Thesis (Ph.D.)--Kent State University, 2006. / Title from PDF t.p. (viewed June 11, 2009). Advisor: Mark E. Holder. Keywords: corporate governance, executive compensation, employee stock options. Includes bibliographical references (p. 80-84).

Thesis (Ph.D.)--Hong Kong University of Science and Technology, 2006. / Includes bibliographical references (leaves 84-90). Also available in electronic version.

Operational risk was identified as one of the primary risk types that a bank faces. Neglected for many years, there is a growing awareness in the banking industry that the management of operational risk is crucial for their future existence. The effective management of operational risk, however, requires a structured approach. This study, therefore, investigates the management of operational risk by way of a literature study and empirical research in order to develop a framework for a structured approach to operational risk management in banking. The framework comprises the primary risk factors of operational risk, namely: people, processes, systems and external events, as well as a definition of operational risk. The operational risk exposures that apply to the aforementioned primary risk factors are identified. It, furthermore, illustrates that operational risk management is an ongoing process that consists of risk identification, risk evaluation, risk control and risk financing and addresses the methods that could be applied in the management process. As operational risk management in the banking industry is still in a development stage it is believed that this study could assist banks with establishing formal operational risk management processes. The framework demarcates the area of operational risk properly and provides insight into all the activities that should be performed in the operational risk management process, but the following issues still require further research: • The practical implementation of methods for the quantification of operational risk and determining a capital charge for it; • The effect of the requirements of corporate governance on banks as it relates to the management of operational risk; and • The interaction between operational risk and the other primary risk types to ensure an effective, enterprise-wide risk management process. The framework that has been developed could also be applied to any other enterprise as operational risk management is not unique to banks and the basic principples are generic. / Business Management / D. Com. (Business Management)

M.Comm. / Chapter 2 discussed the basic principles underlying of the two major option pricing formulae. It clearly showed that two totally different approaches were followed in each case, and yet both arrived at approximately the same value for the price of an option. Both these approaches made certain assumptions in their derivation of the formulae in order to simplify the final expressions, and to produce a more workable solution. They both however made substantial use of statistical probability in order to determine the likelihood of a certain event occurring. Chapter 3 gave a detailed derivation of both the Black and Scholes and the Binomial tree pricing formulae, as well as the associated criticism and advantages of the respective approaches. Value at risk, or VaR, was used in determining the statistical probability of a certain portfolio consisting of a specified option losing more than a certain percentage of its value over a given period of time. The resulting number obtained can be used to judge the riskiness of a portfolio in the given market conditions. All of these formulae are used on a daily basis by financial professionals in the daily operations of a magnitude of different institutions in order to value financial portfolios, the risk associated with these portfolios and the probability of certain events occurring within the portfolios in order to make better decisions and increase the profitability of these institutions, without actually knowing the underlying principles. - As- such these --formulae merely become a number crunching business, and interpretation of these numbers, without realising the pitfalls associated with the approaches in establishing these formulae. The random walk theory for unrestricted movement assumes that at t=0, the rates are at the origin. This can be interpreted as 0%, and instinctively any person would agree that 0% is not possible in any fixed income environment, due to the time value attached to money. Choosing the ruling rate as the origin would be more practical in determining the origin, but care must be taken in assigning probabilities to the up and down movements. At the onset of the problems amongst the emerging markets during 1998, the probability of rates increasing once it reached 17,00% was much higher than that of the rates decreasing. However, barely a month later when the rates had reached its peak at more than 21,00% and were declining again, the probability of the rates increasing once it reached 17,00% again was much lower than that of it decreasing further. This would have a significant effect on the probability generating function, and hence also an effect on the mean and variance thus derived. The probability curve of the rates during these times were also not represented by a standard normal curve, and as such the heteroscedacity of the curve had a major influence on the pricing of options. During extreme periods both the random walk theory and the Wiener process would be totally skewed, and unreliable answers would be derived from this approach. By 'adjusting the expression for a non-standard distribution, these problems can be eliminated and an accurate approach once again obtained using this process. Problems that could occur when using this approach to solve inaccuracies would amongst others include the following: The incorrect distribution function is being applied for the specific set of conditions prevailing in the market. This is due to the fact that under these abnormal conditions the distribution function can change over a very short period of time. Incorrect skews being applied to the distribution function due to fast changing market conditions. When to revert back to the normal distribution function. It then becomes a question not of an improper analytical approach, but incorrect timing approach. Since markets mostly perform according to the standardised normal distribution function the Wiener approach hold true for most applications.

Globalisering het die wêreldekonomie onomkeerbaar verander. Globalisering is onder andere moontlik gemaak deur die snelle tegnologiese vooruitgang en die verstewiging van handelsbande oor landsgrense heen. Dit het tot groter mededinging gelei en organisasies aan nuwe uitdagings en onsekerhede blootgestel. Die unieke aard van die nuwe ekonomie het organisasies verplig om hul tradisionele besigheidsmodelle aan te pas. Dit is nou moontlik om grondstowwe van bykans enige plek ter wêreld te bekom, om produkte naby buitelandse markte te vervaardig of waar die arbeidskoste die laagste is, om produkte vanaf optimale punte te versprei en om produkte bykans enige plek ter wêreld te bemark. Die geleenthede soos hierbo uiteengesit, het die klem opnuut laat verskuif na die belangrikheid van die voorsieningskanaal in organisasies. Die voorsieningskanaal is vandag die kern van die besigheidsmodel van menige organisasie en sluit verskeie eksterne partye van ’n organisasie in, soos byvoorbeeld verskaffers van grondstowwe en vervoerdienste. Dit is vandag van uiterste belang dat die ketting as ’n eenheid optimaal funksioneer, aangesien dit algemene praktyk is dat voorsieningskanale teen mekaar meeding om produkte so vinnig en goedkoop as moontlik aan die verbruiker te lewer. Voorsieningskanale is inderdaad van strategiese belang vir organisasies. Die prestasie van voorsieningskanale het ’n direkte impak op winsgewendheid en is dus ook bepalend in die skepping van aandeelhouerswaarde. Die moderne voorsieningskanaal is egter weens verskeie faktore, soos die betrokkenheid van derde partye, kulturele verskille en die lengte van sekere voorsieningskanale, ‘n onsekere omgewing. Dit is van uiterste belang dat organisasies hierdie onsekerhede of risiko’s na behore bestuur ten einde te verseker dat die prestasie van hul voorsieningskanale aan die verwagtinge voldoen. Hierdie studie het hoofsaaklik ten doel gehad om ’n optimale struktuur vir die bestuur van voorsieningskanaalrisiko’s asook ’n geïntegreerde benadering vir die effektiewe bestuur van die risiko’s daar te stel. Voorts was dit die oogmerk om die benadering in ’n werklike voorsieningskanaalomgewing deur middel van ’n gevallestudie toe te pas. Die voorgestelde benadering tot risikobestuur in die voorsieningskanaal is ’n ten volle geïntegreerde benadering wat alle komponente van die voorsieningskanaal insluit. Dit sluit dus alle eksterne partye van die organisasie in, soos byvoorbeeld verskaffers van logistieke dienste, asook alle relevante ondernemingsfunksies, soos byvoorbeeld aankope, bemarking en finansies. Voorts is dit ‘n gestruktureerde benadering wat op strategiese, taktiese en bedryfsvlakke in die voorsieningskanaal toegepas kan word. Indien dit behoorlik geïmplementeer en toegepas word, kan dit byvoorbeeld onderbrekings in die voorsieningskanaal voorkom of ten minste die potensiële impak van onderbrekings verminder. Dit het heelwat ander voordele, byvoorbeeld verbeterde besluitneming en sakeprestasie. Enige organisasie kan hierdie benadering implementeer. Dit is egter makliker om dit te implementeer in organisasies wat alreeds gevestigde risikobestuurstrukture het. ’n Deeglik beplande implementeringstrategie is ’n voorvereiste vir die suksesvolle implementering van die benadering. Risikopersepsie is ’n wesenlike aspek wat in ag geneem moet word tydens die implementering en die toepassing van die benadering. Persepsies van risiko en risikobestuur word deur verskeie faktore beïnvloed, byvoorbeeld die opleiding en ondervinding van individue asook die organisasiekultuur. Die uitkomste van risikostudies kan byvoorbeeld benadeel word indien risikopersepsies nie na behore bestuur word nie. / Prof. J. Walters

Economic markets continue to become more complex, creating challenges for organisations with the scope, complexity, and interdependencies of emerging risks necessitating a more robust and integrated approach to risk management and internal control. To this effect, enterprise risk management (ERM) has been the topic of increased attention with regulatory, business and academic arenas alluding to the need for ERM and improved internal control systems. The traditional practices of managing risks in silos has had implications on the internal control systems of organisations as the organisational focus has been on those directly related to financial operations and reporting. Therefore, the aim of this study was to determine the extent to which organisations have implemented ERM, particularly those in the mining industry, and then understand the impact this ERM has on the internal control system. To this end, qualitative research with an exploratory design was conducted. Twelve executives and senior managers across eight organisations, who are responsible for risk management and assurance of internal controls, were interviewed to uncover their distinctive insights regarding this phenomena. The rich data that was unearthed was analysed using thematic analysis techniques. The evidence from the study showed that while the ERM practices of organisations are between intermediate and mature levels, more work still needs to be done in order to institutionalise ERM. Furthermore, ERM improves the internal control system of the organisation, however the maturity of the ERM process and the leadership in the organisation are big determinants of the extent to which the improvements can be realised. Other factors were identified which necessitate enhancement and sustainability of the ERM capability and formed the basis of a model for enterprise risk and control integration that was developed. The results of this research provided additional insights that will bolster the advancement of internal control management through ERM. / Dissertation (MBA)--University of Pretoria, 2013. / lmgibs2014 / Gordon Institute of Business Science (GIBS) / MBA / Unrestricted

Performance of the institutions in the public sector has always been among the main drivers that determine how the country is ultimately perceived by its citizens and the world, it is the policies and regulations established by these institutions that governs the private sector. The objectives of these public institutions can only be achieved through well formulated, well implemented and a continuous review of the strategies being pursued to achieve the stated objectives. At the core of setting strategies is Enterprise Risk Management (ERM), being an organisational procedure enabling the identification, assessment and action plans for the organisational risks linking to the achievement of objectives. The action plans formulated through the ERM should translate into strategic objectives mainly in the public sector where resources are chronically limited. Even with good intentions, government may spend badly because it has either chosen the wrong projects to fund or planned badly for good projects if the strategies are not continually and systematically reviewed. The objective of this research was to gain an understanding of how risk management is conducted at an enterprise-wide level within public sector institutions to ensure that the institution complies with all the relevant requirements within its ambit. It was a qualitative study that was conducted using a case study methodology wherein a public sector institution was identified and the executives involved in the risk management were interviewed individually. Semi-structured interviews were conducted and the results were analysed through the themes that were identified. The study identified that more understanding is required by public sector organisations to be able to realise the benefits of ERM. A clear distinction of what the objectives of the institution are, the related strategies, strategic objectives and risks to the strategic objectives, need to be made clear. The use of risk registers at different levels of the organisation is a tool to draw the relevant risks from deep in operations to a strategic level and this has to be understood at all levels. More importantly the correct action plans in reaction to identified risks can greatly turn risks into opportunities but this is not currently the case as risk registers are still not well implemented and utilized. Risk identification should not be a brainstorming session when the strategy is created but a continuous well operated system within operations throughout the period. The risk culture, roles and relevant systems are still lacking in public institutions. / Dissertation (MBA)--University of Pretoria, 2013. / lmgibs2014 / Gordon Institute of Business Science (GIBS) / MBA / Unrestricted

Ph.D. (Computer Science) / Please refer to full text to view abstract

Purpose – The main aim of this study is to investigate the relationship between risk management practices and service quality in outpatient departments of Gauteng public hospitals. The study also evaluates the quality of the service provided at these outpatient departments. Methodology – The research design firstly included the review of literature on risk management and service quality. The study applied a quantitative research methodology where structured self-administered questionnaires were used as the data collection tools which were distributed to hospital staff to assess the relationship between risk management practices, and different set of questionnaires distributed to patients visiting the outpatient department. Judgement and convenience sampling was used to select the hospital staff and the patients, whereas stratified sampling was used to select the hospitals that were visited. Findings - The study reveals that outpatient departments of Gauteng public hospitals seem to be performing well with high patient perception scores. The positive aspects of service quality include neat and knowledgeable staff and informative patient files. The results show that only some of the risk management practises had a significant effect on service quality, such as management support and commitment, training and education and continuous improvement. / Dissertation (MBA)--University of Pretoria, 2010. / Gordon Institute of Business Science (GIBS) / unrestricted

Yes / The effective management of pharmaceuticals in the National Health Service (NHS) is critical to patient welfare thus any risks attached to this must be identified and controlled. At a very basic level, risks in the pharmaceutical supply chain are associated with product discontinuity, product shortages, poor performance, patient safety/dispensing errors, and technological errors (causing stock shortages in pharmacies) to name but a few, all of which incur risk through disruption to the system. Current indications suggest that the pharmaceutical industry and NHS practitioners alike have their concerns as to the use of generic supply chain strategies in association with what is perceived to be a specialist product (pharmaceuticals). The aim of the study undertaken was to gain a more realistic understanding of the nature and prevalence of risk in the Pharmaceutical Supply Chain (PSC) to be used as a basis for a more rigorous research project incorporating in-vestigation in the UK, Europe and USA. Data was collected via a workshop forum held in November 2005. The outputs of the workshop indicated that there were thirty-five prevalent risks. The risks were rated using risk assessment catego-ries such as impact, occurrence and controllability. The findings indicated that the risks identified are similar to those prevalent in industrial supply chains, regardless of the idiosyncrasies of pharmaceuticals. However, the group consen-sus was that caution must be applied in how such risks are addressed, as there are aspects of the product that highlight its uniqueness e.g. criticality.