If agency executives view ERM as an administrative burden, what’s the best way to approach ERM at that agency?

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AFERM Experts Say...

Agency buy-in, especially from senior leadership/executives, is often difficult to achieve, and resistance to new initiatives is common across all levels of the organization.  Successfully implementing ERM requires the ERM team to focus on change management in conjunction with developing the program processes, policies, and procedures.  It is helpful if there is positive tone and commitment to ERM from the head of the agency and/or deputy.  Key change management elements that should be addressed include focusing ERM efforts on strategic goals and objectives; recognizing and celebrating wins; building internal risk management capabilities with ERM champions at various levels; clearly stating the rationale and benefit case for ERM; tailoring the program to fit existing organizational culture and processes, where possible; and encouraging continuous engagement and collaboration.  Several specific actions that agencies might consider include incorporating ERM into executive performance plans; explicitly integrating key risks into resource allocation decisions; applying the ERM framework to an issue widely recognized as a problem by most agency executives; and incorporating risk management principles throughout agency training programs, both as a stand-alone effort and integrated into other courses.

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