The business world is becoming entirely digital. More and more businesses are converting everything to digital assets, finances, and transactions. This has altered the way we engage, with whom we connect, and how we retain information – especially when it comes to vendor partnerships. Matthew Hodson, CIO at Valeo Networks, stresses the need for developing vendor cybersecurity and lays out a plan of action.
During this conversion, safeguarding cloud computing and information storage is critical – data breaches are predicted to cost enterprises billions of dollars each year. Shockingly, most small businesses undervalue the financial cost of cybersecurity risks by more than 15 times the actual cost.
Human error is the leading cause of intrusions and fraudulent activity. This risk is further compounded when dealing with third-party suppliers since both your staff and theirs may be targeted. You should have explicit vendor cybersecurity rules in place to safeguard your organization from exposure due to a third-party lapse. Let’s review how to develop a plan of action.
Take Preventative Measures
Most people in the digital workforce have a good understanding of personal cybersecurity safeguards, but many are still unaware of the risk posed by third-party vendors. As a result, it is up to you to train your team. If you don’t already have some formal framework on this, establishing a basic vendor cybersecurity procedure is an excellent place to start.
When your company works with a third-party or software supplier, be careful not to assume they share your organization’s security requirements. Present them with your best practices if they were created by your IT team, a CTO, or an accredited third-party consultant. Carefully consider when you want to conduct security testing. Do that before you sign a contract since it may be too late to rectify after a vendor is in your pipeline and linked to your data. Check whether each supplier you deal with has invested in adequate security software and an IT staff.
Your company’s IT staff should be able to talk with theirs regarding data stewardship and cyber defense strategies at all stages. Preventative actions, a strategy for active intrusions, and mitigation/resolution processes should be included. You may proceed as long as both parties concur that these steps are sufficient.
Establish Best Practices When Working with Vendors
The most obvious need when working with a vendor is, of course, data protection. However, suppliers and customers seldom agree on the “how†without a thorough conversation about cybersecurity practices. Avoid duplicate storage, unsecured networks, and password-sharing that isn’t essential.
Ensure that your company’s IT staff audits their processes and vice versa. It will make both teams more responsible and enhance your vendor relationship by not making them feel like they are being singled out.
With any approach you use, make sure you have key performance indicators (KPIs) to monitor whether your information security strategy is working and review them regularly.
Keep in mind that training must be a priority. While all of these programs are excellent initially, they have to be maintained with constant follow-up activity. Your suppliers must show that they can adequately train members of both teams. And this brings us back to the human aspect. An individual might be able to discuss their security policies in a meeting, but that doesn’t guarantee the rest of their team is on board.
We constantly see large companies impacted by third-party data intrusions and cyberattacks, which are generally the result of a lack of management knowledge. Small firms have the benefit of a smaller staff for expeditious communication, but this also increases the risk factor if training is inadequate. Have a well-thought-out strategy with resources set up for updates and additional time acquired from vendors.
See More: Security Operations Centers (SOCs) May be the Key as Companies Look to Improve their Cyber Defenses
Know When to Seek Out Expertise
If you don’t have the time or capabilities in-house to vet and manage vendors fully, consider the involvement of a Managed Security Service Provider (MSSP). An MSSP may be your best chance for quickly building a favorable vendor cybersecurity strategy. It can be costly to build up skills internally unless you have a capable CTO with a strong team behind them. To ensure compliance, your suppliers will need a similar degree of assistance. MSSPs have a specialized team of people and resources devoted to cybersecurity, and they can keep track of all parties involved in a contract at the same time. A good MSSP will gather and disperse findings from both teams, saving you time and frustration.
When searching for an MSSP, do your research to find one that fits your business needs. Ask if they have a demo project set up. Find out what types of clients they serve and whether they specialize in your industry. If you choose the right MSSP with well-defined outcomes, the rewards will long outlive the expense, just like any other investment.
Safe, Symbiotic Vendor Relations
Cybersecurity will be a priority for contract management this year, but many small enterprises will still face challenges. You’ll be putting your best foot forward to battle these hazards by developing a robust vendor risk management strategy. To make this procedure easier, it is strongly recommended to utilize an MSSP. MSSPs have extensive experience working with clients to optimize their cybersecurity policies. They can serve as a trusted partner, allowing them to manage sensitive information and secure your data when it’s at risk from vulnerabilities in third-party systems. They can help with system monitoring, patching software vulnerabilities, and mitigating cloud security risks.
This year, more and more businesses are leaning upon MSSPs for their cybersecurity needs, including vendor risk management. Any organization seeking cybercrime protection for their sensitive data – both critical information and financial information – will need a knowledgeable MSSP to assist by implementing a detailed plan.
How are you developing vendor cybersecurity? Share your learnings with us on LinkedInOpens a new window , TwitterOpens a new window , or FacebookOpens a new window . We’d love to know!