scholarly journals Enterprise risk management and firm performance: Empirical evidence from Ghana equity market

2020 ◽  
Vol 8 (1) ◽  
pp. 1840102
Author(s):  
Sylvester Senyo Horvey ◽  
Jacob Ankamah
Keyword(s):  
Risk Management ◽  
Firm Performance ◽  
Empirical Evidence ◽  
Equity Market ◽  
Enterprise Risk Management ◽  
Enterprise Risk

Integrating Enterprise Risk Management with Strategic Planning for Improved Firm Performance

2020 ◽  
Vol 5 (5) ◽  
Author(s):  
Mohamed Santigie Kanu
Keyword(s):  
Risk Management ◽  
Firm Performance ◽  
Strategic Planning ◽  
Financial Performance ◽  
Empirical Evidence ◽  
Enterprise Risk Management ◽  
Primary Data ◽  
Return On Assets ◽  
Planning Stage ◽  
Enterprise Risk

The purpose of this paper is to investigate whether the integration of ERM at the strategic planning stage improves a firm's financial performance measured in terms of return on assets. Many researches in the literature have focused on the determinants of ERM implementation and its effects on firm performance. In most of these studies, the ERM concept has been measured dichotomously. A comprehensive measure of ERM is used in this study from primary data gathered based on an established ERM framework. The results show that ERM implementation is not significantly related to firm performance. However, empirical evidence is provided that if ERM is integrated with strategic planning, firm performance shall significantly improve. The comprehensive ERM measure provided contributes to the literature as it enables risk practitioners to assess the level of risk management in their organizations. ERM researchers can use this measure to do away with the dichotomous ERM measure. Furthermore, the study provides evidence of strategic planning, serving as a mediator in the ERM and firm performance relationship in a less investigated context of Africa.

scholarly journals The Effect of Enterprise Risk Management (ERM) on Firm Performance: Evidence from the Diversified Industry of Sri Lanka

2018 ◽  
Vol 10 (1) ◽  
pp. 75
Author(s):  
Kingsley Karunaratne Alawattegama
Keyword(s):  
Firm Performance ◽  
Sri Lanka ◽  
Empirical Evidence ◽  
Negative Impact ◽  
Positive Impact ◽  
Enterprise Risk Management ◽  
Performance Information ◽  
Return On Equity ◽  
Enterprise Risk ◽  
And Control

The objective of this empirical study is to explore the effect of the adoption of ERM on the performance of the diversified industry of Sri Lanka. The extent of the adoption of ERM is assessed based on eight ERM functions recognized by the ERM integrated framework of the committee of sponsoring organization of the Treadway Commission and use return on equity as a proxy to measure firm performance. This study finds ERM supportive internal environment, risk-aligned objective setting, event identifications, and risk response have a positive impact on firm performance. However, none of those impacts were statistically significant. Surprisingly, empirical evidence reveals that risk assessment and control activities have a negative impact on the firm performance. Information & communication and monitoring functions indicate a significant impact on firm performance. Nevertheless, monitoring function shows a negative impact on the firm performance. The researcher believes this negative impact is attributable to the increased cost of monitoring activities that is crucial for a diversified business setup. This empirical evidence induces the researcher to conclude that, except for communication and monitoring, the adoption of ERM has no significant impact on the firm performance. These findings are contradictory with the findings of prior researchers.

scholarly journals Examining the Relationship Between Enterprise Risk Management and Firm Performance in Malaysia

2019 ◽  
Vol 10 (3) ◽  
pp. 239
Author(s):  
Mazurina Mohd Ali ◽  
Nur Shazwani Ab Hamid ◽  
Erlane K Ghani
Keyword(s):  
Risk Management ◽  
Firm Performance ◽  
Enterprise Risk Management ◽  
Audit Firm ◽  
Listed Firms ◽  
Significant Coefficient ◽  
Enterprise Risk ◽  
Before And After ◽  
The Mean ◽  
The Relationship

This study aims to examine the relationship between enterprise risk management (ERM) implementation and firm performance in Malaysia. Using the sample from 2010 to 2016, this study examines the relationship between ERM and firm performance among Malaysian top 100 public listed firms registered on the Index FTSE Bursa Malaysia 100 (FBM100) KLSE. This study also provides comparisons before and after the introduction of Bursa Malaysia Guidelines 2013. This study shows a positive and significant coefficient between profitability and firm performance towards ERM implementation. However, this study shows insignificant relationship between firm size, financial leverage and audit firm with firm performance. This study also shows that there is an increase in the mean score and standard deviation of these variables after the implementation of Bursa Malaysia Guideline 2013. The findings in this study provides an understanding to the Malaysian public listed firms on the importance of ERM and subsequently, maximise the benefits of ERM especially after the introduction of Bursa Malaysia Guidelines 2013 for the benefits of their stakeholders and regulatory improvement in future.

scholarly journals The Benefit of Enterprise Risk Management (ERM) On Firm Performance

2019 ◽  
Vol 17 (2) ◽  
pp. 168
Author(s):  
Mochamad Muslih
Keyword(s):  
Risk Management ◽  
Corporate Governance ◽  
Firm Performance ◽  
Stock Exchange ◽  
Control Variable ◽  
Secondary Data ◽  
Enterprise Risk Management ◽  
Enterprise Risk ◽  
Research Findings ◽  
Independent Variable

<p>There were inconsistencies on the results of some ERM researches formerly.  There were some variabilities on the benefits and obstacles hampering the implementation of ERM.  The purpose of this research is to study the benefits of  Enterprise Risk Management (ERM) to increase firm performance.</p><p>This research used quantitative method, using the statistical software  of eviews 9 to process the data samples.  The Sampled firms arecompanies listed in the Indonesian stock exchange. 108 questionnaires were filled by the respondents. The variables measured are firm performances and enterprise risk management. The implementation of corporate governance and firm performance are also measured as control variables. Regression procedures were used to analyze the data samples. Some secondary data were also used to enrich analizing the research phenomena.</p><p>The research findings showed a significant relationship between ERM with firm performance. The effect of ERM as independent variable on firm performance waso significant so that the influence of corporate governance (CG) as  control variable became insignificant. Actually based on individual regression, CG influence on firm performance is significant. But totally the influence became insignificant, hampered by the magnitude of ERM influence significancy. These findings add to positive heuristics of falsification model of research as proposed by Imre Lakatos.</p>

Retail 4.0 adoption and firm performance among Malaysian retailers: the role of enterprise risk management as moderator

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Poorni Sakrabani ◽  
Ai Ping Teoh
Keyword(s):  
Risk Management ◽  
Firm Performance ◽  
Balanced Scorecard ◽  
Online Survey ◽  
Enterprise Risk Management ◽  
Cross Sectional ◽  
Content Type ◽  
Enterprise Risk ◽  
Impact Of Technology ◽  
The Impact

PurposeThe purpose of this study was to ascertain the determinants of firm performance for Malaysian retailers.Design/methodology/approachAn online survey was conducted to collect responses from members of the Malaysian Retailers' Chain Association. A total of 126 responses were obtained. Data analysis was done by using the PLS-SEM method.FindingsThe results of the study indicate that Retail 4.0 adoption is able to improve retailers' performance as-a-whole by improving the four perspectives of firm performance as given in the Balanced Scorecard, i.e. the finance perspective, the customer perspective, the internal processes' perspective and also learning and growth perspective. Further, enterprise risk management was found to have a positive moderating effect on retailers' performance as-a-whole and also on the finance and customer perspectives of performance.Research limitations/implicationsThe study was conducted only in Malaysia and so, it might be geographically limited. Besides, it is cross-sectional in nature and therefore, the impact might be different if the study had been conducted over a longer period.Practical implicationsThis study provides a useful framework for retailers who are seeking to improve firm performance.Originality/valueThis is one of the first studies to show the impact of Retail 4.0 adoption on firm performance. Besides, this is also the first time, enterprise risk management has been introduced as a positive moderator on the impact of technology adoption on retailers' performance.

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