Significant success factors for effective risk management in the UAE

Abstract

Risk management is one of the fields that have gained more interest today, especially considering the fact that business environment is today faced with conditions of uncertainty. This therefore emphasizes on the significance of effective risk management procedures within the organizations. As a result, this study examines the significant success factors for effective risk management in the United Arab Emirates. To investigate the importance of the significant success factors for risk management in a practical context, the study applied a quantitative method, whereby questionnaires were distributed to the respondents to collect data for the study. Data was obtained from the top level management including, Chief Executive Officers (CEO), executive directors, financial officers, and board of directors, since they are directly responsible for matters related to risk management within their organizations. This study developed a set of seven significant success factors that could be applied as a guideline for enhancing the effectiveness of risk management within the organization. These factors include: support and commitment from the top management, communication, organizational culture, information technology, organizational structure, training, and trust. These factors could therefore be applied to enhance the effectiveness of risk management in the United Arab Emirates.