Security News > 2024 > July > How to design a third-party risk management framework
An effective third-party risk management framework ensures that an organization is not derailed by vendor risks and vulnerabilities.
Right after you categorize your third-party vendors based on their importance to your organization, next you must define the scope of your third-party risk management services and framework by identification of the type of third parties involved and the risk factors posed by them.
Some amount of risk is always present, and you have to come up with the level of risk acceptable by your company.
Organizations with central third-party risk management in place report better risk understanding and faster actions.
For maximum efficiency, you need continuous monitoring and evaluation of your third-party risk management services.
To uphold your industry's competitiveness and resilience, develop a third-party risk management framework and ensure that every member of your organization is aligned in the process.