What Is Third-Party Risk Management (TPRM)? 2023 Guide | UpGuard

This document presents a comprehensive overview of Third-Party Risk Management (TPRM), detailing why vendor risk matters, a practical implementation roadmap (from vendor inventory and risk classification to assessment, remediation, approval, and continuous monitoring), and the regulatory drivers (e.g., GDPR, HIPAA, SOC 2, DORA). It outlines common challenges (speed, depth, visibility, consistency, context, trackability, engagement), methods for evaluating vendors (security ratings, questionnaires, penetration testing, virtual/onsite reviews), and the essential features of effective TPRM platforms (automation, remediation workflows, reporting, fourth‑party discovery, continuous monitoring), supported by a healthcare case study demonstrating dramatic assessment speed improvements.