RISK MANAGEMENT IN THE IMPLEMENTATION OF INNOVATIVE PROJECTS: A CASE OF SMALL AND MEDIUM-SIZED ENTERPRISES
Abstract
This article explores risk management in innovative projects within small and medium-sized enterprises (SMEs). Due to the high levels of uncertainty and complexity inherent in these projects, effective risk management is crucial. The objective of this research is to examine the key approaches to risk management in SMEs and identify methods for mitigating potential threats. Analytical and systematization methods were employed to assess various risks and determine strategies to reduce them at different stages of the project lifecycle. The results emphasize the need for integrating risk management into the enterprise's development strategy contributing to the stability and success of innovative projects. Practical recommendations are provided for entrepreneurs on establishing effective risk management systems tailored to their business environments. A structured approach to risk management equips SMEs with tools to sustain and scale their innovations, fostering growth in competitive markets. Key findings indicate that SMEs can significantly minimize financial, technological, and market risks by adopting structured risk management. The research emphasizes that proactive risk management enhances a company’s ability to navigate challenges and capitalize on opportunities. Continuous feedback loops enable SMEs to adjust strategies in response to evolving market dynamics. Fostering an innovation-driven culture is essential in mitigating risks by encouraging creative problem-solving. External expertise, such as consultants and strategic partnerships, also supports SMEs in addressing product development, market entry, or regulatory compliance challenges. The study concludes by offering practical guidelines on how SMEs can integrate risk management into their strategic planning. Effective risk management in SMEs involves careful planning, constant monitoring, flexibility in strategy, and strong team involvement. An innovation-driven culture, leadership commitment, adaptability, and external expertise are critical for long-term success and stability.
References
Добровольська Е. В., Покотильська Н. В. Особливості системи управління ризиками. Економічний простір. (179). 2022. С. 31–36. DOI: https://doi.org/10.32782/2224-6282/179-5 (дата звернення 19.03.2025)
Носань Н., Коршуков Р. Управління мотивацією персоналу на підприємстві. Економіка та суспільство, 2021. (26). https://doi.org/10.32782/2524-0072/2021-26-56 (дата звернення 26.02.2025)
Мирошнік, Д., Богуславська, С. Аналіз ризиків та стратегій управління ними в банківскій сфері в умовах фінансової нестабільності. Економіка та суспільство.(61). 2024. https://doi.org/10.32782/2524-0072/2024-61-42 (дата звернення 26.02.2025)
Ареф’єва, О., Пілецька, С., Лістрова, М. Формування конкурентної стратегії підприємства в системі антикризового управління. Економіка та суспільство, (43). 2022. DOI: https://doi.org/10.32782/2524-0072/2022-43-35 (дата звернення: 15.03.2025 )
Державної служби статистики України. Офіційний веб-сайт. URL: https://www.ukrstat.gov.ua/ (дата звернення: 10.04.2025)
Dobrovolska E. V., Pokotylska N. V. (2022) Osoblyvosti systemy upravlinnia ryzykamy [Features of the risk management system]. Ekonomichnyi prostir, no. 179, pp. 31–36. DOI: https://doi.org/10.32782/2224-6282/179-5 (accessed March 19,2025)
Nosan N., Korshukov R. (2021) Upravlinnya motyvatsiyeyu personalu na pidpryyemstvi [Management of personnel motivation at the enterprise]. Ekonomika ta suspilstvo, no (26). URL: https://doi.org/10.32782/2524-0072/2021-26-56 (accessed February 26,2025)
Myroshnik, D., Bohuslavska, S. (2024). Analiz ryzykiv ta stratehii upravlinnia nymy v bankivskii sferi v umovakh finansovoi nestabilnosti [Analysis of risks and their management strategies in the banking sector in conditions of financial instability]. Economy and Society, no. (61). DOI: https://doi.org/10.32782/2524-0072/2024-61-42 (accessed February 26,2025)
Arefeva, O., Piletska, S., Listrova, M. (2022) Formuvannya konkurentnoyi stratehiyi pidpryyemstva v systemi antykryzovoho upravlinnya [Formation of the competitive strategy of the enterprise in the anti-crisis man-agement system]. Ekonomika ta suspilstvo, no. (43). DOI: https://doi.org/10.32782/2524-0072/2022-43-35 (accessed March 15,2025)
State Statistics Service of Ukraine. Available at: http://www.ukrstat.gov.ua (Accessed April 10, 2024).
This work is licensed under a Creative Commons Attribution 4.0 International License.
