SAI360 Benchmark Report Reveals High Compliance Costs, Urges Automation to Boost Efficiency

Aug 2, 2024

SAI360’s GRC Benchmark Report, conducted in collaboration with The Hague University of Applied Sciences, Peter Konings of Johnson Controls, and Thought Leader Global, shed light on the adoption of technology in compliance functions across various industries.

5 Benchmark Report Revelations

Data mining is the most widely used technology
Internal Audit leads in data mining maturity
76% of firms use manual methods for KRIs
Delays from manual tracking exceed six months
Automation may improve efficiency and response

A Deeper Dive on Benchmark Report Results

Survey findings revealed a varying degree of technology adoption, with data mining being the most widely used, followed by process mining and artificial intelligence (AI).

Internal Audit led in data mining maturity, likely due to the need for data analysis to identify risks, ensure regulatory compliance, and spot operational issues.

GRC benchmark report

However, the report highlighted a concerning underutilization of automation tools in compliance functions. A staggering 76% of firms with over 250 employees still relied on manual methods to measure their key risk indicators (KRIs). This reliance on manual processes for tracking KRIs contributes to delays, often exceeding six months, in responding to risk events.

The report emphasized the critical need for enhanced automation in risk identification and management processes to mitigate vulnerabilities and accelerate response times.

Three Key Takeaways:

Embracing technologies like process mining can provide insights into process efficiency and effectiveness.
AI can support tasks like predictive analytics for fraud detection.
Automated compliance monitoring can significantly improve compliance effectiveness.

Final Thoughts

While the adoption of advanced technologies in compliance functions is still in its early stages, this report underscores the potential benefits of integrating these solutions. By leveraging automation and advanced analytics, firms can streamline their compliance processes, reduce costs, and enhance their overall risk posture.