What is Vendor Risk Management?

Digital technology shifting way the organization’s function, compete and succeed. IT security activities have become an integral part of how business is done, making security risk inseparable from business risk. Many organizations avail third-party vendor services with SaaS software applications, cloud server management, human resources applications, software development, background verification, customer support, and much more. Engaging vendors have decent benefits and also inherited risk factors. The risk may involve operational risk, legal risk and compliance risk, systems and data breaches, financial losses, and many more. In view of the associated risk, third-party vendor risk management is of immense importance for organizations for profound insight into the vendor security posture and business continuity. The organization can establish risk identification and establish security priorities, and a streamlined incident and breach response.