Microlearning Module 3 - Risk management from the perspective of Social Enterprises
Oris teme
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The OECD highlights the need for an Early Warning System to help micro, small, and medium-sized enterprises (MSMEs) avoid bankruptcy. Many MSME, Social Enterprise (SE) included, owners underestimate risks and fail to take proactive measures.
By the time a risk materializes, it’s often too late. That’s why businesses must identify risks early, develop action plans, and continuously reassess their strategies. Internal risks (e.g., technical challenges) are within a company’s control, while external risks (e.g., market shifts, crises like pandemics or wars) require mitigation strategies.
For social enterprises, risk management is essential to balancing social impact with financial sustainability. Without it, SEs may struggle to survive in the market. Effective risk management helps them stay resilient, adapt to challenges, and remain focused on their mission.