Creating, implementing, and managing a robust GRC program along with performing all business operations can be challenging for many organisations. Effective GRC planning can help reduce the burden from all business operations and devise simplified ways to perform these operations and activities along with maintaining compliance and reducing business risks.
If you are struggling with providing your organisation with a steady GRC management platform, this blog post can help you understand and implement the best option for you. Here is all you need to know about Governance, Risk Management, and Compliance.
What Is Governance, Risk, And Compliance (GRC)?
GRC refers to an organisation’s strategy for managing internal governance controls, enterprise risks, and compliance with applying regulations.
Governance – includes managing business procedures and activities to ensure that they are aligned to the business goals. This is achieved by developing and implementing a set of rules, policies, and procedures.
Risk – includes identifying and managing all enterprise risks in a way to minimise their damage and prevent their occurrence in the future. This is achieved by efficient use of resources to minimise the impact of negative events and maximise its monitoring and control.
Compliance – includes ensuring all business procedures and activities are complying with industry, state, federal, international laws, and all rules and regulations that apply to the business.
How Does GRC Work?
An organisation develops a GRC framework for the leaders, employees, and business operations. This framework aims to ensure the organisational objectives are enabled and supported. It also helps clearly define measures to highlight the effectiveness of an organisation’s GRC efforts.
A GRC framework can either be developed from scratch or by using an already established framework for guidance and tailoring its functions as required. Once the GRC framework is created, organisations can then proceed to implement it across all departments. Continuous monitoring and modifying the GRC controls can ensure maximum results with minimum efforts.
Why Do You Need It in Your Organisation?
A GRC framework can help an organisation achieve its goals and targets. Without well-thought and carefully developed internal controls, organisations often fail to succeed. Some of the most important uses of a GRC framework include:
Increased Efficiency: Since the GRC framework focuses on efficient allocation and utilisation of organisational resources, it is one of the major reasons behind increased efficiency of business operations.
Risk Assessment and Reduction: Identifying, preventing, and mitigating risks is one of the core requirements of a GRC program. It helps minimise adverse events that compromise the business operations and integrity of an organisation.
Strategic Support for Performance: Besides increasing efficiency, smart resource allocation and increased awareness through GRC training also allow employees to perform better.
ROI: Every business aims for high returns on investments and all of the above three factors can help reduce operational costs. This translates to high ROI for many businesses.
Compliance: Compliance with regulations is mandatory for desired growth and success in every business. Failure to comply with these regulations also opens the business to new audits and financial penalties. GRC management can help avoid these penalties and stay compliant.
What Is GRC Software?
GRC software is the automation tool used to implement and manage a GRC framework in an organisation. It focuses on reducing the efforts, time, and costs otherwise required to perform GRC management activities. Businesses can increase the effectiveness of their internal policies and procedures with online employee GRC training, surveys, incident reporting, and other such powerful features of GRC software.
How Can GRC Software Enhance Your GRC Program?
GRC software allows organisations to implement GRC management activities and procedures efficiently. They are filled with features to support GRC activities such as incident reporting and management, records management, risk management, online surveys, etc. within just a few minutes. This ensures reduced costs and increased compliance.
Sentrient’s GRC management system is one such platform that helps businesses across Australia and New Zealand keep up with their GRC management requirements. Streamlined dashboard, easy user interface, and robust reporting add to the core GRC management features of Sentrient’s system.
GRC is an important area of every business. Inefficient GRC management can lead to financial loss and decreased brand value. Implementing a GRC management software is recommended to ensure effective GRC management in your organisation. Sentrient’s cloud-based GRC management system can help you overcome all these challenges and be on top of GRC requirements. Call us today for a free demo!