IDC PlanScape: Third-Party Oversight

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).