The heavy reliance on IT has created a need to organize, store and maintain both data and workflows to execute and manage risk and compliance activity across the enterprise. To avoid redundancy, organizations should form a core team on which they could rely and that would be associated with organization till desired road map is achieved as per the mission and vision of the organization. No matter how many control, checks and balances you introduce in the system but if an organization does not exercise its power at different levels then it cannot grow. They will also be at risk always.
CROs today face an unprecedented number of emerging risks that can threaten corporate strategy if they are not identified quickly and managed properly. There are only two risks which are most critical and rest others are manageable- one is how you take care of your people and other is wrong selection of project and a CFO’s inability to say NO to promoters and investors. If these could be addressed then the organization would grow for sure. So CRO has to lead by examples and support his team members. That comes with the involvement of a CFO with the rest of the team members in the organization while making an informal connection with every senior team member across all locations. This helps to form a vision and give assurance and guarantee that the team will sustain and project well for the organization.
Tools and Processes Are Needed To Enhance Risk Visibility across the Enterprise
Setting up policies, Processes always helps an organization. If it is supported by automation, it gives a solid foundation to organization. Tools could be deployed, but if the OEM does not have updates frequently such as changes in rules and regulation by government, certain areas of the organization is put to risk. The other critical area is how well established is their technical team in doing changes on the fly in the product. As having an outdated product or a non responsive support team could kill organizational growth and increases risk. A decentralization of roles and responsibilities in organizational compliance framework is a must as corporate office could not be held responsible for everything, as it is a joint responsibility of remote offices to keep them up to date about the statutory compliances.
Most organizations today rely heavily on an extended network of suppliers, vendors and third party intermediaries. With the role of third parties in companies’ interactions growing substantially and supply chains becoming more stretched, how important is third party risk management for companies today. Awareness for both internal and external people is a must. For example, if we get an NDA signed but don’t remind people regularly about the results of breaching that NDA, we are increasing risk. This lack of awareness cause heavy losses to organizations in terms of Ransomeware and other information breaches. People claim that it was done unknowingly or by mistake but not intentional. A strong policy is required to be set and a strong action should be taken upon breach, else it would be ineffective and useless for organization allowing people to easily cause damage to business.
Organization should start paying attention towards security framework. It is an eye opener for them to look after risks, which are never been thought by business owners since their interest lies in only business. But these days organization should follow an open minded approach towards risk associated with information technology and security. Being in the race for Digital India; Awareness is the key across all levels in the organization. Awareness leads people making informed moves during unpleasant situations.
