GRC and Risk Analytics isn’t a new concept. Nor is it something you or your organisation should fear. Because effective risk management brings vital analytics to your fingertips.
The latest trend that CEO’s are coming to terms with is the importance of fluid risk management. With both macro, micro, regulatory and economic environments continually changing and evolving, coupled with the digital transformation era, recent news headlines show what happens to businesses when risks aren’t managed correctly. The Facebook Cambridge Analytica data scandal is a prime example of this, where Facebook failed to maintain their data controls and risk scenario probabilities accurately. Facebook has now made a mandate that risk is a top priority on their agenda for the executive team. All companies can learn from this.
With ever-increasing globalisation, risk management will grow even more worrisome in the years ahead, due to the large number of increasing tasks, resources, and stakeholders involved. The reality is, many risks are not necessarily visible, leading to risk management by intuition and experience which makes it even more painful to build risk strategies effectively.
This is why GRC software and risk analytic tools exist – to assist risk managers through this process. They can help CRO’s and their CEO’s understand key risk factors and their relative importance in real numbers, and identify potential risks before they start to become real.
Think about this for a minute. Existing organisations are using age-old approaches to risk management in a digital transformative era. There’s a strong reason why many CEO’s and CRO’s are turning to smart risk analytics to make informed decisions.
What does it mean to be risk intelligent using risk analytics?
Today the latest GRC software, like ReadiNow provides for example, makes it possible to accurately measure, quantify, and build predictive models to manage risk more effectively. In the past businesses relied on the opinions of experienced leaders or mid-level executives to monitor, manage, and report risk. But it is now becoming almost impossible to formulate and build a holistic business-enterprise view of organisational risk relating to each department of the business without GRC software.
This is why digital transformation leaders are moving to risk analytic-based decisions by pulling together all the different lanes of risk into one unified platform, without the business silos, and enabling their leaders with clear and concise data analytics in a timely fashion.
Taking this holistic, organisation-wide approach to risk analytics and risk management is a critical component of becoming risk-smart. This is where leaders turn risk considerations into smart strategic decision making, and where different departments incorporate intelligent risk management into all the actions they take. Imagine a software platform where everyone in your organisation can use one single login to execute on whatever they need? Imagine if Marketing was using the same system as Human Resources and if Risk Managers were able to also be on the same platform. This exists in ReadiNow. Today.
The details matter and complexity is normal
Risk Analytics enables leaders to pinpoint issues and remove random guesswork, using a range of advanced techniques and technologies to bring up insights, and highly likely situations that ultimately predict future events.
Risk exposure is heavily influenced by the increasing amount of structured data sets (database), and unstructured data (things like a company’s website, social media, and blogs). Leaders need to be able to leverage and visibly see data in a singular, and easy to view way, using the latest in UX design to enable actionable insights on behalf of the company.
It’s easier than it looks to dive right in and lay the foundation
Teams often fail to take into account the overall impact effective risk strategies mean to businesses. Advanced GRC platforms enable analytics to pull data across the entire company into one central platform, helping create an anti-siloed approach whereby everything is working together.
The risk foundation is essentially a wide-range of risks that filters across each organisational branch. It can be challenging to know exactly what to do with insights. This is why risk analytics is vital in scenarios where you are laying out a foundation, allowing organisations to develop foresight to view potential risks and focus in on important questions that lay the foundation for actionable risk management.
Get the questions right to begin with
Risk analytics and analytics, in general, allow you to go deeper into the types of potential risks surrounding data and information. In isolation, that doesn’t mean this is the entire story, nor is it a good idea. It’s just as important to focus on a few critical questions that have a real-world influence on your approach to risk.
Risk Analytics doesn’t work in isolation
Risk moves through almost every component of a business. Analytics can provide an entire fleet of insights, drawing from data through the whole enterprise. This is why it’s vital to have a platform in place that can move through the entire organisation and instantly point out potential risks, regardless of the department.
Get your Risk Programs straight
Analytics doesn’t just enable decision makers to view potential risks, but it also gives rewards based on strategy and operation questions. These insights into how to potentially address and avoid risks can generate real world cost savings and productivity gains in the long run. This can range from avoiding costly fines and project overruns, to enhancing program performance.
Many organisations fear the words ‘Risk analytics’. However, the reality is that enterprise businesses already have automated actions ready to go as soon as a threat takes place. ReadiNow is part of that process for a lot of them and we can help your organisation shift towards Risk and GRC analytics too. It can be as simple as starting with a small project, then expanding as internal capabilities increase. This can take a few weeks, to a few months. It’s all relative based on the situation.
To learn more about ReadiNow’s GRC solution and take a holistic view of your GRC and Risk analytics, request a demo at www.ReadiNow.com.