As a responsible business, protecting the company and its clients is essential at all times. However, it’s not only the direct relationship between the organization and the end user that needs to be considered. Third party risks can be equally damaging to the future of the venture, which is why they require your full attention. Immediately
Automated services like Symfact make the process easier than ever. Let’s take a look at why you need to incorporate it into your business strategy.
Why Is Third Party Risk & Governance Management Needed?
Given that the business is sure to enter a number of agreements with a variety of different companies and clients, there are a number of potential risks to consider. This broad spectrum of problems is why a solid governance management strategy needs to be put in place.
Failure to do it could leave you vulnerable in many crucial areas, such as;
- Tax compliance,
- KYC,
- Fraud,
- Terrorism Financing,
- Sanctions,
- Aliases,
- Child Labor and Slavery,
- Cybercrime,
- Common Reporting Standard,
- Money Laundering,
- Politically Exposed Persons,
- Ultimate Beneficial Owner,
- Corruption,
- And more.
With so many aspects to consider, it’s vital that this part of the operation is handled in the most effective fashion. It is also essential to have a thorough knowledge of various aspects of these crucial areas like understanding money laundering laws to properly implement this strategy. After all, it’s always better to be safe than sorry.
Why Choose An Automated Third Party Risk Management Service?
It’s one thing to take care of those third party relationships, but it’s another to do it well. The choice between taking the manual route or automated one is vital. Frankly, the benefits gained from choosing an automated option are far too big to ignore.
Here are just six reasons to take this option;
- You’ll save time.
- You’ll save money.
- There will be an added sense of consistency.
- Live monitoring alerts you to issues.
- Reacting to adverse developments is easier.
- The data will be protected.
From prevention to reaction, the automated approach is far smarter. When added to the general operational benefits gained by the business too, it’s clear that the investment is worth making. Given that, as per https://deloitte.com, 87% of businesses experience problems in this field, it’s vital that you put those precautionary measures in place today.
What Should A Good Third Party Risk Management System Do?
Various software providers are out there and, while all of them attempt to serve your business needs, some are better than others. Therefore, you need to know that your governance management facilities are up to scratch and provide the features that your business needs for a comprehensive approach to safety.
The following features should all be considered to be essential for your checklist;
- Pre-Screening,
- Automated Flexible Questionnaires,
- Risk Transparency,
- Integrated Global and Local Data Sources,
- Analysis Tool,
- Workflow Control,
- Continuous Monitoring,
- Full Documentation,
- Mitigation / Remediation Support,
- All provided within DoJ requirements.
Symfact offers all of those features as well as complete personalization to ensure that things are perfectly geared towards the ongoing protection of your business. Visit https://symfact.com to learn more. Prevention is always the best form of protection and could be key to keeping your venture on the right track.
