The idea of automating governance, risk and compliance ( GRC ) processes to streamline auditing is not exactly new. Several auditing firms have used automation tools for some time to help them with the processes involved with analyzing inspection evidence and communicating with stakeholders. These are usually those that they create internally.

These GRC devices provide auditing with some degree of efficiency. However, they only go so far in reducing risk, performance, and speed to difficult auditing processes on their own.

GRC resources can simplify workflows for businesses and their auditors in new and potent ways by bridging the gaps in the standard security and compliance automation. This article explains how auditors may take advantage of a more contemporary method to GRC technology and how it might be done.

The principles of GRC technology

Assessments are typically a difficult and intimidating process that spans nearly all industries and organization types. They demand the gathering and analysis of sizable reams of data. Businesses having to navigate the complex environment of systems and standards is the main concern. Auditors must continually figure out how to interpret platform requirements, ensure that their clients are receiving the appropriate evidence from their clients, and ensure that the evidence adheres to the standards established by the relevant frameworks. Additionally, they frequently involve a large number of participants, who must communicate frequently over the course of several weeks or months to finish an assessment.

In the past, auditing companies ‘ efforts to simplify the accounting process through automation tools primarily focused on centralizing data variety and communication.

Safety and compliance automation’s deficiencies for auditing

Traditional GRC technology applications usually fails to centralize requests and data collection, leading to greater productivity. It overlooks various aspects of the accounting process that can be tiresome, time-consuming and prone to errors, like as:

  • Traditional approaches frequently require staff members to log into different systems or delve deeply into user interfaces to find customer data. This is because even if the data is kept in one central platform, it does n’t mean auditors can easily locate all the data submitted in response to a sizable volume of requests.
  • The company’s side usually performs the processing of submitting data manually. Automating the request does n’t translate to automating request fulfillment.
  • There is no way to quickly verify that a customer’s data corresponds to the requirements of the accountant.
  • Customers ‘ data is frequently not instantly linked to a particular compliance condition. These representations must be created manually by the audience.

Traditional security and compliance technology solutions in the accounting business fall short of actually reducing the amount of time and human effort required by both auditors and customers in light of shortcomings like these. Despite the types of compliance frameworks they need to help or the information they submit, they’ve also made it difficult to implement completely standardized approaches to automatic accounting that work across various businesses.

Unfortunately, these issues convert to higher fees and a higher level of risk for accountants. The more manual labor required to finish an assessment, the more staff members there are, and the greater the chance of mistakes due to human error.

advancing accounting technology

Luckily, addressing these deficiencies is achievable. Instead of having to manually complete every request, the solution starts with implementing procedures that automatically pull information from consumers ‘” source of truth” techniques. Although consumers may still need to manually enter some data, this kind of technology is significantly shorten the amount of work, time, and risk involved in gathering it.

Auditors can then benefit from machines that make compliance systems ‘ core operational components more transparent. They can also use their data to identify customer compliance requirements, reducing the need for staff to physically look up information when determining whether a customer meets their needs.

Up, GRC technology features like these enable auditors to gather the necessary data, connect it to appropriate conformity requirements, and assess each customer’s compliance status as quickly and effectively as possible.

Next-level surveillance and adherence technology looks like this. Instead of reversing classic automation methods, it expands upon them by adding potent innovative features that go beyond the simple automation of workflows like initiating requests. The end result is a better experience for customers as well as more cost-effective and successful procedures for auditors.

By Martin Davies