An Empirical Study of Enterprise Risk Management Implementation on Performance in Malaysian Public Higher Education

Abstract

Enterprise Risk Management (ERM) is an approach that has been known worldwide which can be used to enhance the organizational performance. However, the field of ERM particularly in higher education was very limited. Therefore, the purpose of this study is to examine the factors that can encourage the implementation of ERM in Malaysian public higher education by adapting Knowledge Management (KM) components. It consists of people (work coordination, communication and interaction risk management information system (RMIS)), process (knowledge sharing), and technology (risk management information system (RMIS) functionality, intranet quality, information system integration and network capacity for connecting people). This study was used the data from pilot test which consists of 20 public higher educations in Malaysian. There are 72 questionnaires were collected and analyzed in form of descriptive and reliability analysis by using Statistical Packages for Social Sciences (SPSS) software. The findings of this study revealed that all the components under Knowledge Management (KM) have high internal consistency reliability which proving the good reliability of the constructs that been utilised in this study. This study will provide benefit to the higher education in order for them to improve their performance and knowledge.