{"id":1554,"date":"2020-07-20T11:45:10","date_gmt":"2020-07-20T11:45:10","guid":{"rendered":"https:\/\/crigroup.com\/?post_type=blog&p=1554"},"modified":"2022-03-23T07:18:33","modified_gmt":"2022-03-23T07:18:33","slug":"when-to-conduct-third-party-screening","status":"publish","type":"post","link":"https:\/\/crigroup.com\/ar\/when-to-conduct-third-party-screening\/","title":{"rendered":"TPRM: When is it time to conduct third-party screening?"},"content":{"rendered":"

When to conduct third-party screening?<\/span><\/strong><\/h3>\r\n

Why do organisations screen their employees but not the companies they work with? Failing to screen third-party screening to the same level as permanent staff will increase your risks on many levels \u2013 from brand reputation to loss of money.<\/span><\/p>\r\n

The nature of business today is largely shaped by our connected world. Many organisations conduct business across international borders and\/or overseas and as part of various strategic and beneficial partnerships. In fact, the technology revolution and other factors that have removed barriers from business make it more essential than ever to have suppliers, vendors and other supporting companies helping to establish supply chains in various locations. And while they can be a great benefit to an organisation, these partnerships also represent an inherent security risk.<\/span><\/p>\r\n

Third-party screening in compliance perspective<\/span><\/strong><\/h3>\r\n

Vendors, suppliers and other third-party partners are entities largely outside of your control. While your organisation might have a high level of internal controls and stringent standards for ethical conduct, the entities that you partner with might not share those controls or values. Therefore, if something goes wrong, their failings can affect your organisation in terms of financial loss, liability, and damage to reputation.<\/span><\/p>\r\n

Europe\u2019s\u00a0<\/span>horse-meat scandal in 2013<\/span><\/a>\u00a0or\u00a0<\/span>Quest Diagnostics data breach in 2019<\/span><\/a>\u00a0is strong examples. Major organisations like Tesco were caught up in financial and PR disaster when they found that some of their suppliers were using horse meat in products sold as 100 per cent beef. Consumers were outraged, and many of the larger companies caught up in the scandal admitted that they had not performed proper due diligence or closely monitored their suppliers and their standards. And in the case of Diagnostics, the exposed records of 11.9 million patients.<\/span><\/p>\r\n

When is the right time to conduct due diligence?<\/span><\/strong><\/h3>\r\n

While third-party risk management should be an ongoing process, there are certain times when it is absolutely crucial for any organisation. At CRI\u00ae Group, we counsel our clients always to use third-party screening when doing any of the following:<\/span><\/p>\r\n