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This study aims to examine the factors influencing enterprise risk management and propose a framework for identifying and explaining the components of enterprise risk management. To enable broader analytical thinking about risk factors, the framework utilizes the resource-based theory to link various classes of risks to an extended set of organizational resources.

The paper opted for an exploratory study using a sample from an online survey. The survey subjects were recruited from the membership database of the American Institute of Certified Public Accountants, focusing primarily on CFOs. The survey consisted of six sections: demographics, a section on each of the four risk types included in ERM: strategic risk, operational risk, financial risk and hazard risk, and exit questions (where very general questions about ERM were asked). The survey yielded a data set of 227 valid responses.

Using the associated sample survey data, the paper provides empirical validation of the proposed framework that managers in any organizations could use to identify and manage risks.

The proposed model does have limitations that predominantly exist from the fact that human judgment in decision-making is not always data-driven, and hence, a proper risk exposure could be ignored based on pure arguments of cost and benefits from domain experts. Therefore, researchers and practitioners are encouraged to test the proposed framework further.

Risk exposure is not a snapshot event in an organization’s time horizon. Rather, risk identification is an ongoing process and the proposed framework allows organizations to handle increasing complex risks and/or identifying them based on how the organizational resources may be exposed over time. Managers could use a form of risk control analytics (monitoring dashboard of all identified risks under each interaction sets on a regular basis) to become more proactive in managing risk or exploiting opportunities across enterprise.

This paper fulfills an identified need to study how enterprise risks exposure can be proactively assessed and managed.

Employee theft is a major component of retail shrinkage. The purpose of this paper is to analyze the use of two methods, internal control and random inspections of the locations at which employees work, to deter employee theft. An inspection strategy is designed in which retailers try to minimize their costs while trying to prevent employees from stealing.

We employ an analytical approach. The employees are assumed to be strategic, i.e. they respond to the decisions made by the retailer, and likewise the retailer is strategic. Consequently, game theory is used to model their interaction, and to obtain the best decisions for both the retailer and employee after taking into consideration the other's actions.

The solution of the game depends upon various parameters such as the cost and effectiveness of random inspections and of the internal control system. The paper determines the optimal frequency of inspections, the total budget to be spent on inspections and the total expected retail shrinkage due to employee theft. The paper also shows the extent to which an effective internal control system and the recruitment of honest employees can benefit retail organizations in preventing losses due to employee theft.

The paper provides normative guidelines for decisions such as the frequency of inspections. Retailers can limit employee theft but eliminating theft altogether turns out to be too expensive if the goal is to minimize organizational losses. The retailer should try to reduce inspection costs and increase their effectiveness. Adding honest employees helps the retailer, but note that adding just a few is not beneficial because organizational losses remain unchanged, but adding a larger number qualitatively affects the equilibrium outcome and lowers organizational losses. The paper describes when investing in better internal control systems is appropriate.

The underlying assumption is of strategic retailers and employees. This gaming analysis brings a new perspective to examining retail crime problems than has been hitherto the case. This work follows in the tradition of the economics of crime literature, which views crime as a rational choice decision made by potential offenders. The study examines employee crime in the context of retail organizations, and provides several new insights. Although the idea of random inspections is not new, features of the retail environment such as internal control system, employee dissatisfaction and the ability to recruit honest employees have no direct parallels in the economics of crime literature, and are being touched upon for the first time.

This study investigates the incremental value‐relevance of non‐pension postretirement benefit obligations and expenses (disclosed by firms pursuant to SFAS 106). Our study is motivated by previously published evidences that investors value the SFAS 106 measure of postretirement benefit obligations. However, prior research does not address incremental value‐relevance of the SFAS 106. We address two related questions. First, “do the SFAS 106 measures of non‐pension postretirement benefit obligations and expenses provide incremental value relevance (after controlling for information available from non‐SFAS 106 sources).” Second, “under what circumstances are the SFAS‐106 measures more likely to provide incremental value relevance.” The key findings of this paper are: (i) on average, SFAS 106 measures of postretirement benefit obligations and expenses have no significant incremental value‐relevance after controlling for non‐SFAS 106 information; and (ii) labor intensity and the magnitude of postretirement benefit obligation increases the incremental value‐relevance of SFAS 106 measures.

Although a very poor country, Nepal has established an extensive protected area system. Many visitors are attracted by some of these parks, helping to make tourism the top foreign exchange earner. Landmark events for wildlife conservation during recent Nepalese history are identified, especially the 1961‐90 rule of the monarchy and the present decentralized democratic system which succeeded it. Although many problems remain, Nepal has gone further than most countries towards reconciling: the needs and aspirations of local people with protected area management, and the economic opportunities offered by nature tourism with its ecological threats. Innovative projects have emphasized the socio‐economic aspects of conservation and legislation has recently been passed to formalize the status of park buffer zones. The future of Nepal’s protected areas may depend on how effectively these initiatives can be implemented and how effectively their lessons can be applied on a broader front.