Paper Title
Formalization of Enterprise Risk Management and Contextual Factors: Effect on Organizational Performance

Abstract
Formalization of enterprise risk management (ERM) through providing greater standardisation and coordination of activities, help organizations to identify and manage their risk more effectively and eventually improve their outcomes. Despite this importance, less attention was given to the degree that ERM process should be formalized in different situations so that organizations can act effectively and improve their performance. Thus there is a need for investigating the suitable level of ERM formalization in different circumstances as different level of ERM formalization affect organizational outcomes differently. This study investigates the effect of four context factors i.e. enterprise resource planning, decentralization, size and strategy on formalization of ERM process. A developed model tested using PLS path modeling and data were collected from a sample of 120 public listed companies in Malaysia. The empirical evidence confirms the relationship between almost all of the contingency factors investigated in this study and formalization of ERM as well as ERM formalization and organizational performance. Keywords - Enterprise risk management, Enterprise resource planning, Decentralization, Size, Strategy, Organizational Performance.