Reliability Assessment of Indicators Measuring the Impact of Enterprise Risk Management on Performance of Higher Education Institutions in Sri Lanka

Higher educational institutions are exposed to various types of risks what other entities face naming strategic, operational, financial, compliance, technological and reputational risk owing to terrifying competition, rapid technological advancements and unpredictable environmental tremors. Implemen...

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Published in:Asian Journal of University Education
Main Author: Perera A.A.S.; Rahmat A.K.; Khatibi A.; Azam S.M.F.
Format: Article
Language:English
Published: UiTM Press 2022
Online Access:https://www.scopus.com/inward/record.uri?eid=2-s2.0-85130416962&doi=10.24191%2fAJUE.V18I1.17252&partnerID=40&md5=20459900613592db211c2271539904b2
id 2-s2.0-85130416962
spelling 2-s2.0-85130416962
Perera A.A.S.; Rahmat A.K.; Khatibi A.; Azam S.M.F.
Reliability Assessment of Indicators Measuring the Impact of Enterprise Risk Management on Performance of Higher Education Institutions in Sri Lanka
2022
Asian Journal of University Education
18
1
10.24191/AJUE.V18I1.17252
https://www.scopus.com/inward/record.uri?eid=2-s2.0-85130416962&doi=10.24191%2fAJUE.V18I1.17252&partnerID=40&md5=20459900613592db211c2271539904b2
Higher educational institutions are exposed to various types of risks what other entities face naming strategic, operational, financial, compliance, technological and reputational risk owing to terrifying competition, rapid technological advancements and unpredictable environmental tremors. Implementation of enterprise risk management is the best strategic tool to identify, assess and mitigate the overall risks faced by entities. The implementation of enterprise risk management is however hindered by the high cost for ERM systems implementation and the inability of justification of increasing performances. Many research studies conducted by academicians and practitioners to ascertain the significant positive relationship of Enterprise Risk Management implementation and firm performance concluded with contradictory deductions. This study is an investigation of the reliability of the indicators measuring the impact of ERM implementation on the performance of non-state higher education institutions in Sri Lanka. The sample of hundred and seventy senior professionals was selected from the study population of seven hundred and seven senior persons attached to non-state institutions in Sri Lanka using stratified random sampling technique. This paper presents the outcomes of the quantitative investigation conducted to test the reliability of the indicators that were used to measure the latent variables in the survey instrument. As the Cronbach’s alpha value of each latent variable was well above the threshold of 0.70, the items used in each variable were fitting to the construct and therefore accepted as reliable indicators to measure the constructs © 2022, Asian Journal of University Education.All Rights Reserved.
UiTM Press
18237797
English
Article
All Open Access; Gold Open Access
author Perera A.A.S.; Rahmat A.K.; Khatibi A.; Azam S.M.F.
spellingShingle Perera A.A.S.; Rahmat A.K.; Khatibi A.; Azam S.M.F.
Reliability Assessment of Indicators Measuring the Impact of Enterprise Risk Management on Performance of Higher Education Institutions in Sri Lanka
author_facet Perera A.A.S.; Rahmat A.K.; Khatibi A.; Azam S.M.F.
author_sort Perera A.A.S.; Rahmat A.K.; Khatibi A.; Azam S.M.F.
title Reliability Assessment of Indicators Measuring the Impact of Enterprise Risk Management on Performance of Higher Education Institutions in Sri Lanka
title_short Reliability Assessment of Indicators Measuring the Impact of Enterprise Risk Management on Performance of Higher Education Institutions in Sri Lanka
title_full Reliability Assessment of Indicators Measuring the Impact of Enterprise Risk Management on Performance of Higher Education Institutions in Sri Lanka
title_fullStr Reliability Assessment of Indicators Measuring the Impact of Enterprise Risk Management on Performance of Higher Education Institutions in Sri Lanka
title_full_unstemmed Reliability Assessment of Indicators Measuring the Impact of Enterprise Risk Management on Performance of Higher Education Institutions in Sri Lanka
title_sort Reliability Assessment of Indicators Measuring the Impact of Enterprise Risk Management on Performance of Higher Education Institutions in Sri Lanka
publishDate 2022
container_title Asian Journal of University Education
container_volume 18
container_issue 1
doi_str_mv 10.24191/AJUE.V18I1.17252
url https://www.scopus.com/inward/record.uri?eid=2-s2.0-85130416962&doi=10.24191%2fAJUE.V18I1.17252&partnerID=40&md5=20459900613592db211c2271539904b2
description Higher educational institutions are exposed to various types of risks what other entities face naming strategic, operational, financial, compliance, technological and reputational risk owing to terrifying competition, rapid technological advancements and unpredictable environmental tremors. Implementation of enterprise risk management is the best strategic tool to identify, assess and mitigate the overall risks faced by entities. The implementation of enterprise risk management is however hindered by the high cost for ERM systems implementation and the inability of justification of increasing performances. Many research studies conducted by academicians and practitioners to ascertain the significant positive relationship of Enterprise Risk Management implementation and firm performance concluded with contradictory deductions. This study is an investigation of the reliability of the indicators measuring the impact of ERM implementation on the performance of non-state higher education institutions in Sri Lanka. The sample of hundred and seventy senior professionals was selected from the study population of seven hundred and seven senior persons attached to non-state institutions in Sri Lanka using stratified random sampling technique. This paper presents the outcomes of the quantitative investigation conducted to test the reliability of the indicators that were used to measure the latent variables in the survey instrument. As the Cronbach’s alpha value of each latent variable was well above the threshold of 0.70, the items used in each variable were fitting to the construct and therefore accepted as reliable indicators to measure the constructs © 2022, Asian Journal of University Education.All Rights Reserved.
publisher UiTM Press
issn 18237797
language English
format Article
accesstype All Open Access; Gold Open Access
record_format scopus
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