Third Party Risk Management Software

Third-Party Risk Management (TPRM) software helps organizations identify, assess, and mitigate risks associated with third-party relationships, including vendors, suppliers, and contractors. It provides insights into how third parties are used, recommends safeguards, and identifies potential vulnerabilities. While third party risk management software can be tailored to specific industry and regulatory needs, it incorporates universal best practices to enhance security and compliance.

Key Features & Capabilities of Third Party Risk Management Software

• Vendor Inventory and Profiles: Organizations can use third party risk management software to maintain a complete vendor inventory, storing detailed profiles with information like legal names, addresses, key contacts, contracts, performance issues, and spending data.
• Automation of Risk-Based Classification: TPRM software automates workflows to assess vendor risks, using scoring logic to classify risk levels and determine the appropriate due diligence required.
• Vendor Engagement: TPRM software provides tools to help streamline communication with vendors, including tailored due diligence assessments based on the vendor’s risk profile and sensitive data relevance.
• Employee Engagement: TPRM software allows internal teams to request new vendors or scope changes through a dedicated portal, triggering workflows and ensuring proper reviews and approvals.
• Continuous Monitoring: TPRM software enables ongoing vendor performance reviews and integrates with third-party intelligence tools for real-time risk monitoring. This can be further enhanced by integrating with incident management software to help organizations quickly respond to any issues that arise with third-party vendors.
• System Integration: TPRM software integrates with operational tools like accounts payable systems to track spending, ensuring seamless information sharing across the organization. It also works in conjunction with Operational Risk Management (ORM) software and compliance management software to ensure that third-party risks align with broader organizational and regulatory requirements.
• Reporting: TPRM software simplifies reporting, offering role-based dashboards and ad hoc reporting features to help organizations track vendor management activities and present insights to leadership. The data can also be shared with Quality Management Systems (QMS) tools to assess the quality-related risks posed by vendors, ensuring all vendors meet the necessary standards.