Challenges of Legacy GRC Tools in Risk Management

This eBook serves as a technical report detailing the challenges associated with legacy Governance, Risk, and Compliance (GRC) tools. It outlines how these tools, initially designed to simplify risk management, have evolved into sources of complexity that hinder operational efficiency. The report discusses the fragmentation of risk information across multiple systems, leading to increased operational friction and delayed decision-making. It highlights the significant costs incurred by organizations due to outdated systems, with an average enterprise wasting US$370 million annually on technical debt. The text elaborates on the rise of shadow ecosystems as teams create workarounds to cope with the inefficiencies of legacy systems. Furthermore, it addresses the growing pressures from regulatory demands and artificial intelligence, which exacerbate the challenges faced by GRC platforms. The report emphasizes the need for organizations to transition from complexity to clarity in their risk management processes.