In this lesson, we're going to learn
about Governance, Risk, and Compliance Tools.
Governance, Risk, and Compliance or GRC tools
are used to integrate the management
of an organization's governance, risk
and compliance activities by automating processes,
tracking compliance with regulatory requirements,
and maintaining accurate documentation.
GRC tools often include features like mapping
to align controls with specific regulations,
automation to reduce manual workloads
and continuous monitoring to ensure ongoing compliance
and risk management, as well as documentation
to centralize policies, procedures,
and evidence of compliance.
Now let's take a look at each GRC tool feature
in more detail and learn specifically how a GRC tool
can be applied within an enterprise organization.
First, let's talk about documentation.
In a GRC tool, a documentation tool
provides a place to store and organize important rules,
policies, and procedures.
These documents allow a company to manage risks
and stay in compliance with regulations.
RSA Archer is a GRC tool
that helps businesses keep documentation in one place,
so it's easy to find when it's needed.
For example, a telecommunications company may use RSA Archer
to store documents about its data protection policies.
By keeping everything organized, the company ensures
that during an audit,
it can easily show regulation compliance.
Second, let's discuss the mapping feature.
Mapping links a company's internal processes
to external regulations and standards,
ensuring that a company's actions stay aligned
with all of their external commitments.
A tool such as the Systems, Application and Products,
or SAP GRC tool helps businesses map their activities
to rules like the General Data Protection Regulation
or GDPR.
GDPR is a European Union law
that sets strict guidelines for collecting, processing,
and the protection of personal data,
giving individuals greater control
over their personal information
and imposing significant penalties for non-compliance.
So by mapping their activities to a law such as GDPR,
a company can see how their actions and policies line up
with the GDPR's legal requirements
for protecting customer data.
The mapping process may also identify any gaps in processes
and help an organization make any needed adjustments
to close those gaps.
Third, let's explore compliance tracking.
Compliance tracking monitors whether a company is following
all necessary regulations and internal policies.
A tool like ServiceNow GRC
helps businesses track their own compliance
and sends alerts to administrators
when reviews or audits are due.
For example, a financial institution may use ServiceNow GRC
to track its compliance with the Sarbanes-Oxley Act
or SOX regulations.
The Sarbanes-Oxley Act is a U.S. federal law
that sets strict financial reporting
and auditing requirements for public companies
to protect investors from fraud
and ensure accurate corporate disclosures.
In this example, the ServiceNow GRC platform
can notify the security team when it's time for audits
or if any compliance issues arise.
This can ensure the company stays on top
of its legal responsibilities.
Fourth, let's talk about automation.
Automation is used to complete repetitive tasks
such as control testing or report generation
without requiring manual intervention and work.
A tool like SAP GRC, which we discussed earlier,
helps businesses automate tasks,
making compliance more efficient.
For example, an energy company might use SAP GRC
to automate its regular control testing
where controls or policies, procedures and mechanisms
put in place to manage risk, ensure compliance,
and protect an organization's assets.
In this scenario, the SAP GRC tool
could automatically perform the tests and generate reports,
reducing the test and report generation time
and effort of employees
while ensuring the controls work properly.
Fifth, and finally, let's look at continuous monitoring.
Continuous monitoring keeps track of risks and compliance
in real time.
Qualys is a tool that continuously monitors
an organization's network
for security risks and compliance issues.
For example, a retail company may use Qualys
to monitor its payment systems for security threats.
If a vulnerability is found,
Qualys can immediately alert the company administrator
so they can fix the problem before it becomes a major issue.
This monitoring and alert process can help organizations
stay compliant with security standards
like the Payment Card Industry Data Security Standard,
or PCI-DSS.
So remember, Governance, Risk, and Compliance or GRC tools
are essential for managing an organization's regulatory
and risk related activities.
And GRC tools focus on areas like documentation, mapping,
compliance tracking, automation, and continuous monitoring.
Documentation features help businesses organize
and store important policies and procedures,
ensuring they are prepared for audits
and regulatory reviews.
Mapping aligns internal processes with external regulations,
helping organizations meet legal requirements.
Compliance tracking monitors adherence to regulations,
sending alerts when reviews or audits are needed.
Automation reduces manual effort
by streamlining repetitive tasks
such as control testing and reporting.
And finally, continuous monitoring ensures
real-time visibility into risk and compliance issues,
allowing for immediate action
to maintain smooth operations and regulatory compliance.