#TITLE_ALTERNATIVE#

• Main Author: KUSUMO (NIM 19005036), APRICIANITA
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/9986
• Institution: Institut Teknologi Bandung

Traditional risk management, which means that risk is managed independently, has been implemented by many private and public organizations in the past. However, the traditional risk management technique is considered to be inadequate to face the rapid change in the business environment lately. As the response to this condition, both the private and public organizations have started to implement the concept of Enterprise Risk Management, or usually called ERM. Different with the traditional risk management technique, the ERM is intended to improve the organization's performance in more holistic ways. With the existence of this ERM concept, many organizations especially companies that do business, can get benefit by applying the concept in their organizations.<p> <br /> <br /> <br /> <br /> As one of the companies in Indonesia, PT. XYZ also faces many risks due to its business operation. PT. XYZ is a rice milling company that already operated since 1983. In 2004, the company created a large-scale rice-milling project in order to improve the company's performance and value. However, instead of achieving its goal, since 2005 the company has been experiencing continuous increase of its accumulated loss, which lead to the continuous decrease of its capital. This condition shows that PT NRM is unable to survive in the middle of many changes in its business-operating environment.<p> <br /> <br /> <br /> <br /> In order to have a better performance, PT. XYZ can also uses the concept of Enterprise Risk Management to manage many risks that it faces. The Enterprise Risk Management process itself involves a series of steps, which are business analysis, risk identification, risk assessment, and risk management. In this research, researcher is trying to apply the Enterprise Risk Management concept in PT. XYZ by following the series of risk management process steps.<p> <br /> <br /> <br /> <br /> This research provides useful information for PT. XYZ to manage risks that it faced. In this research, the business analysis shows the characteristics of PT. XYZ business. Meanwhile, the risks identified focuses on three risks type, which are Financial Risk, Market Risk, and Operational Risk. In the risk assessment, the probability and severity of each risk could be known. In the last step of risk management process, which is risk management, the company could know the most suitable risk treatment for each risk. This research also provides an important recommendation for PT. XYZ, which is to manage risks by using the risk management action resulted from this research.