Third-party relationships are often essential to business operations, leaving third-party vendors with access to sensitive data, personally identifiable information, protected health information, and proprietary business data.
A third-party vendor or service provider may include any entity that your organization works with, such as suppliers, manufacturers, service providers, business partners, affiliates, agents, or distributors. It may also include non-contractual entities.
TPRM is vital to any organization that uses third parties and could face risk to cybersecurity, whether directly or indirectly. Third parties aren’t under an organization’s control, nor do they offer complete transparency into security controls. Each party is a potential attack vector for a cyberattack or breach, which can provide access to your organization.
In addition, regulations regarding cybersecurity and data protection extend to third parties. If a third party has access to your organization’s data, you could face regulatory fines and penalties in the event of a breach – even if it wasn’t due to your own cybersecurity measures.