Governance, Risk and Compliance Explained. GRC stands for Governance, Risk and Compliance, and is a system used by organizations to structure governance, risk management and regulatory compliance. The concept is to unify and align an organization’s approach to risk management and regulatory compliance.How does risk management contribute to good governance?
Governance and risk management are mutually reinforcing, as they are both effective. The proper risk management functions in place can help organizations identify, mitigate, and control their greatest risks – to a certain extent. Why Is Risk Management Important In The Governance Framework?What is compliance and risk management?
Without a doubt, compliance and risk management are closely aligned: Compliance with established rules and regulations helps protect organizations from a variety of unique risks, while risk management helps protect organizations from risks that could lead to non-compliance—a risk, itself.