COVID-19 revealed the importance of robust Supplier Risk Management. Under-the-radar suppliers on sole-source contracts were suddenly found to be contributing small but critical inputs to production lines, with late deliveries – not seen in years or decades prior – threatening to shut down entire factories.
On top of production risks, companies are also increasingly reliant on third party technology for processing sensitive business information. This is an overwhelmingly positive trend, as it puts the job of cybersecurity into the hands of the companies that are most expert at it. However it has the important consequence that when security incidents happen, they will most likely involve a third party.