Government orga­nisations must tackle risk and uncertainty in a more systematic and enterprise manner. The authors of this report provide timely and insightful perspectives that underscore the connection between lead­ership actions that support government risk management and successful efforts to implement enterprise risk management (ERM). The report explores two dis­tinct concepts—risk leadership and ERM readiness. The authors aim to better understand the question of ERM readiness, seeking to ascertain the measure by which an organisation can self-evaluate readiness for ERM implementation. The findings outlined in this report will help those planning to adopt ERM, as well as those in more advanced stages of implementation.

Supported by nearly two dozen interviews, the authors address how the role that risk leaders play in ERM implementation is essential to accessing an orga­nisation’s readiness. Based on an analysis of survey results and interviews with U.S. federal leaders regarding ERM practices, along with supporting evidence from scholarly and professional research, the authors document observations and offer insights on the interconnection between risk leadership and organisa­tional ERM readiness.

The report describes the importance of risk leaders having an overall vision of the interaction between organisational structure and ERM readiness, given the siloed nature of many government operations. The authors point out that a successful ERM implementation should create more open and agile government structures and operations, enabling agencies to better prepare and react to uncertainty. The authors describe how effective risk leadership can influence ERM implementation, promoting sustainably resilient outcomes that go beyond simply preventing and controlling threats.