance and Risk Management (Volume 8, Issue 2)
DOI 10.11648/j.ijafrm.20230802.11
Page(s) 31-42
Creative Commons

This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.

Copyright

Copyright © The Author(s), 2023. Published by Science Publishing Group

Keywords

Risk Control, Risk Management, Corporate Governance, Non-Financial Risks, Environmental Risk

References
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[6] Lavell, A. (2001). On risk management: notes towards a definition. Virtual Library on Disaster Health-PAHO.
[7] Lizcano, JL (2006). Good governance and social responsibility.
[8] Moreno, D. (2021). Benefits in private companies that carry out the implementation of an internal control system based on the COSO ERM model. Retrieved from: http://hdl.handle.net/10654/38773.
[9] Pardo, JM (2017). Management by processes and operational risk. AENOR - Spanish Association for Standardization and Certification. https://elibro-net.ezproxy.usach.cl/es/ereader/usach/53618?page=86
[10] Robles, AM, Castañeda, AA, & Carrizo, JR (2020). Corporate risk management and the need for its regulation in Argentine companies. / Enterprise risk management and its need of regulation in Argentine companies. Business Sciences Magazine │Blas Pascal University, (4 (2019), 53-67. https://doi.org/10.37767/2468-9785(2019)005
[11] Rosso, JW (2018). Corporate governance: theory and empirical evidence. Editorial UPTC. https://elibro-net.ezproxy.usach.cl/es/ereader/usac h/131478?page=1
[12] Tamayo Saborit, M. and Gonzalez Capote, D. (2020). Risk management: strategic business management tool. Editorial Universe South. https://elibroet.ezproxy.usach.cl/es/ereader/usach/131885?page=217
[13] Valenzuela Nieto, I. (2018). Corporate Governments as a pillar of Sustainability: A Pending Challenge in Latin America. Applied Law Magazine.
[14] Valencia, B., NZ (2021). Financial risk management and its impact on decision making. Interdisciplinary Journal of Humanities, Education, Sciences and Technology.
[15] Von, KH (2020). Nudge and the social influence of sustainability movements on the investment decisions of the century Lavell, A. (2001). On risk management: notes towards a definition. Virtual Library on Disaster Health-PAHO.
[16] Zevallos Morales, MN (2020). Information security risk management model: A review of the state of the art. Peruvian Journal of Computing and Systems, 2 (2), 43–60. https://doi.org/10.15381/rpcs.v2i2.17103
Cite This Article
  • APA Style

    Lucy Brandan Betancur, Rafael Paredes Carrasco, David Henriquez Ramos, Jessica Ramirez Ramirez. (2023). A Case of Risk Management Control and Its Study in Non-Financial Risks. International Journal of Accounting, Finance and Risk Management, 8(2), 31-42. https://doi.org/10.11648/j.ijafrm.20230802.11

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    ACS Style

    Lucy Brandan Betancur; Rafael Paredes Carrasco; David Henriquez Ramos; Jessica Ramirez Ramirez. A Case of Risk Management Control and Its Study in Non-Financial Risks. Int. J. Account. Finance Risk Manag. 2023, 8(2), 31-42. doi: 10.11648/j.ijafrm.20230802.11

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    AMA Style

    Lucy Brandan Betancur, Rafael Paredes Carrasco, David Henriquez Ramos, Jessica Ramirez Ramirez. A Case of Risk Management Control and Its Study in Non-Financial Risks. Int J Account Finance Risk Manag. 2023;8(2):31-42. doi: 10.11648/j.ijafrm.20230802.11

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  • @article{10.11648/j.ijafrm.20230802.11,
      author = {Lucy Brandan Betancur and Rafael Paredes Carrasco and David Henriquez Ramos and Jessica Ramirez Ramirez},
      title = {A Case of Risk Management Control and Its Study in Non-Financial Risks},
      journal = {International Journal of Accounting, Finance and Risk Management},
      volume = {8},
      number = {2},
      pages = {31-42},
      doi = {10.11648/j.ijafrm.20230802.11},
      url = {https://doi.org/10.11648/j.ijafrm.20230802.11},
      eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijafrm.20230802.11},
      abstract = {The objective of the research work was to establish the context of non-financial risks in the company Brad of Wales, and it is recommended that they be managed as soon as possible, considering the low level of maturity of this international company. The applied paradigm was qualitative, the research method was descriptive, and the research tools were case studies. It was able to be carried out due to the adversities suffered in the company studied due to the pandemic and that generated risks that must be managed, adding to this new risks such as climate change, sustainability and social responsibility of the entity. Among the most important findings of this work, it was detected through an internal control survey with a focus on risks; a low level of maturity, explained by low risk assessment. In addition, the compliance risk showed a high level of criticality because basic risk management standards for any organization are not being considered by the regional corporate governance. And, therefore, a great opportunity was evidenced, not only at the local level, but also at the corporate level, for the application of the best practices around corporate risk management.},
     year = {2023}
    }
    

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    T1  - A Case of Risk Management Control and Its Study in Non-Financial Risks
    AU  - Lucy Brandan Betancur
    AU  - Rafael Paredes Carrasco
    AU  - David Henriquez Ramos
    AU  - Jessica Ramirez Ramirez
    Y1  - 2023/05/17
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    N1  - https://doi.org/10.11648/j.ijafrm.20230802.11
    DO  - 10.11648/j.ijafrm.20230802.11
    T2  - International Journal of Accounting, Finance and Risk Management
    JF  - International Journal of Accounting, Finance and Risk Management
    JO  - International Journal of Accounting, Finance and Risk Management
    SP  - 31
    EP  - 42
    PB  - Science Publishing Group
    SN  - 2578-9376
    UR  - https://doi.org/10.11648/j.ijafrm.20230802.11
    AB  - The objective of the research work was to establish the context of non-financial risks in the company Brad of Wales, and it is recommended that they be managed as soon as possible, considering the low level of maturity of this international company. The applied paradigm was qualitative, the research method was descriptive, and the research tools were case studies. It was able to be carried out due to the adversities suffered in the company studied due to the pandemic and that generated risks that must be managed, adding to this new risks such as climate change, sustainability and social responsibility of the entity. Among the most important findings of this work, it was detected through an internal control survey with a focus on risks; a low level of maturity, explained by low risk assessment. In addition, the compliance risk showed a high level of criticality because basic risk management standards for any organization are not being considered by the regional corporate governance. And, therefore, a great opportunity was evidenced, not only at the local level, but also at the corporate level, for the application of the best practices around corporate risk management.
    VL  - 8
    IS  - 2
    ER  - 

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Author Information
  • Department of Accounting and Auditing, Faculty of Administration and Economics, University of Santiago, Santiago, Chile

  • Department of Accounting and Auditing, Faculty of Administration and Economics, University of Santiago, Santiago, Chile

  • Department of Accounting and Auditing, Faculty of Administration and Economics, University of Santiago, Santiago, Chile

  • Department of Accounting and Auditing, Faculty of Administration and Economics, University of Santiago, Santiago, Chile

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