IT GRC’s Growth Is Driven by Increasing Market Demands

The governance, risk, and compliance market keeps increasing in size and is projected to become a $64 billion dollar industry by the year 2025. This growth is fueled purely by multiple factors which all increase the demand for GRC solutions. Some of these factors are external while some are internal. GRC solutions are now considered a necessity in certain sectors of the economy, such as the healthcare sector and the financial sector. Banks and financial institutions were some of the earliest adopters of GRC and have continued to outpace other types of businesses, but other businesses are starting to realize the important of GRC as well.

Fluctuating Regulatory Visions Create a Need for Regulatory Change Management

There is a growing instability in the regulatory approaches in two of the biggest markets in the world. In the United States these fluctuations are caused by an uncertain political future. This administration aimed to give banks and lenders more freedom, in direct contrast with the previous government’s aims. The next election is near, and it is not clear which approach will be taken by the next government.

The outlook is even more uncertain in the European markets. No one knows what is going to happen regarding the Brexit situation. Will there be a hard Brexit, or will a deal be formed? Will there be a Brexit at all? The financial sector operates in futures, and such an uncertain future means that they need to be prepared for changes soon, whatever they maybe.

Both these factors have resulted in an increased demand for regulatory change management GRC modules.

The Cost/Benefit Ratio of GRC has Significantly Changed

Another very important change that has occurred within the last few years is that the cost/benefit ratio of GRC is very different from what it used to be. GRC modules were expensive which was a huge barrier for smaller businesses. Another problem is that it was hard to generate ROI on such an expensive solution. The rise of cloud-based IT GRC solutions has significantly decreased the costs of GRC solutions, while advancements in technology have significantly increased their productivity and features.

Compliance Costs Keep Going Up

Controlling costs remains one of the most important factors when it comes to compliance. Businesses that are satisfied with their levels of compliance are not satisfied with their compliance expenses. Compliance requires highly qualified people and highly qualified people are expensive to hire. As compliance needs grow, businesses are finding that simply increasing the number of compliance employees is not cost effective.

IT GRC solutions deliver increased productivity and coverage with the same number of employees. Many compliance processes and activities are either fully or partially automated. This drastically increases the free time which employees have which allows them to accomplish much more while working for the same number of hours. Administration and monitoring, which take hours of each compliance employee’s time daily are almost completely automated, resulting in every employee having more free hours to accomplish more.

Increasing Number of Leaks, Breaches, and Hacks are Increasing the Demand for GRC Security

There have been quite a few notable hacks, leaks, and breaches over the past few years which have ended up almost destroying businesses. This has increased the focus on GRC security. Normal security measures such as firewalls and anti-virus applications can only detect known threats. Banks and financial institutions are often targeted with highly sophisticated attacks. GRC security solutions take a very different approach to GRC. Instead of purely focusing on detecting threats, GRC security entails creating a strong framework that increases the security of the whole organization.

GRC security solutions focus on enabling better and more secure ways of working, with the aim of decreasing all the practices that increase vulnerability to attacks.

If you want to know what GRC can do for your organization then you are at the right place. Predict360’s cloud based GRC tools can be quickly implemented and begin delivering results right after implementation. Get in touch with our team, once we understand your organization’s needs, we will be able to provide a demonstration of how Predict360 can benefit your organization. We will also give you a month long trial account so you can assess the solution’s benefits before making any decision.

About the Company

360factors, Inc. (Austin, TX) helps companies improve business performance by reducing risk and ensuring compliance. Predict360, its flagship software product, vertically integrates regulations and requirements, policies and procedures management, risks and controls, audit management and inspections, and on-line training and qualifications, in a single cloud-based platform based on artificial intelligence.

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