Covid forces banks to focus on vendor risk

Firms eyeing financial well-being of critical suppliers, and seeking alternatives

The economic fallout from the Covid-19 pandemic has spurred banks to increase due diligence of vendors that provide critical outsourced services – while at the same time making audits of such firms difficult, and on-site inspections impossible.

Companies are scrutinising everything from the financial well-being of their third-party suppliers to their ability to switch to other providers, should their primary ones fail. This is all the more important in an environment where on-site inspections