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?
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.
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.
1274 results
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Use Report Painter to Facilitate the Design of Due Date Analysis Reports
See how to create due date analysis reports for vendors and customers using Report Painter. Understand how to design and create a form and a report, and see the available options to download the due date report. Key Concept Although SAP has provided due date analysis reports, mostly they fail to meet reporting requirements because...…
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Improve Customer Experience with MS Excel Visual Basic for Applications
By Dr. Marco Sisfontes-Monge, Managing Partner, Arellius Enterprises, Inc. There is a lot of material available to explain enhancements made to improve MS Excel Visual Basic for Applications (VBA) methods, procedures, and commands in order to create a better bridge between MS Excel and SAP Business Planning and Consolidation itself. Especially if you have coded…
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Manage NAFTA Trade Preference to Mitigate Risk with SAP BusinessObjects Global Trade Services
In growing globalization, free trade agreements provide a comparative advantage for companies engaged with business within a specific trade zone. Implementation of the North American Free Trade Agreement (NAFTA) with SAP BusinessObjects Global Trade Services creates a combined solution to mitigate risk, better manage the process life cycle, and automatically deliver NAFTA certificates to customers....…
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Mass Maintenance of Mitigation Control Owners and Risk Owners in SAP Access Control 10.1
Sergei Peleshuk provides an overview of SAP BW/4HANA and key considerations to think about when making the decision to migrate. Membership Required You must be a member to access this content.View Membership LevelsAlready a member? Log in here
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Make Sure Ineffective Mitigation Controls in SAP Process Control Don’t Live On in SAP Access Control
In the integration scenario between SAP Access Control and SAP Process Control, mitigation controls created in SAP Process Control can be used to mitigate access risks for users in SAP Access Control. Subsequently, when an assessment in SAP Process Control finds a control is ineffective, a mechanism is required to delete the respective controls in...…
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10 Tips to Ensure Compliance Doesn’t Slip After a GRC 10.0 Go-Live
When you are designing controls as part of an implementation of version 10.0 of SAP BusinessObjects GRC solutions, give some thought about how your organization will be able to maintain levels of compliance six months or one year later. It is easy to become noncompliant almost immediately post go-live. These best practices can help you...…
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Special Report: Implementing SAP HANA – An End-to-End Perspective
In this exclusive special report, get an in-depth, step-by-step look at the aspects of implementing BI solutions on SAP HANA. Gain insight into how ETL integrates with SAP HANA and how SAP BusinessObjects BI 4.0 analyzes and visualizes the data stored in SAP HANA. Key Concept SAP HANA modeling is a process whereby a developer...…
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Spend Analysis and SAP MM
A wide range of business processes falls under the SAP MM (Materials Management) module, from purchasing to inventory management. Such an extensive portfolio of business processes also means much data being generated and captured. As SAPinsiders highlighted in our research reports like Process Automation and SAP S/4HANA, as well as in Process Automation in Supply…
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Monitor Alerts in Risk Analysis and Remediation
See the different kinds of alerts in SAP BusinessObjects Access Control Risk Analysis and Remediation and how to configure them. Key Concept Risk Analysis and Remediation (RAR) is part of the GRC Access Control suite. This capability helps all key stakeholders work in a collaborative manner to achieve ongoing segregation of duties and audit compliance...…
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Quickly Develop SAPUI5 Applications with AppBuilder
Ameya Pimpalgaonkar shows how to use AppBuilder, which is a proof-of-concept tool that SAP has released to help developers adopt SAPUI5. Key Concept SAP AppBuilder is a browser-based tool for rapid SAPUI5 application development. It allows you to concentrate on application functionality rather than worrying about user interface (UI) design by providing UI drag-and-drop features....…
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