SAP Risk Analysis

What Is Risk Analysis?

Risk analysis is the assessment of potential risks on the business or market and the likelihood of adverse effects from those events. In a supply chain context, for example, companies model various disruptions to determine their impact and apply risk mitigation strategies to avoid them.

According to Investopedia, risk analysis can be divided between two types: qualitative and quantitative.

Qualitative analysis: Qualitative analysis incorporates a definition of uncertainties, evaluation of the potential impacts, and risk mitigation measures. Examples include SWOT analysis and cause and effect diagrams.

Quantitative analysis: Quantitative analysis relies on statistical modeling and assigning numeric values to potential risks. Within a risk model, those values produce graphical outputs to help determine risk mitigation strategies.

Through both risk analysis approaches, companies can glean an holistic view of their risk profile.

What Is Risk Analysis?

According to Investopedia, risk analysis can be divided between two types: qualitative and quantitative.

Through both risk analysis approaches, companies can glean an holistic view of their risk profile.

SAP and Risk Management

As more companies migrate to SAP S/4HANA, it’s critical that their risk strategies are integrated within the system. SAP provides risk management solutions that put governance, risk, and compliance at the forefront of business activities.

According to SAP, “stakeholders want to see evidence, on demand and in real time, that an organization which they are backing is managing their financial, social, and environmental activities efficiently, profitably, and responsibly … Any risk management measures must focus on the specific value drivers unique to the business, and these can be difficult for you to identify. Managers must look beyond financial line items to the activities and processes that are integral to the organization’s business model.”

Further Resources for SAPinsiders

Building More Effective Access Control Through Business-Centric GRC. In this article, learn how companies are utilizing access control solutions to identify risk within their user base. These solutions and processes are often technical and driven from audit and IT perspectives with very little input from business users who might find the technical GRC language hard to decipher. That’s where the idea of business-centric GRC comes into play for access control — providing the business with easier to understand, less technical language so that they can better interpret the data.

Application Security Imperiled by Attackers. Application security is being threatened by cyberattacks on the application layer, such as SAP S/4HANA systems, which target valuable resources organizations store there. In this article, learn about new security concepts necessary to protect the “crown jewels” stored in SAP systems. Companies need to deploy real-time detection and response to deal with the rise in attacks against the SAP application layer level.

Vendors that can help SAP customers with risk analysis include: Appsian Security, DXC Technology, EcoVadis, and Onapsis.

Update the SAP BusinessObjects Access Control Rule Set with Custom Transactions

Published: 19/March/2012

Reading time: 12 mins

Most of the custom transactions in an SAP system have to be manually added to the SAP BusinessObjects Access Control rule set. Therefore, the SAP implementation team must have a full understanding of the functionality of the custom transaction and how to identify the proper location to add the custom transaction. Follow these guidelines for...…
- SAP Access Control
Automating Access Governance in a Cloud-Based Landscape

Published: 21/August/2020

Reading time: 6 mins

According to our research, the most popular GRC solution being used by the SAPinsider Community is SAP Access Control. And yet more than half (63%) said that their current GRC solutions do not meet the need to effectively handle risk analysis and mitigation for cloud-based products without some sort of connector or bridge to a…
Java Memory Analysis — How Efficient Is Your Garbage Collector?

Published: 17/March/2009

Reading time: 14 mins

ManagerLearn how to perform effective Java memory analysis on your system using a Solution Manager Diagnostics component that many users don’t take advantage of. Find out how you can tell if your Java applications are performing at their best, and discover a variety of ways to analyze system performance. Key Concept Solution Manager Diagnostics is...…
The SAP BW HANA Analysis Process: Improve Data-Mining with the New Features of SAP BW 7.4

Published: 25/May/2015

Reading time: 13 mins

Learn the technical underpinnings and practical steps needed to use the new SAP BW 7.4 HANA Analysis Process. This new tool improves on and complements the existing Analysis Process Designer (APD) as a way to execute data-mining algorithms and stored procedures using the power of SAP HANA via an SAP BW interface. Key Concept The...…
A Guide to Passing an SAP HANA System Security Audit

Published: 20/July/2015

Reading time: 25 mins

Follow these best practices to install, administer, and operate the SAP HANA system securely. More importantly, learn about control objectives that auditors check to gain assurance about controls in the SAP HANA system environment. Key Concept A system audit is an exercise performed to gain assurance that defined controls work as intended, thereby eliminating the...…
Leverage SAP EWS for Monitoring Business Process Exceptions and Deviations

Published: 28/September/2011

Reading time: 18 mins

Learn how to use SAP Early Warning System (EWS), an alert monitoring system that informs you whenever any deviation or exception to an important business process occurs, allowing you to take timely action. Find out how to create and group exceptions and schedule analysis and see an example of EWS in action. Key Concept SAP...…
Dig Into SP04 Features for BusinessObjects Explorer and Analysis

Published: 06/November/2012

Reading time: 13 mins

Find out about the features and enhancements that are new for the integration between the SAP BusinessObjects BI suite of products, SAP NetWeaver BW, and SAP ERP. See the changes that come with the release of Feature Pack 03 and Service Pack 04 — with a focus on SAP BusinessObjects Explorer and the OLAP edition...…
The New Way to Set Up Diagnostics: Guided Procedures in SAP Solution Manager 7.0 with SAP Enhancement Package 1

Published: 28/September/2010

Reading time: 20 mins

ManagerLearn how to set up and use Solution Manager Diagnostics (SMD) and Wily Introscope Enterprise Manager 8.2.2 using Guided Procedures. This is new feature in SAP Solution Manager 7.0 with SAP enhancement package 1 that guides you through setting up SMD, which is often a very complex process. Key Concept Starting in SAP Solution Manager...…
7 Reasons Why Customers Are Adopting BusinessObjects Analysis, Edition for OLAP 4.x

Published: 13/May/2013

Reading time: 8 mins

Straight from the field, learn about seven features in SAP BusinessObjects Analysis, edition for OLAP that are prompting companies to transition from ad-hoc analysis in SAP BEx to Analysis. Key Concept The BusinessObjects Analysis product line includes Analysis, edition for Microsoft Office and Analysis, edition for OLAP (formerly known as Voyager). They are considered premium...…
Overcome a Top Auditing Issue with Superuser Privilege Management

Published: 26/May/2009

Reading time: 26 mins

Procedures for granting emergency access to SAP systems often raise concerns during a system audit. SAP BusinessObjects Access Control can provide an effective solution. The Superuser Privilege Management (SPM) capability manages access to emergency users in a secure and auditable manner. See how it works in the SAP back end and the different reporting measures...…