A need to improve overall risk oversight (76.2 percent) is a key driver for investment in governance, risk, and compliance (GRC), says MetricStream.
MetricStream conducted a global survey of over 200 GRC professionals to analyse major trends and challenges that influence the business world such as geo-political risks and cyber-security. The results discovered key drivers of GRC investment for 2016.
Over half (54 percent) of new business initiatives introduce new risk and regulatory concerns, suggesting that risk management professionals have evolved beyond compliance and are much more business-focused. Data privacy and protection issues make up 39.5 percent of GRC investment influencers, reflecting a business where data privacy, protection and cyber-security are more important now than ever before.
Organisations have said that they will place GRC technology spending as a higher priority than GRC services for third party risk management. Less than five percent of organisations assume they will lower their GRC spend in 2016.
French Caldwell, chief evangelist at MetricStream commented: “2016 will provide the perfect storm of GRC challenges. Technology continues to become synonymous with business, introducing new ways of working, which also create new security challenges and vulnerabilities. Geopolitically, we're seeing politicians and regulators lose control of the political agenda to technology companies, which are setting the rules with innovation – and survey respondents highlighted the impact this digital business transformation is having on new business initiatives. While survey respondents ranked political stability and geo-political risks low, keep in mind that, just three years ago cyber-security was underrated as a major business risk.”