What Are GRC Tools?

The Governance, Risk, and Compliance (GRC) software landscape has undergone dramatic transformation in the past decade. What began as a tool for managing compliance has evolved into sophisticated platform solutions for addressing a wide range of organizational risks as part of an effective GRC program. Shared Assessments has been at the forefront of this evolution. We support many partners, platforms, and players who have shaped the industry. As the number of GRC solutions has expanded, so too has the complexity of the risks they address.

“GRC” is a term formalized by the Open Compliance and Ethics Group (OCEG) referring to critical capabilities that integrate an organization’s governance, management, and assurance of performance, risk, and compliance activities. A groundbreaking paper on GRC was published in 2007 which influenced the related software and services industry.,  Additionally, this paper spurred the origin of open-source GRC standards.

Testing and evaluating GRC systems is crucial to ensure they align with organizational goals and processes. This helps in effectively managing and monitoring compliance while addressing the challenges of choosing the right GRC technology amidst rising risks and evolving regulations.

Evolution Of Risk Management Software

Driven by increasing regulatory complexity, digital transformation, and the evolving threat landscape, GRC software has transformed from a compliance checklist into a more strategic asset. Today’s platforms incorporate advanced features such as risk assessments, analytics, Artificial Intelligence (AI) and automation.

As the business environment continues to evolve, so too will the GRC software landscape. This blogpost identifies key shifts in GRC tools and technologies which reflect the growing recognition of risk management as a strategic imperative. This post also reviews areas of specialization, pointing to how GRC has evolved to become a more comprehensive and sophisticated tool for organizations to manage risk effectively.

Shift From Compliance Focus To Risk Management

GRC platforms have shifted from a compliance focus to risk management. GRC software has expanded its scope, moving beyond compliance checklists to encompass a broader spectrum of risk management, including operational, strategic, and financial risks. GRC platforms have evolved to take a risk-based approach with a stronger emphasis on identifying, assessing, and mitigating risks proactively rather than just reacting to regulatory requirements. Now, GRC platforms proactively address both risk management and regulatory compliance, ensuring organizations meet regulatory requirements while enhancing overall business performance and mitigating risks associated with non-compliance.

Integration And Interoperability

GRC solutions are increasingly integrated with their business ecosystems, connecting with other enterprise systems like Enterprise Resource Planning (ERP), Customer Relationship Management (CRM), and Human Resources (HR) to provide a more holistic view of the organization’s risk profile. GRC solutions help organizations adhere to legal and regulatory requirements by integrating with other enterprise systems. Improved data sharing capabilities enable better collaboration and information exchange between different departments involved in GRC processes.

Advanced Analytics And AI – Oh My! 

GRC software now provides data-driven insights by leveraging advanced analytics and AI to uncover hidden patterns, predict risks, and optimize risk mitigation strategies. Routine tasks like data collection and reporting are being automated, freeing up resources for more strategic risk management activities. Advanced analytics and AI can significantly improve risk management processes by identifying, assessing, and controlling various threats and risks to the organization. (While AI capabilities are evolving within GRC platforms themselves, standalone AI risk management solutions like Shared Assessments’ partner Mirato have accelerated technological advancement significantly.)

Cloud Adoption

Cloud-based GRC solutions offer greater scalability and flexibility to adapt to changing business needs. Being in the cloud means that remote access to GRC data and applications has become more common, enabling better collaboration and decision-making.

Additionally, cloud-based solutions can enhance the implementation of a GRC system by providing a robust framework for Governance, Risk, and Compliance initiatives. This includes conducting tests on the GRC framework, aligning it with organizational goals, and ensuring proper communication and training during the implementation process.

Cybersecurity Integration

GRC software has incorporated cybersecurity features to address the growing threat landscape. Protecting sensitive data and ensuring compliance with data privacy regulations has become a key focus in GRC platforms.

User Experience And Adoption

GRC software providers are focusing on developing intuitive interfaces to improve user experience and adoption rates. Similarly, access to GRC information and tools on mobile devices has become more prevalent.

Specialization

GRC software has evolved to address the increasingly complex and specialized needs of different industries and organizational functions. This has led to a high degree of specialization within the GRC software market.

Different industries require specialized GRC frameworks to effectively manage governance, risk, and compliance processes. Implementing a GRC framework can enhance risk management, support compliance with regulations, and ensure that various business activities align with overarching organizational goals.

Building upon the core principles of GRC, specialized software platforms like Integrated Risk Management (IRM), Enterprise Risk Management (ERM), Operational Risk Management (ORM), and Information Technology Risk Management (ITRM) have emerged to provide focused risk management capabilities.

Integrated Risk Management (IRM): This type of platform provides a comprehensive view of all an organization’s risks, including operational, financial, strategic, and compliance risks. IRM software can help organizations identify, assess, prioritize, and mitigate risks.

Enterprise Risk Management (ERM): ERM software is a broader category of software that includes IRM and GRC software, as well as other features for managing enterprise-wide risks. ERM software can be used by organizations of all sizes to identify, assess, prioritize, and mitigate risks.

Operational Risk Management (ORM): ORM software is designed specifically for managing operational risks, which are risks that can disrupt an organization’s day-to-day operations. ORM software can help organizations identify, assess, prioritize, and mitigate operational risks.

Information Technology Risk Management (ITRM): ITRM software is designed specifically for managing IT risks, which are risks that can impact an organization’s IT systems and data. ITRM software can help organizations identify, assess, prioritize, and mitigate IT risks.

Shared Assessments SIG In GRC Platforms 

Each of the solutions our GRC platform partners provide are exceptional in their own way; all of them integrate the Shared Assessments Standardized Information Gathering Questionnaire in their environments. Each platform is different when it comes to the content and functionality they provide around the SIG, and pricing models vary across the industry.

Some platforms charge per assessment or by volume of assessments, which is a fair approach. Sometimes, this approach does lead to limited or partial use of SIG content.  Having your own SIG to distribute for lower-risk vendors or for narrower, topical reviews (e.g., ESG, Privacy, Resilience) enables you to perform many assessments in-house facilitates cost and time savings. Further, many Content Licensees offer only the SIG Lite and not the full content library of the SIG. This is a good starting point but limits the scope of what your firm can review.  Notably, critical and high-risk vendors often require a more robust assessment (SIG Core).  You can learn more about scoping and right-sizing the SIG here.

Without a direct license (included in Shared Assessments membership or product subscriptions), you may not have the ability to download a copy of the SIG.  You could also lose availability to mapping and other features built into the SIG. By purchasing your own license, you have the flexibility to use and modify the SIG across departments, as needed.  You have access to the entire content library and you can validate mapping references within the SIG. Remember, can purchase the full SIG Questionnaire online or meet with our team to discuss which membership package would best suit your organization.

Shared Assessments Partners

Many of our partner’s platforms span a few areas of specialization. For your perusal, we provide a brief description of each of our partners’ solutions and link to their websites. As you explore these platforms, be sure to check our Marketplace to see what trials are on offer to the Shared Assessments Risk Management community. (The Shared Assessments Marketplace is a great way to familiarize yourself with GRC tools as you evaluate what will work best for your organization.)

Aravo Solutions Maintain a single inventory of all your third-party relationships, their firmographic data, and their risk profiles.

Archer Multiple dimensions of risk. One platform.

Auditive The only risk network with continuous monitoring.

Bitsight Technologies Identify threats, prioritize investment, and communicate cyber risk to stakeholders.

Black Kite Cyber third-party risk management.

Coupa Combining the industry’s leading total spend management platform with the power of community-generated AI and data.

Fusion Risk  Build dynamic continuity and resilience programs.

Gatekeeper The vendor and contract lifecycle management platform.

KnowBe4 The Only Platform That Truly Addresses the Human Element of Cybersecurity

LogicGate Integrate, automate, quantify, and scale your risk program — all from one centralized platform.

Metricstream Manage, Coordinate, and Track Multiple GRC Processes

Navex Make your governance, risk and compliance less risky and easier to manage with NAVEX GRC software, data intelligence and 30 years of expertise.

OneTrust The #1 most widely used platform to operationalize Privacy, Security & Data Governance.

Origami Risk Single-platform software that cuts through the complexities of risk and insurance, backed by best-in-class support.

Panorays A comprehensive third-party cyber risk management platform, monitoring Risk DNA for early threat detection and proactive defense

Prevalent Solutions for both IT vendor risk management and supplier risk management.

ProcessBolt AI-driven vendor risk management platform.

ProcessUnity Helps organizations manage the two biggest risks they face — third-party risk and cybersecurity risk.

Protecht Delivers interconnected, structured data through dashboards and reports that can be easily categorized and documented.

RedSpy365 Penetration Testing as a Service (PTaaS)

RiskRecon Cybersecurity ratings and insights that make it easy to understand and act on your risks.

SAI Global Recognized leading provider of integrated risk management solutions, assurance, and property services

SAP Enhance understanding of your company’s risk status by evaluating risk management information faster,

Security Scorecard Reduce third-party incidents by 75% and transform how your team identifies, monitors, mitigates, and reports on risk.

ServiceNow Managing digital risk within your organization requires a comprehensive approach.

SureCloud Simplify your GRC tasks.

Venminder Simplifies third-party risk management with a user-friendly platform that empowers effective vendor onboarding and offboarding.

VisoTrust Achieve 100% Accuracy And 98% Vendor Adoption By Using AI To Extract Relevant Insights.

UpGuard Continuously monitor, assess, and reduce your vendor risk.

Whistic Modern Third-Party Risk Management.

Become a Shared Assessments Partner and Strengthen Your GRC Strategy

Do you represent a GRC platform? Keep your platform’s third-party risk content current with industry best practices by leveraging Shared Assessments’ standards. Licensing Shared Assessments’ standards brings third-party risk credibility to your solution and saves your organization’s resources. Learn more about partnership here.

Frequently Asked Questions About Government, Risk, and Compliance (GRC) Tools

What are GRC requirements?

GRC (Governance, Risk, and Compliance) requirements vary based on industry regulations, organizational structure, and specific business needs. Generally, GRC requirements encompass policies and procedures to ensure compliance with legal and regulatory standards, risk assessment and mitigation strategies, and governance frameworks for decision-making. These requirements aim to maintain organizational integrity, protect sensitive data, and manage risk effectively.

What is GRC in cybersecurity?

In cybersecurity, GRC refers to the processes and tools that help an organization manage its cyber risks, ensure compliance with cybersecurity regulations, and implement governance frameworks to protect data and systems. GRC in cybersecurity involves identifying vulnerabilities, assessing potential impacts, implementing security policies, and monitoring ongoing risks. This holistic approach helps organizations mitigate threats, stay compliant with data protection laws, and respond proactively to cybersecurity challenges.

What is GRC in SaaS?

GRC in the Software-as-a-Service (SaaS) environment focuses on the unique challenges of managing governance, risk, and compliance for cloud-based services. It includes ensuring that the SaaS provider adheres to data protection regulations, maintaining secure and compliant service operations, and managing risks associated with third-party data storage and processing. Effective GRC in SaaS also involves regular audits, access control, and monitoring to protect customer data and maintain trust.

What are the 4 components of GRC?

The four key components of GRC are:

1. Governance – Establishing policies, procedures, and controls to guide organizational decision-making and align operations with business objectives.
2. Risk Management – Identifying, assessing, and mitigating risks that could impact the organization’s ability to meet its goals.
3. Compliance – Ensuring that the organization adheres to all relevant laws, regulations, and standards.
4. Audit – Continuously monitoring and evaluating processes and controls to ensure the effectiveness of governance, risk, and compliance activities.
   • Internal Audit – Evaluating existing processes within GRC programs, involving various organizational stakeholders across departments. Internal audits ensure that compliance teams and their methodologies align effectively to mitigate risks and enhance operational integrity.

How do I choose a GRC tool?

When selecting a GRC tool, consider factors like:

• Business Needs – Identify your specific GRC requirements based on industry, regulatory obligations, and internal policies.
• Scalability – Choose a tool that can grow with your organization as GRC needs evolve.
• Integration – Look for solutions that can integrate seamlessly with your existing systems and software.
• User Experience – Select a tool with an intuitive interface to encourage adoption across your team.
• Support and Training – Opt for providers that offer robust customer support and training to ensure a smooth implementation.

How do you implement a GRC tool?

Implementing a GRC tool involves several steps:

1. Define Objectives – Clarify your GRC goals and determine what you want the tool to achieve.
2. Assess Readiness – Ensure your organization’s infrastructure, resources, and team are prepared for implementation.
3. Customize Configurations – Tailor the tool to align with your organization’s specific governance, risk, and compliance needs.
4. Train Users – Provide comprehensive training to ensure all relevant team members understand how to use the tool effectively.
5. Monitor and Adjust – Regularly review the tool’s effectiveness and make adjustments as your GRC needs evolve.