Title: Multi-dimensional assessment of risk to business continuity plans of Indian SMEs in the wake of pandemic induced business risks

Authors: Y.M. Gireesh; Nandeesh V. Hiremath; K.V. Manjunath; B.V. Nagaraj; Sunil Kumar R. Hiremath

Addresses: Department of MBA, Siddaganga Institute of Technology, Tumakuru, Karnataka, India ' Jagadish Sheth School of Management (JAGSoM), Vijaybhoomi University, Jamrung, Karjat, Raigad, Greater Mumbai, Maharashtra, India ' Department of Industrial Engineering and Management, Siddaganga Institute of Technology, India Tumakuru, Karnataka, India ' Kirloskar Institute of Advanced Management Studies, Harihar, Karnataka, India ' Dr. D. Veerendra Heggade Institute of Management Studies and Research, Dharwad, Karnataka, India

Abstract: Small and medium enterprises (SMEs) are the prime drivers of the Indian economy while the COVID-19 pandemic impacted almost 80%-95% of the SMEs negatively owing to the long span of national lockdown and its repercussions through shutdowns and/or running into losses. This gave an important lesson with necessity of having business continuity plans (BCPs) to mitigate the risk. This study identified factors influencing BCP for SMEs and designed a scale to evaluate the SMEs based on a cross-sectional survey of 100 SMEs in Bengaluru of Karnataka state. A risk assessment scale has been developed using secondary information with appropriate weights assigned to the influencing factors in risk calculation using five-point Likert scale. Confirmatory factor analysis with structural equation modelling was used to derive risk-rating scale, with normality of data using Kolmogorov-Smirnov statistic, it was found that the proposed risk rating scale was 97% consistent with risk management teams of SMEs.

Keywords: small and medium-sized enterprises; SMEs; risk assessment; post COVID-19; business continuity plan; BCP risk scale; BCP factors; BCP success factor.

DOI: 10.1504/IJBSR.2024.139523

International Journal of Business and Systems Research, 2024 Vol.18 No.4, pp.360 - 377

Received: 20 Feb 2023
Accepted: 22 Apr 2023

Published online: 03 Jul 2024 *

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