Risk Management Show Unpacking TPRM's Split Focus: What It Means for Risk Managers in 2024 with Loren Johnson
7 snips
Dec 16, 2024 Loren Johnson, a Risk Evangelist at Aravo specializing in third-party risk management, discusses the evolving landscape of risk management. He examines the split between cybersecurity and traditional risk practices, emphasizing the need for cohesive strategies. Loren highlights how regulations like DORA are shaping TPRM and offers practical advice for improving risk management approaches. He also dives into the role of AI and technology, advocating for a holistic view of risk management in today’s interconnected business landscape.
AI Snips
Chapters
Transcript
Episode notes
TPRM Bifurcation
- Third-party risk management (TPRM) is bifurcating into cybersecurity and traditional risk management.
- Cybersecurity TPRM focuses on vulnerabilities and threats, while traditional TPRM handles areas like anti-bribery and financial risk.
Growing Divide in TPRM
- The divide in TPRM is growing due to the realization that cybersecurity requires specialized focus but also alignment with traditional risk management.
- Companies often have multiple teams handling TPRM, creating inefficiencies and silos.
Applying Traditional TPRM to Cybersecurity
- Apply traditional TPRM practices, like identifying third parties and assessing their risks, to cybersecurity.
- Cybersecurity requires more active risk management due to the speed of breaches and failures.