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REVIEW
Risk management in hotel industry is going to be a rapidly developing discipline. There are many and varied views and descriptions of what risk management involves, how it should be conducted and what it is for. The increasing dynamism and complexity of the modern hotel business environment are going to put risk management high on the agenda of many hotel companies.
The nature and scope of risks has changed. They are now complex, interconnected and global. As risk management develops and becomes more sophisticated, certain of the terms that are used become central to the successful application of the discipline. Business intelligence, as a process based on the usage of the information, enables the evolution of risk management from the business support to a transparent and efficient process, in an effort to maintain the market competitiveness among all participants in the hotel industry.
Enterprise risk management is going to be tailored to meet the needs of the organisation in its early stages and modified as the level of sophistication and comfort with the process grows. The topic of risk appetite in hotel industry will receive more attention in future, and hotel managers need to get a better understanding of what this concept means and how it can be applied.
Keywords: enterprise risk management, business intelligence, information
INTRODUCTION
The hotel organisations face a very wide range of risks that can impact the outcome of their operations. The desired overall aim may be started as a mission or a set of corporate objectives. Recent events in the world have brought risk into higher profile. The global financial crisis, extreme weather events, terrorism, customer demands, and market globalization represent the extreme risks that are facing society and commerce. It is necessary to have a comprehensive risk management strategy to survive in future market place. Evaluating the range of risk responses available and deciding the most appropriate response in each case is at the heart of risk management. Responding to risks should produce benefits for hotel organisations. Hotel organisations have to address the risks that they face because many of them have to undertake high risk activities, either because these activities cannot be avoided, or because the activities are undertaken in order to produce a positive...