Exploring the Role of Risk Management Practices in Enhancing Organisational Performance: Evidence From the Employment and Labour Sector in the Western Cape Province, South Africa
DOI:
https://doi.org/10.51137/wrp.ijarbm.628Keywords:
Risk Management, Employment and Labour Sector, Organisational Performance, Governance, Enterprise Risk ManagementAbstract
This article explores the role of risk management practices in enhancing organisational performance within the Department of Employment and Labour (DEL) in the Western Cape Province (WC), South Africa. Grounded in the Enterprise Risk Management (ERM) framework, the study examines how risk management practices are implemented, integrated into decision-making processes, and how they influence service delivery outcomes in a public sector context. A qualitative research design was adopted, utilizing semi-structured interviews to collect data from officials within the department. The data were analysed using thematic analysis, leading to the identification of key themes related to the integration of risk management into decision-making, its impact on operational efficiency, governance and compliance effectiveness, and implementation constraints. The findings reveal that while risk management systems are formally established in line with regulatory frameworks, their application remains largely compliance driven, limiting their strategic value. Effective risk management practices were found to contribute to improved operational efficiency and service delivery performance when properly integrated into organisational processes. However, several challenges, including limited resources, inadequate skills, and fragmented implementation, hinder their effectiveness. The article concludes that risk management can significantly enhance organisational performance if it is implemented as a strategic tool supported by strong leadership and organisational capacity. The article contributes to public sector governance literature by providing empirical insights into the practical application of risk management in a provincial government context and offers recommendations to strengthen its strategic effectiveness.
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Copyright (c) 2026 Vusumzi Mqambeli, Dr Sabelo Mpungose (Author)
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