Nth party management is an organization’s approach to managing risk associated with today’s complex outsourcing chains, which increasingly extend beyond third parties. Fourth parties (the outsourcer’s vendors’ vendors) are common today, but regulators have identified as many as 20 organizations in a single financial service outsourcing chain. Outsourcers inherit the risk associated with their expanded supply chain, and mitigating those risks necessitates a far-reaching security strategy that safeguards data and other assets from uncharted risks and vulnerabilities.
Our Guide to Risk Domains introduces and defines other critical and current risk domains – download here.