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

Due diligence software is a tool that automates and simplifies tedious tasks like recording and reviewing information about vendors and compliance. It can lower the risk associated with third party relationships and assist pi toolbox companies in saving money by cutting out unnecessary costs. It also eliminates the need to make special requests and enables companies to meet audit requirements, for example, SSAE-16 Type II certified data centers, ISO 27001 certification and AES-256 encryption of data.

Whistic is one of the top vendors which allows users to modify the due diligence process and make it more efficient by providing standard and premium templates. This allows team members to easily collaborate throughout the review process. Whistic also has a trust catalog that lets users automatically evaluate thousands of vendors without having to send questionnaires or waiting for their responses. Pricing information for Whistic is available only on request.

Apart from reducing risk, the due diligence process can benefit both sellers and buyers. The seller could conduct self-assessment to draw potential buyers, while the buyer can use it to evaluate the potential growth of the company and its products.

However, completing due diligence can be a challenging and stressful process for both parties. Particularly when dealing with third party vendors, which is where the majority of security issues originate. It’s crucial to protect your business from third-party risks. This includes conducting periodic reviews of your vendors and re-evaluating the risk profile every time a security vulnerability is discovered.