In retrospect to recent events Kevin Frost– our Chief Product Officer collected five key items in a strong Third Party Risk Management (TPRM) program specifically for third-party software vendors. (Check out the ones with ❗ – they are some of the most important). Contact us to hear how ServiceNow TPRM Due Dillgence, TPRM, and BCM all can assist you in mitigating disasters caused by third-parties.
✅ Thorough Due Diligence and Onboarding Process
⏺ Conduct comprehensive assessments of software vendors before engagement.
⏺ Evaluate their financial stability, reputation, legal compliance, and software security practices, including vulnerability management and patching processes.
✅ Risk Assessment and Categorization
⏺ Assess and categorize the risks associated with each software vendor.
⏺ ❗ Focus on the criticality and impact of their software on your organization’s operations, data security, and compliance requirements, including potential vulnerabilities and integration risks.
✅ Continuous Monitoring and Review
⏺ Implement ongoing monitoring of software vendor performance and risk exposure.
⏺ ❗ Regularly review and update risk assessments based on changes in the vendor’s software, security posture, or external environment, including emerging threats and new vulnerabilities.
✅ Clear Contractual Agreements and SLAs
⏺ Establish detailed contracts that define expectations, performance metrics, security requirements, and compliance obligations for software vendors.
⏺ Include Service Level Agreements (SLAs) to ensure accountability and enforceable standards, particularly regarding software updates, security patches, and support response times.
✅ Incident Response and Contingency Planning
⏺ Develop and integrate incident response plans for software vendor-related incidents.
⏺ ❗ Ensure there are contingency plans to address disruptions or failures in third-party software, including alternative vendors or internal solutions, and include procedures for rapid response to software vulnerabilities or breaches.