A third party security assessment is surely a must. Delving deeper into these, a business should be doing this right. Thus, key elements of the process should be considered.
This article will discuss five steps. Let us briefly discuss each of them.
Step One: Set Vendor Risk Criteria
Criteria or standards should help you better assess the risk levels of your vendors. These criteria should lay the worst-case scenario. So be realistic though. Include in this criteria the worst third party risks. Risks that your business potentially has.
For instance, for business handling so much data. Then these businesses must be conscious of different information security risks involved. This should be a part of their risk criteria.
Setting these criteria will then lead you to the scope of your vendor risk assessment. Plus, this should further influence how you will conduct your VRA.
This step will then lead you to the next one. Which is classifying your vendor. It is suggested to have a separate list for high-risk third parties. This list opts for a more thorough VRA.
Step Two: Standardize Third Party Screening
Aim standard processes with relation to vendor risk assessments. These processes should be well implemented with consistency.
Moreover, professionals suggest having a management program. This program should standardize your third party onboarding. As a result, you’ll have a more efficient and consistent vendor risk management.
It is also encouraged to have thorough yet real-time assessments.
This reaps the best of benefits.
- You’ll be better updated with potential third party risks. Especially even before conducting the vendor risk assessment.
- Setting standards also results in the optimum assessment. And also better insights into assessments. This in turn results in better actions.
Step Three: Easy Management of VRA
Good VRA management results in the best results. And good management needs to be easy. But this doesn’t mean a simple checklist would suffice.
Various professionals can help you ease the process. Let them have the analyses of your assessments. They can further provide you with detailed reports.
Moreover, big companies reserve a special team for these risk analysis programs.
This is vital for having a more thorough analysis. Helps greatly in having continuous monitoring.
Step Four: Assess The Performance
There’s more to these risks. And these assessments should not only be done to the risks. Let the results speak. And that concerns the performance.
These results reliably speak whether this third party is risky to some degree. Having information security ratings also helps. This will help you better monitor the vendor’s compliance and of the potential risks.
Final Step: Power Tools- Technology
Better tools also mean better work results. This is true with handling third party risk assessments.
A business can opt for technology services that may ease the process. Furthermore, making use of the software will also aid standardization.
Making use of technology also helps in being thorough. Especially with the complexity of this process by nature. Also, when you are handling multiple third party vendors. This is cost-effective and efficient at the same time.