What’s needed from a TPRM tool for banks?
So, what might a TPRM solution that meets the needs of regulators look like?
Engaging at depth within the supply chain means that a decentralized, SaaS-based application is essential. Companies in the third, fourth, and fifth tiers of a supply chain need to be able to implement the TPRM requirements of a bank quickly and easily, even where there is no direct relationship.
A centralized repository containing the relevant contracts, policy standards documentation, and the risk profiles of the various suppliers will also help manage third-party risk more effectively.
Another capability is the ability to monitor the various companies in the supply chain proactively. If issues emerge at any level – technical, commercial, operational, or political, for example – a bank’s risk, operations, and compliance functions can respond quickly and positively when they need to. Spotting issues early is the most effective way of ensuring issues get resolved fast.
