"Smart Strategies, Giving Speed to your Growth Trajectory"
The global enterprise governance, risk, and compliance (eGRC) market size was USD 24.26 billion in 2019 and is projected to reach USD 64.55 billion by 2027, exhibiting a CAGR of 13.3% during the forecast period.
The growth of this market is attributable to the increasing demand for comprehensive solutions by end-use organizations to overcome the reputational and monetary risks of non-compliance. Organizations worldwide are adopting enterprise GRC solutions to leverage various features such as business resiliency applications, risk & compliance management, and audit management, among others.
In addition, the rising instances of cyber-attacks across the globe are likely to fuel the growth of the market. According to the EC-Council, in 2019, a 300% increase in cyber-attacks on IoT devices was witnessed as compared to 2018. This has encouraged enterprises to adopt innovative risk management solutions to eliminate the risks of cyber-attacks.
The rising adoption of eGRC solutions assists enterprises to meet challenges of regulatory change, cybersecurity threats, third-party exposure, reputation risk, and others. According to the Open Compliance and Ethics Group (OCEG) survey, in 2018, around 85% of enterprises interviewed are convinced that they would benefit from implementing eGRC solutions. In addition, the rising demand for these tools based on innovative technologies such as artificial intelligence (AI), cloud, and big data, among others, is likely to drive the growth of the market.
Surge in eGRC Solutions amid Covid-19 to Create a Massive Platform for End-users
The COVID-19 crisis has created a sense of panic across the globe. The rapid spread of the coronavirus has compelled various governments to implement social distancing measures and strict lockdowns. In large organizations, compliance officers and risk managers are struggling to tackle this pandemic. In the current situation, risk management optimization through eGRC solutions has emerged as one of the best solutions an enterprise can have to ensure business continuity. Various enterprises are leveraging the capabilities of their risk administration teams via smart investments into risk management technologies. Hence, they are increasingly adopting these solutions to help employers to address exposures related to COVID-19.
Such active initiatives are expected to drive the enterprise governance, risk, and compliance (eGRC) market growth in the coming period.
Request a Free sample to learn more about this report.
Integration of the AI, IoT, and ML with eGRC Solutions to Aid Market Growth
The rising trend of integration of core technologies such as AI, the Internet of Things (IoT), and machine learning (ML) with eGRC solutions is expected to accelerate the growth of the market. The AI-powered solutions are gaining traction as they provide efficient analysis capabilities and enable the processing of large volumes of data that various governments and enterprises have to deal with daily. These solutions also have other advantages such as improved effectiveness, process optimization, reduced costs, and others. Key market players are focusing on launching advanced solutions based on AI and ML technologies to enhance their market presence.
Increasing Stringency of Compliance Mandates for Enterprises to Drive the Market
The rising complexity of regulatory standards and the need to comply with different regulations imposed by governing bodies are likely to create massive demand for eGRC systems. eGRC policies directly influence IT infrastructure and related business processes. Enterprises are focused on shifting from traditional regulatory compliance rules and directives such as the Sarbanes-Oxley Act (SOX) to advanced risk- and compliance-related regulatory concerns.
In the current economic scenario, various enterprises are adopting eGRC solutions for the advancement of their business road maps. Staying compliant with regulations such as HIPAA, GDPR, COBIT, and other states & federal mandates is becoming critical for enterprises to avoid operational loss. Failure to meet these regulations and requirements can result in devastating business losses. Therefore, the rising stringency of compliance mandates is likely to drive the market growth for enterprise governance, risk, and compliance in the forthcoming years.
The following are some regulations and compliance acts in North America & Europe:
Varying Structure of Regulatory Policies May Inhibit Market Growth
The market is growing at a rapid pace, attributable to its multi-tasking abilities across various verticals. The structure of regulatory policies and governance changes from business to business and country to country. Various countries such as Afghanistan, Iraq, and Nigeria do not have an assigned body to implement regulatory policies. Such policies need to be executed and regulated by considering multiple factors, such as micro and macro-economic risk factors along with the business requirements. This is considered as one of the restraining factors for the growth of this market. Such factors are making it difficult for GRC solution suppliers to cater to the different end-user requirements. In some regions, where there is a lack of regulatory standards and structures imposed by governing bodies, the enterprises are focused on executing in-house regulatory policies and guidelines.
Increasing Implementation of eGRC Software among Enterprises to Propel the Market
The enterprise governance, risk, and compliance (eGRC) market, by component, has been bifurcated into software and services. Among these, the software segment is estimated to hold the largest market share in the forecast period. Its growth is attributable to the rising demand for solutions such as the GRC Envelop, SAP GRC, IBM OpenPages, and SAI360, among others. With the increasing requirement for the streamlined and automated eGRC programs, the demand for eGRC software is expected to surge in the near future.
The services segment is expected to grow at a significant CAGR during the forecast period. This growth is attributable to the rising adoption of strategic insights and advisory services to tackle the various risk and compliance challenges faced by enterprises.
Rising Demand from Enterprises for Cloud-based Deployment Will Support Growth of the Market
Based on deployment, the market is divided into cloud-based and on-premise. The on-premise segment is likely to have the maximum market revenue share. The growth is owing to the increasing adoption of on-premise deployment of enterprise governance, risk, and compliance systems across SMEs in response to the increasing data security concerns and maintenance of information security systems.
The cloud segment is anticipated to exhibit the highest CAGR during the forecast period. This is attributable to the rising adoption of cloud-based solutions to gain an in-depth analysis of risk and reduce the overall complexity of operations.
Implementation of eGRC Solutions among SMEs to Aid Market Growth
Based on organization size, the market is divided into large enterprises and small & medium enterprises.
Among these, the small & medium enterprises (SMEs) segment is expected to hold a higher market shares during the forecast period. SMEs are focused on deploying cost-effective solutions integrated with digital technologies such as cloud, AI, and others in their business operations. Rising government regulations for SMEs to secure customers’ data is likely to boost spending on solutions and services.
The large enterprise segment is projected to grow at the highest CAGR during the forecast period. These solutions allow large enterprises to increase their operational efficiency and to provide better customer experience.
To know how our report can help streamline your business, Speak to Analyst
Adoption of eGRC Solutions in the Government Sector to Fuel the Market
Based on industry verticals, the market is segmented into BFSI, healthcare, government, energy & utilities, manufacturing, retail & consumer goods, telecom & IT, and others.
Among these, the government segment is expected to hold the dominant share during the forecast period. The demand for eGRC solutions in the government sector is gaining traction owing to their cost-effectiveness and ease-of-use. These solutions enable government regulatory and state-owned organizations to make their compliance and risk initiatives more efficient and effective.
The healthcare segment is likely to register significant growth during the forecast period. This growth is attributable to the rising adoption of cloud-based eGRC solutions to eliminate information security and privacy concerns.
Besides, rising implementation of these solutions across other industry verticals such as BFSI, energy & utilities, manufacturing, retail & consumer goods, telecom & IT, and others is likely to further propel the enterprise governance, risk, and compliance market growth.
North America Enterprise Governance, Risk, and Compliance (eGRC) Market Size, 2019 (USD Billion)
To get more information on the regional analysis of this market, Request a Free sample
Geographically, the global market is segmented into five major regions, namely North America, Europe, Asia Pacific, the Middle East & Africa, and Latin America.
North America is expected to dominate the enterprise governance, risk, and compliance market share in terms of revenue during the forecast period. The early adoption of advanced technologies and the presence of major players such as IBM Corporation, Oracle Corporation, Microsoft Corporation, and others are boosting the demand for these solutions. Moreover, the rising adoption of cloud-based computing systems and the growing vulnerability of data breaches to cyber threats are expected to further boost the regional market growth. Other market players are focusing on launching new products to expand their geographic presence.
Asia Pacific is expected to grow exponentially during the forecast period. This growth is attributable to the rising demand for solutions that provide outstanding governance, risk, and compliance consulting solutions to enterprises globally. Key market players are focusing on merger and acquisition strategies to enhance their product portfolio.
Europe is expected to display a substantial CAGR during the forecast period. The growth is attributable to the presence of a considerable number of eGRC solution providers.
The Middle East & Africa and Latin American regions are expected to experience a steadily rising CAGR during the forecast period. This growth is attributable to the rising investment by local governments to adopt advanced technologies such as 5G, AI, ML, IoT, cloud, and others.
Emphasis of Key Players towards Developing Innovative eGRC Solutions to Strengthen Competition
Major players such as SAP SE, MetricStream Inc., IBM Corporation, and Microsoft Corporation are strengthening their market position by upgrading their existing product lines. In addition, key players are now deploying eGRC solutions with advanced technologies such as AI, ML, IoT, cloud, and others to enhance the products and deliver cutting-edge solutions.
An Infographic Representation of Enterprise Governance, Risk and Compliance (eGRC) Market
To get information on various segments, share your queries with us
The enterprise governance, risk, and compliance (eGRC) market research report provides a detailed analysis of the market and focuses on key aspects such as leading companies, product types, and leading applications of the product. Besides this, the report offers insights into the market trends and highlights key industry developments. In addition to the aforementioned factors, the report encompasses several factors that have contributed to the growth of the advanced market over the past few years.
2016 – 2027
2020 – 2027
2016 – 2018
Value (USD Billion)
By Deployment Model
By Organization size
Fortune Business Insights says that the global eGRC market value stood at USD 24.26 billion in 2019.
By 2027, the market size is expected to reach USD 64.55 billion.
The market is expected to grow at a CAGR of 13.3% during the forecast period (2020-2027).
Within the component segment, the software segment is expected to lead the global market share during the forecast period.
The rising demand for mandatory regulatory & compliance policies is one of the key drivers for market growth
SAP SE, MetricStream Inc., Thomson Reuters, Wolters Kluwer, IBM Corporation, and Microsoft Corporation are the top companies in the market
The government segment holds the major market share
“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”- One of the Leading Food Companies in Germany
“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”- Intuitive Surgical
“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”- Major Food Company in Japan
“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”- Ziering Medical
“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”- Major Manufacturer of Precision Machine Parts in India
“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”- Hewlett-Packard
“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”- Global Management Consulting Firm
“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”- UK-based Start-up in the Medical Devices Sector
“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”- One of the Largest Companies in the Defence Industry