Risk Management Process in Cloud Computing
In light of the challenging economy, a greater number of financial institutions are implementing more comprehensive risk management strategies, partly out of a desire to guard against risk but also to support and seek new lending opportunities.
This much was made clear in a recent study co-sponsored by North Carolina State University and the American Institute of Certified Public Accountants (AICPA), which reported that 23.4 percent of the 600 surveyed banking executives had seen a corporate risk management framework implemented within their institution.
However, the question remains – what’s holding back the other 76 percent of respondents? What factors prevent these executives from championing the use of a more effective risk management system within their businesses?
In a webinar on the website Bank Info Security, Ron Ross of the National Institute of Standards and Technology says costs are often the top inhibitor to substantive risk management systems, with many bank executives reluctant to make the financial investment needed to implement these solutions.
At the same time, Ross says expenses become less of a concern when businesses implement risk management software that operates within a cloud computing framework.
“Cloud computing can save a number of resources,” Ross told the source. “That’s where I would start. Because if you could reduce the digital footprint, it allows us to manage complexity, we can save money on the IT infrastructure, and then possibly reinvest some of that money into strong cybersecurity measures to include some of the automated tools.”
Ross presents a valid endorsement of the cost considerations of a cloud computing-backed risk management software, and executives considering such a platform may also take note of the benefits of remote storage as a disaster recovery precaution, another top reason to consider SaaS risk management software.