ENTERPRISE RISK MANAGEMENT IMPLEMENTATION CHALLENGES: A CASE STUDY IN A PETROCHEMICAL SUPPLY CHAIN

Organisations have adopted various risk management approaches to minimise or eliminate the negative impact of risk. One such approach is enterprise risk management (ERM). However, implementation challenges can render such approaches less effective. The purpose of this single case study was to explore the ERM implementation challenges in the supply chain of a petrochemical firm. Semi-structured interviews were used as a data collection method. The findings indicated that misalignment exists in the organisation between the respective key stakeholders responsible for, or influential in, ERM implementation. The study found that rigid implementation of ERM without appropriate adaptation to suit the needs and strategy of a complex supply chain of a petrochemical business impacts on its success.