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Purpose – This article examines management accounting practice in relation to the two aspects of Enterprise Risk Management (ERM): risk management and internal controls.

Methodology/Approach – We conducted a survey of experienced management accountants to find out about the risk management and internal control aspects of their current ERM practices, and their perceived effectiveness in performing various ERM roles, within the context of the ERM culture and the level of information systems support for ERM in their organizations.

Findings – In terms of the risk management aspects of ERM, the management accountants in the survey contribute highly to managing risks of a financial or compliance/legal nature and tend to focus mostly on risks with potentially higher impact and higher likelihood of occurring. In terms of the internal control aspects of ERM, they play a highly important role in ERM activities related to prevention and internal risk treatment. Their organizations have an ERM culture that is perceived as open to challenging discussions about risk and have implemented IS support for management accounting in areas such as information security and standardized information architecture. Overall, the effectiveness of their contributions to ERM is perceived to be high in the areas of compliance and finance-related risk.

Originality/Value – We develop a framework and offer empirical evidence about the ERM contributions of management accountants. We propose and use two original scales: one to classify ERM activities, and the other to assess ERM culture.

The purpose of this paper is to identify and assess the likelihood of occurrence and degree of impact of the risk factors on construction projects within the Ghanaian construction industry.

A survey of randomly selected samples yielded responses from 34 contractors, 46 consultants, and 23 clients or owners (private and public) within the Ghanaian construction industry. Literature review is used to identify 25 relevant risk variables which were grouped into ten composite factors and then incorporated into the design of the survey instrument. Survey response data were subjected to descriptive statistics and analysis of variance (ANOVA), and subsequently the exposure rating levels were determined, which enabled the categorisation of the probability‐impact scores in low, medium and high levels.

Results of this study indicate a disparity of the ranking of the degree of occurrence and impact among the groups. There was a statistical difference at the p<0.05 level significant for five out of 25 risk factors occurrences as follows: “construction methods”, “inflation”, “weather condition”, “ground conditions and contaminant conditions” and “poor communication amongst project team” and only one for the degree of impact scores for “price fluctuation”. Based on the composite risk factors, the financial and economic factors were found to be the most likely to occur and have the most impact on projects, whereas legal risk factor was found to be a low weighted risk, as it had the least likelihood to occur and the least impact score. The post hoc comparisons using the Tukey HSD test also indicated differences between the contractor and clients in the ranking of construction methods risk variable, but no significant differences between contractors/consultants and clients/consultants.

Geographically, only respondents from construction organisations in the Greater Accra Region were considered, which limits generalization of the findings. The research did not also distinguish foreign from local contractors in the classification, as literature has shown that the perception of the degree of impact and likelihood of occurrence of risk analysis could also vary according to the degree of ownership.

The paper makes a contribution by exploring the degree of risk occurrence and its impact on construction projects within a developing economy and much lesser studied context. The paper provides insights on the perception of risk among construction professions in Ghana and it also provides some insights on the current levels of risk for foreign contractors wishing to operate in Ghana.

The purpose of this paper is to provide a framework to thinking and creating scenarios about future crimes and terror attacks relying on the Internet of Things (IoT), and to present a crowdsourcing research based on this thinking, which resulted in both high- and low-probability scenarios with dramatic impact.

The research relies on general morphological analysis for deconstructing wicked problems into core components, and on crowdsourcing 50 experts on Wikistrat’s commercial platform, allowing them to suggest core components, rank them by importance and develop scenarios together. This methodology allowed a wider view than usual, and allowed the experts to examine unorthodox combination of components, leading to the creation of wild-card scenarios.

Analysis of both the core components and the resulting scenarios indicates that the IoT is set to have a dramatic role in crime and terror attacks in the near future. High-impact high-probability scenarios include attacks on power plants, cyber wallets and personal assistants. High-impact low-probability scenarios include terrorist attacks by environmentalist groups, accidental attacks conducted by immature pranksters and having a computer worm propagating in a low-security but critical facility like a hospital.

This paper brings a standardized method which can be used to examine complex events like crime and terror attacks using a disruptive and emerging technology. The results can be used by practitioners to further study the issue and develop many other scenarios more tailored to their needs. The scenarios presented in this paper can also be of value to security bodies who wish to be better prepared for the future.

This paper aims to investigate how the passage of the Sarbanes Oxley Act (SOX) impacted the likelihood and timing of the decision of leveraged buyout (LBO) firms to exit via initial public offering (IPO) (reverse-LBO) and the mediating effect of reputed private equity (PE) firms.

The sample comprises firms that went private via LBO between 1990 and 2018. The authors use logistic and ordinary least square regression models to compare the effect of SOX on the re-listing decision and the time taken to re-list.

LBO firms were less likely to exit via public offering after SOX, and the time from LBO to IPO was significantly longer for exiting firms post-SOX. PE firm reputation partially reversed the reluctance to exit via IPO and shortened the time to exit.

The primary focus is RLBOs; the authors do not directly examine other methods of LBO exit. The findings have policy implications for unintended impacts of SOX. Despite the benefits of increasing transparency and protecting investors, SOX reduced the likelihood of going public and increased the time to IPO, potentially reducing product market competition.

RLBOs present a unique experimental setting as the authors can test the impact of SOX on both the likelihood and time to go public, whereas prior literature using first-time IPO samples are able to test only the likelihood. The authors also show that the reputation of the advising PE firm attenuates the reluctance and time taken for RLBOs to re-list. The authors are, thus, able to provide a new perspective on the impact of SOX on the going public decision.

Unresolved construction dispute can be detrimental to project success. A systematic method to evaluate the seriousness of construction dispute of a construction project will assist management to take appropriate corrective actions. Evaluation of construction disputes requires an analysis on both the likelihood of occurrence and its impact, which are normally expressed by practitioners in linguistic terms. The application of classical discrete analysis will not be able to accommodate the fuzzy nature of this information. To determine how fuzzy sets theory can be applied to construction disputes evaluation (CDE), a fuzzy CDE model has been developed based on the knowledge extracted from practitioners in Hong Kong. The fuzzy CDE system consists of four components: dispute identification, dispute analysis; dispute evaluation; and dispute control. This paper describes the framework and operation of the fuzzy CDE system developed. The results indicate that CDE can be modelled by the fuzzy sets theory.

Aviation has multi-cultural business environment in all aspects as operational and management. Managing aviation requires high awareness on human factor risk which includes organizational behavior-related topics. The greatest risk to an enterprise’s ability to achieve its strategic goals and objectives is the human factor. Both organizational behavior and corporate culture behavior with social psychology are the most vital aspects of management and strategy in terms of human resources. Related risks, including organizational behavior and culture, have the potential to directly impact on both business performance and corporate sustainability. Therefore, in this paper, the most prominent risks were determined in accordance with social psychology, and after identification of human factor-based risks, these have prioritized and prepared risk mapping with fresh approach. For this reason, this study aims to develop risk mapping model for human factors that takes into account interrelations among risk factors three dimensional based new approach. This approach includes both identification of human factor based risks, prioritization them and setting risk mapping according to corporate based qualifications via tailoring risk list. Developed risk map in this paper will help to manage corporate risks to achieve improved performance and sustainability.

This new organizational behavior- and culture-focused risk mapping model developed in this study has the potential to make significant contribution to the management of the human factor for modern management and strategy. In enterprise risk management system, risk mapping is both strong and effective strategic methodology to manage ergonomics issue with strategic approach. Human factor is both determinative and also strategic element to both continuity and performance of business operations with safely and sound. In view of management and strategy, vitally, the human factor determines the outcome in both every business and every decision-making.

It is assumed that, if managers manage human risk you may get advantages to achieving corporate strategies in timely manner. Aviation is sensitive sector for its ingredients: airports, airlines, air traffic management, aircraft maintenance, pilotage and ground handling. Aim of this paper is to present risk management approach to optimize human performance while minimizing both failures and errors by aircraft maintenance technician (AMT). This model may apply all human factors in other departments of aviation such as pilots and traffic controllers. AMT is key component of aircraft maintenance. Thus, errors made by AMTs will cause aircraft accidents or incidents or near miss incidents. In this study, new taxonomy model for human risk factors in aircraft maintenance organizations has been designed, and also new qualitative risk assessment as three dimensions is carried out by considering the factors affecting the AMT’s error obtained from extensive literature review and expert opinions in the field of aviation. Human error risks are first categorized into two main groups and sub three groups and then prioritized using the risk matrix via triple dimension as probability, severity and interrelations ratio between risks.

Risk mapping is established to decide which risk management option they will apply for managers when they will look at this map. Managers may use risk map to both identify their managerial priorities and share sources to managing risks, and make decisions on risk handling options. This new model may be a useful new tool to manage ergonomic human factor-based risks in developing strategy in aviation business management. In addition, this paper will contribute to department of management and strategy and related literature.

This study has originality via new modeling of risk matrix. In this study, dimension of risk analysis has been improved as three dimensions. This study has new approach and new assessment of risk with likelihood (probability), impact (severity) and interrelations ratio. This new model may be a useful new tool to both assess and prioritize mapping of ergonomic-based risks in business management. In addition, this research will contribute to aviation management and strategy literature and also enterprise risk management literature.

The purpose of this paper is to identify risk patterns of road and bridge projects in Vietnam, where the construction market is emerging but attractive to construction organizations, especially foreign companies.

Using a questionnaire, experienced practitioners of various contractors were interviewed to collect risk-related data in terms of actual likelihood and impact from road and bridge construction projects in Vietnam. Using the collected data of actual likelihood and impact, the specific probability and impact of risk factors were determined for different types of road and bridge projects, including small and medium type, big type, government-funding type, and other-funding type (e.g. official development assistance funds, public-private partnership).

The results of analysis indicate the specific probability and impact of risk factors in four risk themes, including contractor-related, project-related, owner-related, and external risks. Actual risk patterns for different types of road and bridge projects in Vietnam were identified.

The identification of actual risk patterns could help practitioners to know which risk factors are severe in frequency and/or impact. Hence, they could establish proper strategies to manage risk-related problems of road and bridge projects, in which they are directly involved.

The findings of this study could provide construction companies, especially foreign companies, with a better understanding of real risk panorama in Vietnamese road and bridge construction. Hence, they could make effective improvements on risk management of road and bridge projects in Vietnam.

The purpose of this paper is to explore the relationship between multivariate process capability indices and loss functions for both nominal‐the‐best and smaller‐the‐better cases, so the likelihood and consequences resulting from the nonconforming of a manufacturing process or an environmental system can be evaluated simultaneously.

In this paper, the authors present a new approach of correlated risk assessment by linking the multiple process capability indices and loss functions, in which the multivariate process capability indices and multivariate loss functions describe the likelihood and consequences as a result of nonconformities in multivariate manufacturing or environmental system, respectively. Then, the associated relationship equations are developed using multivariate methods. Moreover, a step‐by‐step procedure is provided to facilitate the implementation of the correlated risk assessment.

Given the multivariate process capability indices, the authors show that the expected loss can be estimated by developed relationship equations and two numerical examples are also given, to demonstrate how the correlated manufacturing and environmental risks can be properly assessed by linking the multivariate process capability indices and multivariate loss function.

The risk information of likelihood and expected loss, classified in the four planning zones of a strategic planning matrix, provides practising managers and engineers with a decision‐making tool for prioritizing their quality improvement projects when conducting risk assessment for any multivariate process or environmental system.

Once the existing quality/environmental problems and their Key Performance Indicators are identified, one may conduct risk assessment by applying the relationship equations to evaluate the impact of correlated risk on manufacturing processes or multiple environmental emissions inside company; this can lead to the direction of continuous improvement for any industry.

Offshore oil and gas pipelines are vulnerable to environment as any leak and burst in pipelines cause oil/gas spill resulting in huge negative impacts on marine lives. Breakdown maintenance of these pipelines is also cost‐intensive and time‐consuming resulting in huge tangible and intangible loss to the pipeline operators. Pipelines health monitoring and integrity analysis have been researched a lot for successful pipeline operations and risk‐based maintenance model is one of the outcomes of those researches. This study develops a risk‐based maintenance model using a combined multiple‐criteria decision‐making and weight method for offshore oil and gas pipelines in Thailand with the active participation of experienced executives. The model's effectiveness has been demonstrated through real life application on oil and gas pipelines in the Gulf of Thailand. Practical implications. Risk‐based inspection and maintenance methodology is particularly important for oil pipelines system, as any failure in the system will not only affect productivity negatively but also has tremendous negative environmental impact. The proposed model helps the pipelines operators to analyze the health of pipelines dynamically, to select specific inspection and maintenance method for specific section in line with its probability and severity of failure.

The need for management to better anticipate the future is the urgent message currently being advocated by consultants in strategic market planning. Uses a survey of high‐level managers from Fortune 1,000 corporations to illustrate the advantages of cultivating a flexible mindset concerning environmental trends and their strategic marketing implications. Reviews projected developments in the economy, technology, ecology and the social/political environments that are expected to occur by 2005. Discusses appropriate marketing responses to these trends.