© 2023 Gartner, Inc. and/or its affiliates. All rights reserved. This presentation, including all supporting materials, is proprietary to Gartner, Inc. and/or its affiliates and is for the sole internal use of the intended recipients. Because this presentation may contain information that is confidential, proprietary or otherwise legally protected, it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates.Top 3 Strategic Priorities for Heads of ERM Leadership Vision for 2024RESTRICTED DISTRIBUTION2 © 2023 Gartner, Inc. and/or its affiliates. All rights reserved. Leadership Vision for Heads of Enterprise Risk Management (ERM) in 2024New technologies and the rise of AI, privacy concerns, regulatory requirements, environmental risks, and geopolitical, economic and social change are shaping how the best organizations will manage enterprise risk in 2024. In this context, the top priorities for heads of ERM in 2024 should be: • How can ERM increase confidence in enterpriserisk assessments?• How can ERM enhance its value to corporate strategy?• How can ERM help the organization respond to the risks of generative AI?Heads of ERM can use this research to stay ahead of major trends and lead their teams toward a successful future.Key questions addressed:What are the major trends affecting heads of ERM?What challenges are heads of ERM facing in the year ahead?What actions should heads of ERM and their teams take to succeed?RESTRICTED DISTRIBUTION3 © 2023 Gartner, Inc. and/or its affiliates. All rights reserved. Technological• Generative AI disruptions and impacts• Data model degradation • State-sponsored malwarePolitical• Renationalization of international trade• Geopolitical conflict• Political fractionalization and government dysfunctionEconomic• Interest rate uncertainty• Persistence of inflationary and labor market challenges• Price bubblesSocial/Cultural• Social polarization• Retirement wave• Declining productivityTrust/Ethics• Expectations for action on controversial issues• AI privacy concerns• AI-driven misinformationRegulatory/Legal• Anti-trust targeting technology providers• Fragmentation of data governance regulations• Cybersecurity disclosure and governance requirementsEnvironmental• Environmental, social and governance (ESG) risks• Extreme weather events• Degraded water supplies, soil, air and other natural resources2024 Potential Enterprise Risk TrendsFramework From Gartner Future Lab’s TPESTRE Project and Associated, Potential RisksSource: GartnerRESTRICTED DISTRIBUTION4 © 2023 Gartner, Inc. and/or its affiliates. All rights reserved. Focus Areas for the Head of ERM in 2024Increasing Confidence in Risk AssessmentsOnly 27% of heads of ERM say that senior, executive and board decision makers consistently take the actions recommended in risk assessments.Improving Strategy Execution44%...
