Vendor Management Guide: SIG/BCP Assessment Findings

Purpose: This guide is designed to help vendor managers understand, discuss, and remediate common findings from a security, governance, and business continuity assessment. For each issue, it explains the business risk, suggests corrective actions, identifies responsible parties, and outlines what evidence to request from the vendor to confirm the issue is resolved.

How to Use: When a vendor flags an item, use this table to understand the underlying risk and guide the conversation toward practical remediation. The "Suggested Owner" column indicates which vendor roles are typically best suited to address the issue.

Governance

Attention Point Why It Matters Suggestions for Remediation Suggested Owner(s)
Crisis Team have not been identified Without a defined team, response is delayed and uncoordinated during disruptions. Identify key staff (e.g., leadership, IT, communications) responsible for managing incidents. CEO or Operations Lead
Crisis Team roles have not been defined Team members may have conflicting responsibilities or miss critical tasks because expectations are unclear. Define and document specific responsibilities for each role (e.g., who declares a crisis, who talks to the media). CEO or Crisis Team Lead
Employees are not aware of Crisis Team members Staff confusion can lead to slow response or misinformation. Communicate team details internally via policy or training. HR / Comms Lead
Crisis Team members do not know their roles The team is ineffective during a real event, as members are unsure of their immediate actions. Conduct role-specific briefings and scenario walkthroughs. Crisis Team Lead
Crisis Team operating plans do not exist No structured guidance on what to do during crises. Develop a basic crisis operating plan (checklists, contact lists). Crisis Team Lead
Operating plans not shared with whole Crisis Team Creates inconsistent responses across functions. Circulate and store the plan in shared secure location. CEO or Operations Lead
Control room/meeting location does not exist for Crisis Team The Crisis Team lacks a dedicated space to coordinate responses and manage information flow, causing delays and confusion during an incident. Identify or designate a physical or virtual “war room” for crisis coordination; include details in the continuity plan. Senior Management

Crisis Team have not been identified

Why It Matters: Without a defined team, response is delayed and uncoordinated during disruptions.

Suggestions for Remediation: Identify key staff (e.g., leadership, IT, communications) responsible for managing incidents.

Suggested Owner(s): CEO or Operations Lead

Crisis Team roles have not been defined

Why It Matters: Team members may have conflicting responsibilities or miss critical tasks because expectations are unclear.

Suggestions for Remediation: Define and document specific responsibilities for each role (e.g., who declares a crisis, who talks to the media).

Suggested Owner(s): CEO or Crisis Team Lead

Employees are not aware of Crisis Team members

Why It Matters: Staff confusion can lead to slow response or misinformation.

Suggestions for Remediation: Communicate team details internally via policy or training.

Suggested Owner(s): HR / Comms Lead

Crisis Team members do not know their roles

Why It Matters: The team is ineffective during a real event, as members are unsure of their immediate actions.

Suggestions for Remediation: Conduct role-specific briefings and scenario walkthroughs.

Suggested Owner(s): Crisis Team Lead

Crisis Team operating plans do not exist

Why It Matters: No structured guidance on what to do during crises.

Suggestions for Remediation: Develop a basic crisis operating plan (checklists, contact lists).

Suggested Owner(s): Crisis Team Lead

Operating plans not shared with whole Crisis Team

Why It Matters: Creates inconsistent responses across functions.

Suggestions for Remediation: Circulate and store the plan in shared secure location.

Suggested Owner(s): CEO or Operations Lead

Control room/meeting location does not exist for Crisis Team

Why It Matters: The Crisis Team lacks a dedicated space to coordinate responses and manage information flow, causing delays and confusion during an incident.

Suggestions for Remediation: Identify or designate a physical or virtual “war room” for crisis coordination; include details in the continuity plan.

Suggested Owner(s): Senior Management

Document Management

Attention PointWhy It MattersSuggestions for RemediationSuggested Owner(s)
Document backup processes do not exist Loss of critical data halts operations. Implement regular (daily/weekly) backups for essential data. IT or Operations
Critical documents not backed up Risk of permanent loss of key records. Identify and maintain a prioritized list of "critical" documents to ensure they are included in backups. IT or Document Owner

Document backup processes do not exist

Why It Matters: Loss of critical data halts operations.

Suggestions for Remediation: Implement regular (daily/weekly) backups for essential data.

Suggested Owner(s): IT or Operations

Critical documents not backed up

Why It Matters: Risk of permanent loss of key records.

Suggestions for Remediation: Identify and maintain a prioritized list of "critical" documents to ensure they are included in backups.

Suggested Owner(s): IT or Document Owner

Financial

Attention PointWhy It MattersSuggestions for RemediationSuggested Owner(s)
Insufficient insurance coverage for disruptions A major incident leads to financial losses (e.g., business interruption, ransom payments) that are not covered, threatening solvency. Review business insurance policies with a broker to ensure adequate coverage for cyber, errors & omissions, and business interruption. CFO / Finance Lead
Additional capital options not discussed The company has no financial runway to survive a prolonged disruption, leading to insolvency. Explore and document potential sources of emergency capital (e.g., line of credit, investor options). CFO / Finance Lead
No short term (<3mth) financing plan exists The company cannot meet immediate financial obligations (payroll, rent) during a disruption. Develop a 13-week cash flow forecast and identify funds to cover essential short-term costs. CFO / Finance Lead
No long term (>3mth) financing plan exists The company cannot fund its recovery and return to normal operations after a major event. Create a longer-term financial recovery strategy as part of the overall Business Continuity Plan. CFO / Finance Lead

Insufficient insurance coverage for disruptions

Why It Matters: A major incident leads to financial losses (e.g., business interruption, ransom payments) that are not covered, threatening solvency.

Suggestions for Remediation: Review business insurance policies with a broker to ensure adequate coverage for cyber, errors & omissions, and business interruption.

Suggested Owner(s): CFO / Finance Lead

Additional capital options not discussed

Why It Matters: The company has no financial runway to survive a prolonged disruption, leading to insolvency.

Suggestions for Remediation: Explore and document potential sources of emergency capital (e.g., line of credit, investor options).

Suggested Owner(s): CFO / Finance Lead

No short term (<3mth) financing plan exists

Why It Matters: The company cannot meet immediate financial obligations (payroll, rent) during a disruption.

Suggestions for Remediation: Develop a 13-week cash flow forecast and identify funds to cover essential short-term costs.

Suggested Owner(s): CFO / Finance Lead

No long term (>3mth) financing plan exists

Why It Matters: The company cannot fund its recovery and return to normal operations after a major event.

Suggestions for Remediation: Create a longer-term financial recovery strategy as part of the overall Business Continuity Plan.

Suggested Owner(s): CFO / Finance Lead

Operational

Attention PointWhy It MattersSuggestions for RemediationSuggested Owner(s)
Key risks not identifiedThe company is unprepared for likely threats (e.g., power outage, key person loss, supply chain failure). Unknown vulnerabilities hinder preparation.Conduct a basic risk assessment (brainstorming session) to identify top 5-10 threats to the business.BCP Lead / Ops Lead
Business impact not assessedThe company doesn't know which functions are most critical, so it can't prioritize recovery efforts effectively.Perform a simplified business impact analysis (BIA).Operations Lead
Workarounds do not exist for critical functionsOperations halt completely during a disruption because there is no manual or alternative way to function.For each critical function, brainstorm and document temporary manual workarounds (e.g., paper forms, alternate processes).Department Heads
IT team not involved in creation of workaround and recovery plansTechnical feasibility is not considered, making the planned workarounds or recovery steps impossible to implement.Include IT in planning meetings and sign-off recovery steps.IT Lead
No actions taken to prevent cyber attacksHigh exposure to attacks or downtime.Implement foundational security measures: antivirus, software patching, employee training, and secure configurations.IT or Security Lead
Third Party disruptions could impact the company’s ability to operateNo fallback if vendors fail.Identify critical vendors and discuss their BCP, or identify and qualify alternative suppliers.Procurement Lead
Workarounds not in place for all critical servicesSome parts of the business remain down even if others recover, preventing full operation.Ensure all essential functions have defined backups.Operations Lead
Vendors have not taken cyber prevention actionA breach at a vendor's site can directly impact your company's data and operations (supply chain attack).Include basic cybersecurity requirements in vendor contracts and periodically request evidence of compliance.Procurement Lead
No IT Continuity plans have been createdIT systems cannot be recovered in a timely manner, preventing the business from resuming operations.Create a simple IT recovery plan (contacts, RTO/RPO).IT Lead
Alternate business location not identifiedWork halts during site loss.Identify backup workspace or remote work option.Ops Lead / Facilities
No relocation plan exists for employees and/or operationsEmployees lack direction if site unusable.Create a simple relocation plan covering logistics, communication, and setup at the alternate site.Ops Lead / Facilities
Alternate suppliers not identifiedA disruption with a primary supplier halts production or a key service.Identify and pre-qualify at least one alternative for all critical suppliers.Procurement / Ops Lead
Peers or backup partners not identifiedFor specific functions, there is no one who can provide temporary support or capacity.Establish a mutual aid agreement or identify a partner company that can provide temporary support.Senior Management
No plan exists for internal communicationsEmployees are left in the dark, rumors spread, and productivity plummets during a disruption.Develop a communication plan outlining how to reach employees (mass notification, phone tree, status page).Comms Lead / HR
No plan exists for external communicationsCustomers, partners, and the media receive inconsistent or damaging information, harming reputation.Develop pre-drafted templates for key scenarios, contact lists and designate a single spokesperson.Comms Lead
No plan to train employees on Business ContinuityStaff unprepared to act during crises.Schedule and mandate annual BCP awareness training for all employees.HR / BCP Lead
Business Continuity training not for all employeesGaps in organizational knowledge create confusion and non-compliance during an incident. Critical staff may be unprepared.Ensure training is included in onboarding and required for all staff, including senior leadership.HR
Simulations not included in Business Continuity trainingThe plan is theoretical and untested; real response uncertain; gaps and issues are only discovered during a real crisis.Conduct an annual tabletop exercise for the Crisis Team to walk through a realistic scenario.Crisis Team Lead

Key risks not identified

Why It Matters: The company is unprepared for likely threats (e.g., power outage, key person loss, supply chain failure). Unknown vulnerabilities hinder preparation.

Suggestions for Remediation: Conduct a basic risk assessment (brainstorming session) to identify top 5-10 threats to the business.

Suggested Owner(s): BCP Lead / Ops Lead

Business impact not assessed

Why It Matters: The company doesn't know which functions are most critical, so it can't prioritize recovery efforts effectively.

Suggestions for Remediation: Perform a simplified business impact analysis (BIA).

Suggested Owner(s): Operations Lead

Workarounds do not exist for critical functions

Why It Matters: Operations halt completely during a disruption because there is no manual or alternative way to function.

Suggestions for Remediation: For each critical function, brainstorm and document temporary manual workarounds (e.g., paper forms, alternate processes).

Suggested Owner(s): Department Heads

IT team not involved in creation of workaround and recovery plans

Why It Matters: Technical feasibility is not considered, making the planned workarounds or recovery steps impossible to implement.

Suggestions for Remediation: Include IT in planning meetings and sign-off recovery steps.

Suggested Owner(s): IT Lead

No actions taken to prevent cyber attacks

Why It Matters: High exposure to attacks or downtime.

Suggestions for Remediation: Implement foundational security measures: antivirus, software patching, employee training, and secure configurations.

Suggested Owner(s): IT or Security Lead

Third Party disruptions could impact the company’s ability to operate

Why It Matters: No fallback if vendors fail.

Suggestions for Remediation: Identify critical vendors and discuss their BCP, or identify and qualify alternative suppliers.

Suggested Owner(s): Procurement Lead

Workarounds not in place for all critical services

Why It Matters: Some parts of the business remain down even if others recover, preventing full operation.

Suggestions for Remediation: Ensure all essential functions have defined backups.

Suggested Owner(s): Operations Lead

Vendors have not taken cyber prevention action

Why It Matters: A breach at a vendor's site can directly impact your company's data and operations (supply chain attack).

Suggestions for Remediation: Include basic cybersecurity requirements in vendor contracts and periodically request evidence of compliance.

Suggested Owner(s): Procurement Lead

No IT Continuity plans have been created

Why It Matters: IT systems cannot be recovered in a timely manner, preventing the business from resuming operations.

Suggestions for Remediation: Create a simple IT recovery plan (contacts, RTO/RPO).

Suggested Owner(s): IT Lead

Alternate business location not identified

Why It Matters: Work halts during site loss.

Suggestions for Remediation: Identify backup workspace or remote work option.

Suggested Owner(s): Ops Lead / Facilities

No relocation plan exists for employees and/or operations

Why It Matters: Employees lack direction if site unusable.

Suggestions for Remediation: Create a simple relocation plan covering logistics, communication, and setup at the alternate site.

Suggested Owner(s): Ops Lead / Facilities

Alternate suppliers not identified

Why It Matters: A disruption with a primary supplier halts production or a key service.

Suggestions for Remediation: Identify and pre-qualify at least one alternative for all critical suppliers.

Suggested Owner(s): Procurement / Ops Lead

Peers or backup partners not identified

Why It Matters: For specific functions, there is no one who can provide temporary support or capacity.

Suggestions for Remediation: Establish a mutual aid agreement or identify a partner company that can provide temporary support.

Suggested Owner(s): Senior Management

No plan exists for internal communications

Why It Matters: Employees are left in the dark, rumors spread, and productivity plummets during a disruption.

Suggestions for Remediation: Develop a communication plan outlining how to reach employees (mass notification, phone tree, status page).

Suggested Owner(s): Comms Lead / HR

No plan exists for external communications

Why It Matters: Customers, partners, and the media receive inconsistent or damaging information, harming reputation.

Suggestions for Remediation: Develop pre-drafted templates for key scenarios, contact lists and designate a single spokesperson.

Suggested Owner(s): Comms Lead

No plan to train employees on Business Continuity

Why It Matters: Staff unprepared to act during crises.

Suggestions for Remediation: Schedule and mandate annual BCP awareness training for all employees.

Suggested Owner(s): HR / BCP Lead

Business Continuity training not for all employees

Why It Matters: Gaps in organizational knowledge create confusion and non-compliance during an incident. Critical staff may be unprepared.

Suggestions for Remediation: Ensure training is included in onboarding and required for all staff, including senior leadership.

Suggested Owner(s): HR

Simulations not included in Business Continuity training

Why It Matters: The plan is theoretical and untested; real response uncertain; gaps and issues are only discovered during a real crisis.

Suggestions for Remediation: Conduct an annual tabletop exercise for the Crisis Team to walk through a realistic scenario.

Suggested Owner(s): Crisis Team Lead

Information Security

Attention PointWhy It MattersSuggestions for RemediationSuggested Owner(s)
Does not follow any Security FrameworkSecurity efforts are ad-hoc and inconsistent, leaving gaps that can be easily exploited.Adopt a recognized framework (e.g., CIS Controls, NIST CSF) as a guide for building a security program.CISO / IT Lead
Sensitive data and systems not classified and labeled based on criticalityMismanagement of sensitive information. All data is treated the same, so security resources are wasted on non-critical data while critical assets are under-protected.Create a data classification policy (e.g., Public, Internal, Confidential) and inventory critical systems.CISO / IT Lead
Sensitive Data not EncryptedIf data is stolen or lost, it can be easily read and misused, leading to compliance breaches and reputation damage.Implement encryption for sensitive data at rest (databases) and in transit (websites, VPNs).IT Lead
No MFA required for critical systemsStolen or weak passwords easily lead to unauthorized access to the most important systems (e.g., email, financial).Enable Multi-Factor Authentication (MFA) on all remote access and privileged/admin accounts.IT Lead
Systems not monitored for Security ThreatsIntrusions and malicious activity go undetected, allowing attackers to dwell in the network and cause more damage.Implement basic logging and monitoring, or use a Managed Detection and Response (MDR) service.IT Lead
No Incident Response Plan in PlaceWhen a security incident occurs, the response is chaotic and slow, increasing the scope and cost of the breach.Develop a simple Incident Response Plan outlining steps to detect, contain, eradicate, and recover.CISO / IT Lead

Does not follow any Security Framework

Why It Matters: Security efforts are ad-hoc and inconsistent, leaving gaps that can be easily exploited.

Suggestions for Remediation: Adopt a recognized framework (e.g., CIS Controls, NIST CSF) as a guide for building a security program.

Suggested Owner(s): CISO / IT Lead

Sensitive data and systems not classified and labeled based on criticality

Why It Matters: Mismanagement of sensitive information. All data is treated the same, so security resources are wasted on non-critical data while critical assets are under-protected.

Suggestions for Remediation: Create a data classification policy (e.g., Public, Internal, Confidential) and inventory critical systems.

Suggested Owner(s): CISO / IT Lead

Sensitive Data not Encrypted

Why It Matters: If data is stolen or lost, it can be easily read and misused, leading to compliance breaches and reputation damage.

Suggestions for Remediation: Implement encryption for sensitive data at rest (databases) and in transit (websites, VPNs).

Suggested Owner(s): IT Lead

No MFA required for critical systems

Why It Matters: Stolen or weak passwords easily lead to unauthorized access to the most important systems (e.g., email, financial).

Suggestions for Remediation: Enable Multi-Factor Authentication (MFA) on all remote access and privileged/admin accounts.

Suggested Owner(s): IT Lead

Systems not monitored for Security Threats

Why It Matters: Intrusions and malicious activity go undetected, allowing attackers to dwell in the network and cause more damage.

Suggestions for Remediation: Implement basic logging and monitoring, or use a Managed Detection and Response (MDR) service.

Suggested Owner(s): IT Lead

No Incident Response Plan in Place

Why It Matters: When a security incident occurs, the response is chaotic and slow, increasing the scope and cost of the breach.

Suggestions for Remediation: Develop a simple Incident Response Plan outlining steps to detect, contain, eradicate, and recover.

Suggested Owner(s): CISO / IT Lead

Privacy

Attention PointWhy It MattersSuggestions for RemediationSuggested Owner(s)
Collects, stores or processes personal or sensitive dataThe company is subject to data privacy regulations and faces legal and financial risk if this data is mishandled.Maintain an inventory of what personal data is collected, why, and where it is stored.Legal / Data Privacy Lead
No Privacy Policy existsCustomers and regulators have no visibility into how their data is handled, leading to distrust and non-compliance.Draft and publish a Privacy Policy that explains data collection, use, and sharing practices.Legal
Not compliant with Data privacy regulationsThe company faces significant fines, lawsuits, and loss of business license for violating laws like GDPR, CCPA, etc.Conduct a gap analysis against applicable regulations and create a project plan to address gaps.Legal / Data Privacy Lead

Collects, stores or processes personal or sensitive data

Why It Matters: The company is subject to data privacy regulations and faces legal and financial risk if this data is mishandled.

Suggestions for Remediation: Maintain an inventory of what personal data is collected, why, and where it is stored.

Suggested Owner(s): Legal / Data Privacy Lead

No Privacy Policy exists

Why It Matters: Customers and regulators have no visibility into how their data is handled, leading to distrust and non-compliance.

Suggestions for Remediation: Draft and publish a Privacy Policy that explains data collection, use, and sharing practices.

Suggested Owner(s): Legal

Not compliant with Data privacy regulations

Why It Matters: The company faces significant fines, lawsuits, and loss of business license for violating laws like GDPR, CCPA, etc.

Suggestions for Remediation: Conduct a gap analysis against applicable regulations and create a project plan to address gaps.

Suggested Owner(s): Legal / Data Privacy Lead

Human Resources (Security)

Attention PointWhy It MattersSuggestions for RemediationSuggested Owner(s)
Does not conduct Background ChecksThe company is at higher risk of insider threat, fraud, or employing individuals not suitable for a position of trust.Implement background checks as a standard part of the pre-employment process for all new hires.HR Lead
No security and confidentiality training during new hire OnboardingNew employees are not made aware of their security responsibilities from day one, making them a vulnerability.Incorporate mandatory security and privacy awareness training into the onboarding checklist.HR / IT
No Offboarding procedureFormer employees retain access to systems and data, creating a significant security risk.Create a standardized checklist to disable system access, recover company assets, and conduct exit interviews.HR / IT
No Employee Cyber TrainingEmployees are the first line of defense but are not trained to recognize phishing or other common attacks.Provide annual security awareness training that includes phishing simulation.HR / IT

Does not conduct Background Checks

Why It Matters: The company is at higher risk of insider threat, fraud, or employing individuals not suitable for a position of trust.

Suggestions for Remediation: Implement background checks as a standard part of the pre-employment process for all new hires.

Suggested Owner(s): HR Lead

No security and confidentiality training during new hire Onboarding

Why It Matters: New employees are not made aware of their security responsibilities from day one, making them a vulnerability.

Suggestions for Remediation: Incorporate mandatory security and privacy awareness training into the onboarding checklist.

Suggested Owner(s): HR / IT

No Offboarding procedure

Why It Matters: Former employees retain access to systems and data, creating a significant security risk.

Suggestions for Remediation: Create a standardized checklist to disable system access, recover company assets, and conduct exit interviews.

Suggested Owner(s): HR / IT

No Employee Cyber Training

Why It Matters: Employees are the first line of defense but are not trained to recognize phishing or other common attacks.

Suggestions for Remediation: Provide annual security awareness training that includes phishing simulation.

Suggested Owner(s): HR / IT

Physical Security

Attention PointWhy It MattersSuggestions for RemediationSuggested Owner(s)
No Physical Access ControlsUnauthorized individuals can easily enter facilities, leading to theft, vandalism, or harm to employees.Implement basic access controls (e.g., key cards, badges) for all entrances, with access logged.Facilities Manager
No Visitor ManagementThere is no record of who is in the building and when, posing a security and safety risk.Implement a visitor log system (digital or paper) where all guests must sign in and be escorted.Facilities Manager / Reception
No physical surveillanceThere is no deterrent for crime and no evidence collected if an incident occurs on-site.Install security cameras at key entry/exit points and other sensitive areas.Facilities Manager
No backup power for critical facilitiesA power outage causes an immediate halt to all IT and operational functions.Assess the need for a UPS (for short outages) or generator (for prolonged outages) for critical systems.Facilities Manager / IT

No Physical Access Controls

Why It Matters: Unauthorized individuals can easily enter facilities, leading to theft, vandalism, or harm to employees.

Suggestions for Remediation: Implement basic access controls (e.g., key cards, badges) for all entrances, with access logged.

Suggested Owner(s): Facilities Manager

No Visitor Management

Why It Matters: There is no record of who is in the building and when, posing a security and safety risk.

Suggestions for Remediation: Implement a visitor log system (digital or paper) where all guests must sign in and be escorted.

Suggested Owner(s): Facilities Manager / Reception

No physical surveillance

Why It Matters: There is no deterrent for crime and no evidence collected if an incident occurs on-site.

Suggestions for Remediation: Install security cameras at key entry/exit points and other sensitive areas.

Suggested Owner(s): Facilities Manager

No backup power for critical facilities

Why It Matters: A power outage causes an immediate halt to all IT and operational functions.

Suggestions for Remediation: Assess the need for a UPS (for short outages) or generator (for prolonged outages) for critical systems.

Suggested Owner(s): Facilities Manager / IT

Third Party Management

Attention PointWhy It MattersSuggestions for RemediationSuggested Owner(s)
No Third Party Vendor AssessmentsBlind to supplier risk exposure. The company has no visibility into the security practices of its vendors, creating supply chain risk.Implement a process to assess critical vendors (e.g., using a questionnaire) before contract signing and periodically.Vendor Manager / IT
No Third Party Cyber RequirementsSupply chain vulnerable to breaches. Vendors are not contractually obligated to maintain basic security, leaving your data with them unprotected.Include security and data protection clauses in all vendor contracts.Legal / Vendor Manager
No Subcontractor Oversight StandardsNth-party risks unmonitored. A vendor can outsource your work to a less secure "fourth party" without your knowledge or consent.Require vendors to notify you of subcontractor use and flow down the same security requirements.Legal / Vendor Manager
Third Parties Incident Notification not requiredDelayed awareness of vendor breaches. A vendor has a breach impacting your data, but they are not required to tell you, delaying your response.Include a clause in contracts requiring vendors to notify you of security incidents within a specified timeframe.Legal

No Third Party Vendor Assessments

Why It Matters: Blind to supplier risk exposure. The company has no visibility into the security practices of its vendors, creating supply chain risk.

Suggestions for Remediation: Implement a process to assess critical vendors (e.g., using a questionnaire) before contract signing and periodically.

Suggested Owner(s): Vendor Manager / IT

No Third Party Cyber Requirements

Why It Matters: Supply chain vulnerable to breaches. Vendors are not contractually obligated to maintain basic security, leaving your data with them unprotected.

Suggestions for Remediation: Include security and data protection clauses in all vendor contracts.

Suggested Owner(s): Legal / Vendor Manager

No Subcontractor Oversight Standards

Why It Matters: Nth-party risks unmonitored. A vendor can outsource your work to a less secure "fourth party" without your knowledge or consent.

Suggestions for Remediation: Require vendors to notify you of subcontractor use and flow down the same security requirements.

Suggested Owner(s): Legal / Vendor Manager

Third Parties Incident Notification not required

Why It Matters: Delayed awareness of vendor breaches. A vendor has a breach impacting your data, but they are not required to tell you, delaying your response.

Suggestions for Remediation: Include a clause in contracts requiring vendors to notify you of security incidents within a specified timeframe.

Suggested Owner(s): Legal

Compliance and Audit

Attention PointWhy It MattersSuggestions for RemediationSuggested Owner(s)
No security or compliance requirementsGaps against standards or laws. There is no internal standard to measure against, leading to inconsistent and non-compliant practices.Define and document internal security policies that are required for all employees and systems.CISO / Legal
No AuditsRisks remain unidentified. There is no independent verification that security controls are in place and working effectively.Conduct internal or external audits of key controls (e.g., access reviews, policy compliance) annually.Internal Audit / BCP Lead
Not Regulatory CompliantLegal exposure. The company operates outside the law, facing fines, legal action, and loss of operating licenses.Identify all applicable regulations and create a compliance roadmap with assigned owners.Legal / Compliance Lead

No security or compliance requirements

Why It Matters: Gaps against standards or laws. There is no internal standard to measure against, leading to inconsistent and non-compliant practices.

Suggestions for Remediation: Define and document internal security policies that are required for all employees and systems.

Suggested Owner(s): CISO / Legal

No Audits

Why It Matters: Risks remain unidentified. There is no independent verification that security controls are in place and working effectively.

Suggestions for Remediation: Conduct internal or external audits of key controls (e.g., access reviews, policy compliance) annually.

Suggested Owner(s): Internal Audit / BCP Lead

Not Regulatory Compliant

Why It Matters: Legal exposure. The company operates outside the law, facing fines, legal action, and loss of operating licenses.

Suggestions for Remediation: Identify all applicable regulations and create a compliance roadmap with assigned owners.

Suggested Owner(s): Legal / Compliance Lead

Attention PointWhy It MattersSuggestions for RemediationSuggested Owner(s)
Material Legal Disputes ExistOngoing litigation diverts resources, creates financial liability, and can damage the company's reputation.Ensure the Crisis Team is aware of material disputes as they may be exacerbated by or impact response to a crisis.Legal / Senior Management
Contractual Obligations affect business continuity or risk exposureThe company may be in breach of contract if it cannot deliver services during a disruption, leading to penalties.Review key contracts for continuity clauses and ensure the BCP can meet those obligations.Legal
Cyber Liability or Errors & Omissions insurance not in placeThe company is fully liable for the financial costs of a cyber incident or professional error.Purchase insurance policies tailored to cover cyber incidents and professional liability.CFO / Legal
Involved in regulatory investigations in the last 3 yearsThis indicates potential underlying compliance issues that could resurface and require significant resources.Document lessons learned from past investigations and ensure corrective actions are complete.Legal

Material Legal Disputes Exist

Why It Matters: Ongoing litigation diverts resources, creates financial liability, and can damage the company's reputation.

Suggestions for Remediation: Ensure the Crisis Team is aware of material disputes as they may be exacerbated by or impact response to a crisis.

Suggested Owner(s): Legal / Senior Management

Contractual Obligations affect business continuity or risk exposure

Why It Matters: The company may be in breach of contract if it cannot deliver services during a disruption, leading to penalties.

Suggestions for Remediation: Review key contracts for continuity clauses and ensure the BCP can meet those obligations.

Suggested Owner(s): Legal

Cyber Liability or Errors & Omissions insurance not in place

Why It Matters: The company is fully liable for the financial costs of a cyber incident or professional error.

Suggestions for Remediation: Purchase insurance policies tailored to cover cyber incidents and professional liability.

Suggested Owner(s): CFO / Legal

Involved in regulatory investigations in the last 3 years

Why It Matters: This indicates potential underlying compliance issues that could resurface and require significant resources.

Suggestions for Remediation: Document lessons learned from past investigations and ensure corrective actions are complete.

Suggested Owner(s): Legal