Technology plays a vital role in the utility industry by offering various solutions to counter GRC issues.
FREMONT, CA: Governance, risk management, and compliance (GRC) is one of the primary challenges for firms, and the emergence of technology has further pushed the standards. The utility sector is also evolving rapidly to match the technological, regulatory, and security requirements of the present times. Like other sectors, utilities also face various compliance obligations, risky investments in projects, and management of the available resources. Increasingly, utility companies are adopting technologies such as machine learning (ML) to improve GRC. Here are some of the technological trends catering to GRC.
Integrated Utility Businesses
With the incorporation of technologies, utility firms are getting more interconnected. However, the interconnected nature of the companies has its fair share of risks. Increasingly, the companies are utilizing the services of third-parties to mitigate risks as well as for other services. Thus, the enterprises need to ensure internal security as well as that of the third party. Firms have realized the potential threats involved and are introducing third-party risk management programs to counter potential threats.
Solutions Countering Data Threats
According to a report from The Economist, data is the world’s most valuable resource. Utility firms are receiving, processing, and sharing massive amounts of the user as well as internal data. Managing such a vast stream of data can be challenging for the GRC personnel due to the compliance issues as well as the obvious security threats. Thus, the emerging compliance frameworks need to be flexible and scalable to the ever-increasing data.
Artificial Intelligence (AI)
With an increase in the enormity and complexity of the utility data sets, enterprises are switching to AI-based solutions to manage and utilize those data effectively. AI enables the utility firms to analyze data at scale and identify patterns and anomalies that could contribute to the potential security loopholes in the future. Further, AI-driven solutions can also help automatically organize and monitor the data sets. Thus, AI will also enable the utility firms to keep compliance issues in check.
Utility firms are constantly trying to counter the pressing GRC issues through technology. With further advancements in technology, keeping GRC in check will become easier.