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IDC PlanScape: Third-Party Oversight

Publisher IDC
Published Aug 12, 2025
Length 12 Pages
SKU # IDC20314468

Description

This IDC PlanScape describes how CIOs can use operational reviews — structured, ongoing performance, and risk discussions — to systematically reduce third-party risk, ensure contract compliance, and foster continuous improvement across their external provider ecosystem. CIOs are increasingly reliant on third-party providers for critical operations, infrastructure, and innovation. But with outsourcing comes risk and responsibility. Regulators, boards, and customers still hold the enterprise accountable when vendors underperform, disrupt operations, or compromise security. "In an era of increased cloud dependence, robust third-party operational reviews have become essential, not just for compliance with increasingly stringent regulations, but as a best practice to safeguard against unforeseen risks and a company's black swan event," says Gerald Johnston, adjunct research advisor for IDC's IT Executive Programs (IEP).

Table of Contents

12 Pages

IDC PlanScape Figure

Executive Summary

Why Is Third-Party Oversight Important?

What Is Third-Party Oversight?

Who Are the Key Stakeholders?

How Can My Organization Take Advantage of Third-Party Oversight?

Classify Third Parties by Criticality and Risk

Establish Review Cadence and Format

Define Required Data and Reporting Inputs

Ensure Contracts and Policies Support the Process

Advice for Technology Buyers

Strategic

Tactical

Related Research

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