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Why GRC Systems Fail & How to Unlock Real Value

Why GRC Systems Fail & How to Unlock Real Value

Many organisations invest heavily in GRC platforms expecting instant transformation and a strategic engine – only to find they’ve just gained a static reporting tool.

With regulators like APRA explicitly requiring organisations to maintain robust risk management information systems through   CPS 220 (Risk Management) and CPS 230 (Operational Risk & Resilience), it is no longer enough to just own a system.

GRC systems must be implemented effectively, governed properly and capable of supporting real risk insight and decision-making.

Common GRC System Pitfalls

Many GRC systems fail not because of the software, but because of the environment they’re dropped into. Why the gap between expectation and reality?

1. No Clear Problem Definition

Organisations often implement a GRC system without clearly defining the core problem. Is it risk visibility? Compliance tracking? Audit management? Incident management? All the above?

Without clarity, the system becomes a catch-all tool with no meaningful impact.

2. Immature or Inconsistent Processes

Automating broken processes doesn’t fix them; it simply institutionalises inefficiency. If risk assessments, incident reporting or compliance workflows are inconsistent or manual, the system will mirror confusion rather than deliver control.

3. Poor Data Foundations

Garbage in, garbage out!

GRC systems are only as strong as the data they consume. Inconsistent risk registers, outdated policies, and fragmented reporting produce dashboards that look impressive but lack accuracy or trustworthiness.

4. Lack of Change Management & User Engagement

A common but fatal error, teams assume users will “figure it out”. Without proper training, stakeholder buy-in, and ongoing governance, adoption stalls and the system is underused or abandoned.

This problem is further exacerbated when key staff leave.

Technology Alone Isn’t GRC

To function properly, a GRC system requires solid foundations that include:

  • Clear Governance – Who owns risk? Who approves controls and exceptions?
  • Defined Processes – How do we escalate issues? Track actions? Monitor compliance?
  • People & Roles – Do executives trust the outputs? Do users understand their responsibilities?
  • Culture & Accountability – Are teams using the system, or still operating in spreadsheets?

Without these components, even the most powerful and expensive GRC platform becomes nothing more than a database with reporting features — not a decision-making engine.

What GRC Success Looks Like

A successful GRC implementation goes far beyond configuration. It transforms how decisions are made. High-performing GRC systems deliver:

  • Trustworthy Data & Insights – Executives and Boards rely on it for governance, reporting, and assurance.
  • True Integration – Risk, compliance, audit, incidents and actions linked in one ecosystem.
  • Active Adoption & Engagement – Staff use it daily because it simplifies their work.
  • Continuous Improvement – Dashboards and workflows evolve with the organisation, not remain static after go-live.

In short, the GRC system moves from being a reporting database to a strategic platform for governance, risk and compliance intelligence,

How InConsult Bridges the Gap

Want your GRC system to deliver real value? Discover InConsult’s GRC Assurance and Optimisation services. As experienced risk, compliance and audit practitioners, we:

  • Assess readiness before selection.
  • Align processes and frameworks before configuration.
  • Support user adoption and data integrity.
  • Review performance post-implementation to ensure ongoing value.

Bring people, systems and processes together to better manage risk and compliance, contact us to discuss your GRC needs.

 

 

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