A STUDY ON THE IMPACT OF ENTERPRISE RISK MANAGEMENT ON PERFORMANCE RISK IN CONTRACTOR CONSTRUCTION COMPANIES
Abstract
Contractor companies in the construction sector have to be in a constant change and development in order to eliminate the institutionalization deficiencies. Regardless of the sector, every organization, large or small, with a corporate governance approach, needs to adopt a management model in order to continue its existence in business life. Among these models, the risk-based proactive management model, together with internal control and enterprise risk management, can be cited as an example of its most common use. Enterprise risk management (ERM), which handles the risk management process with a holistic approach, enables efficient business processes to be carried out. In the constantly developing construction sector, systematic and holistic management approaches must be adopted in order to successfully achieve the time, cost and quality objects of complex construction projects. In this context, the main purpose of this study is to evaluate the effects of internal control and enterprise risk management on the business processes of contractor construction companies. For this purpose, a Web-based “Joint Project Management Portal” (JPMP) has been developed for the implementation of Internal Control and Enterprise Risk Management (ERM) system in Contractor Construction companies. Within the scope of the study, the effect of JPMP on the business processes of the contractor construction companies was evaluated through the projects considered as case studies. This study focuses on developing solution proposals and forming basis for future studies by examining the conceptual framework regarding ERM in contractor construction companies.
Keywords
Construction industry Enterprise Risk Management Proactive Management Project Management Performance Risk.
Project Number
MAG117M308
References
- Burca, N., 2018. Yenilenen COSO Kurumsal Risk Yönetimi Çerçevesi, https://nazifburca.com/yenilenen-coso-kurumsal-risk-yonetimi-cercevesi/ Yayın tarihi Eylül 20, 2017.Erişim tarihi: Aralık 16, 2018
- Callahan C. Ve Soileau J., 2017. Does Enterprise risk management enhance operating performance? Advances in Accounting Volume 37, 122-139.
- Ching WC., Azli F., Rahim M., Chuing LS.,2021. Enterprise Risk Management and Risk Culture in Construction Public Listed Companies, Journal of Construction in Developing Countries . , Vol. 26 Issue 2, p17-36. 20p.
- COSO, 2017. Enterprise Risk Management Integrating with Strategy and Performance, Executive Summary, Massachusetts, ABD. Ercan T. ve Arı K., 2020. Yapım Firmalarının Kurumsal Risk Yönetimi Olgunluğunda Risk Yöneticisinin Rolü, Academic Platform Journal of Engineering and Science, 8 (3), 439-449.
- Florio C., Leoni G. 2017. Enterprise risk management and firm performance: The Italian case The British Accounting Review Volume 49, Issue 1, , Pages 56-74.
- Gordon L.A., Loeb M.P. ve Tseng C.Y., 2009. Enterprise risk management and firm performance: a contingency perspective, Journal of Accounting and Public Policy, 28 (4), 301-327.
- Liu J. Y., Zou P. X. ve Gong W., 2013. Managing project risk at the enterprise level: Exploratory case studies in China, Journal of Construction Engineering and Management, 139 (9), 1268-1274.
- Hristov I., Camilli R., Chirico A., Mechelli A., 2022. The integration between enterprise risk management and performance management system: managerial analysis and conceptual model to support strategic decision-making process., Production Planning & Control, https://doi.org/10.1080/09537287.2022.2140086
- Kiral H., 2017. An Enterprise Risk Management Maturity Model Proposal Applicable at Public Institutions, 32. Uluslararası Maliye Sempozyumu, 342-346, Antalya-Türkiye,
- Kurihara K. ve Nishiuchi N., 2002. Efficient Monte Carlo simulation method of GERT-type network for project management, Computers & Industrial Engineering, 42 (2-4), 521-531.
- Mc George D. VE Zou P. X. W.,2013. Construction management: New directions, Wiley-Blackwell, Chichester, Birleşik Krallık.
- Memioğlu, C., 2020. İnşaat sektöründe ihale süreci kapsamında sözleşmelerde risk yönetimi, Yüksek lisans tezi, Kocaeli Üniversitesi, Fen Bilimleri Enstitüsü, Kocaeli.
- Soltanizadeh S., Rasid S. Z. A., Golshan N., Quoquab F. ve Basiruddin R. 2014. Enterprise risk management practices among Malaysian firms, Procedia-Social and Behavioral Sciences, 164, 332-337.
- Prewett K. ve Terry A.,2018. COSO's updated enterprise risk management framework—A quest for depth and clarity, Journal of Corporate Accounting & Finance, 29 (3), 16-23.
- Serpell A., Ferrada X., Rubio L. ve Arauzo S., 2015. Evaluating risk management practices in construction organizations, Procedia-Social and Behavioral Sciences, 194, 201-210.
- Tavakoli S. ve Abu Talib N., 2014. Comprehensive Approach to Relationship between COSO ERM and Firm Performance in Construction Industry, International Research Journal of Applied and Basic Sciences, 8 (12), 2214-2220.
- Zhao X., Hwang B.G. ve Low S.P.,2015. An enterprise risk management knowledge-based decision support system for construction firms, Engineering, Construction and Architectural Management, 23 (3), 369 – 384.
- Zhao X., Hwang B. G. ve Low S. P.,2015. Enterprise risk management in construction firms: a proposed implementation framework. In Proceedings of the 19th International Symposium on Advancement of Construction Management and Real Estate (pp. 917-924). Springer Berlin Heidelberg, Berlin, Almanya.
YÜKLENİCİ İNŞAAT FİRMALARINDA KURUMSAL RİSK YÖNETİMİNİN PERFORMANS RİSKİNE ETKİSİ ÜZERİNE BİR ARAŞTIRMA
Abstract
İnşaat sektöründeki yüklenici firmalar, kurumsallaşma eksikliklerinin giderilmesi için sürekli bir değişim ve gelişim içinde olmak zorundadırlar. Sektörden bağımsız büyük ya da küçük ölçekli kurumsal yönetim anlayışına sahip her kuruluş, iş yaşamında varlığını sürdürebilmek adına kendilerine bir yönetim modeli belirlemektedirler. Bu modellerden en yaygın kullanımına örnek olarak; iç kontrol ve kurumsal risk yönetimi ile birlikte risk esaslı proaktif yönetim modeli gösterilebilir. “Kurumsal Risk Yönetimi – (KRY)” risk yönetim sürecine yönelik bütüncül bir yaklaşıma haiz olarak, iş süreçlerinin verimli ve etkin bir şekilde yönetilmesine olanak sağlamaktadır. Sürekli bir devinim içinde olması nedeniyle dinamik unsurların etkin olduğu yapım sektöründe, giderek daha karmaşık hale gelen projelerde maliyet, kalite ve süre unsurlarının arzu edilen sonuçlar vermesini sağlamak için bütüncül ve sistematik yönetim yaklaşımlarının uygulanması gerekmektedir.
Bu bağlamda, bu çalışmanın temel amacı, yüklenici inşaat firmalarında iç kontrol ve KRY’nin firma süreçlerine etkisinin değerlendirilmesidir. Bu amaç doğrultusunda, Yüklenici İnşaat Firmalarında İç Kontrol ve KRY sisteminin uygulanması için Web tabanlı “Ortak Proje Yönetim Portalı” (OPYP) geliştirilmiştir. Çalışma kapsamında, OPYP’nin vaka çalışması olarak ele alınan projeler üzerinden firma süreçlerine olan etkisi değerlendirilmiştir.
Supporting Institution
TÜBİTAK
Project Number
MAG117M308
Thanks
Yazarlar, TÜBİTAK 1001 Bilimsel ve Teknolojik Araştırma Projelerini Destekleme Programı kapsamında desteklenen MAG 117M308 numaralı projeye verilen destekleri için TÜBİTAK’a teşekkürü bir borç bilirler.
References
- Burca, N., 2018. Yenilenen COSO Kurumsal Risk Yönetimi Çerçevesi, https://nazifburca.com/yenilenen-coso-kurumsal-risk-yonetimi-cercevesi/ Yayın tarihi Eylül 20, 2017.Erişim tarihi: Aralık 16, 2018
- Callahan C. Ve Soileau J., 2017. Does Enterprise risk management enhance operating performance? Advances in Accounting Volume 37, 122-139.
- Ching WC., Azli F., Rahim M., Chuing LS.,2021. Enterprise Risk Management and Risk Culture in Construction Public Listed Companies, Journal of Construction in Developing Countries . , Vol. 26 Issue 2, p17-36. 20p.
- COSO, 2017. Enterprise Risk Management Integrating with Strategy and Performance, Executive Summary, Massachusetts, ABD. Ercan T. ve Arı K., 2020. Yapım Firmalarının Kurumsal Risk Yönetimi Olgunluğunda Risk Yöneticisinin Rolü, Academic Platform Journal of Engineering and Science, 8 (3), 439-449.
- Florio C., Leoni G. 2017. Enterprise risk management and firm performance: The Italian case The British Accounting Review Volume 49, Issue 1, , Pages 56-74.
- Gordon L.A., Loeb M.P. ve Tseng C.Y., 2009. Enterprise risk management and firm performance: a contingency perspective, Journal of Accounting and Public Policy, 28 (4), 301-327.
- Liu J. Y., Zou P. X. ve Gong W., 2013. Managing project risk at the enterprise level: Exploratory case studies in China, Journal of Construction Engineering and Management, 139 (9), 1268-1274.
- Hristov I., Camilli R., Chirico A., Mechelli A., 2022. The integration between enterprise risk management and performance management system: managerial analysis and conceptual model to support strategic decision-making process., Production Planning & Control, https://doi.org/10.1080/09537287.2022.2140086
- Kiral H., 2017. An Enterprise Risk Management Maturity Model Proposal Applicable at Public Institutions, 32. Uluslararası Maliye Sempozyumu, 342-346, Antalya-Türkiye,
- Kurihara K. ve Nishiuchi N., 2002. Efficient Monte Carlo simulation method of GERT-type network for project management, Computers & Industrial Engineering, 42 (2-4), 521-531.
- Mc George D. VE Zou P. X. W.,2013. Construction management: New directions, Wiley-Blackwell, Chichester, Birleşik Krallık.
- Memioğlu, C., 2020. İnşaat sektöründe ihale süreci kapsamında sözleşmelerde risk yönetimi, Yüksek lisans tezi, Kocaeli Üniversitesi, Fen Bilimleri Enstitüsü, Kocaeli.
- Soltanizadeh S., Rasid S. Z. A., Golshan N., Quoquab F. ve Basiruddin R. 2014. Enterprise risk management practices among Malaysian firms, Procedia-Social and Behavioral Sciences, 164, 332-337.
- Prewett K. ve Terry A.,2018. COSO's updated enterprise risk management framework—A quest for depth and clarity, Journal of Corporate Accounting & Finance, 29 (3), 16-23.
- Serpell A., Ferrada X., Rubio L. ve Arauzo S., 2015. Evaluating risk management practices in construction organizations, Procedia-Social and Behavioral Sciences, 194, 201-210.
- Tavakoli S. ve Abu Talib N., 2014. Comprehensive Approach to Relationship between COSO ERM and Firm Performance in Construction Industry, International Research Journal of Applied and Basic Sciences, 8 (12), 2214-2220.
- Zhao X., Hwang B.G. ve Low S.P.,2015. An enterprise risk management knowledge-based decision support system for construction firms, Engineering, Construction and Architectural Management, 23 (3), 369 – 384.
- Zhao X., Hwang B. G. ve Low S. P.,2015. Enterprise risk management in construction firms: a proposed implementation framework. In Proceedings of the 19th International Symposium on Advancement of Construction Management and Real Estate (pp. 917-924). Springer Berlin Heidelberg, Berlin, Almanya.
Details
| Primary Language | Turkish |
|---|---|
| Subjects | Civil Engineering |
| Journal Section | Research Articles |
| Authors | |
| Project Number | MAG117M308 |
| Publication Date | December 30, 2023 |
| Submission Date | March 16, 2023 |
| Acceptance Date | May 4, 2023 |
| Published in Issue | Year 2023 Volume: 11 Issue: 4 |
