
Governance, risk, and compliance (GRC) is a broad term that refers to the processes and systems an organization puts in place to ensure that it operates in a compliant and ethical manner. GRC includes risk at all levels, including enterprise and operational, and focuses on governance and compliance. Risk is often seen as supporting an organization's governance and compliance functions.
On the other hand, enterprise risk management (ERM) is a strategic approach to managing risk at the organizational level. It involves identifying and evaluating risks that could impact an organization's ability to achieve its goals and objectives and implementing measures to mitigate or manage those risks. ERM is a helicopter view or aggregation of operational and tactical risks, and governance and compliance are seen as supporting elements in sound risk management. However, if not done well, governance and compliance can also be sources of risk.
Effective GRC and ERM practices are essential for any organization, as they help to ensure that risks are identified and managed effectively, allowing the organization to operate in a compliant and ethical manner. By implementing robust GRC and ERM processes and systems, organizations can protect themselves against potential risks and enhance their reputation and credibility.
TLDR: FAQ
Q: What is GRC?
A: Governance, risk, and compliance (GRC) is a broad term that refers to the processes and systems an organization uses to ensure that it operates in a compliant and ethical manner. GRC includes risk at all levels, including enterprise and operational, and focuses on governance and compliance. Risk is often seen as supporting an organization's governance and compliance functions.
Q: What is ERM?
Q: How do GRC and ERM differ?
Q: Are GRC and ERM mutually exclusive?
Q: Why are GRC and ERM important?
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