What is IRM? What is the difference between GRC and IRM(Integrated Risk Management)?

Governance, risk, and compliance is a hot topic amongst organizations of all sizes. GRC principles are essential in developing sustainable operations in the uncertainty of the future. Each of these is a separate pillar of an organizational structure, but each relies on the other to maintain the integrity of the organization. Governance seeks to maintain strong, responsible, and diligent leadership. Risk management is the identification, preparedness, and mitigation of threatening uncertainties. And compliance ensures that the organization upholds the law and operates with integrity. Each of these helps build the foundation for the organization to move forward in a responsible and sustainable manner.

These words will ring true until the end of time, as many believe that the true path to happiness is giving rather than taking. Strangely enough, giving can often be more challenging than taking as being self-serving and self-interested is the easy route to go through life, while attempting to make the world a better place can be more of a struggle than many are willing to face. In our current and modern world of business, an increased emphasis on the culture of an organization is continually highlighted. Both regulatory bodies and the public are increasingly trending towards the demand of corporate ethical practices and principles. This puts a unique and intense pressure on compliance professionals in nonprofit organizations world-wide as they must take responsibility to build controls and procedures that establish an authentically ethical organization that acts with integrity.

In today’s modern world, it is becoming increasingly necessary for even non-profit organizations to stay on top of constant change and the ever-growing list of demanding regulations. Our current modern environment has grown into an increasingly complex and interconnected web of third-party relationships, distributed operations, global supply chains, compliance requirements etc. This puts a unique and intense pressure on compliance professionals within non-profit organizations world-wide as they must take responsibility to build controls and procedures that establish an authentically ethical organization that acts with integrity in such a dynamic environment. As non-profit organizations are exempt from federal and state taxes and have unique access to certain types of public funding, they consequently hold themselves accountable to the highest standards of ethical and compliance practices.

The first step to solving any problem is admitting that there is one. No matter how well an organization structures its governance, risk management, and compliance framework there will be issues that always slip through the cracks. Organizations must be aware of this and develop a holistic issue reporting and case management system with 360-degree awareness or issues and how they impact the organization risk and compliance profile.

If you travel to Denmark, you’ll find that when you enter the subway system there are no turnstiles prohibiting your access to the platform prior to providing payment or taping your metro card. Why is this you might ask if you’re an urban native anywhere else in the world? No, public transportation isn’t free. Denmark has achieved something that is absolutely unthinkable to many parts of the world, a prime culture of trust – a phenomenon that residents of major urban centers such as New York, London, and San Francisco would find baffling. A culture of trust means that compliance and adherence to rules is so high that creating checkpoints and protocols to ensure trust are virtually unnecessary because all actors are complying.

The world of compliance risk management is in a constant state of change. Because of this, organizations continuously struggle to ensure that their business operations are compliant not only with governmental regulations but also with ethical values. With this in mind, it seems that compliance teams worldwide are constantly playing catch up in determining what business units, departments, and processes are prone to compliance failures and which are not. Being behind on this process can be extremely dangerous to the organization as compliance failure can lead to a plethora of fines, setbacks, and a diminishing reputation among customers. It would seem to many compliance teams that nothing short of the ability to predict the future is suitable enough to identify and prevent emerging risks effectively. A compliance risks analysis may be able to give organizations exactly what they need to build a robust compliance program better and better mitigate the potential of emerging risk.

Regulatory change is accelerating. As industries grapple with new technologies and digital transformation, compliance teams face the monumental task of keeping up with the regulatory requirements. Modern business has become an integrated web of supply chains and third-party partnerships. While such evolutions are expected as markets change, the pervasiveness of these relatively young developments and the speed at which they influence the modern economy leaves regulators and compliance teams alike racing to address new forms of risk.

Chicago IL (May 25, 2022) — Ascent, an AI-based solution that automatically generates and updates targeted regulatory compliance obligations for firms across the financial services industry, today announces a partnership with VComply, a leading cloud-based Governance, Risk Management & Compliance (GRC) platform that helps streamline organizations’ compliance and risk management programs. Empowering compliance teams within credit unions and… Continue reading Ascent RegTech & VComply Partner to Create Out-of-the-Box Compliance Solutions for Traditionally Underserved Market

Whether compliance is demanded through regulatory requirements or voluntary ethics and values, effective and efficient compliance is necessary for any organization. As the modern business world becomes increasingly complex and dynamic, the level of regulatory compliance grows with it. Increasing demand for robust cyber security and data privacy and rising environmental standards are only a few examples of the greater compliance standards imposed on organizations. Failure to abide by these standards can be detrimental to the organization’s financial standing or reputation.