Assess your council’s resilience across financial, cyber, operational and asset risks. Identify vulnerabilities, strengthen decision-making and improve your ability to maintain essential services through disruption and changing conditions.
Access the Local Government Resilience Diagnostic.
Over the past few months, we have explored four areas that shape resilience in local government: financial sustainability, cyber security, operational capability and asset management. Each presents its own challenges, but councils rarely experience them separately.
A major asset failure can place immediate pressure on budgets. A cyber incident can affect service delivery and confidence in council. Workforce shortages can slow service delivery and continuity. Decisions made in one part of the organisation often have consequences elsewhere.
For councils, resilience is therefore less about managing individual risks and more about understanding how the organisation will continue to deliver services when conditions change.
The councils that respond well to disruption understand where pressure is building and act before issues become critical.
Understanding where pressure is building
Most councils are operating in environments that are becoming more complex. Costs continue to rise, infrastructure is ageing, technology is becoming more critical to service delivery, and communities expect reliable services and timely responses, regardless of the circumstances. These pressures can build over time.
Maintenance backlogs grow, key roles become harder to fill, systems become more difficult to support and financial flexibility narrows. None of these issues necessarily create an immediate crisis, but they can reduce a council’s ability to respond when something unexpected occurs.
When disruption does occur, whether through a natural disaster, cyber incident, major asset failure or financial shock, existing weaknesses often become much more visible.
Looking beyond individual risks
One of the challenges with resilience is that organisations often assess risks within individual functions. Finance teams focus on financial sustainability, technology teams focus on cyber security, infrastructure teams focus on assets, and operational leaders focus on service delivery. All of these areas matter, but resilience is strongest when they’re considered together.
A council may have sound finances but limited visibility of critical asset risks. It may have mature asset management practices but insufficient plans for maintaining services during a significant disruption. It may invest in cyber security but have limited understanding of how a technology outage would affect frontline operations.
Looking across the organisation provides a more complete picture of how prepared a council is to respond when conditions change.
A practical starting point
Building resilience doesn’t begin with a major program of work, rather it begins with understanding the organisation’s current position, in order to determine the best-value investments to increase resilience.
That means assessing capability across the areas that have the greatest influence on resilience:
- Financial sustainability
- Cyber security
- Operational capability
- Asset management
Taken together, these areas provide a clearer picture of whether a council can maintain essential services when disruption occurs. The process often confirms concerns that leaders already have. In other cases, it highlights risks that have received less attention than they should.
Either outcome provides a stronger foundation for decision-making.
What resilient councils have in common
While every council is different, resilient organisations tend to share several characteristics. They have a clear understanding of the services that are most important to their communities, they understand the assets, systems, people and suppliers that support those services, they make deliberate decisions about investment, risk and service priorities and they regularly test assumptions and challenge whether existing arrangements remain fit for purpose.
Most importantly, resilience is treated as an ongoing organisational capability rather than a one-off initiative. This allows councils to respond to changing conditions with greater confidence and maintain focus on the services their communities rely on most.
The next step
A useful discussion for any executive team is what would come under pressure first if the organisation experienced a significant disruption in the coming months. The answer is often revealing.
It can highlight dependencies that aren’t well understood, assumptions that haven’t been tested and areas where additional capability may be needed. Resilience is built through a series of decisions made over time. The first step is understanding where the organisation stands today.
How resilient is your council?
KordaMentha has developed a Local Government Resilience Self-Diagnostic tool that gives councils a snapshot of resilience across financial, cyber, operational and asset domains.
The self-diagnostic provides a high-level view of resilience strengths, potential vulnerabilities and areas for further attention, and takes just a few minutes to complete.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
[View Source]