[author: Lauren Burnside]
Strategies for Mitigating Unseen Threats and Managing 4th- and Nth-Party Risk in Your Modern Business.
Organizations today have transitioned from using on-site server rooms to relying on third-party services and cloud providers. In fact, according to Gartner, 60% of organizations work with more than 1,000 third parties. They are also now acutely aware of the potential risks associated with these external relationships – and the various measures for third-party risk management needed to monitor and mitigate them.
As organizations become more interconnected, the concept of 4th- and nth-party risk has emerged as a critical component in understanding and mitigating potential hazards. A recent report by SecurityScorecard on the Digital Operational Resilience Act (DORA) revealed that 84% of financial institutions were exposed to a 4th-party breach. Nevertheless, it is imperative to remain vigilant about an additional peril: potential risks from the suppliers of your vendors.
Let’s delve into the intricacies of nth-party risk and 4th-party risk, shedding light on these terms and exploring effective risk management strategies.
What is 4th-Party Risk?
In simple…
