Operational Risk Management Solution Market Research Report and Outlook by 2028

The global market for operational risk management solutions is projected to expand from US$ 1,656.4 million in 2021 to US$ 3,098.0 million by 2028, reflecting a compound annual growth rate (CAGR) of 9.4% during this period.

In light of the COVID-19 pandemic, many organizations have adapted their operational strategies by introducing flexible work arrangements, facilitating remote work, and improving the overall employee experience. The shift towards hybrid work models is perceived as a more adaptable, digital, and fulfilling future for the workforce. An article from GENESIS INTEGRATION indicates that 55% of American employees prefer a work arrangement that combines remote and in-office work. Furthermore, the data reveals that over 42% of working adults are willing to sacrifice part of their salary for increased workplace flexibility. Notably, 74% of younger workers express a preference for working from home or splitting their time between home and the office. This growing trend towards a hybrid workforce has led to an increased demand for operational risk management solutions, particularly in response to the rise in cybersecurity threats associated with remote work. Additionally, organizations are facing heightened risks of internal fraud. According to a report by Risk Management Intelligence published in October 2021, the Asia-Pacific region has experienced a surge in employee fraud cases during the pandemic, with significant risks including procurement fraud, cash theft, and falsified expense claims. As business processes evolve in hybrid environments, the necessity for robust operational risk management solutions has intensified due to the elevated risks involved. Companies must reassess and audit their internal controls and business continuity plans to effectively identify and mitigate operational and process risks. Moreover, as reliance on third-party service providers, including technology and business process outsourcing firms, increases, organizations are compelled to enhance their third-party risk management strategies. Consequently, the ongoing adoption of hybrid work cultures presents substantial growth opportunities for players in the operational risk management solution sector, as they navigate risks such as cybersecurity threats, internal fraud, and business process vulnerabilities.

The COVID-19 pandemic positively influenced the growth of the operational risk management solution market in 2020, as millions transitioned to remote work. This shift resulted in greater reliance on third-party networks, digital platforms, and personal computing devices, which in turn heightened the risks of cyberattacks and malware. Incidents of online fraud, phishing, inventory denial, and ransomware attacks surged due to increased digital activity. The Global DNS Threat report indicates that in 2021, DNS attacks impacted 79% of global organizations in 2020, with prevalent threats including DNS phishing, DNS malware, and DDoS attacks. In response, enterprises are increasingly adopting sophisticated operational risk management solutions to detect and manage unusual network behaviors and mitigate cybercrime risks. The operational risk management solution market continued to grow in 2021 and 2022, fueled by the rising prevalence of hybrid work models and the imperative to address supply chain vulnerabilities, particularly in the healthcare and pharmaceutical sectors. Additionally, the digital transformation across various industries, including banking, financial services, insurance (BFSI), and transportation & logistics, is propelling the expansion of the global operational risk management solution market.

Key players in the operational risk management solution market include Adapt IT Holdings Ltd, MetricStream, Inc., RSA Security LLC, TPSCO LLC, SAP SE, Shell International B.V., Sphera Solutions, Inc., TenForce, and Cura Global GRC Solutions PTE LTD. The report also includes secondary research on other companies that hold a significant share in the operational risk management solution market.

The operational risk management solution market size has been established through a combination of primary and secondary research methodologies. The research process commenced with extensive secondary research utilizing both internal and external sources to collect qualitative and quantitative data relevant to the market. This approach provided a comprehensive overview and forecast for the operational risk management solution market, encompassing all regional segments. Additionally, numerous primary interviews were conducted with industry experts, including vice presidents, business development managers, market intelligence managers, and national sales managers, as well as external consultants such as valuation experts, research analysts, and key opinion leaders. These interviews aimed to validate the data and provide deeper analytical insights into the operational risk management solution market analysis.