Risk Management Practices and Organisational Performance in Nigeria Bottling Company LTD Idu, FCT Abuja (Published)
This study examined the relationship between risk management practices and organisational performance at NBC Ltd, with particular emphasis on risk assessment effectiveness, risk evaluation, management response to identified risks, and internal control systems. The research adopted a quantitative approach, utilizing descriptive survey design. Data was collected through structured questionnaires administered to 150 employees, out of which 120 were retrieved and deemed valid for analysis, representing an 80% response rate. The questionnaire was designed using a 5-point Likert scale and analysed using both descriptive and inferential statistical tools. Descriptive statistics such as frequency counts, percentages, and mean scores were used to summarize respondents’ perceptions. Inferential statistics, specifically One-Way Analysis of Variance (ANOVA), was employed to test the hypotheses formulated for the study at a 0.05 level of significance. The findings revealed that risk assessment positively affects organisational performance. The mean scores showed strong agreement among respondents that risk assessment enhances financial performance (mean = 4.08), operational performance (mean = 3.98), and employee performance (mean = 4.04). The ANOVA result showed that there was no statistically significant difference in respondents’ perceptions regarding the effect of risk assessment on the three dimensions of organisational performance (F-calculated = 0.41; F-critical = 3.02), leading to the acceptance of the null hypothesis. This implies a consistent perception among employees regarding the effectiveness of risk management and internal control systems within the organisation. The study concludes that strong risk management practices contribute positively to organisational efficiency and recommends continuous strengthening of internal control mechanisms to sustain performance improvement.
Keywords: Internal Control System, Manufacturing Firms, Organisational Performance, Risk Assessment, risk evaluation