TPG Consulting performed a Third-Party Risk Assessment evaluating operational risk from its vendor network. The review provided insights into existing strengths and areas for improvement.
The third-party vendor risk assessment underscored the critical need for robust oversight in managing cybersecurity risks linked to external partnerships. This comprehensive assessment involved evaluating multiple key vendors through a combination of detailed cybersecurity questionnaires, interviews with technical and management personnel, and investigative due diligence reviews. The evaluation examined overall governance and multiple security domains, including information security frameworks, access control, incident response, and business continuity.
The findings revealed varying levels of risk across the vendor network. Some vendors demonstrated well-implemented cybersecurity frameworks and practices, presenting minimal vulnerabilities. However, opportunities for further strengthening were identified, such as enforcing policies for managing fourth-party access, improving vendor accountability measures, and conducting regular Business Continuity Plan (BCP) testing to ensure readiness for potential disruptions.
Other vendors were categorized as a medium-risk vendor, highlighting areas requiring immediate attention. While such vendors had foundational security measures in place, gaps were noted in the completeness of their policies and procedures. The report recommended that such vendors formalize its security policies, align with recognized industry standards such as SOC2, NIST, and FFIEC, and improve operational controls through consistent logging, monitoring, and independent audits. Additionally, regular testing of business continuity plans was suggested to bolster their ability to recover swiftly from potential incidents.
This assessment provided actionable insights, empowering the organization to refine its vendor management strategies and reduce exposure to third-party vulnerabilities. By addressing the specific recommendations, the organization enhanced its resilience against evolving cyber threats and ensured alignment with its internal security standards. Overall, the initiative demonstrated the value of proactive risk management and reinforced the importance of maintaining robust security practices across all levels of the vendor network.
