What does GRC actually mean?

What is GRC?

GRC is the coordinated collection of abilities that empower an organization to reliably achieve targets, address uncertainty, and act with integrity. GRC Stands for Governance Risk and compliance. but the complete story of GRC is much more than just those three words.

The abbreviation GRC was developed by the OCEG (initially called the "Open Compliance and Ethics Group") enrollment as a shorthand reference to the critical abilities that should cooperate to achieve Principled Performance - the capacities that coordinate the governance, management, and assurance of performance, risk, and compliance activities. 

This includes activities done by departments like internal audit, compliance, legal, risk, finance, IT, HR along with similar kinds of business, suite, and the board itself. GRC acronym was used even early in 2003. but the first review was done and published in 2007 by OCEG founder Scott L Mitchell in the IJDG. this paper made a huge impact on the entire industry of software and services. this actually pays a way for an introduction to Open Source GRC Standards.

GRC Revolutionary:

It is noted to remember that organizations have been governed, and risk and compliance already have been managed for a period of a long time. so in this way, there is nothing new about GRC. but where it differs is many had not approached these activities in a proper way nor have these efforts helped each other to improve the reliability of gaining organizational objectives. if an organization is forward-thinking then  GRC is considered to be a coordinated assortment of all abilities essential to support Principled Performance. so from this, it is clear that GRC doesn't affect business it actually supports and improves it. In this way, GRC is totally Revolutionary!

GRC Drivers:

In today's scenario not only big companies even small companies, but government agencies are also facing a lot of challenges previously it is not the case. so there are a lot of factors every organization need to deal with 

• Stakeholders request high performance along with high levels of straightforwardness.
• Regulations and Enforcement are always changing and it is difficult to predict.
• An outstanding development of third-party relationships and risk is an administration challenge
• The costs involved in addressing risks and requirements are going out of control
• The harsh and scary impact when threats and opportunities are not identified

GRC Done Wrong:

Most of the GRC Maturity surveys find out that disjointed GRC Activities cause most of the problems. in order to address these drivers companies develop departments and programs such as performance management, risk management, compliance corporate social responsibility, and much more. unfortunately, these departments and programs are often ineffective and face a lot of drawbacks.

• Expensive costs
• There is no proper visibility regarding risks
• Not able to address third party risks
• A lot of challenges in measuring risk-adjusted performance
• A lot of negative surprises

GRC Done Right:

Integrating GRC abilities does not mean creating a mega-department of GRC and getting rid of decentralized management. Nor does it require the utilization of only one GRC software system to oversee it all. moreover, it is establishing an approach that assures the right people get the right information at the proper times. the correct objectives are established and the proper actions and controls are combined in a place to address with integrity. there are lot of benefits organizations can expect when their GRC is done right they are:

• When GRC is done right it reduces costs
• Duplication of activities can be prevented
• Impact on operations can be reduced
• with the help of the right GRC, we can achieve greater information quality
• Achieved high ability to collect information quickly and efficiently
• Achieved higher ability to repeat processes in a proper manner