How to Perform a Third-Party Risk Assessment in 2024 | UpGuard

Executive Summary: This article presents a concise six-step framework for conducting third-party risk assessments within a TPRM program, covering identification and tiering of critical vendors, regulatory mapping, risk profiling, evidence collection (questionnaires, scans, documentation), assessment distribution, continuous monitoring, and efficient vendor collaboration; it emphasizes prioritizing high-risk vendors, integrating tools like GRC platforms and Trust Exchange, and using both full and partial assessments to manage operational, cybersecurity, compliance, financial, reputational, and geographic risks.