THE IMPLEMENTATION OF RISK MANAGEMENT AT AEROSPACE MANUFACTURING COMPANY

This paper presents the study of risk management implementation in an aerospace manufacturing company. The process of risk management was performed in ABC Company. The company needs to implement risk management to secure the mission and visions of the company are not affected by the potential risks. The objectives are to study the nature of risk management, develop a structure of risk management process, and to measure the effectiveness of the implementation at this company. The study focuses on the process of managing operational risks of the company by adopting the AS/NZS 4360:2004 Risk Management Standards as reference. The training’s methods, brainstorming, checklist, survey and questionnaires, and risk score matrix are used during the study. A structure of risk management process is developed and implemented at Strategic Development Department (SDD) and Paint Shop Department (PD) as a pilot study. The structure consists of risk assessment including risks identification, risks analysis, risks evaluation, and risks treatment. The effectiveness of the implementation is measured by how many basic requirements are fulfilled. It is also measured by determining which components is improved and significantly changed due to the implementation. Keywords: risk management, risk assessment, aerospace industry