Are you managing GRC in the most effective manner? Is it contributing to business governance or becoming a burden ? We will discuss the current state of GRC and recognized business drivers as well as supportive risk management infrastructures. Strategies for the alignment of business interests with enterprise GRC programs to establish a complete, auditable, less time consuming program which benefits from management visibility and compliance readiness will additionally be presented. Utilize GRC to manage your business, not to burden it. James P Finn, Modulo James has twenty five years experience in security and disaster recovery consulting, managing and delivering enterprise solutions to more than 200 worldwide commercial and government clients. He has held various management and consulting positions in the information security field including as a worldwide IBM Corporate Auditor for Information Security reporting to the Corporation’s Board of Directors and the as the founding Principal of both the IBM and Unisys Security Consulting Practices and as Vice President of Risk Management for Modulo. He has consulted in more than 38 countries (U.S., Asia, Europe, South America) on business, technical security and recovery solutions to assist clients to achieve and maintain effective goverance across the full spectrum of security and business recovery disciplines. James is a Microsoft MSRA trained assessor, a KPMG trained SOX auditor and also holds Business Continuity certifications. He is frequently requested as a speaker at international industry conferences, live webcasts and TV and radio news shows and is the author of over 50 media articles on computer security

1. GRC
The Way Forward
James Finn
MODULO
james.finn@modulo.com

2. Agenda
• GRC Current State
• Business Risk
• Risk Management Evolution
• GRC Maturity Goals
• Your Risk Management
• Business Challenges
• GRC Automation Best Practices
• Questions ?

3. GRC Current State
• A reactive and siloed approach to GRC is a recipe for disaster and leads to . . .
• Lack of visibility. A reactive approach to risk and compliance leads to siloed
initiatives that never see the big picture.
• Wasted and/or inefficient use of resources. Silos of risk and compliance lead to
wasted resources.
• Unnecessary complexity. Varying risk and compliance approaches introduce
greater complexity to the business environment.
• Lack of flexibility. Complexity drives inflexibility -the organization is not agile to the
dynamic business environment it operates in.
• Vulnerability and exposure. A reactive approach leads to greater exposure and
vulnerability

4. Risk Management Challenges
• Multiple standards to choose from
• Technology focused, not business centric
• Control identification required for each standard
• Lack of skilled auditors across all platforms
• No documented, thorough, consistent methodology
• Proper, effective, repeatable analysis not in place
• Detailed recommendations not complete
• No definable return on investment
• No knowledgebase for additional assessments
• Management visibility not faciliatated
• This can all be automated using GRC software

5. Risks
• Your Brand
• Stakeholders (e.g., board, management, employees)
• Contractual Relationships (e.g., supply-chain,
vendors, contractors)
• Informal Relationships (e.g., NGOs, media)
• Your business information security and privacy
Are you trying to manage a problem or leverage
business information ?

6. Risk Management Evolution
Current State
• Fragmented silos
• Mostly reactionary
• Individual projects
• Separate from
mainstream processes
and decision-making
• Spreadsheets,
spreadsheets,
spreadsheets
• Limited and fragmented
use of technology
Future State
• Integrated management
& performance
• Proactive planning &
execution
• Integrated capability
• Embedded within
mainstream processes
and decision-making
• Coordinated transactions
& shared data
• Architected solutions

7. GRC Maturity Goals
• Achieve business objectives
• Enhance organizational culture
• Increase stakeholder confidence
• Prepare & protect the organization
• Prevent, detect & reduce adversity
• Motivate /inspire desired conduct
• Improve responsiveness & efficiency
• Optimize economic & social value

8. • Automate the manual siloed approach to GRC management
– Solution Required: Distributed database driven platform with
common policy, asset, reporting and incident repository
• Comply with multiple regulations
– Solution Required : Effectively manage the policy lifecycle and map
multiple policies to common controls
• Lower IT and enterprise risk
– Solution Required : Consistently measure and communicate risk
posture across enterprise
• Reduce cost of people resources and IT infrastructure overhead
– Solution Required : Automate common tasks and leverage technology
in place without adding the complexity of agents
Customer Challenges

9. Business Risk
• Where risk is understood and evaluated as part of corporate strategy and
performance, it is set in a business context and mapped to corresponding
KPI.
• Risk management aligned to business strategy results in:
– Risk aligned in the context of the business
• Risk does not operate as an island unto itself, but is defined and
managed in the context of where the business is heading –its goals
and objectives
• Executives and management should clearly be able to see how risk
supports or hinders execution of business strategy
– Risk managed within the context of business cycles.
– Findings influence strategic planning and investments
• Risk management supports and enables the business to execute a
strategic plan and maximize return on investments

10. Effective GRC Solution
Comprehensive GRC Solution
• Enterprise and IT Risk
Management
• Compliance Management
• Policy Management
• Vendor Risk Management
• Remediation/Incident/
Exception Management
• Security Reporting &
Remediation
• Business Continuity
Management
• Audit Management
Management Integrated GRC Platform
• Multi-language web based platform
• Integrated database driven
distributed architecture
• Extensive knowledge base of
frameworks, regulations and best
practices
• Intelligent dashboard & reporting
• Ready to implement with the
flexibility to configure
• Integration services API
• Role based access control
• Encrypted

11. Today's Fragmented Approach
Inventory
Evaluation
Remediation
Policies
This requires an automated GRC Management
approach that brings together silos of risk and
compliance into a comprehensive management
platform
Analysis

12. Risk Management Process
• Sound risk-based decision making is critical to the
success of any risk management program
• ..enterprises must move toward the formalization of
risk management processes with appropriate
accountability, transparency and measurability
• Risk management must be undertaken as a new
approach to addressing business threats
Gartner, April 2009
• Business risk is more than operational and financial
• Total enterprise risk management includes enterprise
IT risk

13. Best Practices
GRC Automation

14. GRC Tool Manager modules
Basic Modules Service Modules GRC Portal
Knowledge Management
Organization
Policy
Management
Governance
Compliance
Management
Continuity
Workflow
Home
Administration
Dashboard
Risk
Management
ERM

15. Risk Management
Cycle
• Inventory
• People, Process,
Technology.
Environment
• Relevance Levels
Inventory
• Knowledge Base
• Automated
Collectors
• Web Interviews
• In person
Interviews
Analyze
• Reports
• Indexes
• Charts
• Tables
Evaluate
• Recommendation
follow-up
• Workflow
Manager
Treat

16. SYSTEMS
BUSINESS
PROCESSES
ASSETS
Top-Down “Governance” Approach

18. Eliminate Compliance Silos
Laws & Regulations
SOX
FISMA
BASEL II NIST
Frameworks
17799
COBIT
Evidence
DOC
BKP
PASSWORD
Controls
PEOPLE
POLICY
SERVER

19. GRC tools provides comprehensive support for the most commonly
faced regulations, standards & frameworks, and more
• A130
• Basel II
• BS25999
• COBIT
• DIACAP
• DOD 8500.2
• FFIEC
• FIPS 199
• FISAP
• FISMA
Sample Frameworks
• GLBA
• HIPAA
• ISO27001
• ISO27002
• ITIL
• NERC-CIP
• NIST 800-53a
• OSHA
• PCI DSS
• SOX

20. Comprehensive Knowledge Base,
including…Technologies
Cisco Router w/IOS 12
Oracle 8 and 9i
Microsoft SQL Server 7.0, 2000, 2005.
Unix Solaris 8 and 9
Microsoft Exchange 5.5, 2000, 2003
Microsoft IIS 4.0, 5.0, 6.0
SAP AG R/3 4.0B, 4.6D
Apache 1.3.27
Windows XP, 2000, 2003, Vista
Linux
Access Point - WLAN
Application System in Production
Check Point VPN 1/Firewall 1 NG
IBM Lotus Notes R5
Microsoft ISA Server 2000, 2004
PDA
Firewalls
People
IT Technician
Senior Manager
Security Officers
Area or Process Manager
End User
Processes
Developed Application System (15408)
Change Management
Data and System Backup
Systems Continuity Management
Contracts with Vendors
Business Process Information Flow
IT Security Organization
ISO 27001
ISO 17799:2005
CobiT 4.0 - IT Process Maturity
FISMA
PCI Data Security Standard
HIPAA – NIST 800-66
BITs - FISAP – AUP and SIG
Physical Controls
Datacenter
Office
350
Knowledge Bases
20,000
Controls
5000 Data
Collectors

21. WebServer
Windows
Router
Oracle
Unix
Access
Control
Change
Management
Physical
Controls
SOX GLBA HIPAA PCI
Basel
II
The MetaFramework
Cobit
Automatic Collectors
Web Interview or
Off-line Collector
 Regulations
 Standards &
Frameworks
mapped into
ISO 27001 FISAPPCI-DSS
GRC METAFRAMEWORK
 350 Checklists
with 20,000+
Controls
 5000 Automatic
Evidence
Collectors
 1200 “Atomic”
Control
Objective
Packets mapped

22. Contains Knowledge
about Controls
Why is the
control
important?
How to
implement?
If NOT
implemented
to which
threats am I
susceptible?
Where to
learn more?

23. Why is the
control
important?
How to
implement?
If NOT
implemented
to which
threats am I
susceptible?
Where to
learn more?
Knowledge Base

24. Using Automatic Collectors

25. Risk Acceptance and
Treatment
People TechnologyProcessFacility
ERP
Order
Entry
Financial
IT
Department
Sales
Order
Entry
Financial
IT
Department
Sales
ERP
Accept risk and
communicate
Unacceptable risk
send to treatment

26. Final Results -
Samples

27. Dashboard

28. Detailed Risk Report

29. Benefits in using GRC Automation
• Saves up to 25% project time due to automatic collectors, evidence storage
and automatic report generation
• Evidence repository stores artifacts such as access permissions, cryptography
and audit logs
• Management based on progress indicators
• Operational Risk Report that details each non-implemented control’s
associated risk level
• Role based access control
• Ease of common implementation across all GRC responsibilities
• Facilitates on-going compliance management
• Auditable repository
• Perpetual, Leased, Appliance or SaaS licenses

30. GRC Benefits

31. GRC SHOULD SERVE YOU
YOU SHOULD NOT SERVE GRC

32. QUESTIONS ?

33. GRC
The Way Forward
James Finn
MODULO
james.finn@modulo.com
Rochester
703 336 3058