The value of implementing enterprise risk management: Evidence from Taiwan’s financial industry

Chen, Yu‐Lun; Chuang, Yi-Wei; Huang, Hong-Gia; Shih, Jhuan-Yu

doi:10.1016/j.najef.2019.02.004

Cited by 44 publications

(53 citation statements)

References 30 publications

Supporting

Mentioning

Contrasting

Unclassified

Order By: Relevance

“…According to Saeidi et al (2019), Ai et al (2018), and Nguyen and Vo (2020), financial institutions were among the first organizations implementing ERM. Several studies have documented the crucial role of financial institutions in the economic development of countries (Chen et al, 2019;Khafagy, 2019). Consequently, risk management for this sector is more critical than for other industries (Chen et al, 2019;Gelman et al, 2018).…”

mentioning

confidence: 99%

“…Several studies have documented the crucial role of financial institutions in the economic development of countries (Chen et al, 2019;Khafagy, 2019). Consequently, risk management for this sector is more critical than for other industries (Chen et al, 2019;Gelman et al, 2018). Issues occurring in financial institutions may cause considerable negative consequences on the whole economy.…”

mentioning

confidence: 99%

“…Additionally, the situation of ERM among developing countries is not clear, and there is a lack of empirical studies (Chen et al, 2019;Silva et al, 2019). However, based on the discussion of Silva et al (2019), Chen et al (2019), and Khattab et al (2015), the institutions in developing countries are faced with much more uncertainty, risks, and challenges that influence their performance compared to developed countries. Therefore, developing countries often need a more robust risk management system for a better organization function.…”

mentioning

confidence: 99%

See 2 more Smart Citations

The influence of enterprise risk management on firm performance with the moderating effect of intellectual capital dimensions

Saeidi

Gutierrez

et al. 2020

Economic Research-Ekonomska Istraživanja

View full text Add to dashboard Cite

In the current dynamic environment, organizations are exposed to many risks from different directions. Therefore, this study using the theoretical lens explored the effect of enterprise risk management (ERM) on both financial and non-financial firm performance and the moderating role of intellectual capital (IC) and its dimensions on the relationship between ERM and firm performance. To test the study hypotheses, a questionnaire survey was distributed to 84 Iranian financial institutions. Structural equation modeling (PLS software) was used to analyze the data statistically. The findings revealed that ERM had a positive relationship with firms' performance. The results also showed that the overall IC had a moderating effect on ERM-firm financial performance. However, regarding components of IC, knowledge, and information technology (IT) had a positive and significant moderating effect while training, organizational culture, and trust did not affect. This study provides an insight into the impact of ERM in recent years on non-financial performance and the influence of intangible assets on ERM and its function. The model developed in the current study and result can be extended and implemented to other organizations in developing countries.

show abstract

mentioning

confidence: 99%

mentioning

confidence: 99%

mentioning

confidence: 99%

See 1 more Smart Citation

The influence of enterprise risk management on firm performance with the moderating effect of intellectual capital dimensions

Saeidi

Gutierrez

et al. 2020

Economic Research-Ekonomska Istraživanja

View full text Add to dashboard Cite

show abstract

“…Their study is based on the financial industry in Taiwan as one of the foremost emerging markets in Asia. Chen et al (2019) find that ERM adoption increases firm value due to the strong internal risk control regarding their operations. Furthermore, ERM increases cost and revenue efficiency.…”

Section: Indonesian Islamic Bankingmentioning

confidence: 88%

“…This condition can be destructive to the credibility of the Islamic banking industry; thus, more coordination is needed among Islamic banks. Chen et al (2019) delved the ramification of ERM adoption on firm value and cost and revenue efficiencies. Their study is based on the financial industry in Taiwan as one of the foremost emerging markets in Asia.…”

Section: Indonesian Islamic Bankingmentioning

confidence: 99%

Do corporate and Sharia compliance governance affect enterprise risk management implementation?

Adelina¹,

Trilaksono²,

Rohi-Mone³

2020

Jurnal Keuangan Dan Perbankan

View full text Add to dashboard Cite

The growth of Sharia banking assets in Indonesia greatly influenced by the scalability of Sharia banking businesses, which is supported by an increase in good corporate governance. The banking industry in general functions very closely with risk. This means that banks acutely need a risk-based management approach that is now being developed by the regulator with an integrated approach through Enterprise Risk Management (ERM). Other specific aspects of governance in Sharia banking include governance for compliance with Sharia aspects (Sharia compliance governance). The method used in this study is multiple regression analysis. We intended to examine the influence of general and Sharia governance mechanisms that exist in Indonesian Sharia banking with the level of ERM implementation. We indicated that the presence of the risk management committee, independent audit committee, and Sharia compliance audits positively and significantly affect ERM implementation. This study expected to be beneficial especially to provide input on governance policies for both banks and regulators. AbstrakPertumbuhan aset perbankan syariah di Indonesia sangat dipengaruhi oleh skalabilitas bisnis perbankan syariah, yang didukung oleh peningkatan tata kelola perusahaan yang baik. Industri perbankan pada umumnya berfungsi sangat erat dengan risiko. Ini berarti bahwa bank sangat membutuhkan pendekatan manajemen berbasis risiko yang sekarang sedang dikembangkan oleh regulator dengan pendekatan terintegrasi melalui Enterprise Risk Management (ERM).Aspek spesifik lain dari tata kelola dalam perbankan syariah termasuk tata kelola untuk kepatuhan dengan aspek syariah (tata kelola kepatuhan syariah). Metode yang digunakan dalam penelitian ini adalah analisis regresi berganda. Kami bermaksud menguji pengaruh mekanisme tata kelola umum dan syariah yang ada di perbankan syariah Indonesia dengan tingkat implementasi ERM. Kami menunjukkan bahwa kehadiran komite manajemen risiko, komite audit independen, dan audit kepatuhan syariah secara positif dan signifikan mempengaruhi implementasi ERM. Studi ini diharapkan bermanfaat terutama untuk memberikan masukan tentang kebijakan tata kelola untuk bank dan regulator.

show abstract

Research and development intensity, environmental performance, and firm value: Unraveling the nexus in the energy sector worldwide

et al. 2022

View full text Add to dashboard Cite

The lack of a focused study on the nexus of research and development (R&D) intensity, eco-friendly practices, firm value in the energy sector, and the stakeholders' concerns for ecology motivated us to realize this study. The study sample covers the period from 2002 to 2019, resulting in 4016 firm-year observations affiliated with 43 countries. The data were retrieved from the Thomson Reuters Eikon, and a country-year fixed-effects regression analysis was executed. Our empirical findings are threefold. First, the results show that energy firms' R&D intensity spurs ecofriendly practices in three dimensions, namely, resource consumption reduction, emissions reduction, and eco-innovation. Second, our study revealed that corporate environmental performance could induce greater firm value, implying a positive shareholders' reaction to the environmental engagement. Third, moderation analysis revealed that while R&D intensity's interaction with eco-innovation is value-enhancing, its interaction with resource consumption reduction and emissions reduction is not. The results are largely robust to alternative sampling, endogeneity concerns, and alternative variables measurements. The findings suggest implications for energy firms, R&D activities, and capital markets.

show abstract

The value of implementing enterprise risk management: Evidence from Taiwan’s financial industry

Cited by 44 publications

References 30 publications

The influence of enterprise risk management on firm performance with the moderating effect of intellectual capital dimensions

The influence of enterprise risk management on firm performance with the moderating effect of intellectual capital dimensions

Do corporate and Sharia compliance governance affect enterprise risk management implementation?

Research and development intensity, environmental performance, and firm value: Unraveling the nexus in the energy sector worldwide

Contact Info

Product

Resources

About