RISK MANAGEMENT IN THE FUNCTIONAL MANAGEMENT SYSTEM: THE ROLE OF LEADERSHIP, CRISIS COMMUNICATIONS AND DECISION-MAKING IN THE CONTEXT OF ORGANISATIONAL CHANGE

Abstract

The article explores the integration of risk management into the system of functional management, emphasizing the crucial role of leadership, crisis communication, and effective decision-making during organizational change. The relevance of the study arises from the growing turbulence and uncertainty of the modern business environment, where companies must continuously adapt to crises, technological transformations, and unpredictable external factors. It is demonstrated that the effectiveness of risk management depends on the ability of management to identify, assess, and minimize potential threats through coordinated functional interaction and transparent communication. Leadership acts as the central driver of these processes, ensuring trust, motivation, and resilience within the organization. The study emphasizes that leaders capable of rapid adaptation, strategic vision, and emotional intelligence play a decisive role in overcoming crises and maintaining stability. The proposed conceptual model of integrated risk management combines four interrelated components: leadership, risk identification, crisis communication, and adaptive decision-making. Such integration enables a proactive approach to managing uncertainty and strengthens organizational flexibility. A key practical recommendation is the creation of a matrix risk coordination center that unites functional units for real-time communication and decision-making during crises. Crisis communication is defined as an essential management function that ensures the timely dissemination of reliable information among all stakeholders. Transparency, trust, and consistency of communication are highlighted as crucial factors for maintaining the reputation and social stability of an enterprise. In addition, the article underscores the importance of digital technologies and analytical tools for early warning, scenario modeling, and data-driven risk assessment. The study concludes that in modern conditions, risk management should not be viewed as a separate managerial function but as a systemic process integrated into all areas of organizational activity.