How to Use Due Diligence Software to Reduce Risks in Vendor Relationships

Due diligence software is a kind of business solution that automates and reduces the time spent documenting and reviewing information about vendors and ensuring compliance. It can reduce the risk that comes with third party relationships and assist companies in saving money by cutting out unnecessary costs. It can eliminate the need for ad hoc requests and helps businesses meet audit requirements such as SSAE-16 type II certified data centers, ISO 27001 certification, and AES 256 data encryption.

One of the most trusted vendors is Whistic, which lets users customize and automate the due diligence process by offering both standard and premium questionnaire templates. It also ensures that all teams can easily collaborate during the review process. Additionally, it offers the trust catalog, which allows users to automatically assess thousands of vendors without having them send questionnaires or waiting for their responses. Whistic pricing information is available only upon request.

Due diligence is beneficial to both sellers and buyers. Sellers can conduct a self-assessment to draw potential buyers. The buyer can benefit from the assessment to determine the potential growth of a company and its products.

However conducting due diligence can be a complicated and stressful process for both parties. Especially when dealing with third-party vendors, where the majority of the security weaknesses originate from. This is why it’s crucial to take all measures to protect your organization from risk from third-party suppliers. This includes conducting periodic reviews of your vendors, and re-evaluating the risk levels of the entire group each time a security issue is discovered.