Perception of Culture Risk and People Risk in Influencing Risk Management Implementation During and Post Covid 19 Pandemic: Case of Banking Industry in Indonesia

The aim of this study is to compare survey-based research conducted among banking employees in South Africa and Indonesia in order to investigate how perceptions of culture risk and people risk influence operational and overall risk management implementation during and after the Covid-19 pandemic. This research extends the benchmark study by [10], which found that both culture risk and people risk significantly affected risk management performance in South African banks. Almost 400 respondents participated in the South African study, while in Indonesia fewer than 50 valid responses were obtained from 110 eligible candidates due to the criteria applied. Culture risk is defined as organizational norms and behaviors that shape risk awareness, consistent with [3], while people risk reflects human error, competence, and ethical behavior as described in [14], London: Institute of Operational Risk. The findings indicate that during and after the Covid-19 pandemic, culture risk has a stronger and statistically significant influence on operational and general risk management implementation, whereas people risk shows a positive but less significant effect. The study highlights the importance of strengthening risk culture to sustain effective governance in the banking sector and recommends further research with a larger Indonesian sample.