Enterprise risk management between network capacity and performance of public higher education: A proposed framework

Abstract

Most of the countries and organizations were implementing Enterprise Risk Management or known as ERM as it is already been introduced many years ago because it gives positive contributions towards the performance. It is also a way to help organizations manage the risks to achieving better results. About ten years ago, it has been implemented in Malaysia and being recommended to use it as a tool in an organization in order to recover the potential risks. ERM is regarded as an effective risk management technique and rapidly becomes the standard of best practice. Therefore, the variables that will affect the ERM implementation in an organization should be taken into account. Hence, this paper aim to propose a framework that will explains the relationship between network capacity and organization’s performance. This relationship will be mediated by ERM implementation and this paper will be focusing on Malaysian Public Higher Education, which are 20 institutions that listed under the Ministry of Higher Education (MOHE).