IHS Markit has launched the vendor management portal (VMP), which is a comprehensive solution for vendor risk tiering and vendor management workflow.
The VMP provides onboarding workflow, calculation of inherent risk, ongoing risk-based oversight, and off-boarding.
Through the combination of VMP with its third-party risk management (KY3P) due diligence service, IHS Markit now offers firms a system to centralise the management of third-party relationships, assess, and monitor third-party risk, and perform vendor due diligence.
According to Celent, a technology research firm, a major bank can have more than 20,000 vendor relationships.
Additionally, with so many dependencies, risk oversight, and standardising controls over a large and diverse population of service providers is a major challenge, Celent revealed.
The failure to manage vendor relationships effectively creates significant operational, financial, cyber, and reputational risks, Celent warned.
Ellen Schubert, CEO of KY3P at IHS Markit, said: “We are thrilled to be the first and only vendor management platform to combine comprehensive inherent risk workflow with a robust data hub of third party and vendor due diligence information.”
Schubert continued: “With our new VMP, KY3P now provides a single, modern tool, which bridges the long-standing gap that used to exist between initial due diligence and ongoing due diligence solutions.”
Richard Blore, managing director at Goldman Sachs, commented: “Investing in infrastructure to enable vendor lifecycle management, including the identification and mitigation of risk, is essential to us and the industry more broadly, and we were pleased to contribute to the design of the VMP.”
“Adding the VMP to KY3P creates a powerful solution that will provide a solid foundation for a firm’s vendor risk management programme.”
