ENTERPRISE-WIDE RISK MANAGEMENT (EWRM) AS A VALUE-ADDED TOOL IN ENHANCING THE ECONOMIC VALUE OF BUSINESS ENTERPRISES

particular study examines the adoption and eventual implementation of Enterprise-Wide Risk Management (EWRM) as a value-added tool in enhancing the economic value of business enterprises. Thus, the main objective of such a study is to find out the extent to which the specific corporations in selected sector of the Malaysian industry have actually implemented the increasingly popular EWRM program and also to assess the value implications of this program. This research work undoubtedly provides a valuable insight of EWRM as an important concept of managing risks on an enterprise-wide basis among major corporations in Malaysia. The relevant literature review relates to Risk Management as a structured response to risks and EWRM as an integrated basis rather than compartmentalised in silos as the past traditional concept of Risk Management. On the whole, the literature review also highlighted the importance of the adoption and eventual implementation of EWRM functions to achieve organizational objectives and performance levels. Apparently, today’s global business environment have made international operations more complex in nature with risks becoming more sophisticated. State-of-the-art technology and tools in Risk Management are much desirable to manage highly sophisticated risks of today. It is believed that an integrated Risk Management approach such as EWRM could possibly be used to assist business enterprises in effective risk mitigation in order to attain organizational efficiency. This study incorporated an industry survey which included personal interviews with the Risk Managers or Chief Risk Officers (CROs) of twenty (20) PLCs under the Malaysian Bourse (previously known as the Kuala Lumpur Stock Exchange). These companies were selected based on the extensiveness of EWRM program undertaken. Thus, the findings would undoubtedly provide a valuable insight of EWRM as a value-added tool which contributes to the overall enhancement of economic value of business enterprises in Malaysia.

کلیدواژه ها:

Risk Management ، Best Practices ، EWRM ، TRM ، Malaysia