Identification and Ranking of Risk Control Factors in the Financing of the Steel Industry: A Case Study of Esfarayen Steel Company

Abstract

Nowadays, financing is one of the fundamental challenges facing economic enterprises, influencing all organizational activities related to product manufacturing and service provision. Given the importance of the steel industry as the second-largest non-oil export sector in the country—alongside the threats and opportunities in global trade—assessing an organization's ability to manage risks in this field is of undeniable significance. Effective financing methods play a crucial role in sustaining operations, executing profitable projects, and ensuring companies' survival in today's competitive landscape. This study aims to identify and rank risk control factors in financing the steel industry, with a focus on Esfarayen Steel Company. The research follows a descriptive, survey-based, and applied methodology. Experts and specialists in the steel sector were consulted to identify key risk control factors, and their rankings were determined using the Delphi method and pairwise comparisons. Data analysis was conducted using SPSS (version 23) and Expert Choice (version 11). The results indicate that exchange rate risk is the most critical factor, followed by sanctions, export reduction, interest rate fluctuations, market recession, economic instability, and bankruptcy risk. Sharia compliance risk was ranked the lowest. The study suggests risk mitigation as the most effective approach for managing exchange rate risk and provides further recommendations for addressing other financial risks.