The theory-practice divide:thoughts from the Editors and Senior Advisory Board of EJM

Purpose – The purpose of this editorial is to bring together thoughts and opinions from the Editors and Senior Advisory Board of EJM regarding the nature of the long-debated “theory-practice divide” in marketing scholarship. Design/methodology/approach – The authors synthesise diverse opinions from senior academics in order both to inspire further debate in marketing scholarship, and to draw some important conclusions for marketing academia as a whole. Findings – The authors propose that, for marketing scholarship to mature and progress, room must be found for those who wish to focus both on practical and on pure marketing scholarship. Career advancement from both routes is vital. Research limitations/implications – The topic of the theory-practice gap is complex. Many diverse opinions are cited and, due to space constraints, the coverage of many issues is necessarily brief. Practical implications – Scholars should find the thoughts contained in the paper of significant interest. Originality/value – The paper appears to be the first to bring together such a set of diverse opinions on the subject, and to try to draw some overall pragmatic conclusions, while still recognising the multiplicity of valid thought in the area.

The board of directors, executives and risk knowledge management

Enterprise Risk Management (ERM) and Knowledge Management (KM) both encompass top-down and bottom-up approaches developing and embedding risk knowledge concepts and processes in strategy, policies, risk appetite definition, the decision-making process and business processes. The capacity to transfer risk knowledge affects all stakeholders and understanding of the risk knowledge about the enterprise's value is a key requirement in order to identify protection strategies for business sustainability. There are various factors that affect this capacity for transferring and understanding. Previous work has established that there is a difference between the influence of KM variables on Risk Control and on the perceived value of ERM. Communication among groups appears as a significant variable in improving Risk Control but only as a weak factor in improving the perceived value of ERM. However, the ERM mandate requires for its implementation a clear understanding, of risk management (RM) policies, actions and results, and the use of the integral view of RM as a governance and compliance program to support the value driven management of the organization. Furthermore, ERM implementation demands better capabilities for unification of the criteria of risk analysis, alignment of policies and protection guidelines across the organization. These capabilities can be affected by risk knowledge sharing between the RM group and the Board of Directors and other executives in the organization. This research presents an exploratory analysis of risk knowledge transfer variables used in risk management practice. A survey to risk management executives from 65 firms in various industries was undertaken and 108 answers were analyzed. Potential relationships among the variables are investigated using descriptive statistics and multivariate statistical models. The level of understanding of risk management policies and reports by the board is related to the quality of the flow of communication in the firm and perceived level of integration of the risk policy in the business processes.