ServiceNow and Salesforce Enter the AI Agent Arena: Paving the Way for Autonomous IRM
In my previous article on Autonomous Integrated Risk Management (IRM), I explored how AI agents are driving IRM into a new era of automation. With industry leaders like ServiceNow and Salesforce making significant strides in the AI agent market, we are witnessing a transformative moment for business technology. These advancements signal a shift in automation capabilities and present a massive opportunity to develop AI agents specifically for Autonomous IRM capabilities.
AI Agents: Beyond Chatbots
AI is shifting from basic chatbots to sophisticated agents capable of executing complex tasks with minimal human intervention. These agents can manage intricate workflows, offering businesses the potential to automate many previously human-driven processes.
As Martin Casado, General Partner at Andreessen Horowitz, pointed out, "It's not clear to me these things will ever effectively stand alone, but the instructions that you will be able to give them will be increasingly high level." This higher level of capability holds immense promise, particularly for automating risk management functions.
ServiceNow's AI Agent Ambitions
ServiceNow has entered the AI agent space, focusing on automating core functions such as IT, customer service, procurement, human resources, and software development. Their AI agents are already autonomously handling IT and customer service management tickets, reducing the need for human oversight in routine tasks. As Dorit Zilbershot, Vice President of Platform and AI Innovation at ServiceNow, explained, "The AI is able to handle all those tickets, and they reach out to me when they need help or… get my approval."
For Integrated Risk Management, ServiceNow's AI capabilities hold the potential to transform how organizations manage risk. AI agents could autonomously handle everything from incident response tickets to compliance updates, allowing for fully automated risk management workflows. ServiceNow's IRM solution has the potential for integrating AI agents into risk management processes.
Salesforce's Agentforce: A Game Changer for Autonomous IRM
Salesforce's entry into the AI agent market with Agentforce introduces a powerful tool that goes beyond traditional automation. Agentforce can automate customer service, marketing campaigns, and business procurement. For the IRM space, Salesforce's platform could help support solutions like those offered by Riskonnect, which builds its IRM solutions on the Salesforce Platform, a PaaS (Platform as a Service).
Salesforce Platform (formerly Force.com) simplifies the development and deployment of cloud-based applications and is the backbone for many enterprise applications, including Riskonnect's IRM solutions. Leveraging Salesforce's AI advancements, Riskonnect could enhance its IRM capabilities through more autonomous AI-driven capabilities, allowing for continuous monitoring, automated compliance, and proactive risk identification.
The Potential for Autonomous IRM Capabilities
The entry of ServiceNow and Salesforce into the AI agent market opens up exciting possibilities for Autonomous IRM capabilities. Here's what the future could look like:
Automated Compliance Management: AI agents could continuously monitor regulatory updates and autonomously adjust internal controls, ensuring real-time compliance without human intervention.
Autonomous Incident Response: In the event of a cyber incident or operational disruption, AI agents could coordinate responses, engage with affected stakeholders, and document actions for audit purposes—all while keeping human decision-makers informed.
Predictive Risk Analysis: AI agents could analyze vast amounts of data in real-time to detect emerging risks before they escalate, allowing organizations to take preemptive measures.
Shifting Pricing Models for AI Agents
The traditional Software-as-a-Service (SaaS) pricing model is being rethought with the introduction of AI agents. Instead of charging a flat access fee, companies like Salesforce are adopting consumption-based models, such as $2 per conversation or sales lead for Agentforce. Adam Evans, Senior Vice President of Salesforce AI Platform, explained, "We're teeing this with consumption so that every customer is going to be able to say what job did these agents do, see their bill almost by the job or the campaign."
This consumption-based model is particularly appealing for businesses hesitant to commit to recurring fees for AI services. This model provides flexibility for organizations utilizing AI agents for IRM and ensures they pay for results, not access.
Challenges on the Horizon
While the potential benefits of AI agents are substantial, businesses must address several key considerations:
Balancing Automation with Human Oversight: Determining the right level of autonomy for AI agents in critical risk management tasks is crucial to maintaining trust and effectiveness.
Data Governance: With AI agents processing vast amounts of data, organizations must ensure they have proper governance frameworks to secure data and comply with regulations.
Managing Risk: As AI agents take on more autonomous tasks, organizations must be prepared for the risks associated with over-reliance on automation, ensuring human expertise is available to oversee and guide these technologies.
Looking Ahead: The Future of IRM with Autonomous AI Agents
As ServiceNow and Salesforce refine their AI agent capabilities, the potential for Autonomous IRM capabilities will only grow. These developments promise to revolutionize how organizations manage risk, enabling more efficient, proactive, and autonomous workflows.
For organizations looking to integrate AI agents into their IRM strategy, I recommend thoroughly evaluating the available platforms. At Wheelhouse Advisors, our upcoming ERM (Enterprise Risk Management) Edition of the IRM Navigator™ report series will provide comprehensive evaluations of current technology vendors in the IRM market, including those leveraging AI-driven solutions. Additionally, the recently released GRC (Governance, Risk, and Compliance) Edition evaluates 16 key GRC vendors, including ServiceNow and Riskonnect, offering valuable insights into selecting the right partners to enhance your risk management frameworks.
Embracing the Future of Autonomous IRM
Integrating AI agents into IRM represents the next significant advancement in risk management. With ServiceNow and Salesforce leading the charge, businesses have the tools to automate and enhance their risk management processes in ways previously unimaginable. The question for organizations now is whether they will seize this opportunity to innovate or risk falling behind as the industry moves forward into the era of Autonomous IRM.
Source: Steven Rosenbush, "AI Agents Can Do More Than Answer Queries. That Raises a Few Questions," Wall Street Journal, October 16, 2024.
[1] ServiceNow IRM Solution: https://www.servicenow.com/products/integrated-risk-management.html
[2] Riskonnect IRM Solution: https://riskonnect.com/integrated-risk-management-software/
