International Journal of Academic Accounting, Finance & Management Research (IJAAFMR)   Year: 2021 | Volume: 5 | Issue: 1 | Page No.: 1-10 Enterprise Risk Management Adoption and Implementation Influence on Performance of Service Firms in Lagos State Dr. Banjo, K. Adeola Abstract: This study examines enterprise risk management adoption and implementation influence on performance of service firms in Lagos state. This study used an exploratory research design. Multiple regression model was used for data analysis and test of hypotheses. This study revealed that ERM adoption challenges and implementation strategies significantly lead to good business decisions of selected service firms in Lagos State. The combine variables of ERM awareness, strategic business decision and business decision jointly lead to operational efficiency of the selected service firms. A unit increase in level of business decisions and operational efficiency following the implementation of ERM increase the performance of service firms while strategic risk management has nothing to do with firms' performance. Both business decisions and operational efficiency as a result of ERM implementation have significant impact on firms' performance while strategic risk management has impact on firms' performance though not significant This study recommended that management should pay adequate attention to ERM by employing competent staff to manage the risk of the organization; to overcome the challenges of ERM, business decision should be taking by professionals; ERM implementation should adequately be monitored because it also significantly accounted for business decision of selected service firms; to enhance operational efficiency and firms' performance, strategic risk management should be well planned for; and there is urgent need for management of Service firms to as a matter of urgency employed effective and workable ERM tool in order to lower the rate of risk and its chance of occurrence.