The report, written and published by Chartis Research, is entitled 'Operational Risk Management Systems 2007: the second wave has arrived' and positions MEGA in the Component ORM Applications segment of the market. Chartis Research is a leading provider of research and analysis on the global market for risk technology.
"What this means for MEGA is that we are now regarded by Chartis Research as being a qualified vendor of new 'second wave' ORM solutions for this important and fast-growing market," said Lucio de Risi, founder, president and CEO of MEGA International.
"We agree with the Chartis report that companies are recognising the need to integrate ORM systems within an overall and strategic enterprise risk management (ERM) framework," he said. "These companies see that systems must be more than tactical. Increasingly, they also perceive that greater business benefits may be gained by investing in ORM and ERM as part of an overall business strategy." The Chartis report lists key elements in making a business case for investment in ORM.
The Chartis report also states that, besides a 'scalable business model' and sustained and profitable growth, to be successful in the ORM market a software vendor must offer a flexible technology architecture, continual innovation, a scalable sales and marketing strategy, and domain expertise, 'where software is only part of the solution'.
"Based on these factors MEGA has all the sector experience, financial resources, strategic vision, comprehensive methodologies and consultancy expertise, and a full range of robust and powerful software solutions," said de Risi. He added that the company also has a global presence to support customers: "Our aim is to provide customers with a long-term service that will evolve with their needs, and support them over the lifetime of their projects, anywhere in the world."
THE MEGA GRC SUITE
The MEGA GRC (Governance, Risk and Compliance) Suite associates a set of complementary tools based on a common platform designed to help business managers strategically and operationally achieve more efficient corporate governance, operational risk and internal control management, and address vital internal and external compliance requirements.
With automated control and alerts, and communication, the new solution enables managers to reduce, mitigate or eliminate their operational risks in the context of projects such as meeting quality standards and complying with mandatory regulations and best practices.
Besides ensuring multi-compliance support, an added benefit of the MEGA GRC Suite is improved performance at the operational level, through the implementation of preventive and corrective action plans that support risk management.
THE CHARTIS RESEARCH ORM REPORT
The Chartis report is an update of the market research company's 2006 review on operational risk management systems. MEGA was not cited in that report because it launched its ORM solution, MEGA GRC Suite, in December 2006, well outside the timeframe of last year's review.
The latest report considers the demand and supply sides of the market, forecasting that: "the worldwide operational risk management (ORM) market will grow at a compound annual growth rate of 9 per cent to reach $1.55bn by 2011 (financial services sector only)."
The report covers the main market, including a focus on the financial services sector, with information about regulatory requirements and competitive suppliers in the market. Updated forecasts on market size, vendor rankings and best practices are examined. The report also states that "Chartis expects ORM systems to become an integral part of every financial institution's enterprise risk and performance management system and to reach maturity in 2012".