For most organizations paper work based risk management system is useful to capture the risks to the organizations using forms and written reports and then allow the organizations to coordinate under the risks. But it is a tedious task, so organizations recognize to capture the information and maintain the risks in a proactive manner in order to generate an effective response.
During the rise of personal computing spread sheets play a key role and are used for analyzing, storing the data related to reduce risks. They are convenient for using and are user friendly, flexible to store data, they are available as freeware and are cost effective.
But spread sheets are not beneficial for risk managers in a business since they have some drawbacks. They are impractical for storing and accessing large amount of data, the depth of analyzing the risks is limited and becomes difficult to access the lost data and lacks in security and requires labor for updating data continuously where there is a chance of human errors and also takes time.
Spreadsheets are replaced by Risk management software that organizes the information at one place, establishes links and relationship between stored data and it is accessible to rest of the organization.
Risk management software helps the risk managers to effectively control, manage, analyze and report the risks with proper documentation and work flow. It enables managers to have a clear and accurate reports, automated risk reporting. It is secure and safe for maintaining data.
Risk management software is considered a better tool to manage and capture risks in a reliable way.