ENTERPRISE RISK MANAGEMENT AND QUALITY OF ACCOUNTING INFORMATION IN LATIN AMERICA
DOI:
https://doi.org/10.51320/rmc.v26i2.1495Palabras clave:
Risk Management, Enterprise Risk Management, Earnings Quality, Accounting Conservatism, Value RelevanceResumen
Enterprise Risk Management (ERM) is a comprehensive and systematic framework for identifying, assessing, and managing an organization's overall exposure to risk. This study investigates the impact of ERM adoption on the quality of accounting information among 283 public companies across Latin America from 2010 to 2019. ERM adoption was measured using the ERM Index (Gordon et al., 2009), while the quality of accounting information is evaluated through measures of value relevance (Ohlson, 1995) and conditional conservatism (Basu, 1997) were used to assess accounting information quality. The empirical results indicate that ERM adoption is positively and significantly associated with both value relevance and conditional conservatism. These findings suggest that a holistic approach to risk management enhances the informativeness and timeliness of financial reporting. This study contributes to the literature by providing empirical evidence that ERM improves key quality attributes of accounting information in emerging markets, thereby mitigating information asymmetry and facilitating more informed investment decisions.
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Derechos de autor 2025 Wagner Dantas de Souza Junior, Ricardo Artur Spezia, Marcia Zanievicz da Silva, Tarcísio Pedro da Silva
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