Other ERM Related Research
Conference Board Releases Research Report About
Boards and ERM
The Role of the U.S. Corporate Board of Directors in Enterprise Risk Management, Report # 1390, The Conference Board
The Conference Board issued a July 2006 research report, “The Role of U.S. Corporate Boards in Enterprise Risk Management,” that provides insights about board of director perspectives on their role in overseeing enterprise risk management processes at organizations where they serve. Mark Beasley, NC State’s ERM Initiative Director, served as a member of the Advisory Board for the Project.
Based on a research approach that involved personal interviews with 30 board members, analysis of Fortune 100 board committee charters, and a broad survey of 127 board members, the report finds that while ERM processes have improved in some companies, directors serving on multiple boards reported significant variations in the quality of risk dialogue and fewer boards seem to have well-established risk processes. Only 54% have clearly defined risk tolerances and only 47.6% of the boards rank key risks. Almost 50% of the directors would like to see more data analysis related to the company’s risk profile.
Read a summary of the Conference Board’s report [MS Word]
“The Rise and Evolution of the Chief Risk Officer: Enterprise Risk Management at Hydro One”
Journal of Applied Corporate Finance, Volume 17, Number 3, pp. 18-31.
Tom Aabo, Aarhus School of Business
John R.S. Fraser, Hydro One, Inc.
Betty Simkins, Oklahoma University
Abstract [pdf]
“Enterprise Risk management and the Strategy-Risk-Focused Organization”
Cost Management, May/June 2006, pp. 32-38.
William G. Shenkir, University of Virginia
Paul L. Walker, University of Virginia
In a strategy and risk-focused organization, the Balanced Scorecard BSC) integrated with ERM is a means for executive management to cascade the company’s strategy throughout the organization and to identify and manage the risks associated with the scorecard’s value drivers.
“The Effect of Corporate Governance on the Use of Enterprise Risk Management"
Risk Management and Insurance Review, 2003, Vol. 6, No. 1, pp. 55-73
Anne E. Kleffner, University of Calgary
Ryan B. Lee, University of Calgary
Bill McGannon, consultant, Risky Business, Calgary, Canada
Abstract [pdf]
“Who Manages Risk? An Empirical Examination of Risk Management Practices in the Gold Mining Industry”
The Journal of Finance, Vol. LI, No. 4, September 1996
Peter Tufano, Harvard Business School
Abstract [pdf]
“The Determinants of Enterprise Risk Management: Evidence from the Appointment of Chief Risk Officers”
Risk Management and Insurance Review, 2003, Vol. 6, No. 1, pp. 37-52
Andre P. Liebenberg, University of Georgia
Robert E. Hoyt, University of Georgia
Abstract [pdf]