The association between corporate governance guidelines and risk management and internal control practices

2010 ◽  
Vol 25 (4) ◽  
pp. 288-308 ◽  
Author(s):  
Gerrit Sarens ◽  
Joe Christopher
Keyword(s):  
Risk Management ◽  
Corporate Governance ◽  
Internal Control

Corporate governance and the information system: how a framework for IT governance supports ERM

2014 ◽  
Vol 14 (3) ◽  
pp. 320-338 ◽  
Author(s):  
Michele Rubino ◽  
Filippo Vitolla
Keyword(s):  
Risk Management ◽  
Corporate Governance ◽  
Internal Control ◽  
It Governance ◽  
Enterprise Risk Management ◽  
Content Type ◽  
Enterprise Risk ◽  
Control Framework ◽  
Internal Control System ◽  
A Company

Purpose – The purpose of this paper is to illustrate how information technology (IT) governance supports the process of enterprise risk management (ERM). In particular, the paper illustrates how the Control Objectives for Information and related Technology (COBIT) framework helps a company reach its objectives by integrating and supporting the Enterprise Risk Management by the Committee of Sponsoring Organizations (COSO ERM) framework. Design/methodology/approach – This paper explains how the integration between the two frameworks (COSO ERM and COBIT 5) can represent, for any organization, a good way to achieve the objectives of internal control and risk management and, more generally, corporate governance. Findings – The paper identifies some gaps in the COSO ERM and illustrates how the COBIT framework facilitates the implementation of an adequate system of internal control. Originality/value – The originality of the work presented here is in analyzing the COBIT 5 together with the COSO ERM framework. This paper highlights that is not enough to apply only an internal control framework for achieving the risk management and internal control system objectives. An IT governance framework, such as COBIT 5 is proposed as a tool that support risk management in order to develop an adequate system of internal control.

scholarly journals IMPLEMENTATION OF GOOD CORPORATE GOVERNANCE AT PT AXA MANDIRI FINANCIAL SERVICES

2020 ◽  
Vol 1 (5) ◽  
pp. 815-828
Author(s):  
Hudriatul Hotimah
Keyword(s):  
Risk Management ◽  
Corporate Governance ◽  
Internal Control ◽  
Financial Services ◽  
Business Processes ◽  
Joint Venture ◽  
Added Value ◽  
Insurance Company ◽  
Life Insurance Company ◽  
Good Corporate Governance

Good Corporate Governance (GCG) is a system that organizes and controls a company so that it can form added value for all stakeholders. This study aims to determine the application of GCG at PT AXA Mandiri Financial Services (AMFS) which is a joint venture Conventional Life Insurance company between PT Bank Mandiri (Persero) Tbk and National Mutual International Pty. Limited (AXA). The research method used is descriptive qualitative. The results of this study indicate that PT AMFS has implemented GCG in an integrated manner in all business processes. This is evidenced by the transformation in 10 line areas, namely digital services, distribution, health and protection, human resources and culture, information technology systems, data, efficiency, customer experience, and offers (documents and products). PT AMFS also applies the Three Lines of Defense principle to an internal control system that is integrated with risk management. The main line of defense is the directors and all employees of PT AMFS. Second, risk management, compliance and law. Third, internal and external audit.

scholarly journals Internal auditor’s contribution to good corporate governance: An empirical analysis for the one-tier governance system with a focus on the relationship between internal audit function and audit committee

2015 ◽  
Vol 13 (1) ◽  
pp. 141-151 ◽  
Author(s):  
Marc Eulerich ◽  
Patrick Velte ◽  
Jochen Theis
Keyword(s):  
Risk Management ◽  
Corporate Governance ◽  
Internal Control ◽  
Audit Committee ◽  
Control Function ◽  
Central Element ◽  
Internal Audit ◽  
Governance Structure ◽  
Governance System ◽  
Good Corporate Governance

The effectiveness and efficiency of the corporate governance structure depends on different governance bodies within the organization. As crucial parts of good corporate governance they provide constituting, monitoring and controlling tasks concerning the risk management and internal control system. These corporate governance mechanisms include the internal control function (IAF) and the audit committee (AC). Based on a dataset of 550 responses from U.S. internal auditors, our study explores empirically the IAF’s contribution to good corporate governance. Our results suggest that the IAF constitutes a central element of the governance structure. Furthermore, an intensive interaction between the IAF and the AC is positively linked with the efficiency and effectiveness of the governance processes, internal controls and risk management.

scholarly journals Impact of COVID-19 on the Corporate Governance: A Case Study on Bajaj Finance Ltd and Infosys

2021 ◽  
Vol 8 (4) ◽  
pp. 17-23
Author(s):  
Samira Patra ◽  
Jnanaranjan Das
Keyword(s):  
Risk Management ◽  
Corporate Governance ◽  
Internal Control ◽  
Secondary Data ◽  
Capital Allocation ◽  
Annual Reports ◽  
Economic Activities ◽  
Business Operations ◽  
Novel Coronavirus ◽  
The Impact

Introduction: The Novel Coronavirus has been bringing various revolutionary dynamic aspects to the World. It taught us many useful lessons. The COVID-19 has an impact on almost all human and economic activities. Lakhs of people have retrenched from their jobs in the India Corporate Sectors. The Indian Corporate Sectors have been affected slightly in the Financial Year 2019- 20, but it will have a severe impact in the current and future financial years. It can also seem in the Corporate Governance of the different companies in India. It has inherent commercial risks impacting business operations due to disruptions to Meetings, Dividends, Liquidity, Disclosure, Capital Allocation, Risk Management, and Internal Control.Research Gap: A lot of researches have been undertaken on the impact of COVID-19 in India. No remarkable studies have been conducted on the Impact of COVID-19 in the Corporate Governance of Bajaj Finance Ltd and Infosys.Objectives: This paper attempt to study the impact of COVID-19 on the Corporate Governance of Bajaj Finance Ltd and Infosys.Research MethodologyNature and Sources of Data: The present study is based on secondary data. The secondary data have been collected through a well-designed strategy. These have been collected from various e-journals, e-magazines, e-annual reports of companies, and various reputed websites.Tools of Analysis: There are various statistical tools, i.e., percentage calculations, correlation, and t-Test have used for analysis and interpretation of results.Conclusions: COVID-19 pandemic comes with inherent commercial risks impacting business operations due to disruptions to Meetings, Administration, Business Continuity, Dividend and Liquidity management, Disclosure, Capital Allocation, and Maintenance, and lastly, risk management and Internal Control.

scholarly journals Peran Auditor Internal dalam Meningkatkan Value Perusahaan dan Tantangannya Di Masa Depan: Suatu Tinjauan Teoritis

2016 ◽  
Vol 3 (2) ◽  
pp. 77-88
Author(s):  
Sugiyarti Fatma Laela
Keyword(s):  
Risk Management ◽  
Corporate Governance ◽  
Internal Control ◽  
Internal Audit ◽  
Technical Knowledge ◽  
General Technical

Lingkungan bisnis yang semakin dinamis yang berdampak pada perubahan operasional bisnis juga direspon oleh audit internal. Audit internal yang pada awalnya difokuskan sebagai penilai independen, kemudian semakin luas fungsi dan perannya untuk memastikan efektifitas internal control dan selanjutnya aktif terlibat dalam proses risk management yang merupakan bagian dari corporate governance. Dengan metode kajian literatur, tulisan ini akan membahas peran penting auditor internal dalam meningkatkan nilai perusahaan. Selain keterlibatannya dalam pengembangan sistem pengendalian internal, hasil pekerjaan auditor internal sangat menentukan reliance ekternal audit dan komite audit dalam mengevaluasi dan memeriksa kinerja manajemen. Pekerjaan audit internal menjadi semakin komplek dan rumit yang dapat mempengaruhi kualitas pekerjaannya. Seiring dengan semakin diversified-nya organisasi dan kemajuan teknologi auditor internal dituntut untuk menguasai pengetahuan yang beragam dan mendalam baik dari sisi general technical knowledge maupun specific technical knoweldge sesuai dengan industrinya. Oleh karena itu, tulisan ini juga akan membahas indikator kualitas auditor, tantangan yang dihadapi serta solusinya. Salah satu upaya peningkatan kualitas kerja auditor internal adalah melalui outsourcing fungsi audit  internal.

scholarly journals THE WAYS TO IMPROVE THE CORPORATE GOVERNANCE OF BANKS

2021 ◽  
pp. 29-33
Author(s):  
N. A. Glinkov
Keyword(s):  
Risk Management ◽  
Corporate Governance ◽  
Internal Control ◽  
Internal Audit ◽  
Staff Management ◽  
Communication Plan ◽  
Management Processes ◽  
Information And Communication

The ways of improving the systems of corporate governance of banks are outlined. In the context of corporate governance, directions of development in the field of finance and staff management are designated. Mechanisms for improving management processes are suggested. Aspects of the necessary work in the information and communication plan are indicated. The steps are described to improve the efficiency of internal audit in banks, the efficiency of risk management and internal control.

The Impact of Shariah Governance and Corporate Governance on the Risk Management Practices: Evidence from Local and Foreign Islamic Banks in Malaysia

2018 ◽  
Vol 15 (2) ◽  
pp. 1-20
Author(s):  
Sabri Embi ◽  
Zurina Shafii
Keyword(s):  
Risk Management ◽  
Corporate Governance ◽  
Management Practices ◽  
Principal Component ◽  
T Test ◽  
The Body ◽  
Primary Data ◽  
Islamic Banks ◽  
Shariah Governance ◽  
The Impact

The purpose of this study is to examine the impact of Shariah governance and corporate governance (CG) on the risk management practices (RMPs) of local Islamic banks and foreign Islamic banks operating in Malaysia. The Shariah governance comprises the Shariah review (SR) and Shariah audit (SA) variables. The study also evaluates the level of RMPs, CG, SR, and SA between these two type of banks. With the aid of SPSS version 20, the items for RMPs, CG, SR, and SA were subjected to principal component analysis (PCA). From the PCA, one component or factor was extracted each for the CG, SR, and RMPs while another two factors were extracted for the SA. Primary data was collected using a self-administered survey questionnaire. The questionnaire covers four aspects ; CG, SR, SA, and RMPs. The data received from the 300 usable questionnaires were subjected to correlation and regression analyses as well as an independent t-test. The result of correlation analysis shows that all the four variables have large positive correlations with each other indicating a strong and significant relationship between them. From the regression analysis undertaken, CG, SR, and SA together explained 52.3 percent of the RMPs and CG emerged as the most influential variable that impacts the RMPs. The independent t-test carried out shows that there were significant differences in the CG and SA between the local and foreign Islamic banks. However, there were no significant differences between the two types of the bank in relation to SR and RMPs. The study has contributed to the body of knowledge and is beneficial to academicians, industry players, regulators, and other stakeholders.

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