McKinsey Working Papers on Risk presents McKinsey’s best current thinking on risk and risk management. The papers represent a broad range of views, both sector-specific and cross-cutting, and are intended to encourage discussion internally and externally. Working papers may be republished through other internal or external channels. Please address correspondence to the managing editor, Rob McNish (rob_mcnish@mckinsey.com).
Managing third-party risk in a changing regulatory environment
The heightened emphasis on consumer protection 2
Caught on the back foot 3
Excellence in third-party risk management 3
A comprehensive inventory of third parties 3
A comprehensive catalog of third-party risks 4
A risk-based segmentation 5
Rules-based due diligence testing 6
Disciplined governance and escalation process 6
Integrated management reporting and workflow process and tools 7