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Enterprise Risk Management Market Insights 2025-2034: Growth Forecast and Strategic Priorities
Use code ONLINE30 to get 30% off on global market reports and stay ahead of tariff changes, macro trends, and global economic shifts.What Will the Enterprise Risk Management Industry Market Size Be by 2025?
There has been consistent growth in the enterprise risk management market size in the past few years. The market which stood at $5 billion in 2024, is expected to expand to $5.17 billion in 2025, representing a compound annual growth rate (CAGR) of 3.5%. The surge in the historic period could be linked to regulatory compliance regulations, increasing cybersecurity threats, strategic continuity planning, data analytics and insights, and interruptions in the supply chain.
What's the Long-Term Growth Forecast for the Enterprise Risk Management Market Size Through 2029?
The market size of enterprise risk management is projected to witness substantial growth in the coming years. The market's worth is expected to increase to $7.28 billion in 2029, with an 8.9% compound annual growth rate (CAGR). Factors such as the emergence of novel risks, readiness for pandemics, changes and complexities in regulations, and competency in managing crises and responses contribute to this growth during the projected period. The period is also marked by significant trends like the incorporation of groundbreaking technologies, the management of cybersecurity risks, the blending of artificial intelligence (AI) and machine learning (ML), dealing with climate change and ESG (environmental, social, governance) risks, and the management of risks related to third parties.
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What Are the Key Growth Drivers Fueling the Enterprise Risk Management Market Expansion?
The growth in the enterprise risk management market is being fuelled by an increase in data security breaches in businesses. A data breach occurs when information is illegally accessed from a system without the knowledge or permission of the owner. This increase in data security breaches is due to factors such as weak and stolen credentials, susceptibility in applications, malware, harmful insiders, and miscalculations by insiders among others. Enterprise risk management aids in the identification, assessment, and preparation for potential losses that could result from these data security breaches. For example, as per reports from The Office of the Australian Information Commissioner (OAIC), an agency of the Australian government, in September 2024, there were 63 data breaches reported by Australian government agencies, which constituted 12% of all notifications. As such, the intensifying issue of data security breaches is expected to catalyze the expansion of the enterprise risk management market.
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What Are the Key Trends Driving Enterprise Risk Management Market Growth?
Leading firms in the enterprise risk management market are establishing enterprise risk knowledge centres as a way to amplify their risk management abilities and promote informed decision-making culture. These knowledge centres act as single points for top-level practices, methodologies and analytical tools, empowering organizations to identify, evaluate and lessen risks more efficiently. For example, IRM India Affiliate, a professional body based in India, unveiled the Enterprise Risk Knowledge Centre in August 2024. This centre is a complete resource for risk management professionals offering exclusive access to ERM resources. The resources available include research papers, best practice guides, and training materials. The objective of this platform is to encourage knowledge exchange and collaboration between practitioners, this aids organisations in refining their risk evaluation frameworks and implementing better risk management strategies.
How Is the Enterprise Risk Management Market Segmented?
The enterprise risk management market covered in this report is segmented -
1) By Deployment: Cloud, On-Premises
2) By Component: Hardware, Software, Services
3) By Industry Vertical: BFSI, IT And Telecom, Retail, Healthcare, Energy And Utilities, Manufacturing, Government And Defense
Subsegments:
1) By Cloud: Public Cloud, Private Cloud, Hybrid Cloud, Cloud-based Risk Management Solutions
2) By On-Premises: On-Premises Software Solutions, On-Premises Infrastructure Management, Custom On-Premises Implementations
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Which Companies Are Leading the Charge in Enterprise Risk Management Market Innovation?
Major companies operating in the enterprise risk management market include Dell Technologies Inc., International Business Machines Corporation, Oracle Corporation, SAP SE, Capgemini SE, Infosys Limited, Fidelity National Information Services Inc., Thomson Reuters Corporation, Wolters Kluwer N.V., ACL Services Ltd., RSA Security LLC, OneTrust LLC, MetricStream Inc., NAVEX Global Inc., Cority Inc., Riskonnect Inc., Enablon Inc., GRC Solutions Inc., Galvanize Inc., Resolver Inc., ProcessUnity Inc., LockPath Inc., Aravo Solutions Inc., BWise Inc., LogicManager Inc., LogicGate Inc., Quantivate Inc., SAI Global Pty. Ltd., Optial Inc., Rsam LLC, Ideagen Ltd.
Which Regions Are Leading the Global Enterprise Risk Management Market in Revenue?
North America was the largest region in the enterprise risk management market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the enterprise risk management market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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