Organisations today face increasing pressure to manage third-party risks with greater speed, precision, and accountability. This perspective explores how artificial intelligence (AI) is being applied across the third-party risk management (TPRM) in its entire lifecycle, the challenges involved in its integration, and the importance of combining AI with human intelligence to deliver targeted, actionable insights. While AI enhances decision-making and operational efficiency, but human judgement is essential for interpreting context, managing exceptions, and making ethically sound decisions. The future of TPRM lies in a collaborative model where AI enhances decision-making and humans provide strategic oversight and responsibility.
AI is revolutionising how organisations govern third-party relationships, elevating oversight from periodic reviews to continuous, intelligent risk governance. As supply chains grow more complex and regulatory scrutiny penetrates deeper, the ability to monitor, predict, and respond across vast third-party ecosystems is becoming a key marker of organisational resilience. Our research shows that AI is no longer a support function; it is fast becoming the strategic core of enterprise risk management.
