eGRC Market

Global eGRC Market Size & Growth Analysis (2021 – 2026)

The global enterprise governance, risk and compliance (eGRC) market is projected to grow from $ 32.6 billion in 2019 to $ 61.2 billion in 2025, at a compound annual growth rate (CAGR) of 13.4% over the outlook period.

Enterprise governance, risk and compliance (eGRC) is a new age policy that helps companies to monitor and secure their operations against various risks while improving productivity. eGRC helps companies reduce costs, streamline controls and identify operational inefficiencies. In other words, it integrates data, policies and controls and develops results strategically.

The main factors driving the growth of the eGRC market include the growing need to fulfil strict mandatory compliance and to have a view of the growing need for a comprehensive vision of policy, compliance, data related to risks and increased data and security breaches. In addition, the increasing integration of artificial intelligence (AI) and blockchain technologies with GRC solutions would provide opportunities for eGRC providers.

Recent DEVELOPMENTS:

• In May 2019, IBM collaborated with Thomson Reuters to help banks meet growing regulatory requirements. The collaboration aims to combine artificial intelligence (AI) and regulatory information in real time to improve risk management. Artificial intelligence offers access to RegTech, an IBM cloud solution that provides real-time financial information.
• In October 2018, Oracle introduced an artificial intelligence risk management cloud that provides customers with improved security capabilities and better fraud monitoring. It also provides advanced analytics to design, separate the tasks, secure data and avoid fraud.
• In February 2018, Microsoft released a new compliance tool, Compliance Manager that helps organizations meet their compliance obligations, such as the EU GDPR, ISO 27001, ISO 27018, NIST 800-53, NIST 800-171 and HIPAA.

Market growth and trends:

BFSI is the largest revenue contributor in the global eGRC market, and the industry faces increasing pressure to improve its overall performance and provide a seamless experience for its customers. Therefore, the vertical BFSI is looking for a framework that can help organizations meet various regulatory and compliance requirements, which acts an influencing factor for the eGRC market.

Impact of Covid-19 on the Global eGRC Market:

Due to the recent COVID-19 outbreak, risk managers and compliance officers are struggling to cope with this pandemic. In this situation, optimizing risk management has quickly become one of the best defenses an organization can have to ensure business continuity. Businesses leverage the capabilities of their risk management teams through smart investments in risk technology. While proactivity is the best option for managing risk under normal circumstances, since the pandemic is a risk that has already been updated, it has focused on approaches that can react quickly to the latest developments. In addition, compliance officers around the world ensure compliance with the rules and regulations established by state governments to contain the virus.

Market Drivers and Restraints:

The organizations seeking to reduce costs and strengthen their decision-making capabilities to improve business performance has become one of the most powerful growth engines in the global eGRC market. We have already underlined existing enterprise resource planning (ERP) systems and inadequate monitoring capabilities of existing systems have completed the adoption of eGRC systems. Additionally, increased regulatory requirements and demand for corporate governance have fuelled the adoption of eGRC solutions among companies. However, a lack of knowledge of eGRC, particularly in small and medium-sized enterprises, is expected to erode the growth of its market, which is expected to have a significant impact at the beginning of the forecast period. At the same time, continuous trade changes and increasingly strong federal laws can slow growth in the global eGRC market. Furthermore, improving the IT ecosystem, particularly in the Asia-Pacific region, should lead to significant growth in the eGRC market in the short term.

The structure of regulatory policies changes from one country to another and from one company to another. Several countries do not have a designated body to govern these policies. These must be regulated and applied taking into account various factors such as microeconomic risk factors and trade requirements. This factor, that is, the lack of a clear standard to follow, is considered as one of the factors limiting the growth of the global eGRC market. These factors also make it difficult for eGRC solution providers to meet various end-user requirements. In some regions, where the governing bodies do not impose any regulatory structure and standards, organizations focus on the implementation of internal regulatory guidelines and policies.

EGRC MARKET REPORT COVERAGE:

eGRC Market segmentation:

The global eGRC market is segmented by business function, type, services, and vertical.

eGRC Market By Business Function: 

Depending on the business function, the eGRC market is classified as IT, Finance, Operations, and Legal.

eGRC Market By Type:

Based on the type, the global market is divided into policy management, compliance management, audit management, incident management, and risk management.

eGRC Market By Services:

In terms of services, the eGRC market is subdivided into installation and training, advice and assistance.

eGRC Market By Vertical:

Based on the vertical, the eGRC market is segmented into telecommunications and computing, manufacturing, healthcare, banking, financial and insurance services (BFSI), energy and public services, retail and hospitality, government, mining, and others. Among these, banking, financial services and insurance (BFSI) segment is expected to maintain the substantial market size over the foreseen period.

Regional Analysis:

The global eGRC market is segmented into various geographic areas such as North America, Europe, Asia-Pacific, Middle East and Africa and South America.

North America is expected to have the largest size in the global eGRC market. This region is home to large suppliers that adopt various organic and inorganic strategies to maintain their competitive position in the market. While the growth rate in the APAC region is expected to be the highest during the forecast period, its growth is attributed to several eGRC providers who are expanding their reach in the region to meet changing customer needs.

Key players in the market:

The main providers in the global eGRC market are IBM (United States), Microsoft (United States), Oracle (United States), SAP (Germany), SAS Institute (United States), Thomson Reuter (Canada), Wolters Kluwer (Countries Bass), Dell EMC (United States), FIS (United States), MetricStream (United States), Software AG (Germany), SAI Global (United States), ProcessGene (Israel), LogicManager (United States), NAVEX Global (United States), Ideagen (United Kingdom), Alyne (Germany) and MEGA International (France). These providers have adopted various organic and inorganic growth strategies, such as new product launches, partnerships and collaborations, mergers and acquisitions, to further expand their presence in the global market.