If there’s one single theme that’s crucial to the successful operation of any corporate organisation today, it’s the powerful combination of Governance, Risk, and Compliance. Without it, few companies are likely to be successful given current technological advancements and the highly competitive global market.
WHAT IS GRC?
Formally described as ‘the integrated collection of capabilities that enable an organisation to reliably achieve objectives, address uncertainty, and act with integrity’, GRC can be simply defined as the activities which keep an organisation on track with policies, processes, rules and regulations – both internally and externally. In short, GRC provides your organisation with a complete framework to ensure smooth sailing through the choppy waters of today’s business environment.
The set of activities wrapped up in GRC takes in the following:
- GOVERNANCE – The management and processes of an organisation as it moves towards its goals
- RISK – The management and prediction of the hazards which might hinder the company in achieving these objectives
- COMPLIANCE – The adherence to the mandated boundaries, or the laws, rules, and regulations set both by the company itself and the relevant regulatory bodies
ADVANTAGES OF GRC
A simple metaphor for GRC is that of an orchestra. All the musicians can be superb in their fields, but without a cohesive system of collaboration any performance would quickly degenerate into chaos: different tempi, varying keys – they might not all even be playing the same piece! What is needed is orchestration of the whole. And this is where the analogy to corporate GRC comes in...
THE NEED FOR AUTOMATION IN GRC
As we move into an ever more complex marketplace, the visibility and awareness of Governance, Risk and Compliance initiatives are becoming increasingly important. Larger labour forces working remotely, governed by differing legislations and subject to varying risks and compliance, mean that extremely complex and effective GRC strategies are required to allow business entities to function smoothly.
This automation of GRC processes through workflow not only allows for reduced man hours in terms of data collection and analysis, but more importantly improves the quality of informational results – resulting in CONSISTENCY and COST-EFFECTIVENESS across the various points in the GRC cycle of activities.
WHO BENEFITS FROM GRC?
Employing an effective automated GRC solution benefits all members and departments across the entity, from the CEO to Legal, Financial, IT, and HR activities.
- INTERNAL AUDITORS can guide the company towards an up-to-date integrated policy of Governance, Risk, and Compliance capability
- COMPLIANCE MANAGERS will find the hazards of handling multiple regulations and initiatives are minimised – along with costs
- RISK MANAGERS will now be able to utilise a formal process to identify, measure and manage risk exposure.
iSPIRAL AUTOMATED GRC SOLUTION – RISK AND COMPLIANCE MANAGEMENT SYSTEM
At iSPIRAL, our automated strategic Governance, Risk & Compliance (RCMS) - Overview, has been developed on the COSO International Framework (COSO is a joint initiative developed by private sector organisations which is dedicated to providing thought leadership through the development of frameworks and guidance on enterprise risk management, internal control and fraud deterrence). Its guiding principles allow for the creation of an organisation-wide compliance culture, continuously closing compliance gaps to integrate all levels of the organisation.
With the RCMS we use:
- web-based collection mechanisms
- automated email notification
- escalations and alerts
- central databases for evidence collection and storage
This automated solution operates upon the core principles of commitment to integrity and ethical values, exercising oversight responsibility, establishing structures, validating authority and responsibility, demonstrating commitment to competence, and enforcing accountability.
Which, ultimately, enables iSPIRAL software’s reliability-centred maintenance systems to minimise time, resources, and associated expenses in implementing an efficient, all-important cohesive GRC approach strategy within your organisation.