LEVEL OF EFFECTIVESS OF THE OPERATIONAL RISK MANAGEMENT AND IMPROVEMENT PLAN IN SELECTED KTV BARS AT QUEZON CITY

Abstract

This study explores the effectiveness of Operational Risk Management (ORM) strategies in selected KTV bars in Quezon City. These establishments face unique challenges related to customer safety, staff management, financial security, and customer retention. Given their vibrant and dynamic atmosphere, KTV bars must proactively manage risks to ensure efficient operations and long-term viability. The study evaluates the role of key ORM measures including CCTV surveillance, staff training, safety policy enforcement, and access control, in enhancing safety, operational efficiency, and customer satisfaction. This study employed a quantitative descriptive research design involving 50 respondents: 20 guests and 30 employees, from two KTV bar establishments. Data were collected using a validated structured questionnaire assessing demographics and perceptions of the effectiveness of existing Operational Risk Management (ORM) strategies. Random sampling was utilized to reduce bias and ensure diverse participation. Statistical tools were applied to compute mean scores and interpret the effectiveness of ORM practices. The findings reveal that Operational Risk Management (ORM) strategies are perceived as “Very Effective” in critical areas, including customer safety, staff coordination, financial management, and customer loyalty. Staff training and CCTV systems were highlighted as the most impactful measures. However, gaps remain in communicating safety policies and raising customer awareness about data privacy. The respondent pool mainly consisted of young adults, with a majority being female. The study found that Operational Risk Management (ORM) strategies in selected KTV bars were generally effective, particularly in staff training and CCTV use. However, lower effectiveness ratings were noted for camera placement, emergency training, and enforcement of safety policies. Differences in perception across demographic groups highlight the need for more inclusive and targeted approaches. Enhancing communication, refining enforcement protocols, and boosting customer engagement can further improve ORM effectiveness in the hospitality sector.