Risk Management Practices as Determinants of Organizational Performance: Evidence from Maritime Education Institutions
This research investigates the relationship between risk management practices and organizational performance among maritime education schools within State Universities and Colleges (SUCs) in the Zamboanga Peninsula. Drawing on the Contingency Theory of Enterprise Risk Management (ERM) by [16], which suggests that risk management is most effective when adapted to each institution's specific context, the study focuses on ERM. Employing a descriptive quantitative research design, the study applied mean, standard deviation, and correlation analysis to assess the extent of ERM (Enterprise Risk Management) implementation and its impact on performance across key operational areas. Data were collected from SUCs (State Universities and Colleges) that provide maritime education programs. Results indicated a weighted mean of 4.11 (SD = 0.60) for risk management practices, interpreted as “Great Extent,” emphasizing the importance of strong measures in context-setting (adaptation of risk processes to the institution’s environment), risk assessment (identifying and analyzing potential risks), evaluation (judging the significance of risks), and communication (sharing risk-related information within the organization). Organizational performance attained a mean of 4.35 (SD = 0.55), rated as “Excellent,” particularly in delivering services aligned with Vision, Mission, Goals, and Objectives (VMGO)—which refer to the guiding statements and targets of an institution, including faculty development, curriculum, instruction, and student support. Minor issues were observed in physical facilities (infrastructure and equipment) and extension services (community outreach efforts). The study concludes that effective risk management practices make a significant contribution to high institutional performance.
