Risk and Compliance Management Using ARIS
Entrepreneurs are always aware of the risks in a business but do they manage the risks well? No, most startup companies fail at risk and compliance management which can be responsible for the company’s degrowth.
As this is the age of Entrepreneurship, it can also be called the age of Automation. It is the primary reason businesses become technologically advanced and customer-oriented with the best output. The software tools like ARIS play a significant role in business process management, including risk and compliance management.
What is Risk and Compliance Management?
Before initiating a business, it is mandatory to envision the potential risks the company can face and establish a compliance system to which all the employees and business owners are bound. Creating a compliance system to reduce or eliminate the potential risks is known as Risk and Compliance Management.
Now the question arises as to why is it necessary? First, it plays a crucial role in protecting the company from unpredictable situations. Businesses face completely unforeseen and challenging conditions from time to time; hence it’s ideal to prepare yourselves for the worst to avoid failures in the most unprecedented times. As the age-old proverb goes- “Prevention is better than Cure.”
What is an ARIS Tool?
ARIS stands for Architecture of Integrated Information Systems. It is a tool used for business process management. It helps in the business process documentation, designing, analysis, assessment, and optimization of various processes in your business. It also provides Risk and Compliance Management for businesses. It is the trending bpm tool for enterprises that chase growth and higher scales.
How does ARIS help in Risk and Compliance Management?
Efficient Risk and Compliance Management is a myth as believed by many entrepreneurs. Still, the ARIS tool proves them wrong by providing excellent governance, risk, and compliance management (GRC).
It ensures compliance with internal and external guidelines, rules, regulations, and laws All the above compliance systems assist in the management of significant operational risks. The various risk and compliance management features provided by the tool are:
- Identification of risks
● It is crucial to identify the potential risks in a company and document them to help in better assessment and analysis of the risks.
● It also helps design an efficient compliance system that can eliminate the risks, the primary objective.
- Managing Losses and Incidents
● The entrepreneurs should study all the business processes in detail to identify the issues and incidents in a workflow.
● The incidents can pose a potential risk to entrepreneurs; hence compilation of a proper management system should avoid losses.
- Establishing Internal controls
● Internal controls can form an excellent compliance system for workflows to eliminate processing risks.
● ARIS Process Mapping regulatory requirements in various business processes are one way to avoid risks in a company.
- Conducting Audits
● The integrated system provided by ARIS helps in seamless audits.
● It plans, manages, and executes audits without any complications.
- Standard Operating Procedures
● SOPs form the core of any company. Therefore, every new employee is trained to follow the standard operating procedures.
● The incapability of any employee to abide by the SOPs is considered a significant risk for the business.
● ARIS tool manages a confirmation process that ensures the newbies are trained and have understood the SOPs well post that they can continue to work in the company.
● It eliminates the most fundamental risk factor and helps reduce primary glitches in a company.
- GDPR Compliance
● GDPR stands for General Data Protection Regulation Compliance.
● The tool offers sustainable GDPR compliance to businesses by using strategies like policy management, surveys, and workflows for data management and the protection of impact assessments.
How does GDPR Compliance in ARIS work?
ARIS provides various features to ensure efficient GDPR compliance; some of them are,
– It provides an understanding of the GDPR content, including the technical terms.
– It runs surveys for PA documentation (PADs).
– It also provides Data Protection Impact Assessment (DPIA). The DPO should assess the data based on the impact of potential risks to the company.
– It records processing activities required for data controllers and data processors related to privacy data.
– It provides GDPR-tailored dashboards where logs of all the activities are entered through which the Data Processing Officer (DPO) can detect issues at the earliest and try to resolve them.
– The tool has GDPR Accelerators that help add filters to privacy-related documents, classify data objects with data privacy attributes, and method extensions that include risk assignment.
– ARIS provides a reporting tool that the DPO can use after completing all the above steps.
Businesses can be small or big, but a compliance system is mandatory. A compliance system ensures that all employees follow the set rules and regulations of the company and abide by them in all situations.
Complying to a set of rules plays a significant role in managing the fundamental risk factors that threaten a business. Risk factors are, of course, a probability, but it pains to watch the risks coming to reality and becoming a reason for the failure of your company.
Hence, choosing the best available risk and compliance management options is wise. Among the best tools for the same purpose is ARIS. It provides an end-to-end solution for all the potential risks a company can pose and helps grow your company to greater scales.
Businesses are not just about investing money and resources, but it is the collaboration of dreams, sleepless nights, hard work, sacrifice, dedication, determination, patience, and a vision to become the best. All the above aspects weigh way more than money and resources. Hence, entrepreneurs make better decisions and incorporate better tools to scale up and maintain their position up in the sky.