A small, obscure, and misguided segment of the analyst community promotes Integrated Risk Management (IRM) as a replacement for Governance, Risk Management, and Compliance (GRC). This group incorrectly portrays GRC as focused on compliance, missing the broader and essential elements—governance and risk management—that are foundational and integral to GRC as established over two decades ago by the OCEG GRC Capability Model.
Understanding True GRC
GRC, clearly articulated by the OCEG GRC Capability Model, is defined as “a capability to reliably achieve objectives (Governance), address uncertainty (Risk Management), and act with integrity (Compliance).” It is critical to emphasize the structured sequence and inherent logic in this definition:
- Governance (G). Establishes clear organizational objectives and measures performance against these objectives. Without governance, an organization cannot define or assess success and will lack the foundation for meaningful risk management. This goes from entity level objectives down into operational level objectives.
- Risk Management (R). According to ISO 31000, the international standard for risk management, risk is “the effect of uncertainty on objectives.” Thus, risk management logically follows governance—it requires clearly articulated objectives as its necessary context.
- Compliance (C). Compliance ensures acting with integrity by adhering to both mandatory and voluntary obligations, forming the operational boundaries within which governance and risk management operate.
This logical structure—G flowing to R and bounded by C—is the true essence of GRC.
The Misguided Push for IRM
Despite the longstanding clarity and industry-wide acceptance of the GRC framework, a minor segment (one analyst) has attempted to elevate IRM as a superior or successor concept. Their argument suggests that traditional GRC has “failed” and is overly compliance-focused. This narrative is fundamentally flawed:
- It inaccurately redefines GRC as compliance-centric, ignoring the essential roles of governance and risk management.
- It overlooks that IRM, properly executed, is already encompassed within the risk management component of GRC.
- It mistakenly suggests that IRM technology is distinct or superior, despite the reality that IRM-labeled technology overlaps entirely with existing GRC solutions.
The reality is clear: IRM, when correctly understood, is simply the “R” in GRC—risk management integrated fully with governance and compliance.
OCEG’s Clear and Consistent Perspective
OCEG—the global authority on GRC—recognizes and clearly articulates this correct perspective. IRM, as OCEG presents it, serves governance and enhances compliance by effectively managing uncertainty in alignment with organizational objectives.
OCEG has actively reinforced this proper understanding of IRM by introducing the Integrated Risk Management Professional Certification, complementing their foundational certifications such as:
OCEG further supports specialized domain knowledge with certifications such as:
- Integrated Policy Management Professional
- Integrated Data Privacy Management Professional
- Integrated Audit & Assurance Professional
- Integrated Compliance & Ethics Professional
- Integrated Governance & Oversight Professional (coming soon)
- Integrated Strategy & Performance Professional (coming soon)
- Integrated Security & Continuity Professional (coming soon)
This suite of certifications reflects OCEG’s comprehensive approach, ensuring practitioners understand that IRM is not separate from but integral to the broader GRC strategy that governs it.
Organizations seeking meaningful results from their governance, risk, and compliance activities (strategy, people, process, and supporting technology) must reject misleading narratives that position IRM in opposition to GRC. True IRM exists within GRC, guided by clear governance objectives and defined compliance boundaries.
For more clarity and guidance, organizations and professionals are encouraged to explore OCEG’s robust framework and certifications, reinforcing that true IRM is always and only meaningful within the comprehensive context of GRC.