Your glossary for risk and compliance
Helpful definitions of all of the terms you need to know to better manage risk and compliance.
TermsAFSL Authorised Representative AICPA Annex A Controls ASIC Attestation of Compliance (AOC) Business Continuity Management Communication and consultation Compliance Automation Software Compliance Risk Management Consequence Context control Cybersecurity Cybersecurity Maturity Model Certification (CMMC) FedRAMP Governance Risk & Compliance (GRC) GPDR HIPAA HITRUST How many controls are there in ISO 27001? Incident Management Information Security Management System (ISMS) ISMS Governing Body ISO 27001 ISO 27001 certified ISO/IEC 27000 ISO/IEC 27004 ISO/IEC 27005 ISO/IEC 27017 ISO/IEC 27018 Level of risk Likelihood Notifiable Data Breach OAIC Policy Management Risk Risk analysis Risk identification Risk management Risk management framework Risk management plan Risk management policy Risk management process Risk owner Risk profile Risk review Risk source Risk treatment SOC 1 SOC 2 SOC 3 SOC Reports SOC Trust Services Criteria (TSC) SSAE 16 SSAE 18 Stakeholder Third Party Risk Management Vendor Assessment Vendor Management Policy Vendor Review Vulnerability Vulnerability Management What are the ISO 27001 controls? What is an ISO 27001 internal audit? What is an ISO 27001 risk treatment plan? What is an IT security policy? What is Hacking? What is ISO 27002? What is PaaS (Platform-as-a-Service)? What is the ASD Essential 8? What is the ISO 27001 management review? What is the ISO 27001 Stage 1 Audit? What is the ISO 27001 stage 2 audit?
What is a Vendor Management Policy?
A vendor management policy is an important component of an organization's larger compliance risk management strategy. It is a best practice for any organization that works with sensitive data and customers' personally identifiable information (PII) to develop a policy to review all vendors — each third-party, contractor, or associate with whom an organization does business — and to establish requirements for the level of information security that vendors should maintain. As an organization outsources to a wider ecosystem of vendors and partners, its risk increases.
A vendor management policy, developed and overseen by a cross-company team, will help an organization evaluate its current vendors according to level of risk, and to assess potential new vendors for adherence to appropriate cybersecurity practices. A successful vendor management policy will also establish processes for the continuous monitoring of third-party and fourth-party service providers to ensure their ongoing adherence to an appropriate level of security.
Organizations maintaining a vendor management policy may have a particular interest in working with vendors who meet security requirements such as SOC 2 compliance.
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