Hi Madhu
It is never recommended to make direct changes into production system. You need to re-generate the rules after transport.
I have done that for a client site as they had a 2-tier landscape. My reason for recommending it is that I see the rule-set as a form of master data. Although it can be transported, you can still maintain.
However, I had Workflow enabled for Functions and Risks to force approval for changes. Therefore, I wanted to keep workflow approval data in Production as Development would be used to configure and test MSMP WF activities.
The DEV environment was used more for prototyping and testing. Therefore, there was a regular refresh process to download ruleset from Production and upload to DEV (i.e if needing to do testing for GRC functionality).
For rule regeneration, I would schedule the job to run regularly.
Regards
Colleen