Enterprise Risk Management (ERM) Integrated with Public Sector Management Quality Appraisal (PMQA) in the Department of Health, Ministry of Public Health

Abstract

     The purpose of this article is to study Enterprise Risk Management (ERM), Public Sector Management Quality Appraisal (PMQA) and how to integrate ERM and PMQA for efficiency and effectiveness in the Ministry of Public Health’s Department of Health. The study used quality research methodology for literature review and employed its findings to create a framework and study guideline. Phenomena analysis and empirical data were also used to verify the accuracy and validity of this study through in-depth interviews with executives and relevant personnel.

     This study found that overall, ERM have efficient must comprises of following attributes: 1) determining internal environment of organization, 2) setting objectives, 3) identifying risk factors, 4) risk appraisal, 5) risk response, 6) risk control, 7) data  management and communication, and 8) risk monitoring and evaluation. PMQA property emphasizes the followings: 1) leadership, 2) strategic planning, 3) customers and stakeholders, 4) measurement, analysis, and knowledge management, 5) human resources, and 6) process management. The development and integration of ERM and PMQA could lead to ensuring good corporate governance and high organizational competency.

     The findings indicated that the Department of Health lacks systems for these management tools. This is evident because the department exercises ERM without policy and structure determining, without explicit risk management procedures in its activities, and without continuous risk communication. There was also a lack of synchronized managerial tools for risk identification, analysis, evaluation, response, risk control, and appropriate risk communication supported by integration with activities in PMQA.