Abstract: The purpose of this paper is to question the need for a special regulatory framework for European airports in the light of recent developments in the relationship between airlines and airports; to argue that the airport business should now be treated like most other industries and be subject only to normal competition law. Three factors underlie the changed relationship. These are: the creation of a single European aviation market; the development of airline business models operating on a pan-European basis; and the increasing use of the internet which has reduced the costs of entry for airlines into local (geographic) markets. In combination these factors have had a profound effect on the dynamics of the airline industry. These dynamics have increased the business risk faced by airports and highlighting the increased buyer power of the airlines. The result has been a shift to bespoke long term contacts between airports and airlines. The paper argues that the bespoke contracts are also incentive compatible from the passenger’s point of view and, in combination with the incentive that airports have to secure high-margin commercial sales to passengers, produce an outcome that is favourable to the passenger; direct airport competition merely guilds the lily. Any residual concerns regarding market dominance and possible abuse have then to be set against the significant disadvantages and costs of sector-specific economic regulation; increasingly the remaining competition issues are of a type better handled through the application of normal competition law.

Abstract: The Deepwater Horizon incident demonstrated that most of the oil left is deep offshore or in other difficult to reach locations. Moreover, obtaining the oil remaining in currently producing reservoirs requires additional equipment and technology that comes at a higher price in both capital and energy. In this regard, the physical limitations on producing ever-increasing quantities of oil are highlighted as well as the possibility of the peak of production occurring this decade. The economics of oil supply and demand are also briefly discussed showing why the available supply is basically fixed in the short to medium term. Also, an alarm bell for economic recessions is shown to be when energy takes a disproportionate amount of total consumer expenditures. In this context, risk mitigation practices in government and business are called for. As for the former, early education of the citizenry of the risk of economic contraction is a prudent policy to minimize potential future social discord. As for the latter, all business operations should be examined with the aim of building in resilience and preparing for a scenario in which capital and energy are much more expensive than in the business-as-usual one.

Abstract: The paper notes a growing demand for risk reporting in recent decades. Researchers who have looked at the experience of risk reporting across different sectors often express a degree of disappointment with it. The paper reviews the findings of research on this subject, and identifies reasons why the usefulness of risk reporting by businesses across different sectors sometimes seems to be in doubt. The paper also reviews whether risk reporting ahead of the financial crisis was inadequate.

Abstract: Effective risk management - the identification, assessment and prioritization of risks - is a vital consideration when looking to safeguard your company's commercial future and deal with the latest regulatory requirements. Managing Business Risk will enable your company to maintain controls on risks that may threaten your business while at the same time delivering transparent reporting to your stakeholders. The book examines the key areas of risk in today's competitive and complex business market. Drawing on expert advice from leading risk consultants, lawyers and regulatory authorities, it shows you how to protect your business against a rising tide of risks. If you don't build risk controls into the structure of your company, from the boardroom down, then your business could be vulnerable to a number of threats - both internal and external. Identify and neutralise them now, and give your company a competitive advantage.

Abstract: As part of a comprehensive research into PPP implementation, nine case studies were scrutinized to explore the critical risks influencing the success of PPP water projects in China. Eleven critical risks were identified from real-life risk events through the content analysis. They were further analyzed in the aspects of risk origin and their allocation mechanism. It has been found that the government risks are considered as the most critical risks encountered by the Chinese project practitioners. To allocate risk, industrial practitioners should not only take into account of their management capability, but they should also pay more attention to the overall balance of risks and benefits, and risk guarantee through rigorous contract structure. The findings presented here are believed to enable interested investors to better understand the risks of PPP water projects in China.

Abstract: Little research is focused on payment risks which constitute the biggest obstacle to adequate cash flow and the contractor’s ability to successfully complete a project and maintain a viable business. To minimize risks and improve net cash flow in a project, the various ways in which the key stakeholders could contribute to the contractor’s payment risks and cash flow problems (the ‘problems’) were investigated along with the mitigation measures. Using a two-stage descriptive survey method, pilot interviews were conducted with contractors, subcontractors, project managers, designers and quantity surveyors (the ‘group’). A questionnaire was designed based on the constructs generated during unstructured pilot interviews and used to obtain feedback from 120 members of the ‘group’ through structured interviews. The feedback was analysed for risks using the multi-factor analytical technique. Results showed that employers were the most risky sources contributing 24% of the contractor’s ‘problems’ in a project. T...

Abstract: The benefits associated with mortality risk reductions are a critical input for the benefit-cost analysis of economically significant federal regulations that affect health and safety. The dominant method of estimating the benefits of reducing mortality risks relies on labor markets to estimate the tradeoffs between workers’ wages and occupational risk. The past literature considers all labor market risks to be equivalent, failing to recognize the inherent heterogeneity in occupational hazards. In this research, heterogeneity in the value of reducing risks is explored within the labor market context. Unique location-specific risk data are developed for over 300 U.S. cities to separately identify the wage premiums for facing two disparate occupational risks: violent assault and motor vehicle accident risks. We find that ignoring the underlying heterogeneity in risks can lead to substantial over/under-statements of the benefits of reducing any one particular risk by up to 350%. As such, caution is urged for benefits transfer exercises that apply estimates of the marginal willingness to pay for reducing labor market accident risks to policies affecting very different risks, such as public safety or environmental risks.

Abstract: The embodiment of the invention discloses a processing method and a system for risk monitoring and controlling of the transaction data. The method comprises the following steps: receiving the transaction data generated in the business processing information; calling the related transaction data of the transaction data according to the transaction data; calculating the risk monitoring index data threshold value according to the transaction data and the related transaction data; judging that the business processing information generating the transaction data is quasi-risk business processing information when the transaction data is more than the risk monitoring index data threshold value; and setting the quasi-risk business processing information into the risk business processing information. The method and the system of the invention can automatically generate a risk control threshold value, identifies and controls the risk according to the different conditions, can provide a risk monitoring process flow and a rule improvement mechanism, thus saving the economic cost, improving the accuracy and the efficiency of the risk event checking, and greatly improving the monitoring efficiency and effect of the banking business risks.

Abstract: The equipment maintenance is an indispensable function in a manufacturing enterprise [1]. The role of maintenance is to reduce business risks in a cost effective manner. Thus achieving excellence in maintenance issues has to be treated as a strategic issue for manufacturing organizations to create world-class-manufacturers (WCM) [2]. In the following papers, the examples of activities realized to achieve excellence in maintenance area in two large companies working in food industry, especially in terms of their ergonomics, safety and employees' health.

Abstract: Food safety and hygiene is of critical importance to us all. In this wide ranging book, Bridget Hutter explores how we are all dependent on others to ensure that the food we consume from food in the retailing and hospitality sectors is safe. This has prompted a governance system embracing state regulation and groups beyond the state such as consumers, insurance, media and businesses themselves. The book argues that state regulation is ‘necessary but not sufficient’ as an influence on business risk management practices. Using research data from the UK, the author examines the relative importance of these other groups, in relation to each other and in relation to state regulation.

Abstract: The purpose of this research is to provide empirical evident whether debt policy, dividend policy, institutional ownership, business risk, firm size, earning volatility, profitability and company value have significant influence to managerial ownership. This research used data were taken from all companies listed in Indonesia Stock Exchange over the three years period 2006 till 2008. This research used purposive sampling method. The sample of this research consists of 30 companies that meet the criteria. This research uses multiple regresion method to see the contribution of each variable in influance managerial owner-ship. The empirical result indicates that only institutional ownership has significant influence to managerial ownership, while other variables do not have significant influence to mangerial ownership.

Abstract: Cost effective delivery channel of E-banking services, technological innovations and competition among existing banking organizations are the major driving forces behind the rapid spread of E-banking all over the world. However, the rapid development of E-banking carries risks as well as benefits. Hence the banks must be conscious of different types of risks to remain efficient and cost effective. The E-banking sectors in Iran have been also developed in recent years. Nowadays, Iranian banks compete to get a better position in the banking system. Hence they should apply risk management strategies not only to get the better position but also to increase customer acceptance. Therefore in this paper a generic set of risks are discussed as the basis for formulating general risk control guidelines. These risks are classified into eight categories involving security risks, legal and ethical risks, reputational risks, operational risks, money laundering risk, strategic risks, cross border risks and traditional risks.

Abstract: This article aims at providing better insight into the way in which banks currently deal with biodiversity in their business operations, what their underlying motivations are for doing so, and how the banking sector perceives biodiversity as a business risk or opportunity. Analysis of publicly available information telephone interviews and a questionnaire revealed that only five of the 50 banks have taken considerable steps to account for biodiversity risks and opportunities on an organizational level and within lending portfolios (scores higher than 67%). Most banks, however, remain at the starting grid, with scores to address biodiversity issues on a group or holding level and within lending products and services lower than 33%. In terms of risks related to biodiversity, banks believe that their sector is primarily exposed to reputational risk and, perhaps surprisingly, to credit risk. Motivations for banks to develop policies to account for biodiversity centre on reducing reputational risk and the wish...

Abstract: personality, stress, burnout, shift work, and passenger behaviour. While shift work was discussed over a few pages (in the context of sleep, health, accident risk, private life and jetlag), fatigue seemed to be avoided; indeed the word does not appear in the index. This is a curious omission for such a key issue in aviation psychology and human factors. Chapter 7 traverses the area of culture – national, professional, organisation, and safety culture – finishing off with a discussion of women in aviation, organisational change, and leadership. Each issue is covered only briefly, but enough to get the reader interested enough to seek more information. Aviation safety is the subject of Chapter 8. This includes accident incidents, causes, classification, as well as a more scattered selection of issues, such as aeronautical decision making, situation awareness risk perception and locus of control. The subject of this chapter would be of keen interest to many readers, but the organisation could be improved. In particular, some topics would be better in different (new) chapters. The book concludes with some final remarks and a list of internet sources for pilots. Overall, this book covers some areas well, at the right level of detail and in a structured way. Other elements would benefit from reorganisation. For instance, situation awareness and decision making are covered in the penultimate chapter, well after the discussions of design and training. Similarly, fundamental issues such as personality, stress and risk tolerance are covered after the chapter on selection. The placement and extent of the chapter on research may put off some readers. Omissions such as fatigue also need to be addressed. My view is that the book is best suited to students of aviation (flying or management) studying for an aviation degree that includes human factors or aviation psychology, and to students of psychology wishing to learn more about the application to aviation. For such students, this primer provides a wealth of information taking an academic approach, and the issues of organisation are less consequential. Having taught many such students, it is a book that I could recommend. For pilots (or other aviation professionals) wishing to learn more about aviation psychology and human factors, the book may well be too heavy. More editing and application of human factors in the design of the book itself (e.g. significantly more illustrations and photographs, summary boxes, and other learning aids) and more aviation context may be needed for these readers to benefit fully from the material. Hawkins (1993), while now rather old, still remains a strong contender for aviation professionals interested in this field.

Abstract: An oversight system specifically concerned with nanomaterials should be flexible enough to take into account the unique aspects of individual novel materials and the settings in which they might be used, while recognizing that heretofore unrecognized safety issues may require future modifications. This article considers a question not explicitly considered by the project team: what is the risk that uncertainty over how regulatory oversight will be applied to nanomaterials will delay or block the development of this emerging technology, thereby depriving human health of potential and substantial benefits? An ambiguous regulatory environment could delay the availability of valuable new technology and therapeutics for human health by reducing access to investment capital. Venture capitalists list regulatory uncertainty as a major reason not to invest at all in certain areas. Uncertainty is far more difficult to evaluate than risk, which lends itself to quantitative models and can be factored into projections of return on possible investments. Loss of time has a large impact on investment return. An examination of regulatory case histories suggests that an increase in regulatory resting requirement, where the path is well-defined, is far less costly than a delay of a year or more in achieving product approval and market launch.

Abstract: Purpose – The purpose of this paper is to investigate if business practices for performance through risk control methods can be applied by defence forces in peace missions called for by the United Nations (UN) in order to improve the efficiency of such missions.Design/methodology/approach – Extensive studies of existing theories on business cooperation risk control were performed as well as studies of the organizational and legal structures for Swedish participation in international military missions. These studies were followed by interviews with politicians and military officers of high ranks regarding cooperation in such missions and the interviews were analyzed with respect to the theoretical methods and their validity for the military sector.Findings – The authors' conclusion is that an adoption of some of the existing business risk control management methods could improve the efficiency of military risk management. The first step in such organizational knowledge transfer is to improve the form for a...

Abstract: SYNOPSIS: This paper investigates whether client engagement risks lengthen the client acceptance phase for audit firms and result in a longer auditor search period for their clients. Using a sample of auditor resignations over the period 2003–2008, we document that the auditor search period is longer for firms associated with client business risk (financial distress) and audit risk (internal control weaknesses or management integrity issues), while it is shorter for firms representing reduced auditor business risk (auditor industry specialization). These findings highlight the importance of client risk assessment and explain audit firms' response to perceived client risks.

Abstract: This study aims to identify the applicability of the Comptroller of Enterprise in micro and small enterprise to improve the process of management. The information was collected from interviews with managers/owners of forty micro and small enterprises in the cities of Aracaju and Nossa Senhora do Socorro, Sergipe. Among the results are: a) the tools of the Controller Enterprise (planning, budgeting, financial analysis, information management) are not fully utilized in the surveyed companies, b) the micro and small entrepreneurs have a vision of integrated management and the need for information so that objectives are achieved more consistently and minimize business risk, c) the perception that evolution is apparent when respondents say the need to expand knowledge of strategy, controls, financial and management accounting, with the specific purpose of having information to decide the direction of the enterprise. Thus, consolidates the need to manage micro and small enterprises with professionalism, aimed at reducing the death business segment, since the representation in the economic and social development is considerable.

Abstract: The case involves Ceskoslovenska Obchodni Banka, a.s. (CSOB or “the bank”), which was the third largest bank in the Czech Republic in 1997 when the case initially takes place. The case is based on publicly available information relating to CSOB at a time when the bank was emerging from the state‐owned environment of the former Communist country of Czechoslovakia. You will serve in the role of an auditor who is trying understand how to assess the fairness of financial information related to one business process of the entity, based, in part, on the effectiveness of the bank in carrying out its strategy and, in part, on the performance of the business process. This case is designed to provide you with an opportunity to apply important aspects of a business risk audit approach similar to what is utilized to some extent by all major international accounting firms (e.g., Lemon et al. 2000; the Joint Working Group [JWG] Report 2000) in a unique business setting. The requirements of the case also involve assessi...

Abstract: The purpose of this chapter is to investigate what internal auditors see as a need for improvement regarding current business risk practices for controlling employee fraud. A survey of internal auditors compares perceptions of current versus desired situations in regard to six common practices of employee fraud risk management: training in fraud risk management, understanding how job procedures are designed to manage fraud risks, recognizing basic indicators of fraud, providing appropriate employee compensation incentives, reporting suspicions of fraud, and background verification of job applicants. Comparisons for each practice are made between the United States and Canada.The main finding is that the largest weakness in the employee fraud risk management practices relates to providing employees with training in their risk management programs. Seemingly related deficiencies are also indicated in both employee understanding of how their job procedures are designed to manage fraud risks and the ability of employees to recognize basic indicators of fraud. No measure of fraud prevention is more important than those involving the employees who actually conduct the affairs of an organization. The identification and ranking of gaps in employee fraud risk management practices can be used to make a case to deal with areas needing improvement.

Abstract: Both business risk and industry sales volatility decreased across the computing equipment manufacturing, airline and pharmaceutical industries. Earnings performance and industry environmental munificence were both the highest among airlines. High volatility, while posing greater business risks, also offered the opportunity for improved risk-performance payoffs in the computer industry. Individual firms in the computer and pharmaceutical industries successfully reduced business risk while simultaneously increasing earnings performance (i.e., negative within-firm correlations), indicating idiosyncratic firm-specific effects.

Abstract: During the past 40 years, risk assessment has emerged as an organized, systematic, scientific activity closely tied to important questions about the nature, magnitude, mitigation, and prevention of...

Abstract: IntroductionGlobal supply chain management is exposed to a variety of risks such as demand fluctuations, exchange-rate fluctuations, price fluctuations, supply disruption, and supply delays.2 In addition, because of business activities and growth, management often has created conflicts among risks. Thus, business firms must develop mitigation strategies that effectively manage these risks in the supply chain.3 Supply chain risk management (SCRM) takes a proactive approach to the development of mitigation strategies for supply chain risks, giving important strategic alternatives and insights while overcoming challenges presented by the information and knowledge age.4The purpose of this paper is threefold: 1) to identify, assess, and prioritize supply chain risks; 2) to use the analytic hierarchy process (AHP) technique to support the strategic planning in supply chain management (SCM) decision-making; and 3) to provide business decision makers with a model to identify risk mitigation strategies. Using a business firm (BF) in the Kaesong Industrial Complex (KIC), the study focuses on exploring supply chain risks' characteristics in order to implement risk mitigation strategies that will improve the BF's and the KIC's decision-making planning process and managerial policy.5 The study will suggest risk mitigation strategies that will enable the BF to respond to innovation and new growth, while reinforcing overall ongoing business planning strategies to meet defined requirements in the KIC business setting.Supply Chain Risk ManagementSupply chain management (SCM) is defined as an integrated business philosophy for managing information, materials, and monetary flows among different facilities, suppliers, customers, and logistic levels. SCM includes both internal customers, such as all cross-functional decision-makers within an organization that have direct and/or indirect impact, and external customers such as suppliers, distributors, transporters, warehouses, retailers, and even end users. Because of the many qualitative and quantitative factors which must be included in SCM, planning is a complicated decision-making problem in business.6 Given the complexity of SCM, especially in cross-border supply chains, many studies have applied different business methodologies to real world situations.7Supply chain risk is defined as any risk associated with the flow of materials, information, and monetary transaction in a supply chain process. An effective supply chain risk management (SCRM) strategy embeds risk management into all supply chain functions, from inbound to outbound supply chain streams. Conventional risk management identifies and evaluates the various supply chain risk factors and their potential effects in areas such as purchasing and procurement, manufacturing and production, resources and real estate, outsourcing, logistics and warehousing, inventory, and legal matters. Risk factors can be identified in terms of sources, places, and relationships, or from a managerial function perspective, such as financial risk, operational risk, human resources risk, and information risk.8 Table 1 on page 36 presents categories and drivers of supply chain risks.A more comprehensive SCRM strategy may need proactive participants in the overall SCM planning processes.9 Although managing supply chain risk is a primary business activity, an even more important activity is the identification of proper risk mitigation strategies that will make the business more sustainable and profitable. By identifying risks and developing a pertinent strategy in a supply chain, business firms can align risks to the related strategies. In manufacturing-business firms, four major strategies are cost, quality, delivery, and flexibility.The existence of numerous risk factors makes supply chain decision-making more difficult to plan and implement. It is complicated because many tangible and intangible risk factors must be included in the decision-making process of a supply chain planning process. …

Abstract: In this paper we explore how SME managers’ network relations and values may be related to their construction of climate change (CC) as a business risk and responsibility. The paper takes a social-constructionist approach the topic of small business managers’ understanding and response to climate change risks. From this perspective, the paper investigates how the personal values held by managers, as well as the social structure, and particularly the networks in which they are embedded and participating enable and constrain the way in which they understand and enact climate change risks for their business. Keywords Business networks, personal values, climate change, small and medium sized enterprises

Abstract: This article tests several predictions of tournament theory on executive compensation in the context of a transition economy. Using an unbalanced panel of 34,701 executives in 1,386 public listed firms in China during 1999 and 2006, the paper finds that (1) pay increases as executives move up the corporate hierarchy into higher ranks; (2) pay gap is the largest between the first- and second-tier executives; (3) pay dispersion increases with the number of tournament participants and the risk of the business environment; (4) state ownership of shares reduces pay, pay gap and the sensitivities of the contestant pool and business risk to pay dispersion; (5) board composition and independence, CEO duality and the independence of the supervisory committee all affect pay and pay dispersion. Overall, this paper shows that listed firms in China, as they become more and more market-oriented, have adopted a pay structure that is largely consistent with the predictions of tournament theory, and that it is important to consider both state ownership and corporate governance in analyzing executive compensation structure.