Boston — In its newly released benchmark report, “Is Your GRC Strategy Intelligent? Analytics for Accurate, Real-Time Visibility and Decision Making,” Boston-based Aberdeen Group, a Harte-Hanks Co., found that best-in-class organizations realized a 25% increase in management’s ability to access the company’s current risk status as a direct result of incorporating analytic tools into their governance, risk management and compliance (GRC) initiative—an average increase 157% greater than all other organizations.
The report identifies the strategies, internal capabilities, technologies, services and methodologies that best-in-class organizations employ in their GRC initiatives, and provides a roadmap of actionable recommendations for companies seeking to either optimize an existing implementation or begin developing a GRC initiative.
Considered a key part of their GRC strategies, supplementing consistent monitoring of risk and compliance processes with relevant analytic tools allows best-in-class organizations to increase visibility and knowledge into risk and compliance activities by a mean average of 34%; an average increase 2.5-times greater than all other organizations, according to the study. Additionally, by focusing their strategies and tactically ensuring budgetary allocations that facilitate business enrichment, best-in-class organizations fully capitalize on the enhanced visibility and knowledge, and realized a mean average 22% increase in the speed at which business-critical decisions are able to be made; an average increase 2.4 times greater than all others.
“By substantially improving the visibility into risk and compliance functions and enabling a common and consistent enterprisewide language through analytic-backed GRC initiatives, organizations have the opportunity to capitalize on improved operational efficiencies stemming from the streamlining, automation, and elimination of costly and redundant processes,” says Stephen Walker, senior research associate at Aberdeen. “Organizations also enable upper-level decision makers to more quickly, accurately and confidently make business-critical decisions based on a more complete view of the companies overall risk and compliance posture.”
The report educates end users on how best-in-class organizations develop, implement and manage their GRC initiatives as compared to others, and recommends clear actions to improve risk and compliance efficiency and effectiveness and drive sustainable, business-advancing benefits through the correct blend of capabilities, policies, processes,
technologies and services.
Back in April, Aberdeen Group reported on how the rise of government-mandated compliance regulations, coupled with the increasing need to safeguard sensitive data, is forcing organizations to reconsider how their data is stored, accessed, secured and managed.
Survey results at the time showed the importance an organization places on the various features provided by a GRC solution can vary, sometimes significantly, given the individual goals of that organization. However, respondents identified features, such as automated processes for risk analysis and management, and the ability to align IT policy, risk and operations management with business initiatives, as most important when deciding whether to invest in a GRC solution.
When asked what organizations need in a GRC solution, 42% of respondents said a risk analysis and management program; 34% said automated process for identifying, measuring and monitoring operational risk; 32% said feature aligning IT policy, risk and operations management with business initiatives; 29% said documented policies and procedures; and 22% said business functionality and modeling.
A complimentary copy of the report, "Is Your GRC Strategy Intelligent? Analytics for Accurate, Real-Time Visibility and Decision Making," can be found here.
Sources: Aberdeen Group, INN archives
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