Cybersecurity and Vendor Risk: The Third-Party Risk Challenge

From Risk to Business Advantage

“The better your firm is at managing third-party risk,
the more attractive you become as a third party yourself”

Cybersecurity risk has propelled vendor risk management up the priority list for the board. While the statement is true, concern over cybersecurity risk has actually had a much broader effect. It has driven vendor risk management up the priority list for everyone: regulators, investors, customers, CEOs, operations executives, and, yes, the board of directors.

Compliance officers might wish that cybersecurity were still the domain of the IT security team – and once upon a time, it was. Those days are gone. Internet technology has forever transformed how employees work everyday and what vendors do for your company via the supply chain.

This paper will explore:

• Business impacts of cybersecurity risks from vendors
• Regulators perspective to vendor risk
• Why sound third-party risk management is a strategic business advantage
• Steps companies can take today to better understand and manage vendor risk, including SOC audits & NIST protocols