Global Governance, Risk Management And Compliance (GRC) Market Size, Share, Analysis 2032

Governance, Risk Management, And Compliance (GRC) Industry Prospective:

The global governance, risk management, and compliance (GRC) market size was worth around USD 48.7 billion in 2023 and is predicted to grow to around USD 179.5 billion by 2032, with a compound annual growth rate (CAGR) of roughly 15.6% between 2024 and 2032.

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Governance, Risk Management, And Compliance (GRC) Market: Overview

Organizations use a governance risk and compliance framework (GRC) to control the interactions among corporate governance policies, regulatory compliance, and enterprise risk management programs. GRC strategies are meant to help companies to guarantee moral behavior and improved coordination of people, technology, and procedures.

A well-considered GRC strategy can help address many problems with the traditional, segmented approach to risk and compliance, including misunderstandings, departmental conflict, and inefficiencies. Every company can gain from the GRC structure. Still, it's especially useful for large companies trying to effectively carry out cross-organizational governance, risk, and compliance programs.

Key Insights

• As per the analysis shared by our research analyst, the global Governance, Risk Management, and Compliance (GRC) market is estimated to grow annually at a CAGR of around 15.6% over the forecast period (2024-2032).
• In terms of revenue, the global Governance, Risk Management, and Compliance (GRC) market size was valued at around USD 48.7 billion in 2023 and is projected to reach USD 179.5 billion by 2032.
• The changing regulatory environment is expected to drive the Governance, Risk Management, and Compliance (GRC) market over the forecast period.
• Based on the type, the audit segment is expected to hold the largest market share over the forecast period.
• Based on the application, the BFSI segment is expected to dominate the market expansion over the projected period.
• Based on region, North America is expected to dominate the market during the forecast period.

Governance, Risk Management, And Compliance (GRC) Market: Growth Drivers

The growing focus of organizations to mitigate risk drives market growth

The growing awareness of the necessity to safeguard operations, assets, and reputation among businesses is driving market expansion by increasing attention to risk mitigation in different companies.

Moreover, GRC solutions provide a whole picture of risks across the business and help to recognize and minimize proactive threats. Furthermore, using centralizing risk assessment, monitoring, and reacting, these systems help to improve risk management strategies and decision-making.

Moreover, preventive approaches help to lower prospective hazards and preserve general corporate continuity. The growing demand to enhance decision-making processes and lower operational risks is driving the expansion of the Governance Risk Management and Compliance (GRC) market.

Governance, Risk Management, And Compliance (GRC) Market: Restraints

High implementation & maintenance costs hinder market growth

One of the primary obstacles to the GRC industry is the high installation and maintenance expenses, which could deter businesses, especially small and medium-sized enterprises (SMEs), from applying GRC solutions. Many GRC solutions depend on costly licenses, either subscription or per-user-based. Large companies require specific GRC systems, which drive even more costs.

To adopt on-site GRC solutions, one also needs investments in servers, security systems, and IT infrastructure. Data storage and transfer expenses could be relevant even for cloud-based solutions.

Governance, Risk Management, And Compliance (GRC) Market: Opportunities

Changing the regulatory framework offers a lucrative opportunity for market growth

Growing utilization of GRC systems spurred on by the changing regulatory environment is driving the expansion of the governance, risk management, and compliance market. Industries always have to deal with different standards and compliance criteria.

Businesses are negotiating these complex systems to remain out of legal and financial areas. GRC systems also ensure that businesses stay up-to-date with the most recent rules and offer a centralized way of tracking and controlling compliance projects.

Thus, the automation of compliance processes by these technologies increases accuracy and transparency, simplifies reporting and auditing, and reduces the labor involved in manual tasks, all of which help create a positive market environment.

Governance, Risk Management, And Compliance (GRC) Market: Challenges

The lack of skilled professionals poses a major challenge to market expansion

A major barrier preventing the governance, risk management, and compliance industry from expanding is the lack of competent professionals able to effectively monitor compliance processes, risk assessment, and governance structures. Demand is higher for professionals with an understanding of risk management, compliance rules, and cybersecurity.

For many companies, finding qualified risk analysts, GRC experts, and compliance officers presents a difficulty. Moreover, few consistent GRC training programs cover governance, risk, and compliance as a whole. Though available, certificates like CRISC (Certified in Risk and Information Systems Control) and CGEIT (Certified in Governance of Enterprise IT) are not regularly used.

Governance, Risk Management And Compliance (GRC) Market: Report Scope

Governance, Risk Management, And Compliance (GRC) Market: Segmentation

The global Governance, Risk Management, and Compliance (GRC) industry is segmented based on type, application, and region.

Based on the type, the global Governance, Risk Management, and Compliance (GRC) market is bifurcated into audit, risk management, enterprise management, compliance management, document management, business continuity management, and others. The audit segment is expected to hold the largest market share over the forecast period.

The need for sustainability consulting services has increased as a result of the implementation of new climate reporting rules. The GRC industry is expanding as a result of businesses spending more on sustainability audits to adhere to Environmental, Social, and Governance (ESG) laws.

Based on the application, the global Governance, Risk Management, and Compliance industry is bifurcated into BFSI, Construction & Engineering, Energy & Utilities, Government, Healthcare, Manufacturing, Retail & Consumer Goods, Telecom & IT, Transportation & Logistics, and Others.

The BFSI segment is expected to dominate the market expansion over the projected period. Advanced GRC solutions are required to handle operational and cybersecurity risks as a result of the additional risks brought about by the quick adoption of digital banking and fintech advances.

Governance, Risk Management, And Compliance Market: Regional Analysis

North America dominates the market over the projected period

North America is expected to dominate the global governance, risk management, and compliance market. The growing need for GRC systems to control risks and guarantee moral behavior is the reason for the geographical expansion.

Furthermore, a favorable market outlook is being provided by financial services' increasing use of integrated data platforms.

In addition, the market is expanding due to the growing need for risk management solutions for fraud detection. Furthermore, the market is expanding because of the growing usage of GRC in financial institutions to simplify financial data and obtain insightful information.

Governance, Risk Management, And Compliance (GRC) Market: Competitive Analysis

The global Governance, Risk Management And Compliance (GRC) market is dominated by players like:

• RSA Security LLC
• Software AG
• Oracle
• SAP
• IBM
• DTS Solution
• SAI Global
• SAS Institute
• Logicgate
• AuditBoard
• Evisort
• PwC
• EY
• KPMG
• Deloitte
• MetricStream
• Solix Technologies
• Appian
• Wolters Kluwer

The global Governance, Risk Management, and Compliance (GRC) market is segmented as follows:

By Type

• Audit
• Risk Management
• Enterprise Management
• Compliance Management
• Document Management
• Business Continuity Management
• Others

By Application

• BFSI
• Construction & Engineering
• Energy & Utilities
• Government
• Healthcare
• Manufacturing
• Retail & Consumer Goods
• Telecom & IT
• Transportation & Logistics
• Others

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa