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Risk Governance: Basic Rationale and Tentative Findings from the German Banking Sector

  • Volker SteinEmail author
  • Arnd Wiedemann
Chapter
Part of the CSR, Sustainability, Ethics & Governance book series (CSEG)

Abstract

The fact that, over and over again, companies are surprised by unanticipated risks points to a serious deficit: Obviously, neither risk management nor corporate governance has been able to avert the incurred damage. Are these two highly specialized functions unable “to see the forest for the trees?” For the sake of overcoming the addressed limitations, the management theory-related search for a solution leads to the proposal of a bridging function: “risk governance”. We will first introduce its basic rationale in the corporate context before presenting tentative empirical findings from a benchmark study in the German banking sector. Our paper contributes to the development of a generic approach towards the strategic control of risk from the perspective of top management.

Keywords

Risk governance Board effectiveness Corporate governance Strategic leadership Risk management Top management Sustainability 

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Copyright information

© Springer International Publishing AG 2018

Authors and Affiliations

  1. 1.University of SiegenSiegenGermany

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