Quadrant Knowledge Solutions ‘Market Insights research provides detailed insights to users about the significance of cognitive technologies in managing their GRC frameworks.
In recent years, the traditional methods to manage organizational Governance, Risk, and Compliance are being replaced with advanced Integrated GRC frameworks to ensure enhanced efficiency, accuracy, and agility. The mature GRC framework helps effectively manage various types of risks, including legal, operational, financial, compliance, strategic, and reputational risks, and ensures that organizations are compliant with the fast-changing regulatory requirements. Today, Organizations are more concerned about growing cyber risks and regulatory compliance that can lead to system downtime, fraudulent activity, data breaches, and non-compliance, which incur huge fines and reputational damage. An automated GRC framework protects organizations from such threats and makes them more resilient by minimizing human efforts and automating various routine tasks using advanced technologies. The automated GRC software helps enterprises manage GRC-related activities in a more holistic manner. Some of the tasks performed by automated GRC include:
• Oversee policies, manage risk, and ensure compliance.
• Regular updates on various regulatory changes.
• Enable multiple business units to work together on a single platform.
• Increase the accuracy of internal auditing.
The mature GRC program leverages cognitive technologies such as predictive analytics, RPA, AI/ML, NLP, and NLG for building reporting dashboards and providing enhanced risk identification and monitoring, workflow automation, automated regulatory intelligence feeds and task management, audit trail capabilities, document processing, pattern detection, data classification, fraud detection biometric-based authorization, conversational assistants, as well as scenario testing. Intelligent automation helps streamline the risk management lifecycle by creating a risk profile and automating risk prediction, identification, prioritization, and mitigation. It is also instrumental in maintaining seamless business compliance by maintaining laws and regulations, standards, and internal and external audits. Automated compliance keeps track of all the compliance activities, such as regulations, policies, standards, and contracts, in a single place and ensures organizational compliance with applicable laws, regulations, and regulatory guidance.
Driven by RPA, Artificial Intelligence, Machine Learning, Predictive Analytics, and NLP, automated GRC provides enhanced analysis of huge datasets, further increasing the solution’s efficiency. Powered by these emerging technologies, an automated GRC offers a robust framework to organizations to manage their governance, risk, and compliance more effectively and efficiently. Some of the benefits of cognitive GRC include improved decision-making, process optimization, increased efficiency, accuracy, and cost, automatic updates on business risks and compliance standards, and internal audit optimization.
According to Siddharth Kumar, Senior Analyst at Quadrant Knowledge Solutions, Automated GRC overcomes the shortcomings of legacy GRC frameworks by incorporating advanced technologies into the GRC program. Advanced GRC frameworks are constantly transforming owing to a fast-changing business environment. The best way to overcome this challenge is to go beyond the conventional methods and explore the options provided by cognitive GRC.