Third-Party Risk Assessment Template

A Third-Party Risk Assessment Template is a crucial tool for organizations to evaluate and manage potential risks associated with external vendors, suppliers, or partners. This document typically includes:

1. Vendor Information: Basic details about the third party

2. Risk Categories: Areas of potential risk (e.g., financial, operational, cybersecurity)

3. Risk Evaluation Criteria: Metrics for assessing risk levels

4. Questionnaire: Specific questions to gather relevant information

5. Risk Scoring: A system to quantify identified risks

6. Mitigation Strategies: Proposed actions to address high-risk areas

7. Compliance Requirements: Relevant regulations and standards

8. Review and Approval: Sign-off process for risk assessment results

This template helps companies systematically assess and document third-party risks, enabling informed decision-making and risk management strategies. It’s an essential component of a robust vendor management program and can be customized to fit specific industry needs and organizational requirements.