Developing a decision support enabled enterprise risk control framework for energy companies in India

2016 ◽  
Vol 10 (2) ◽  
Author(s):  
Neeraj Gupta
Keyword(s):  
Risk Control ◽  
Integrated Reporting ◽  
Root Cause ◽  
Business Goals ◽  
Risk Indices ◽  
Enterprise Risk ◽  
Control Framework ◽  
Control Failure ◽  
Ultimate Objective ◽  
Energy Companies

There is no assurance that an organiation will achieve their business goals as various factors which may be internal or external determines the success. Most of the time enterprise risk management is seen as compliance requirement. The root cause analysis reports of some the recent disasters in energy industry also point towards this by stating that risk control failure is one of the primary reason. It means companies energy companies spend significant time on developing risk registers and governance framework but lack a robust day to day monitoring and integrated reporting & alerts framework. The ultimate objective of any risk control framework is to eliminate or reducethe likelihood of a triggering event, avoid black swans and monitor key risk indices in real time to avoid surprises. This paper looks at the energy companies operating in India for some of the key reasons for not having an enterprise wide risk control & monitoring framework and provides a methodology on how it can be developed.

scholarly journals Differences in Disclosure of Integrated Reports at Energy and Non-Energy Companies

Energies ◽  
2021 ◽  
Vol 14 (5) ◽  
pp. 1253
Author(s):  
Maja Piesiewicz ◽  
Marlena Ciechan-Kujawa ◽  
Paweł Kufel
Keyword(s):  
Ownership Structure ◽  
Value Creation ◽  
Energy Sector ◽  
Financial Data ◽  
Integrated Reporting ◽  
Creation Process ◽  
And Performance ◽  
Energy Companies ◽  
The Impact ◽  
Value Creation Process

Integrated reports combine financial and non-financial data into a comprehensive report outlining the company’s value creation process. Our objective is to find the completeness of disclosures, which is a crucial aspect of an integrated report’s quality. This study contributes to the integrated reporting examination by identifying quantitative and qualitative gaps when applying Integrated Reporting standards, focusing on the energy sector. We conducted the study on 57 published integrated reports of listed companies in Poland. The content of each report was examined for 49 features divided into eight areas. We identify the strengths and weaknesses of current reporting performance and the impact of the company’s sector on reports’ quality. We noted that there are significant differences among the areas. The major problems concern implementing IIRC’s framework on the connections between the business model and the organization’s strategy, risks, opportunities, and performance. Our research also noted that the level of specific disclosures might be related to a company’s ownership structure. We investigated the significance of differences among companies from the energy and non-energy sectors using statistical methods. As a result of the study, we obtained that disclosures’ completeness depends on the operation sector. The companies in the energy sector publish higher-quality integrated reports than companies in the other sectors.

scholarly journals Risk Control Failure of Iron Pipes in Finished Goods Warehouses using Dynamic Systems

2021 ◽  
Vol 12 (1) ◽  
pp. 15
Author(s):  
Arief Suwandi ◽  
Teuku Yuri Zagloel ◽  
Akhmad Hidayatno
Keyword(s):  
Dynamic Systems ◽  
Risk Control ◽  
Control Failure

scholarly journals Integrated Reporting: A Template for Energy Companies

2017 ◽  
Author(s):  
Gülçin Yıldırım ◽  
Tuğçe Uzun Kocamış ◽  
Figen Öker Türüdüoğlu
Keyword(s):  
Integrated Reporting ◽  
Energy Companies

scholarly journals The 5 Dimensions of Problem Solving using Dinna: Case Study in the Electronics Industry

2021 ◽  
Vol 11 (5) ◽  
pp. 19-29
Author(s):  
Mohammed Hamoumi ◽  
Abdellah Haddout ◽  
Mariam Benhadou
Keyword(s):  
Problem Solving ◽  
Process Management ◽  
Detection System ◽  
Lean Six Sigma ◽  
Wrong Decision ◽  
Root Cause ◽  
Ishikawa Diagram ◽  
Ultimate Objective ◽  
The One ◽  
Operational Excellence

Based on the principle that perfection is a divine criterion, process management exists on the one hand to achieve excellence (near perfection) and on the other hand to avoid imperfection. In other words, Operational Excellence (EO) is one of the approaches, when used rigorously, aims to maximize performance. Therefore, the mastery of problem solving remains necessary to achieve such performance level. There are many tools that we can use whether in continuous improvement for the resolution of chronic problems (KAIZEN, DMAIC, Lean six sigma…) or in resolution of sporadic defects (8D, PDCA, QRQC ...). However, these methodologies often use the same basic tools (Ishikawa diagram, 5 why, tree of causes…) to identify potential causes and root causes. This result in three levels of causes: occurrence, no detection and system. The research presents the development of DINNA diagram [1] as an effective and efficient process that links the Ishikawa diagram and the 5 why method to identify the root causes and avoid recurrence. The ultimate objective is to achieve the same result if two working groups with similar skills analyse the same problem separately, to achieve this, the consistent application of a robust methodology is required. Therefore, we are talking about 5 dimensions; occurrence, non-detection, system, effectiveness and efficiency. As such, the paper offers a solution that is both effective and efficient to help practitioners of industrial problem solving avoid missing the real root cause and save costs following a wrong decision.

Engineering real success using digital technologies

2018 ◽  
Vol 58 (2) ◽  
pp. 586
Author(s):  
Craig Phasey ◽  
Steve Ashfield
Keyword(s):  
Systems Engineering ◽  
Oil And Gas ◽  
Single Point ◽  
Digital Technologies ◽  
Digital Systems ◽  
Successful Implementation ◽  
Business Press ◽  
Root Cause ◽  
Business Goals ◽  
And Control

The business press is full of articles extolling the benefits of digital transformation. Although no one wants to be left behind, getting caught up in a craze is not attractive either. But oil and gas companies have used digital technologies, such as computers and control systems for years; how is digitalisation different? The key difference between a company with digital systems and a ‘digital company’ is connection. The former is characterised by disparate, unconnected digital systems, whereas the ‘digital company’ integrates the company’s systems, improving the precision of each. This enables integrated solutions, reducing the potential for counterproductive individual initiatives. Integration enables Big Data and Machine Learning, delivering additional insights. However, integration is not a universal good; as knowledge acquisition has accelerated, so has misinformation. There are better and worse ways to digitalise. Acknowledgement that digitalisation is the way of the future will not induce change or ensure success. Digitalisation is an alternative method to achieve business goals; it is not the goal. To achieve real success using digital technologies, first a significant need must be identified. The root cause of the major business problems must be discovered before appropriate digital technologies to address those problems are selected. The challenge must be led and supported at the C-suite and the solutions must have enterprise-wide impact. Systems engineering digitalisation creates value through a set of initiatives rather than single-point optimisation. Selection of a suitable scalable digital backbone is a key element of successful implementation.

A RISK CONTROL FRAMEWORK FOR MORTGAGED CARS BASED ON TRAJECTORY MINING

2020 ◽  
Vol 35 (6) ◽  
Author(s):  
Feng Lin ◽  
Rongrong Jiang ◽  
Dongxian Shi ◽  
Dong Ren ◽  
Mingqi Lv ◽  
...  
Keyword(s):  
Risk Control ◽  
Trajectory Mining ◽  
Control Framework

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 Knowledge Management in Support of Enterprise Risk Management

2019 ◽  
pp. 284-307
Author(s):  
Eduardo Rodriguez ◽  
John S. Edwards
Keyword(s):  
Risk Management ◽  
Knowledge Management ◽  
Knowledge Sharing ◽  
Risk Control ◽  
Perceived Value ◽  
Perceived Quality ◽  
Enterprise Risk Management ◽  
Enterprise Risk ◽  
Management Concepts

This chapter examines possible relationships between knowledge management constructs related to knowledge sharing and two risk management concepts: perceived quality of risk control and perceived value of enterprise risk management. From a literature review, relationships with eight knowledge management variables covering people, process, and technology aspects were hypothesized. The results showed that the perceived quality of risk control is significantly associated with four knowledge management variables: perceived quality of risk knowledge sharing, perceived quality of communication among people, web channel functionality, and risk management information system functionality. However, the relationships of the knowledge management variables to the perceived value of enterprise risk management are not significant. The authors conclude that better knowledge management is associated with better risk control, but that more effort needs to be made to break down organizational silos in order to support true enterprise risk management.

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