VM-01 Third-Party / Vendor Management

Vendor / Third-Party Risk Assessment

Third-party risk is assessed before and during reliance.

Domain
Third-Party / Vendor Management
Control type
Detective
Automated / manual
Manual
Frequency
Onboarding + periodic
Framework reference
MAS Outsourcing; MAS TRM – Third Party

What good looks like

Material vendors risk-assessed at onboarding and periodically.

Risk if it fails

Inherited third-party risk unmanaged.

How Tess tests it

3 tests — each concludes only on cited evidence.

Vendor-risk process (onboard+periodic) defined

Design
Procedure
Inspect the process.
Expected
Defined.
Sample
1 (design inspection)
Evidence
Vendor risk assessments, due-diligence records.

Onboarding due diligence performed

Operating
Procedure
Sample vendors.
Expected
Assessed at onboarding.
Sample
Judgmental, by population (e.g. 10–25)
Evidence
Vendor risk assessments, due-diligence records.

Periodic re-assessment performed

Operating
Procedure
Inspect re-assessments.
Expected
Current.
Sample
Judgmental, by population (e.g. 10–25)
Evidence
Vendor risk assessments, due-diligence records.

Evidence Tess looks for

Vendor risk assessments, due-diligence records.

More in Third-Party / Vendor Management

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