Policy, Program and Procedures

I am in the process of enhancing our process and procedures for Vendor Succession, Escalation of Vendor Risk, and the Termination of Vendor Relationships (including ensuring that Personal Identifiable Information is returned or destroyed by the Vendor).  I wanted to reach out to see if anyone is able to provide any insights, recommendations, forms/templates of steps that work well with your process.  

Thank you. 

Mike

I am interested too

Hi Michael,

I have some resources that may be helpful to your enhancement efforts.

Vendor Succession: As soon as you identify a potential vendor, you will also need to consider what your organization will do if that vendor relationship does not work out. Would you switch to another vendor? Move the work in house? Would you discontinue the product or service altogether? Having a documented exit strategy is part of planning for the relationship and ensures your organization is prepared to act if necessary. It is also a best practice to review the exit strategy periodically to ensure it's still realistic and achievable. Here is a great resource on Exit Strategies:

5 Steps for a Successful Vendor Exit Strategy

Escalation of Vendor Risk: I hope I have interpreted this correctly, as when vendor risk is increasing, and what actions should be taken. The most important consideration here is to make sure your issue management process is well defined, documented, and aggressively managed. Keep in mind that if there are increasing risks related to any Critical vendor, they should always be reported to the board. Here are a detailed e-book and infographic that may prove useful:

Managing Issues in Your Third-Party Risk Management Program

How to Manage Issues with Vendors

Termination: Offboarding a vendor successfully involves a series of specific actions and risk preventions that should be implemented well in advance of the end of the business relationship. This includes developing a comprehensive exit strategy, negotiating, and managing the contract, ensuring a smooth transition of responsibilities and assets, and addressing any outstanding issues or concerns. It is also important to do a thorough contract review in advance of any termination to make sure you understand any potential implication, potential fees, and required notification periods. Taking these steps can help mitigate potential risks and ensure a seamless offboarding process.

Since there is a lot to cover in this topic, I would like to point you to this Offboarding Toolkit which includes essential information and a handy checklist.

I hope these resources are helpful. I would also love to see any other information or resources other members have to share.