Build a Vendor Risk Management Program That Works
Outsourcing has become a very popular business strategy to help organizations save money and optimize operational efficiency. Since vendors often have access to critical systems and data, using third parties introduces risks that can lead to severe complications for your organization if not properly managed.
This eBook will help you develop a solid understanding of Vendor Risk Management, enabling you to put the appropriate processes, systems, and policies in place to assess your vendors, track their performance and align your business and third parties’ goals from discovery to relationship to termination phase.
Do you trust your vendor? Do you trust your third parties enough that you know they won’t put you at risk? Vendor risk management will help you review areas of potential exposure and mitigate them before causing any severe damage to your organization.
Download the Vendor Risk Management eBook, so you can:
- Quickly identify critical risks to keep your organization safe
- Understand how and when to assess vendors
- Implement and manage a Vendor Risk Management Program
- Master the vendor lifecycle
- Build trustworthy relationships with your third-parties
The 5-step Process for Implementing a Vendor Risk Management Program
1) Align Business Goals With VRM Plan
A holistic approach will help clarify and prioritize the top risks to mitigate (e.g., cybersecurity, strategic, and regulatory risks), enabling you to mobilize what needs to get done.
2) Create Standardized Agreements
A standard set of agreements can help your organization scale your requirements and increase efficiency by reducing the time to draft, negotiate, and sign.
3) Implement a Well-defined Vendor Selection Process
Creating a consistent approach to vetting vendors during the procurement phase is critical to the success of any new business venture.
4) Perform Periodic Vendor Assessments
Since vendor dynamics and cybersecurity posture may change over time, reviewing your vendors periodically is imperative. This will confirm they’re providing the services in line with expectations.
5) Implement a Transparent and Consistent Reporting Process
A consistent report regime will ensure that leadership has the necessary tools and information to make accurate and informed decisions promptly.