Corporate Risk Management: Implementation and Development from Asian (1997) to U.S. (2007) Economic Crises

Abstract

This single case study research is to investigate the effects and events, particularly in corporate risk management development and implementation in a Thai company, Srithai Superware  Public Company Limited, between Asian and US Economic Crises that occurred in 1997 and 2007 in  order to use the case as an example of organization survival in those particular situations. The objectives are to study and analyze the company's corporate risk management during those two economic crises, and the risk management development and implementation along with other aspects such as corporate strategy and culture. In- depth interviews with the concerned key responsible
persons working within the company and a former rehabilitation planner during those economic crises, were used for primary data collection in this qualitative method investigation. The secondary data is primarily concerned with the historical records of the company and are tracked
using the company's annual reports from 1997 to 2010. The researcher found that the company overcame a huge loss caused by currency exchange and debts from the first crisis through the management team's leadership, and during the second crisis via strategic development and corporate culture, which blended with risk management development. With the lesson learned from the first crisis, the company built-in a self-developed automatically managing risk system into the corporate
strategy and culture. This preventive measure managed to significantly protect the company from the effects of the later crisis. The company's present leadership has a significant influence on the business strategy and leads the company's direction.