Bring water to a boil in a saucepan. Add grits and cook until thickened, about 5-7 minutes. Stir in cheese until melted.
In a large skillet, cook bacon until crispy. Remove bacon and set aside, leaving the grease in the skillet.
Add shrimp to the skillet and cook until pink, about 2-3 minutes per side. Remove shrimp and set aside.
Add garlic to the skillet and cook until fragrant, about 1 minute. Stir in lemon juice and butter. Return shrimp and bacon to the skillet and toss to coat.
Serve shrimp mixture over grits and garnish with parsley.