Not so long ago, the idea of outsourcing critical business functions or IT systems to a third party supplier would have been off limits for many organisations because of the level of risk involved. However today, the use of third party suppliers has increased exponentially, with many organisations outsourcing even core functions of their business. Why? Outsourcing can be financially attractive, efficient and provide competitive advantage.
In delegating key processes to third parties, organisationsare potentially exposing themselves to huge amounts of risk, and while you might be able to outsource functions, you can never outsource business risks or reputation. It is common for information security to be last in the process of due diligence when selecting suppliers. So, when you have thousands of suppliers, and they have thousands of suppliers, how far should you go to assess and mange cyber risk?
In this podcast, CRMG’s Nick Frost, Todd Wade and Andrew Wilson discuss the key risks associated with third party suppliers, how to manage the process of on-boarding suppliers. and how to filter through suppliers to assess those most critical to your business. Our team also discuss the importance of managing the relationships with third party suppliers and the need for an exit strategy in the event of a split.
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