Insurance Professionals' Use of Best Practices in Enterprise Risk Management
Date of Conferral
11-2-2023
Degree
Ph.D.
School
Management
Advisor
Hamid Kazeroony
Abstract
The enterprise risk management framework might be a holistic response to strategic and operational risk management. However, a lack of integrity and silo-based traditions prevent the holistic approach to risk management practices. The problem was that although researchers had investigated this issue, there is a limited understanding of insurance professionals' use of best practices in enterprise risk management. The purpose of this qualitative multiple-case study was to investigate the insurance professionals' use of best practices like: (a) fit and proper regulatory requirements, (b) three lines of defense model, (c) risk culture, (d) link to strategy, and (e) risk appetite statements to manage enterprise risk. The theories undergirding this study included the general systems theory, the expected utility theory, the prospect theory, stakeholder theory, culture theory, groupthink, and agency theory. The study provided a system-based framework of risk management practices for better decision-making. This study collected data from 18 semistructured interviews with insurance professionals, triangulating the results with external and internal artifacts. Data analysis used pattern-matching logic. The study’s results confirmed the lack of a holistic approach to risk management where insurers use traditional procedures to comply with regulatory requirements. The prevalence of the compliance-based culture over the risk-aware culture might lead to potential issues. The study’s positive social change implication might be effective risk management practices in insurance organizations and the industry.
Recommended Citation
Kassymkanova, Gaukhar, "Insurance Professionals' Use of Best Practices in Enterprise Risk Management" (2023). Walden Dissertations and Doctoral Studies. 15072.
https://scholarworks.waldenu.edu/dissertations/15072
