The new realities of third-party security risk
Companies today rely on a growing pool of third parties to keep their business moving, from cloud platforms and technology providers to back-office services and critical supply chain partners. Their vendor ecosystems are expanding quickly—and so are the security and compliance risks that come with them. Consider:
- Third-party security incidents have risen sharply, with breaches up nearly 50 percent in 2024.1
- Regulatory oversight is expanding across the globe, including SOCI, NERC CIP, HIPAA, and other global mandates.
- Emerging technologies such as AI and cloud services are opening new risk domains that many cyber and compliance programs aren’t equipped to manage.
- Attacks are becoming more sophisticated, with adversaries targeting suppliers, outsourcers, and critical service providers.
But for many organizations, their third-party security risk programs are facing assessment fatigue and unnecessary overhead. They still rely on manual workflows, point-in-time assessments, and disconnected tools. The result is slow onboarding, inconsistent controls, and limited visibility across an increasingly complex vendor matrix.