Introduction:

This case study describes our role in improving the third party risk management practices for a leading, industry-owned business that delivers critical settlement, processing, and data solutions to global financial markets.

Our focus was to help the team perform gap assessments for its material outsourcing relationships and develop contract management practices that aligned with the new TPRM framework.

While this short piece of work shows how we can help teams quickly bridge gaps when implementing consulting recommendations, it also gives an example of how we can help accelerate the closure of critical audit gaps.

The Client's Challenge:

The client had historically lacked robust management of third-party risks and after this had been further elaborated on in a compliance audit, had recently engaged a tier 1 consultancy to help it establish the capability and framework.

However, their challenges included the need to reduce the costs of the program, while also continuing to progress the resolution of the highlighted audit findings.

Our Approach:

Supporting the transformation agenda of a newly appointed head of third party management, we were engaged to provide a more affordable way to accelerate key actions to help them do so.

Our key activities included:

• Rapidly developing a material outsourcing contract assessment

• Assessing all material outsourcing contracts, highlighting gaps and providing recommendations on improvement opportunities

• Designing new governance, relationship and contract management processes to incorporate allow the client to more readily deploy TPRM controls while providing

The Result:

The outcomes were:

• Demonstrable progress against contract and process audit findings, which were at risk of remaining unaddressed

• Identification of critical risks and proposed treatment in certain material outsourcing contracts

• A foundation of process documentation to help the client build capability going forward

• Reduced consulting fees for the TPRM framework deployment generally

Tags:

#FinancialServices, #ThirdPartyRiskManagement, #TPRM, #Contracting