Global Enterprise Governance, Risk and Compliance (EGRC) Market Size, Share & Trends Analysis Report By Component, By Organization Size, By Application, By Vertical, By Regional Outlook and Forecast, 2025 - 2032

The Global Enterprise Governance, Risk and Compliance (EGRC) Market size is expected to reach $142.83 billion by 2032, rising at a market growth of 12.9% CAGR during the forecast period.

The North America segment garnered 36% revenue share in the market in 2023. The utilization of robust risk management, compliance automation, and audit monitoring solutions has been compelled by the presence of significant financial institutions, healthcare providers, and technology firms. Regulations such as SOX, HIPAA, CCPA, and FISMA have prioritized compliance for businesses in BFSI, healthcare, telecom, and government sectors.

The major strategies followed by the market participants are Partnership as the key developmental strategy to keep pace with the changing demands of end users. For instance, In January, 2025, IBM Corporation and e& partnered to deploy an AI governance platform using IBM watsonx. governance, enhancing compliance, transparency, and risk management. Announced at WEF 2025, the collaboration ensures ethical AI oversight, mitigating biases and regulatory risks while scaling AI responsibly across e&'s ecosystem. Moreover, In June, 2024, IBM Corporation and Telefónica Tech partnered to deploy SHARK.X, an AI, analytics, and data management platform. The collaboration enhances data governance, regulatory compliance, and digital transformation, supporting enterprises with AI adoption, risk management, and business intelligence in a hybrid, multi-cloud environment.

KBV Cardinal Matrix - Enterprise Governance, Risk and Compliance (EGRC) Market Competition Analysis

Based on the Analysis presented in the KBV Cardinal matrix; Microsoft Corporation are the forerunners in the Enterprise Governance, Risk and Compliance (EGRC) Market. In June, 2023, Microsoft Corporation came into partnership with Moody’s Corporation to enhance risk analysis, data, and collaboration solutions using Generative AI, Microsoft Azure OpenAI, and Teams. The partnership integrates Moody’s proprietary data with Microsoft’s AI capabilities, boosting financial services, risk assessment, and productivity across industries. Companies such as IBM Corporation and Oracle Corporation are some of the key innovators in Enterprise Governance, Risk and Compliance (EGRC) Market.

Market Growth Factors

Regulatory compliance has become a critical priority for businesses across various industries as governments and regulatory bodies worldwide continue to implement stringent policies. The growing emphasis on data protection, financial transparency, and corporate governance pushes enterprises to adopt robust GRC solutions to streamline regulatory processes. Industries that manage confidential consumer data, including finance and healthcare, are subject to particularly rigorous data protection regulations. Hence, these factors are propelling the growth of the market.

Additionally, The integration of AI and automation in GRC solutions is revolutionizing compliance management by enhancing efficiency, accuracy, and risk mitigation. Traditional compliance processes, which relied heavily on manual audits and regulatory tracking, are now replaced with AI-powered risk analytics, predictive modeling, and machine learning. These technologies enable organizations to automate compliance processes, detect anomalies, and forecast potential risks, reducing human error and improving decision-making. Therefore, the demand for AI-driven GRC platforms will grow as regulatory environments evolve.

Market Restraining Factors

However, The adoption of enterprise GRC solutions often comes with substantial initial investments in software, hardware infrastructure, and system integration. Many organizations, especially small and medium-sized enterprises (SMEs), find the cost of acquiring a robust GRC framework a major barrier. Enterprise-level GRC platforms require a comprehensive setup, which includes licensing fees, cloud storage or on-premise server costs, and additional expenses for customizing the software to fit specific business needs. Hence, these factors may impede the expansion of the market.

The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Acquisitions, and Partnerships & Collaborations.

Component Outlook

Based on component, the market is bifurcated into software and services. The services segment procured 37% revenue share in the market in 2023. Many organizations, especially SMEs and firms with limited in-house compliance expertise, rely on GRC service providers to deploy, configure, and maintain compliance frameworks. Additionally, the increasing complexity of cybersecurity regulations, third-party risk management, and cross-border compliance has led businesses to seek specialized advisory and risk assessment services.

Organization Size Outlook

On the basis of organization size, the market is bifurcated into small & medium-sized enterprises (SMEs) and large enterprises. The small & medium-sized enterprises (SMEs) segment garnered 34% revenue share in the market in 2023. While SMEs often face budget constraints and limited in-house expertise, the growing availability of cost-effective, cloud-based GRC solutions has encouraged wider adoption. The increasing incidence of cybersecurity threats, financial fraud, and industry regulations has made it essential for SMEs to invest in simplified compliance tools and managed GRC services.

Application Outlook

Based on application, the market is segmented into director board, EHS, ESG, legal services, and others. The EHS segment recorded 23% revenue share in the market in 2023. Environmental, Health, and Safety (EHS) segment is driven by increasing workplace safety regulations, industrial risk management needs, and environmental compliance requirements. Industries such as manufacturing, energy, healthcare, and chemicals rely on EHS solutions to mitigate occupational hazards, ensure regulatory compliance, and enhance workforce safety.

Vertical Outlook

By vertical, the market is segmented into BFSI, construction & engineering, energy & utilities, government, healthcare, manufacturing, retail & consumer goods, telecom & IT, transportation & logistics, and others. The healthcare segment acquired 17% revenue share in the market in 2023. The healthcare segment is driven by stringent regulatory mandates, growing cybersecurity concerns, and the adoption of digital health technologies. Healthcare organizations must establish robust governance and risk management frameworks to protect patient data and avoid legal repercussions in order to comply with regulations such as HIPAA, GDPR, and FDA standards.

Regional Outlook

Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Asia Pacific segment procured 27% revenue share in the market in 2023. Countries like China, India, Japan, and Australia are adopting AI-driven risk assessment and cloud-based compliance solutions to address emerging data protection laws, cybersecurity threats, and ESG (Environmental, Social, and Governance) requirements. The growth of fintech, digital payment platforms, and cross-border trade regulations has increased the demand for automated GRC tools.

Market Competition and Attributes

The Enterprise Governance, Risk, and Compliance (EGRC) market sees intensified competition among mid-sized and niche providers. These firms focus on specialized, agile solutions tailored to industry-specific needs. Innovation, integration capabilities, and cloud-based offerings become key differentiators. The absence of dominant players creates opportunities for emerging vendors to expand their footprint and address evolving regulatory challenges efficiently.

Recent Strategies Deployed in the Market

• Jan-2025: Genpact Limited launched the AI Gigafactory to accelerate enterprise AI adoption, combining industry expertise, scalable AI solutions, and a responsible AI framework. The initiative aims to train 25,000 AI professionals, enhancing governance, risk management, and compliance while driving AI-led transformation.
• Jan-2025: IBM acquired Applications Software Technology LLC to enhance its Oracle Cloud consulting expertise, particularly for public sector clients. The acquisition strengthens IBM’s capabilities in ERP, EPM, and cloud solutions, supporting secure digital transformations across North America, the UK, and Ireland.
• Aug-2024: Oracle Corporation has introduced its Financial Services Risk and Finance solution, designed to help life insurers improve regulatory compliance, risk management, and IFRS 17 reporting. The solution integrates finance and actuarial data, enhancing efficiency, transparency, and operational performance in insurance risk and finance management.
• Feb-2024: SAS Institute Inc. partnered with Carahsoft to expand AI, analytics, and data management solutions for U.S. government agencies. The agreement enhances public sector access to SAS Viya, supporting fraud detection, risk management, and compliance, improving data-driven decision-making and operational efficiency.
• Sep-2023: Oracle Corporation came into partnership with Microsoft to launch Oracle Database@Azure, integrating Oracle Cloud Infrastructure (OCI) database services within Microsoft Azure. This collaboration enhances multicloud deployment, security, and compliance, simplifying cloud migration while improving performance, scalability, and AI-driven innovation for enterprises.

List of Key Companies Profiled

• IBM Corporation
• Genpact Limited
• Microsoft Corporation
• Oracle Corporation
• SAP SE
• SAS Institute Inc.
• Wolters Kluwer N.V.
• ServiceNow, Inc.
• MetricStream, Inc.
• RSA Security LLC (Symphony Technology Group)

Global Enterprise Governance, Risk and Compliance (EGRC) Market Report Segmentation

By Component

• Software

Risk Management

Audit Management

Incident Management

Policy Management

Compliance Management

Other Software Type

• Services

Integration

Consulting

Support

By Organization Size

• Large Enterprises
• Small & Medium-sized Enterprises (SMEs)

By Application

• ESG
• EHS
• Legal Services
• Director Board
• Other Application

By Vertical

• BFSI
• Healthcare
• Government
• Telecom & IT
• Energy & Utilities
• Manufacturing
• Other Vertical

By Geography

• North America

US

Canada

Mexico

Rest of North America

• Europe

Germany

UK

France

Russia

Spain

Italy

Rest of Europe

• Asia Pacific

China

Japan

India

South Korea

Singapore

Malaysia

Rest of Asia Pacific

• LAMEA

Brazil

Argentina

UAE

Saudi Arabia

South Africa

Nigeria

• Rest of LAMEA