Enterprise risk management (ERM) software helps businesses mitigate risk to minimize financial, legal, and all other liabilities. Companies use ERM software to define, implement, and monitor company-wide strategies for risk management. Also known as GRC Platforms, this type of software covers multiple types of risks: financial, hazard, strategic, and operational. Features of ERM software include organizing and evaluating risk information, tracking company-wide incidents, and providing various tools for measuring risk factors and modifying operations to comply with policies and regulations. This type of software is used mostly by compliance officers, analysts, and managers. Operations teams within an organization utilize ERM software to maintain the integrity of their company and avoid scenarios such as lawsuits, investigations, and injuries.
ERM software should not be confused with cybersecurity software, which focuses on security and privacy and does not cover other risks. Our security compliance category includes solutions that help companies document compliance with security frameworks and pass security audits. This type of software integrates with environmental, quality, and safety management software for industries such as retail and manufacturing. The three ERM components—governance, risk, and compliance—impact the organization and reveal valuable information to the other two. Vendors typically package the best GRC software and ERM platforms as a whole to deliver these collective benefits to the user.
To qualify for inclusion in the Enterprise Risk Management (ERM) category, a product must:
Catalog, assess, and mitigate business-specific risks such as financial or health and safety
Provide tools to communicate risks to employees, customers, vendors, and suppliers
Create, maintain, and implement corporate policies and rules for internal and external use
Maintain an up-to-date repository of laws, regulations, and industry standards
Help users plan, implement, and track the performance of audit programs and tasks
Ensure business continuity management through incident management and risk mitigation
Deliver training and learning for compliance purposes, including certifications
Perform third-party, vendor, and supplier risk assessments and due diligence
Support multiple risk management methodologies, such as quantitative and qualitative
Gather and analyze environmental, social, and governance (ESG) data from various sources
