Managing external risks is one of the major areas for any organization today. There are risks arising out of internet security, mobility of employees & associates, use of technology tools, social media networks, supply chain automations, subcontract management, appointment of the external entities – distributors, dealers, retailers etc.
The organizations need to do lot of fact verification before and during the various activities associated with external entities, which directly impact their sales, product perception, health of network and ensure compliances to the best practices.
The need is to monitor the health of processes related to the supply chain, with a view that neither the products are tempered with nor the financial losses are unduly reported. There needs to be a risk assessment and verification associated with hiring/ contracting with any external entity either for supply chain or for channel management or subcontracting etc. Also ona continuous basis, a track needs to be kept on the integrity of all such external entities for compliances to organizational processes.
Brands and fakes covers the following in the external risk management space