Third party risk management – strengthening trust in a connected world

Every organisation relies on external suppliers, partners, and service providers. From software vendors to logistics companies, these relationships are essential to daily operations. Yet each connection introduces potential vulnerabilities. If one supplier experiences a security breach or operational failure, the impact can spread quickly through your business. 

That is why third party risk management is now a critical part of building organisational resilience. It helps you understand who you work with, what they can access, and how their weaknesses might affect your security, compliance, and reputation. 

A converged approach to third party risk management recognises that risk is never limited to one area. It combines cyber, operational, financial, legal, and even physical perspectives to build a complete picture of your exposure. 

What third party risk management involves 

Third party risk management (TPRM) is a structured process that identifies, assesses, and monitors the risks linked to external relationships. It provides visibility across your entire supply chain so that issues can be spotted and addressed before they cause harm. 

A mature TPRM programme typically includes: 

• Supplier classification:Understanding which vendors are most critical based on their role and access to data. 
• Due diligence:Assessing potential partners before contracts are signed to confirm they meet your security and compliance requirements. 
• Compliance: Ensuring your partners comply with all applicable regulations and standards required of their service delivery.
• Ongoing monitoring:Tracking performance, incidents, and control maturity over time. 
• Remediation and improvement:Working with suppliers to fix gaps and raise their standards. 

This process builds accountability and creates a shared understanding of risk between your organisation and its vendors. It also gives senior leaders the insight they need to make confident, risk-informed decisions. 

The growing scope of third-party risk 

Supply chains today are global, digital, and deeply interconnected. Even small suppliers can handle sensitive data or play a vital role in business continuity. The risks are wide-ranging, from data breaches and system outages to regulatory non-compliance or reputational harm. 

Third party risk management helps you address these challenges by looking across multiple domains. Information and cyber security remains a key focus, but they not the only ones. Financial stability, ethical conduct, and operational resilience all influence how much risk a third party represents. By understanding these factors, organisations can make better choices about who they work with and how to manage those relationships over time. 

Why third party risk management matters 

Third-party risks are constantly changing. Vendors update systems, change staff, and adopt new technologies. Global conditions shift, and with them, supply chain vulnerabilities. Without visibility, it is impossible to know whether your partners maintain the same level of security and compliance that you expect internally. 

Effective third party risk management gives organisations a clear, up-to-date view of their external exposure. It helps you: 

• Stay ahead of emerging threats through continuous monitoring
• Reduce blind spots across complex supplier networks
• Respond quickly when a vendor’s risk posture changes
• Demonstrate accountability to regulators, clients, and stakeholders

The goal is not to eliminate risk completely, but to understand and manage it in a way that protects your business and maintains trust. 

A converged approach to risk 

As a converged security consultancy, we see third party risk management as part of a broader ecosystem that connects technology, process, and people. Our approach brings together expertise in cyber security, physical protection, and human behaviour to give clients a more realistic understanding of risk. 

We assess vendor security against recognised frameworks such as ISO 27001 and NIST while also considering how controls perform in practice. Experience in incident response and threat intelligence allows our team to identify weaknesses that may not be visible in policy documents or certification reports. 

This convergence of technical and practical insight helps organisations move beyond checkbox compliance to something more meaningful, a genuine assurance that third-party risks are understood and controlled. 

From oversight to improvement 

The best third party risk management programmes do not stop at identifying gaps. They help suppliers improve. A mature process encourages collaboration rather than blame, building stronger, more resilient relationships across the supply chain. 

Practical steps include: 

• Sharing clear security expectations with vendors
• Supporting remediation with guidance and measurable goals
• Using automation to track progress and maintain consistency
• Creating open communication channels for raising and resolving issues

When risk management is approached as a partnership, it benefits both sides. Vendors improve their own resilience, and the organisation gains greater confidence in its network. 

Creating a culture of shared responsibility 

Successful third party risk management extends beyond procurement or compliance teams. It needs to be part of the culture. Everyone involved in sourcing, contracting, or working with suppliers should understand their role in identifying and reducing risk. 

Embedding these principles into procurement, onboarding, and project planning helps create that culture. Over time, awareness becomes part of how the organisation operates. This shared responsibility ensures that risk management is not a one-time exercise but an ongoing, collective effort.