A survey of risk management practices by Saccos in Kenya
A survey with 43 sacco was conducted in Nairobi, Kenya to examine the Risk Management Practices by Saccos in Kenya. Data was collected from respondents using questionnaires and it was analysed using SPSS version 17. The study investigated how risk management affects sacco, Risk involved and Risk management controls. On establishing how risk management affects saccos in Kenya, the study was guided by different questions, which include approved risk management policies where slightly above half of the respondents had not approved risk management policy. On the approval of risk management policy, majority of the respondents said that their organization had an approved risk management policy and was approved by the audit committee. The research findings also showed that few Sacco had put in place risk management policies to guide it in preventing risk, there is need to have other ways to detect risk when problems are arising within the organization that would put them out of business.The study findings reveals that saccos do face some problems of liquidity, lack qualified staff, technological challenges, which included qualified personnel on IT departments; there was also lack of enough manpower and high turnover of employees.