—This paper presents important dimensions for an
effective implementation of enterprise risk management (ERM)
framework, namely the structure, governance and process
dimensions. This paper also examines the penetration intensity
of ERM implementation among the sampled public listed
companies in Malaysia. The significant elements for the
proposed ERM implementation framework, its implementation
challenge and the perceived benefits are also discussed. Based
on a theorized effective ERM implementation, 3 constructs and
their measurement variables are highlighted for further
discussion through factor analysis in relation to the significance
of the variables’ factor loadings. Discussion on the results of the
factors extracted vis-à-vis each dimension of ERM
implementation intensity, its challenge and the perceived
benefit measures will provide insights to a productive practice
of ERM by corporations.
—Enterprise risk management, governance,
implementation dimensions, process, structure.
F. W. Lai is with the Department of Management and Humanities,
Universiti Teknologi PETRONAS, 31750 Tronoh, Perak, Malaysia (e-mail:
Cite:Fong-Woon Lai, "Examining the Dimensions of Enterprise Risk
Management Implementation Framework, Its Challenges
and Benefits: A Study on Malaysian Public Listed
Companies," Journal of Economics, Business and Management vol. 2, no. 2, pp. 81-86, 2014.