Article

Article Based On Issue

RISK MANAGEMENT IN A REGIONAL DRINKING WATER COMPANY IN OGAN KOMERING ILIR REGENCY USING THE HOUSE OF RISK (HOR) METHOD

Authors

Siti Muslikah

Ogan Kemering Ilir Islamic University, Kayu Agung

Yuliani2

Ogan Kemering Ilir Islamic University, Kayu Agung

Kartini Rismayani

Ogan Kemering Ilir Islamic University, Kayu Agung

Ida Laila

Ogan Kemering Ilir Islamic University, Kayu Agung

Page :

351 - 361

Keyword : Risk Management, House of Risk, Supply Chain Operations Reference, PDAM

Abstract :

Water is an important factor in human life. Fulfilling the need for clean water is very important for the government to achieve prosperity in society. PDAM (Regional Drinking Water Company) is an agency created as a government effort to fulfill the community's need for clean water. PDAM Tirta Agung plays a role in providing clean, healthy drinking water that meets health requirements in the Ogan Komering Ilir Regency. In order for this role to be realized, actions are needed to prevent risks in the company's supply chain from getting worse which results in a decrease in product quality. This study aims to identify risks and risk sources to determine priority risk sources and also propose a mitigation plan to reduce the impact of risks. The method used in this study is the Supply Chain Operations Reference (SCOR) to identify risks in the company's business processes and also the House of Risk (HOR) to find priority risk sources and then create appropriate mitigation strategies. In the process of identifying the company's business processes, 17 risk events and 37 risk sources were found in PDAM Tirta Agung, Ogan Komering Ilir Regency. Based on the results of the House of Risk stage 1 calculation, from 37 risk sources (Risk Agents) in the company's supply chain identification process, 5 priority risk sources (Risk Agents) were obtained. The selection of priority risk sources (Risk Agents) was based on the largest to smallest Aggregate Risk Potential (ARP) value. The selected priority risk sources (Risk Agents) were non-compliance with SOP (A22), damaged production machines (A27), lack of maintenance (A23), poor maintenance by second parties (A4), late payment by customers (A2).