As harmful as the financial crisis of 2007-2009 was, some organizations professed some benefits as a result; “we know our risks better,” “we can better manage risks.” Many of the organizations that hailed such positives undoubtedly had what would generally be considered sound risk management systems/practices (RMS). So, what happened? What prevented organizations RMS from perhaps better mitigating risk during the recent financial crisis than was the case? Said another way, “what are barriers to effective risk management?” This study proposes a risk governance framework (RGF) that helps distinguish phases of RMS, and is grounded in Risk principles versus a controls based foundation that many view as part of the current problem with RMS. Based on our survey of 41 Risk Managers (RM) and 96 Regulators (REG), we obtained perspectives on barriers to effective risk management including barriers to effective risk management leading up to the financial crisis of 2007-2009, the importance of Risk principles, and suggestions to improve the effectiveness of RMS. We also obtained RM and REG perspectives of the impacts to RMS from our banking environment providing a type of “insurance,” impacts to RMS due to perceptions of the state of the financial/economic environment, how complete must phases of RMS be, compensation practices and its impacts to RMS, and the notion of quantitative/qualitative methods in current RMS. Leading up to the financial crisis of 2007-2009, identified barriers to effective risk management include a lack of risk culture and under estimating risks. Some suggestions to improve RMS include improving the risk function and developing more dynamic, forwarding looking and preemptive risk management tools and techniques that blend quantitative and qualitative methods. The proposed RGF and the rich context on barriers to effective risk management obtained from our study may help practitioners and academia alike in considering ways to analyze and improve RMS.

M.Com. (Business Management) / Risk management is an important factor in ensuring business and project success. Thus, risk management methodologies are constantly being developed and improved. In order to define the goals, specify the process and manage progress, it is necessary to have a clear view of the enterprise‟s current approach to risk, as well as a definition of the intended destination. Benchmarking offers the opportunity to determine the current maturity capability against agreed frameworks, and also provides a structured route to improvement. A generally accepted framework is needed in order for an organisation to benchmark its current maturity and capability in managing risk, and this framework should also assist in defining progress towards increased maturity. Being an assessment tool, a risk maturity model is designed to measure risk management capability and to provide objectives for improvement The purpose of the research is to identify, adapt and recommend a sound risk maturity model, together with an easily applicable and effective questionnaire for use to measure the risk capability maturity of a Life Insurer (“Liberty Life”). To achieve this aim, six risk management maturity models were identified through a literature review and the proposed model was further supported with long-term insurance specific attributes of risk management as advocated by leading corporate governance codes and regulations such as King III and the newly proposed Financial Services Board (FSB) Solvency Assessment and Management (SAM) regime. Despite the widening consensus on the value of risk management, effective implementations of risk processes into organisations are not common. The benefits of mature risk management have been discussed in Chapter 2. By adopting an exploratory approach, the researcher conducted a qualitative research project, in the form of an in-depth case study, on a multinational financial services organisation. Unstructured face-to-face interviews were held with senior executives and risk managers in order to gather data regarding what they perceive as key attributes, including acceptable measurement criteria, of a risk maturity model appropriate and effective for implementation in their organisation.

A common misconception is that the safest strategy when dealing with risk is to avoid it altogether, resulting in mainly risk hedging strategies aligned with a downside biased view of risk, only focusing on outcomes with a negative effect causing missed opportunities (Damodaran, 2007). Furthermore, another common misconception is the effort to quantify risk, to measure and prioritize it. However, Knight (1921) disregards such an effort due to a lack of guidance in the ever-changing business environment. For an organization to maintain its competitive advantage, it is important to create a risk culture that is neither too defensive, nor too offensive, since it can cause even worse outcomes (Damodaran, 2007). This study takes a qualitative approach, where interviews has been conducted on a single company, which is referred to as “target organization. These interviews will be representing the empirical data for the study. With surprisingly little research done on the subject of risk culture, this thesis aims to identify key managerial tools and concepts to reinforce or change their organizational risk culture. These tools were identified as communication, learning through failure, double-loop learning, incentives, and structure. Furthermore, the study has exemplified concrete measures regarding these tools to align managerial efforts to either hierarchal or adhocracy risk culture.

This research sheds light on the nature of the role of the operational risk controller in the financial services industry. The focus is on understanding how operational risk controllers interact with different layers of the organisation and become influential with the business lines and senior management. Nine semi-structured interviews were conducted with operational risk controllers, and it was found that their work is becoming increasingly focused on managing people with a view to creating mutual understanding. To achieve this, operational risk controllers should work more as independent facilitators in their interactions with the first line and senior management, as engaged toolmakers when adapting and reconfiguring tools, and as non-financial risk controllers when attempting to enable business leaders to understand the magnitude of operational risks.

Introduction: This study considered the role that safety, health and environmental (SHE) risk culture should play in the improvement of SHE risk management. The study focused on the perception of SHE risk culture at management and non-management levels in a manufacturing organisation in South Africa. SHE risk culture was viewed in terms of tone from the top and operational understanding of the risk management process. Method: A SHE risk culture questionnaire was created based on information available in the academic literature. The aim of this exploratory questionnaire was to assess the status of the SHE risk culture within the targeted organisation and to recommend improvements. The questionnaire included items designed to assess five aspects of SHE risk culture: understanding of the SHE risk approach; understanding of SHE risks and controls; SHE risk involvement and buy-in; communication; and governance, leadership and accountability. The target group for this study consisted of operations personnel and risk and SHE employees at different levels in the company. Survey data were obtained from 224 employees from a wide range of jobs in the company. Results: The data from the Likert-scale items in the questionnaire showed a number of significant differences between the perceptions of managers and non-managers with respect to the status of the SHE risk culture in the organisation. These differences indicated that management felt more comfortable with their understanding of the SHE risk approach, of the actual SHE risks, and of risk management controls than the non-management group. Also, management showed greater support for, and buy-in to, the SHE risk approach than the non-management group. In addition, participants shared their views of how the SHE risk culture in the organisation may be improved. The top five recommendations were: improve communication on SHE risk culture; standardise the SHE risk management approach; enhance SHE risk-related training to build capacity and understanding; emphasize the significance of leadership’s approach to embedding the SHE risk culture; and acknowledge the importance of involving employees in the development and implementation of the desired SHE risk culture. Conclusion: This study illustrated the importance of a number of factors required to improve the SHE risk culture in the organisation both in terms of tone from the top and operational understanding of SHE risks: they include well-structured communication; standardising and simplifying SHE risk management; SHE risk capacity building; and encouraging employee participation when developing and improving the desired SHE risk culture. The central role played by leadership to set the tone from the top and lead by example when implementing the desired organisational SHE risk culture was also highlighted by the participants. Practical application: This study provides evidence-based guidance for the manufacturing sector on how to evaluate and improve a desired SHE risk culture. The paper also shows how the concept of risk culture can be applied to SHE risk culture. The questionnaire used in this study can be used by management teams wishing to get an understanding of the prevailing SHE risk culture in their organisations. The results of the survey can be used to inform change interventions to improve the existing SHE risk culture in the organisation studied. The questionnaire should also be useful for further research on the concept of risk culture and in particular SHE risk culture.

Introduction: This study considered the role that safety, health and environmental (SHE) risk culture should play in the improvement of SHE risk management. The study focused on the perception of SHE risk culture at management and non-management levels in a manufacturing organisation in South Africa. SHE risk culture was viewed in terms of tone from the top and operational understanding of the risk management process. Method: A SHE risk culture questionnaire was created based on information available in the academic literature. The aim of this exploratory questionnaire was to assess the status of the SHE risk culture within the targeted organisation and to recommend improvements. The questionnaire included items designed to assess five aspects of SHE risk culture: understanding of the SHE risk approach; understanding of SHE risks and controls; SHE risk involvement and buy-in; communication; and governance, leadership and accountability. The target group for this study consisted of operations personnel and risk and SHE employees at different levels in the company. Survey data were obtained from 224 employees from a wide range of jobs in the company. Results: The data from the Likert-scale items in the questionnaire showed a number of significant differences between the perceptions of managers and non-managers with respect to the status of the SHE risk culture in the organisation. These differences indicated that management felt more comfortable with their understanding of the SHE risk approach, of the actual SHE risks, and of risk management controls than the non-management group. Also, management showed greater support for, and buy-in to, the SHE risk approach than the non-management group. In addition, participants shared their views of how the SHE risk culture in the organisation may be improved. The top five recommendations were: improve communication on SHE risk culture; standardise the SHE risk management approach; enhance SHE risk-related training to build capacity and understanding; emphasize the significance of leadership’s approach to embedding the SHE risk culture; and acknowledge the importance of involving employees in the development and implementation of the desired SHE risk culture. Conclusion: This study illustrated the importance of a number of factors required to improve the SHE risk culture in the organisation both in terms of tone from the top and operational understanding of SHE risks: they include well-structured communication; standardising and simplifying SHE risk management; SHE risk capacity building; and encouraging employee participation when developing and improving the desired SHE risk culture. The central role played by leadership to set the tone from the top and lead by example when implementing the desired organisational SHE risk culture was also highlighted by the participants. Practical application: This study provides evidence-based guidance for the manufacturing sector on how to evaluate and improve a desired SHE risk culture. The paper also shows how the concept of risk culture can be applied to SHE risk culture. The questionnaire used in this study can be used by management teams wishing to get an understanding of the prevailing SHE risk culture in their organisations. The results of the survey can be used to inform change interventions to improve the existing SHE risk culture in the organisation studied. The questionnaire should also be useful for further research on the concept of risk culture and in particular SHE risk culture.

Dans les régions exposées à des aléas naturels, une large partie des bâtiments composant l'environnement construit sont réalisés presque exclusivement sur la base de l'expérience et de l'observation des bâtisseurs locaux, sans l'appui d'un architecte ou d'un ingénieur. Les communautés installées dans ces zones ont développé, au fil du temps, une multitude de stratégies pour co-habiter avec ces phénomènes, incluant des comportements sociaux et des approches de construction visant à prévenir et/ou à limiter l'exposition du bâti et de ses habitants. En fait, les constructeurs ont souvent intégré la présence et les caractéristiques locales des aléas naturels dans leurs pratiques quotidiennes, élaborant des détails et des dispositions constructives particulières pour réduire la vulnérabilité des artefacts et du milieu bâti. Le concept de culture constructive embrasse la dimension sociale et technique de l'acte de construire et du processus d'élaboration des savoirs et savoir-faire qui lui sont inhérents, reflétant intrinsèquement la multiplicité des sociétés humaines et leur enracinement indissoluble au territoire qu'elles habitent. Le vernaculaire en tant que caractérisation des modes de bâtir, d'habiter et de se protéger se révèle par ce fait une source précieuse de pratiques, techniques et mesures, testées au cours des siècles et des multiples aléas, pour la construction d'environnements bâtis durables, accessibles et sûrs. Ce travail de recherche explore le potentiel présenté par les cultures constructives vernaculaires dans le renforcement de la résilience locale. Et cela à partir des pratiques - constructives et comportementales - développées par les populations, groupes et individus habitant des contextes géographiquement exposés à des aléas naturels. Se fondant sur une forte interaction entre la théorie et la pratique, cette recherche entame une (re)découverte de l'ingéniosité intrinsèque à ces savoirs par le développement de deux axes thématiques. L'un investigue les dispositions et les dispositifs vernaculaires à caractère parasinistre ayant démontré leur efficacité à réduire la vulnérabilité de l'environnement construit envers différents types d'aléas naturels. L'autre axe questionne les modalités de leur identification et contribution directe au renforcement des capacités de populations et institutions dans la gestion des crises. À une analyse technique s'associe l'élaboration d'un outil méthodologique soutenant la mise en place d'une démarche de projet s'ancrant fortement aux spécificités contextuelles selon une logique de continuité, tant culturelle que de pratique, entre passé et futur, entre préparation et réponse aux catastrophes. / In areas prone to natural hazards, many of the buildings that make up the built environment are constructed almost exclusively through the experience and the direct observation of local builders, without the support of any architect or engineer. In these regions, communities have developed over time a variety of strategies to cope with natural phenomena through patterns of social behaviours and building approaches intended to prevent and/or to reduce their exposure to local risks. Similarly, local builders have often integrated natural hazards into their daily practices, developing singular techniques, building details or devices aiming to reduce the vulnerability of the built environment. The concept of building culture embraces the social and technical aspects related to the construction process and to the development of corresponding knowledge and know-how, intrinsically reflecting the multiplicity of human societies and their indissoluble connection with the territories they inhabit. The vernacular as characterization of ways of building, living and protecting oneself proves to be a valuable source of practices, techniques and measures, tested over the years and during multiple hazards, for contemporary construction of sustainable, accessible and safe built-environments. This research explores the potential of vernacular building cultures in enhancing local resilience; and this starting from - constructive and behavioural – practices developed by individual people and groups living in contexts geographically exposed to natural hazards. Based on a strong interaction between theory and action, this research undertakes a (re)discovery of vernacular knowledge through two thematic focuses. One examines disaster resilient vernacular provisions and devices which have demonstrated their effectiveness to reduce vulnerability of the built environment to various types of natural hazards. The other one considers ways for their identification and direct contribution to strengthening capacities of communities and institutions for disaster risk management. This research combines a technical analysis with the development of a methodological tool, contributing to set up a project approach strongly rooted into contextual specificities, linking culture and practice, past experience and future needs, disaster response and preparedness.

Les politiques de gestion des risques appellent à favoriser la prévention et à développer une « une culture du risque » dans les zones exposées afin d'éviter l'écueil de l'oubli, pointé du doigt après une catastrophe. L'objet de cette thèse fut de questionner cette possibilité en investiguant comment on habite, au quotidien, un milieu exposé aux inondations. Forte d'un travail ethnographique, et en particulier d'une « observation habitante discrète », la thèse questionne ce qui circule à propos des inondations, comment des habitants s'emparent de la question et organisent leurs pratiques en fonction des risques. Le terrain d'étude, Lattes, ville prisée du Sud-est de la France qui a connue une explosion démographique récente, est rendue attractive par de nombreux atouts. Ce cas d'étude permet de comprendre les mécanismes - collectivement construits - de mise en invisibilité du danger. La mise en visibilité des mesures de protection par les politiques locaux et l'effet confortant du partage normatif encouragent la normalisation de la confiance en la protection. Dans l'interaction, les énoncés se formulant sans cesse dans le souci de leur acceptabilité, dédramatiser est plus confortable que de dramatiser : les énoncés de relativisation du risque circulent davantage que ceux ouvrant sur l'horizon du danger. Par ailleurs, la logique sécuritaire qui se développe vient contredire la prévention aux inondations. Surtout, ni les liens entre les habitants ni les liens des habitants au milieu ne fournissent le socle suffisant à l'élaboration collective que nécessite le déploiement d'une « culture du risque ». / Risk management policies promote prevention and call to develop a "risk culture" in hazardous areas to avoid the phenomenon of forgetting about risk , that can be found after a disaster. This thesis has sought to question this possibility by investigating how we live, in everyday life, in flood-prone areas. Through an ethnographic piece of work, in particular a "discreet resident observation", the thesis questions what circulates about flooding between inhabitants and how they organize their practices in relation to the risk. The field study, Lattes, is an upper middle-class suburban neighbourhood located in the south east of France (Mediterranean coast). It was built on wetlands and therefore remains vulnerable to flash floods. This case study provides insight into the mechanisms - built collectively - from "invisible danger" implementation. The increased visibility of the protection made by local policies and the comforting effect of normative sharing provided a normalization of the trust in the protection. Through the interactions, statements are continually developed in the interests of their acceptability. Thus, it is more comfortable to "de-dramatize" than to dramatize: statements of relativism circulate more than the ones that open on the horizon of danger. Moreover, the current development of a "logic of safety" for urban risks reduction contradicts the prevention of flooding. Above all, neither the links between inhabitants nor the links with their living environment provide a sufficient collective development base for a "risk culture" deployment.

Le risque industriel majeur est la probabilité que survienne, en un endroit donné, un incendie, une fuite toxique ou bien une explosion. Ce type de risque est inhérent à certains établissements qui entreposent, manipulent, fabriquent des matières qualifiées de dangereuses. La catastrophe industrielle majeure, qui concrétise ce risque, aura des répercussions importantes sur les hommes et leurs biens. Certaines agglomérations densément bâties laissent entrevoir des situations de cohabitation étroite entre des établissements industriels et d'autres types de constructions (résidences, équipements, autres activités, etc.). Par l'analyse de deux cas, la Ville de Vitry-sur-Seine en France et de Montréal-Est dans la province canadienne du Québec, cette recherche propose de mener une réflexion sur les réponses mises en œuvre pour faire face aux risques industriels majeurs inhérents à deux établissements de stockage. Après avoir satisfait à la nécessaire démarche d'identification du risque, plusieurs familles de réponses peuvent être mises en œuvre : réduction du risque à la source ; préparation des mesures d'intervention en cas d'urgence ; transmission d'informations ; pratiques d'aménagement ; intervention ; rétablissement. Au nom des « territoires du risque », ces réponses témoignent de ce que le risque est capable de « faire faire » au territoire. Cette recherche montrera que pour un même type de risque, les réponses peuvent différer sur les deux terrains d'investigation. C'est le cas de la réponse dite de maîtrise de l'urbanisation qui vise à créer (ou recréer), par l'aménagement, une certaine distance d'éloignement entre industries à risque et autres types de construction ; ou plus généralement à favoriser les conditions d'une meilleure cohabitation entre ces deux ensembles. Les différences observées ne relèvent pas tant du facteur géographique, mais plutôt de facteurs économiques et historiques. Malgré cette divergence, il ressort le constat commun d'une très complexe mise en œuvre de la maîtrise de l'urbanisation. Plus encore, il semble difficile de ne pas vivre avec l'industrie. C'est aussi le cas de la réponse qui vise à éduquer aux risques. Cette dernière consiste, en première lecture, à parler du risque majeur auprès de jeunes enfants dans les établissements scolaires. Les différences observées s'expliquent par des facteurs d'ordre pratique (manque de temps, de moyens) ; mais aussi, et non des moindres, par la thématique des représentations. Malgré tout, la mise en œuvre d'une éducation aux risques semble devoir surmonter certains enjeux afin qu'elle ne se réduise pas à une simple transmission d'informations. Cette recherche porte donc une focale sur la thématique de l'aménagement autour des établissements industriels dangereux ; tout en proposant de prolonger la réflexion sur des thématiques en lien avec les sciences de l'éducation. Elle permet de questionner la place qu'ont les industries dans les villes aujourd'hui. Plus encore, elle tente de montrer qu'il est préférable de mener une réflexion sur des solutions qui permettraient une meilleure cohabitation entre ville et industrie / The major industrial risk is the probability of a fire, a toxic spill or an explosion on a particular location. This type of risk is inherent in some establishments that store, handle, and manufacture hazardous products. The major industrial disaster, which embodies this risk, will have a significant impact on people and their property. Some densely built cities suggest situations of close cohabitation between industrial and other types of buildings (residential, equipment, other activities, etc.). By the analysis of two cases, the City of Vitry-sur-Seine, France and Montréal-Est, Québec, Canada, this research proposes a reflection on the responses implemented to cope with major industrial risks concerning two storage facilities. After a period of a necessary risk identification process, several families of responses can be implemented: reducing the risk at source ; preparation of intervention measures in case of emergency; information transmission; planning practices; emergency action; recovery. By using the expression of "risk territories", these responses indicate that the risk is able to "make do" to the territory. This research will show that, for the same type of risk, the responses may differ on the two investigation sites.This is the case of the urbanization control which aims to create (or recreate), by planning practices, a certain distance away from industries at risk and other types of construction, or more generally to promote conditions for a better coexistence between these two sets. Differences are not due to the geographical factor but rather economic and historical factors. Despite this difference, it appears a common set: a very complex implementation of the urbanization control. Moreover, it seems difficult to not live with the industry. This is also the case of the answer which consists to educate at risk. This response, at first reading, consists in talking about the major risk to young children in schools. Differences are explained by practical factors (lack of time, resources) but also and not least by the thematic of representations. Nevertheless, the implementation of a risk education seems to overcome some issues in order to not be a simple transmission of information. Thus, this research focuses on the development around hazardous industrial establishments, while proposing to extend the discussion on topics related to science education. It allows to question the place acquired to the industries in cities today. Furthermore, it attempts to show that it is better to reflect on solutions that enable a better coexistence between city and industry.KeywordsMajor industrial risk; Risk territories ; Prevention; Control of urbanization ; Risk Culture ; Risk Education

Le point de départ de cette thèse a été l'expression de «culture du risque» telle qu'elle a été employée par l'État suite aux événements liés à la tempête Xynthia en 2010. À travers celle-ci, ce dernier rend compte d'un manque de connaissances et de comportements inadaptés, caractérisant les populations vis-à-vis des aléas côtiers. Parallèlement, il affiche sa volonté de favoriser leur sensibilisation vis-à-vis de ces problématiques. Cependant, nous avons constaté qu'un dispositif législatif de communication et de sensibilisation existe depuis les années 1980, mais que son bilan paraît toujours mitigé. De plus, deux visions principales paraissent s'affronter : d'un côté, l'État qui cherche à limiter l'implantation des enjeux dans des zones dites « à risque », de l'autre les populations locales qui demandent à protéger leurs enjeux. Ainsi, la confrontation aux mêmes aléas ne donne pas lieu à des interprétations identiques : différentes cultures du risque existent. Afin de comprendre ces différences, nous tenterons de démontrer l'hypothèse stipulant que les différents discours observés auprès des individus en matière de risques côtiers sont déterminés par leurs rapports au milieu. Il sera donc question de caractériser ces rapports et d'illustrer en quoi ceux-ci sont susceptibles d'affecter leurs discours et leurs comportements à propos des aléas côtiers. Parallèlement, nous tenterons de définir les composantes d'une culture du risque et d'en évaluer le niveau auprès des résidents oléronais. Pour cela, nous nous appuierons sur l'analyse statistique de résultats issus d'une enquête par questionnaire, mais aussi sur l'analyse de cartes mentales. / The starting point of this thesis was the expression "risk culture" as used by the French government following the events related to the storm Xynthia in 2010. Through this, it reports a lack of knowledge and inappropriate behaviours among the populations when faced with coastal hazards. At the same time, it demonstrates its desire to raise public awareness of these issues. However, we have noted that a legislative communication and awareness-­raising framework has been in place since the 1980s, but its results are still limited. In addition, two main visions seem to be confronting each other: on the one hand, the State, which seeks to limit the establishment of stakes in so-called "at-risk" areas, and on the other hand, the local inhabitants, who as to protect their stakes. Thus, confronting the same hazards does not lead to identical interpretations: different cultures of risk exist. In order to understand these differences, we will attempt to demonstrate the hypothesis that the different discourses observed among populations regarding coastal risks are determined by their relationship to the environment. The aim is to characterise these relationships and illustrate how they are likely to affect their discourses and behaviours about coastal hazards. At the same time, we will attempt to define the components of a risk culture and assess its level among Oleronian residents. To do this, we will rely on the statistical analysis of results from a questionnaire survey, but also on mental maps.