Managing Risk Across Third-party Relationships
Organizations are an intricate organism of complex relationships. The modern organization does not operate in isolation, but as part of an ecosystem of interactions with third parties.
The physicist, Fritjof Capra, made an insightful observation on living organisms and ecosystems that also rings true when applied to third-party risk management:
“The more we study the major problems of our time, the more we come to realize that they cannot be understood in isolation. They are systemic problems, which means that they are interconnected and interdependent.”[1]
Capra’s point is that biological ecosystems are complex and interconnected requiring a holistic understanding of the intricacies as an integrated whole rather than a dissociated collection of parts. Change in one segment has cascading effects and impacts on the entire ecosystem.
This is also true in third-party management . . .
This article is continued as a guest blog written by GRC 20/20 at SureCloud. Please click on the link below to finish reading.