According to the 2016 State of the SOX/Internal Controls Market Survey, improving the efficiency of the SOX compliance function is a top priority for companies in 2017, but for many, changing standards and regulatory uncertainty may prove to be an obstacle. Evolving risks and changing standards, such as the new revenue recognition and lease accounting standards, are putting a strain on today’s business environment and integrated risk management programs.
Internal control, audit and enterprise risk management teams are tasked with adapting to these changes while boosting efficiency and lowering the cost of compliance. Here we will discuss three ways to boost efficiency and jump-start your integrated risk program including SOX compliance, internal audit and enterprise risk management.
1. Self Assessment – Eliminate Bad Habits and Start Better Ones
It’s very important to carry out a self-assessment of your integrated risk management practices. As part of these self assessments you will uncover some bad habits. For many organizations during self assessment they have found that they have too many or too little controls in their organization to manage their risks. Many companies struggle to find the right balance between managing risks and managing controls.
At ViClarity our solution manages this problem for you. Once your top risks are identified during the assessment period, relevant controls are then linked to the risks on the system. The performance of the mitigation control will have a significant impact on the level of risk withing the organization.
These controls will go towards reducing audit fees and other costs of compliance. Regulators reward good habits, companies are being recognized for their good work – self reporting and adjusting control environments to fix issues.
2. Evaluate Your Tools
Many organizations are challenged with integrated risk management programs that are managed by Excel or decades old technology. These manual based processes mean users are waiting for other team members to send information, files and emails over and back before finally putting a final document together. The delay ripples throughout the whole team and process, tightening deadlines and increasing pressure on all involved. The lack of transparency and accountability is big problem when regulators come knocking. Traditional documents and spreadsheets undermine your credibility, effectiveness and efficiency of the system.
3. Embrace New Technology
After evaluating your tools and seeing areas which can be improved on, it’s important to embrace new technology which could increase the efficiency of your team and the quality of your data. ViClarity is an Enterprise Risk Management (ERM) solution that enables your organization to effectively identify, monitor, score and report on risk.
ViClarity can be customized to meet the requirements of any organization as it enables the user to build compliance and performance monitoring processes to fit the exact needs of the business. You can choose from pre-populated integrated risk templates or customize one to suit. ViClarity enables organizations to track and manage all of your compliance obligations in one solution, providing a full audit trail, transparency and accountability throughout the organization.
These three steps are a starting point for evolving your organizations integrated risk program. In order for internal control, audit and enterprise risk management teams to effectively provide assurance across all three lines, they must have a system and tolls to support it. To reduce cost and complexity of your compliance programs, provide your teams with the best possible systems and technology to manage risks and optimize processes.
Give ViClarity a call today and organize a product demonstration to see how we can evolve your integrated risk program.
Phone: (201) 214 2859