When One Size Doesn't Fit All: Evolving Directions in the Research and Practice of Enterprise Risk Management

Details

Serval ID
serval:BIB_3F61F27911A2
Type
Article: article from journal or magazin.
Collection
Publications
Institution
Title
When One Size Doesn't Fit All: Evolving Directions in the Research and Practice of Enterprise Risk Management
Journal
Journal of Applied Corporate Finance
Author(s)
Mikes  A., Kaplan  R. S.
ISSN
1078-1196
Publication state
Published
Issued date
2015
Peer-reviewed
Oui
Volume
27
Number
1
Pages
37-40
Language
english
Abstract
Academics are increasingly examining the adoption and impact of ERM, but the studies are inconsistent and inconclusive, due, we believe, to an inadequate specification of how ERM is used in practice. Based on a ten-year field project and over 250 interviews with senior risk officers, we put forward a contingency theory of ERM, identifying potential design parameters that can explain observable variation in the "ERM mix" adopted by organizations. We also add a new contingent variable: the type of risk that a specific ERM practice addresses. We outline a "minimum necessary contingency framework" (Otley 1980) that is sufficiently nuanced, while still empirically observable, that empirical researchers may, in due course, hypothesize about "fit" between contingent variables, such as risk types and the ERM mix, as well as about outcomes such as organizational effectiveness.
Create date
08/05/2015 13:30
Last modification date
21/08/2019 6:18
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