Risk management as a factor of sustainable development of enterprise

Abstract

This chapter deals with the issues of interconnection between sustainable development of enterprise and the applied system of risk management. The content of sustainable development of enterprise is viewed, a proprietary definition is given, and main conditions for its achievement are determined. A logical scheme, which reflects the main stages of formation of the system of sustainable development, is given. The necessity for development of the system of risk management for the purpose of provision of sustainable development of enterprise is substantiated. Based on the performed research, a concept of preemptive risk management is offered which allows determining the probability of their manifestation and the level of influence and taking appropriate measures. Tools for evaluation of risks of sustainability of functioning and development of enterprise and of their management are given. The list of the viewed methods will allow compiling an action plan for minimization of unfavorable influences and increase of enterprise’s sustainability. It is concluded that sustainable development and stable state of economic subjects in modern conditions are determined by their capability for timely reaction to change of conditions of environment of functioning.