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A Study On Total Enterprise Risk Management And Decision-making Of Risk Appetite

Posted on:2007-01-01Degree:DoctorType:Dissertation
Country:ChinaCandidate:S QinFull Text:PDF
GTID:1119360272485441Subject:Technical Economics and Management
Abstract/Summary:PDF Full Text Request
With the integration of global economy, the economical system becomes more and more complex, relations of its compositions are more and more closer, as well as effects are more and more uncertain, which results in the added risks and severer harms. Hence, the enterprise, one of the economical system indispensable constituents, has been exposed influences of risks and crises in the new environment. The static, independent, disperse traditional risk management mode is outdated, which a new dynamic, comprehensive, integrative pattern becomes apparent. This study is aimed to have some contribution for this field.Firstly, the evolvement of concept of risk is analyzed, and subsequently the definition, characteristic and classification of risk are reported. On the basis of exploring the evolution of the concept of Risk Management, this paper has also proposed the definition and function of RM, and summarized the general procedure of RM. In order to definitude the research object, a definition of Enterprise Risk is proposed, and the relationship among ERs, opportunities and goals has been respectively analyzed.From the perspective of opportunities and goals, the concept of ER is further discussed. Moreover, this paper has bought forward a two-dimensional theory how ER rise. Meanwhile, the relationships between enterprise risk investment and cost, ER and enterprise value, ER and enterprise life cycle, as well as ER and entrepreneur are also analyzed.After the summaries of risk and RM as well as the definition and analysis of ER, this paper has explored the change of the mode of RM, three cases of Chase Manhattan Corp., Dupont Corp. and Microsoft Corp. about RM, and the COSO's enterprise risk management framework. So a new concept, Total Enterprise Risk Management, and a detailed explanation to this concept are put forward. This paper has also compared TERM with the traditional enterprise risk management, and then presented the function and flow of TERM and given further some advices on the system, organization and implementation of TERM.Finally, the decision-making question of Risk Appetite of TERM is discussed. Two kinds Risk Appetite Decisions-making Models, A RADM based on Influence Diagram and a RADM based Hiberarchy Diagram, are offered. Following, a Fuzzy Comprehensive Decision-making Model for the Enterprise Risk Appetite is proposed. At last, a summary of entire article is presented and five aspects of TERM which are still under study have been pointed out.
Keywords/Search Tags:Enterprise Risk, Enterprise Risk Input, Enterprise Risk Level, Total Enterprise Risk Management, Risk Appetite, Influence Diagram, Fuzzy Comprehensive Decision-making Model
PDF Full Text Request
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