Title: The connection between strategic objectives achievement and risk management awareness: division-level perceptions of human resources

Authors: Seraphine M. Gamma; Chaerul Djakman

Addresses: Faculty of Economics and Business, Universitas Indonesia, Depok, Indonesia ' Faculty of Economics and Business, Universitas Indonesia, Depok, Indonesia

Abstract: The findings show that higher risk management awareness is associated with stronger alignment between employees' decisions and their strategic objectives, supporting COSO's view that risks and opportunities form an integrated behavioural process rather than separate constructs. Drawing on the theory of planned behaviour and agency theory, the results indicate that awareness functions as a cognitive mechanism that encourages proactive, accountable behaviour, thereby reducing agency issues at the operational level. The study highlights the need to strengthen risk culture across divisions and ensure that employees understand how their actions contribute to strategic objectives. Practical implications suggest that organisations, particularly those not formally required to implement ERM can enhance performance by embedding risk-aware decision making at the employee level.

Keywords: risk management awareness; strategic objectives; COSO ERM 2017; PLS-SEM; risk-aware culture.

DOI: 10.1504/IJBCRM.2026.155768

International Journal of Business Continuity and Risk Management, 2026 Vol.16 No.3, pp.227 - 250

Received: 25 Dec 2024
Accepted: 20 Jan 2026
Published online: 13 Aug 2026 *

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