ASSESSMENT OF RISK MANAGEMENT EFFICIENCY IN COMPANIES: ANALYSIS, METHODS AND SOLUTIONS

Аннотация

The process of identifying and assessing risks within a company is an integral and essential component of strategic management. This process encompasses the identification of existing or potential threats in the company's operations, the evaluation of their likelihood and impact, and the development of appropriate mitigation measures. This section provides an in-depth analysis of the key principles, methodologies, and practical approaches to risk identification and assessment at the corporate level. Keywords: Risk management, SWOT analysis, PESTLE analysis, FMEA, BCP, COSO ERM, ISO 31000, ESG risks, digital security, supply chain risks, corporate sustainability. 1. Introduction The high degree of volatility in today’s economic and political environment demands that enterprises manage risks more effectively than ever before. Modern companies operate under the influence of not only internal operational risks but also external factors such as geopolitical shifts, digital transformation, ESG (Environmental, Social, and Governance) requirements, and climate change. As a result, risk management is evolving into an essential element of strategic management. It is increasingly viewed not merely as a tool for mitigating threats, but as a strategic instrument for enhancing competitiveness, identifying new opportunities, and securing long-term advantage. This article aims to assess the effectiveness of risk management practices within companies, utilizing contemporary analytical tools—including SWOT, PESTLE, FMEA, BCP, and Threats and Opportunities Analysis. It also seeks to identify weaknesses within existing systems and propose actionable solutions for their improvement. The research is grounded in internationally recognized frameworks such as PwC, FERMA, COSO ERM, and ISO 31000 [1], as well as practical analyses and real-world trends observed in Uzbekistan. 2. Methodology This study is based on a set of modern risk management methodologies, each offering a structured approach to identifying and assessing risks at the corporate level. SWOT Analysis - this method identifies a company’s internal Strengths and Weaknesses, as well as external Opportunities and Threats. SWOT analysis enables a comparative evaluation of risks and opportunities, highlighting their interconnections and implications for strategic planning. PESTLE Analysis - this analytical tool systematically examines six macro-environmental factors that influence risk exposure: Political, Economic, Social, Technological, Legal, Environmental. By assessing these dimensions, companies gain a comprehensive understanding of how external variables may impact their strategic positioning and operational stability. 111 ILM-FAN VA INNOVATSIYA ILMIY-AMALIY KONFERENSIYASI in-academy.uz/index.php/si Figure 1. PESTLE Analysis This figure typically illustrates how each of the six PESTLE dimensions—Political, Economic, Social, Technological, Legal, and Environmental—interacts with the company’s risk landscape. It visually maps the influence of external macro-level factors on corporate strategy and risk exposure, helping decision-makers to better anticipate and respond to changes in the external environment. FMEA (Failure Mode and Effects Analysis) is a structured approach aimed at identifying potential failure modes in a specific product, process, or system, assessing the consequences of these failures, and evaluating their severity. Originally developed for use in the military and aviation sectors, FMEA has since become a widely applied tool in industries such as manufacturing, healthcare, automotive, and IT, for proactively identifying and mitigating risks. Practical Objectives of FMEA: Early detection of potential failures and implementation of preventive measures; Identification of root causes of each failure to address the source of the issue; Thorough assessment of consequences should a failure occur; Development of corrective strategies to reduce or eliminate associated risks; Improvement in overall reliability of products, services, or processes, and enhanced alignment with customer expectations. Step-by-Step FMEA Procedure: FMEA is typically carried out using a structured, step-by-step approach consisting of the following phases: 1. Identifying Potential Failure Modes Each component or stage of the product or process is systematically reviewed to determine what types of failures might occur. This forms the foundation for a comprehensive failure map. Examples: sensor malfunction, improper installation, software bug, component aging. 2. Determining Causes and Effects For every identified failure mode, the underlying causes and potential effects are analyzed. This enables organizations to fully understand the failure chain. Example: if a sensor is incorrectly positioned, it may lead to inaccurate measurements, which in turn may result in faulty decisions and system malfunction. 3. Evaluating Risk Using Key Criteria (O, S, D): Each failure mode is rated based on thre