Integrated ERP as a Governance Foundation In an Age of VUCA

The business community has borrowed from the military playbook, and has adopted the management of volatility, uncertainty, complexity and ambiguity (VUCA) as a strategic risk management model. At its origin, VUCA is a model that the military developed after the fall of the Soviet Union to manage exposure to a myriad of risk types and severities. Businesses are now using this model to manage exposure to a range of risk types and severity levels, both within the four walls of their enterprise and beyond.

In the business context, VUCA is pervasive. It covers a range of risks including:

  • Injured employees 
  • Property damage
  • Technology crash risks 
  • Cyber security risks

It encompasses economic risks and political risks. It spans product recall risks and regulatory risks. In this paper, we will explore how enterprise resource planning (ERP) software can facilitate GRC in this age of VUCA.

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