The role of enterprise risk management in the business environment: A case study of Star Assurance Company Limited

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August 2015
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The dynamic and highly competitive business environment in recent times has seen numerous debacles, from natural disasters to financial crisis, not forgetting frauds and scandals. This has brought to the lime-light risk management, a discipline that has in the past focused on mostly hazardous risks, and is most recognized in the finance and insurance sectors. All these; including the numerous measures taken to mitigate the current and emerging risks, have given governments, businesses and stakeholders a new view of the environment; the risk environment. The intervention by what is considered the evolutionary discipline of the traditional risk management, known as Enterprise Risk Management (ERM), takes a new and holistic approach towards the management of risk. Experts describe ways of implementation through the use of frameworks. This study is carried-out using a case-study research design looking at Star Assurance Company Limited. The general objective of the study is to assess ERM implementation strategies by Star Assurance Company Limited in its attempt to increase sales and overcome the core challenges facing the insurance industry in Ghana. Reported findings, herein, show that, the ERM implementation processes is apparently influenced by numerous success factors including the risk appetite, risk culture, management competence, among others, which go a long way to show the value of ERM; even though not quantified. In concluding this research, the influential factors, taking into Star Assurance Company Limited implementation challenges and how they are linked to the ERM process of achieving these strategic implications are highlighted.
A thesis submitted to the Department of Accounting and Finance Kwame Nkrumah University of Science and Technology School of Business in partial fulfillment of the requirements for the degree of Master of Business Administration (Finance -Option)