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Top 5 Third-Party Risks

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"Top 5 Third-Party Risks"

Pervasive threats and actions you can take to help protect the reputational, regulatory and financial standing of your business.

The benefits of a third-party network come with a host of risks. As the global marketplace grows more complex and competitive, third-party relationships become increasingly crucial to decreasing costs, managing risks, enhancing customer experiences, hastening speed-to-market, and improving value and profitability. Without reliable and reputable third-parties (i.e., vendors, suppliers, distributors,
and contractors— in addition to brokers, agents, resellers, and contract manufacturers), businesses cannot compete with more dynamic organizations in their industry. However, by inviting these entities into your network, you may also be opening the door to unwelcome risks.

While effective third-party relationships can take a company to the next level, it is increasingly important to safeguard your business against a variety of risks that these relationships can harbor. Legal and regulatory compliance, information security/ cybersecurity, business continuity, strategic, financial viability, and reputational risks represent a range of topics that may present surprises if not properly assessed or evaluated to properly manage the respective risks to your organization.


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