Whether you are bringing on a new vendor or transitioning your entire third party ecosystem onto a new platform, LogicManager’s Vendor Onboarding solution can help you manage risks, gain efficiencies, reduce costs, adhere to contractual obligations, prevent liabilities, establish and track renewal procedures and ensure contractual obligations are met.
As your organization seeks information about potential vendors and suppliers, the vetting, validation and onboarding process is crucial. You need to evaluate the third parties’ capabilities as well as their risk levels before taking them on as your own. The vendor onboarding process builds the foundation of lasting business relationships with third parties.
The vendor onboarding process can be a lengthy one, consisting of complex tasks that span across your entire enterprise, requiring input, review and approvals from multiple departments. However, leveraging LogicManager’s vendor onboarding solution package enables you to seamlessly meet your business’s needs.
Potential Vendor Onboarding Risks
You can outsource processes, but you can’t outsource risk. Just because a vendor is providing or doing something for you does not mean that your organization is not ultimately responsible for the risks associated with that product or service.
When you outsource a responsibility to a vendor and they create a problem for a customer, that customer doesn’t care whether they work for you directly or not. If your business does not satisfy their standards, you could lose their business. The same concept poses a risk to your reputation; if a scandal results from improper vendor activity, customers hold you responsible for allowing the scandal to take place on your watch.
Proper vendor onboarding ensures that you are only bringing on vendors that are vetted and up to your standards.
Streamline Vendor Onboarding with LogicManager
Keep a centralized repository
By leveraging LogicManager’s vendor onboarding solution, your organization will be positioned to efficiently and effectively manage risk. We provide a centralized repository of all your vendors, which many organizations are required to maintain. Having a documented system in place for adding new vendors will ensure that this repository is always up to date. On top of that, you’ll never lose track of necessary information about your vendors; renewal dates and key contract terms like obligations and liabilities are all maintained within an all-in-one hub. With all of this information at your fingertips, it’s easy to confirm accuracy in reports for regulators or the board.
With vendor agreements comes documentation. LogicManager’s vendor onboarding package allows you to keep all associated vendor documentation, like contracts, financials, SOC reports, etc.) in one centralized hub. This means that any time you need information on a vendor, you won’t waste time searching for it through unorganized shared drives or desktop folders.
Having a well-documented and formalized vendor onboarding process provides examiners with the assurance they need to know that your program is working properly. Oftentimes, examiners will look at a sampling of your vendors to look for evidence that you’re following all of the necessary procedures. With a centralized system housing the full history of your relationship with each vendor along with their onboarding processes and their documentation allows you to quickly and easily provide examiners with the evidence they’re looking for.
Take a risk-based approach
Your time and resources are limited and valuable, and taking a risk-based approach to your vendor onboarding program ensures that you’re spending them wisely. Different vendors require different information from different subject matter experts within the organization, depending on their characteristics (e.g. Compliance, Business Continuity, InfoSec, Legal and Finance). Avoid bogging your teams down in unnecessary reviews by routing only relevant vendors for their review. If it’s a low risk vendor, such as a caterer or a pen and paper supplier, you can route action items to the appropriate parties automatically without having to manually send out emails or reminders. Our risk-based solution also ensures that you’re aware of which vendors are most critical to your company’s operations. This way, you can dedicate additional time to conducting the necessary due diligence on them and identify which departments and teams are reliant on these vendors. Should there ever be an issue, you’ll know who you need to get in touch with immediately to resolve it.
Using LogicManager’s vendor software reduces the number of FTEs or consultants required to run your onboarding program because it frees up your employees’ time they would normally spend on manual or task-based activities like following up on requirements or chasing down documentation. This way, they can stay focused on the most strategic goals within their job description. This leaves more time for reviewing vendors to determine which ones are out of your risk tolerance, where you need additional controls in place and which ones are causing issues.
When you operate within silos, especially when you work with multiple vendors, those responsible for managing certain vendors may not know what their colleagues on other teams are doing. Having a formalized process for onboarding your vendors ensures that each vendor gets the proper review that they need. LogicManager identifies redundancies across your vendor base, eliminating silos and ensuring that a vendor offering a similar service does not already exist. This ultimately cuts costs for your organization because you’re not spending money on entering into multiple vendor agreements that provide duplicative services.
How Our Vendor Onboarding Solutions Help
Here’s how LogicManager’s vendor onboarding solution package helps you work smarter, not harder:
Our online form that’s simple and easy to use allows you to fill out third party vendor information when entering into a potential partnership. To facilitate the review process, you can attach relevant documentation, like SOC reports, quotes, policies and more, directly onto the form.
Workflows automate your vendor onboarding process by assigning tasks automatically. From initial request, to due diligence to internal approvals, you can rest assured that each step of the onboarding process is completed. You can even set up different paths based on the characteristics of your vendors, which helps you prioritize your resources. Our workflows are easily configurable to help teams understand protocols and make it easy to report to regulators.
Streamline the questionnaires in your onboarding process to only ask the applicable questions. This will ensure that you get the level of detail you need without unnecessarily overwhelming your vendors.
Our software will automatically calculate the criticality of your vendors for you. This eliminates the subjectivity of reviews, ensuring that all vendors are classified according to pre-set criteria.
The centralized vendor repository, while just one part of your wider governance process, will be critical in helping you determine which vendors provide the most key services.
Experience a robust reporting engine to keep all the information you need at your fingertips. You can easily stay on top of overdue tasks and see who is holding up any processes. You can also view vendors by criticality levels to determine where you should be allocating your resources. One of the most useful reports users generate is a vendor scorecard displaying the most important information about a specific vendor.
With LogicManager, you don’t just get access to a streamlined vendor onboarding process – you also get all the benefits of working with a GRC platform. We understand that there are many different teams involved with managing vendors; compliance, business continuity, IT and many other departments invest time and energy into helping make important vendor decisions. By using a GRC platform, all stakeholders will be able to leverage everyone’s work and easily bring it into their programs without duplicative efforts.
Request a Free Demo Of LogicManager’s Vendor Onboarding Software
Want to make sure you’re working with the best of the best? Request a free demo of our vendor onboarding solutions package today!
Strictly Necessary Cookies
Strictly Necessary Cookie should be enabled at all times so that we can save your preferences for cookie settings.
If you disable this cookie, we will not be able to save your preferences. This means that every time you visit this website you will need to enable or disable cookies again.