Whether in finance, healthcare, manufacturing, or technology, thorough due diligence is essential, helping organisations to mitigate risks, ensure compliance, and make informed decisions that drive sustainable growth and protect their reputation. When third parties are involved, third-party due diligence is crucial because it helps organisations protect themselves from potential risks that can arise from partnerships with external entities. 

But not every third party must be subjected to due diligence. Large and even medium-sized organisations can have thousands of third party business relationships which may not generate much risk at all. Submitting these third parties to extensive due diligence would not only be burdensome and costly in terms of time and resources, but would add little value to compliance. 

The key to effective third party due diligence is knowing which third parties pose the most risk to the organisation and targeting them for thoughtful, comprehensive review. Employing a tiered approach based on levels of risk, as opposed to a one-size-fits-all approach, can make the due diligence programme both manageable for organisations and effective in terms of mitigating corruption risks.

Whether the issue is anti-bribery and corruption, tax evasion, modern slavery, money laundering, data security, sanctions, or any other compliance topic relevant to third party relationships, our “Guide to Risk Based Third Party Due Diligence” will assist in conducting risk-based due diligence of third parties. The free guide breaks the process down into four easy steps.