Over the past several decades, quality, health and safety, and environmental issues have topped the list of supply chain concerns. However, increasingly two issues are rising to the fore of the agenda for multinationals working with third parties across the globe. According to the PwC 2015 State of Compliance Survey, data security topped the list of compliance-related risks in the coming five years, with bribery and corruption not far behind.
Information breaches and corruption by third parties can make companies vulnerable to reputational, legal, and financial harm. Suppliers with access to corporate networks and valuable trade secrets can be the “weak link” for threat actors to gain access to company assets. Sales agents, customs brokers, distributors, and other business partners pose corruption risks as well.
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