Abstract:
The main purpose of this study is to determine the level of risk management practices
of small and medium enterprises in Hambanthota District and comparative analysis by
firm's characteristics. Hence, this study examines the influence of three dimensions of
risk management practices, namely risk identification, risk assessment & risk
monitoring.
To ensure the success and potential benefits of risk management implementation, firms
characteristics should be considered when risk management programs are undertaken.
The objective of this study was to investigate the level of firms age and firms size on
risk management implementation in SME's in Hambanthota District. To achieve this
objective, quantitative data were elicited from a questionnaire survey and structured
interviews, respectively. The study is mainly considering the primary data. The primary
data were collected through a closed structure questionnaire from 1p0 respondents from
small and medium enterprises in Hambanthota district and comparative analysis was
performed based on firms age and firms size and used univariate analysis techniques in
order to analyze data and find the results of study objectives. The analysis results
indicated that firms age and firms size had highly level on risk management practices
implementation of SME's in Hambanthota District.
Furthermore, findings revealed that risk identification, risk assessment & risk
monitoring are highly prevailing. The study concluded that the overall risk management
practices of SME's sector in Hambanthota District is at a high level.
