Investigating Risk Management Toward Sustainable Performance: Evidence from Emerging Market

Abstract

The Covid-19 turbulence challenges organizations to build sustainable performance. However, research linking risk management and sustainable performance has not been explored in the literature. The study examined how risk management helps firms handle this unexpected situation and maintain performance especially in Covid-19 turbulence. The study surveyed pandemic risk management-implementing enterprises across industries using multiple regression analysis. This study revealed that risk-management companies perform better, include proactive risk assessment, contingency planning, and financial and operational resilience. Further, risk management did not significantly affect company performance during Covid-19. The current study suggests that risk management may boost performance but not solve pandemic issues. Understanding the intricate relationship between risk management and crisis-related organizational performance requires more investigation.