A conceptual operational risk model for SMEs: Impact on organisational information technology

Building on prior research related to the impact of information technology (IT) and operational risk management (OPM) in the context of SMEs, this paper proposes there is a relationship between IT operational risk management and performances of SMEs. Specifically, a model is developed showing the relationship between IT operational risks, evaluation models, principal causes of IT failure, change management requirements, characteristic(s) of business information and lastly disorganised (chaotic) state of organisation(s) will never lead to the same results of operational risk management (ORM). Conceptual and empirical literature is explained within this model. The discussions are then used to generate research propositions that represent the models which in effect provide insight on how the variables are linked. Hence, further research can prove empirically the relationships and hence provide a contribution in the area of IT operational risk with regards to SMEs.