July 24, 2024
Whistleblowing Software Market
Ict

Whistleblowing Software Market driven by Enhancing Efforts by Organizations towards Transparency and Compliance Standards

The Whistleblowing Software Market is estimated to be valued at US$ 213.2 Mn in 2022 and is expected to exhibit a CAGR of 7.6% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:-

Whistleblowing software, also known as incident reporting systems, are platforms that allow employees, customers, and other stakeholders to report concerns, such as ethics violations, conflicts of interest, safety issues, fraud, and other issues anonymously. Whistleblowing software offers a confidential and anonymous way to report wrongdoings internally and externally. This enables organizations to build a culture of integrity, improve compliance, and mitigate risks.

Market Dynamics:-

Increasing organizational efforts towards transparency and compliance with various standards are expected to drive the growth of the whistleblowing software market companies over the forecast period. Regulatory policies such as The Sarbanes-Oxley Act of 2002 are compelling organizations across various industries to implement whistleblowing hotlines to identify and address financial, ethical, and compliance issues. Additionally, government initiatives promoting corporate whistleblowing through incentives and protection of whistleblowers are also propelling the demand for effective whistleblowing systems. Moreover, growing instances of fraud and cybercrimes have heightened the need for anonymous reporting solutions amongst enterprises.

SWOT Analysis:-

  • Strength: Whistleblowing software market provides a secure and anonymous platform for employees to report issues internally. It streamlines the reporting process and ensures reports are properly documented and addressed. It also raises awareness about corporate policies to curb non-compliance.
  • Weakness: Implementation of new software requires time and resources for training employees. There are also technical challenges to ensure complete anonymity of whistleblowers.
  • Opportunity: Recent corporate governance regulations are mandating whistleblower hotlines in many industries. There is an opportunity to tap growing demand from small and medium enterprises. Expanding to new regions also allows tapping diverse customer segments.
  • Threats: Existing anonymous reporting platforms continue to be a cost-effective alternative. Bureaucratic processes in some regions can delay complaints resolution and impact use of such software. Privacy laws in the European Union pose compliance complexities.
Key Takeaways:-

The Global Whistleblowing Software Market Size is expected to witness high growth, exhibiting CAGR of 7.6% over the forecast period, due to increasing regulatory pressure on organizations to establish whistleblower mechanisms.

Regional analysis: North America dominated the market in 2022 with a share of over 35%, due to stricter whistleblower laws like the Sarbanes–Oxley Act and the Dodd–Frank Act in the US. Europe is anticipated to grow at the fastest rate, supported by the EU Directive on the protection of persons reporting on breaches of Union law.

Key players: Key players operating in the whistleblowing software market include Canary Whistleblowing System, NAVEX Global, Inc., GlobaLeaks, and Whispli Inc. Canary is one of the leading providers with capabilities like multi-language support. NAVEX focuses on serving the needs of large enterprises across industries.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it