The risk assessment process typically entails five steps:
Establish a risk management framework
This involves developing the rules you will use to manage your risks, from establishing your baseline security criteria and risk appetite to calculating the likelihood of the risks occurring and their likely effect.
The most time-consuming part of the process, this involves auditing the third party to determine the data assets it holds and the risks that might affect those assets.
Analyse those risks
Vulnerabilities should be assessed for each data asset, and impact and likelihood values assigned to each.
Evaluate those risks
Your risks should then be evaluated according to your risk appetite and the extent to which they are acceptable.
Select and apply risk treatment options
There are generally four ways of treating risks:
- Treat the risk by applying security controls.
- Tolerate the risk if the chances of its occurring or potential impact are small, or if treating it would be too expensive.
- Terminate the risk by stopping the activity in question.
- Transfer the risk by sharing it with a third party, such as by taking out insurance.
Whatever your third-party risk management requirements, we can put together a solution that suits your needs. Get in touch today to find out how we can help.