top of page
Writer's pictureAll Things Being ISOs

Leveraging ISO 27001 for Robust Third-Party Risk Management in Supply Chains

Protecting Your Enterprise: Strategies to Bolster Supply Chain Security Post SolarWinds Attack.

The SolarWinds supply chain breach has underscored the critical importance of securing third-party connections within enterprise cybersecurity strategies. Notably, this incident, along with previous data breaches like Target and Home Depot, exemplifies the vulnerability of interconnected networks. To address this, leveraging ISO 27001 standards becomes pivotal in fortifying supply chain security and mitigating potential threats.


The essence of managing third-party risk in the supply chain hinges on various strategies and expectations from partners who connect to enterprise systems. Here’s a breakdown of crucial steps to create a vetted and secure supply chain ecosystem:


Verification of Controls and Certifications:

Organisations must mandate that subcontractors, vendors, and supply chain partners meet compliance standards such as ISO 27001. This certification ensures adherence to comprehensive IT security standards, covering system security, availability, processing integrity, confidentiality, and privacy.


Third-Party Risk Assessments:

Apart from certifications, conducting third-party risk assessments becomes imperative. This evaluation identifies necessary security controls and monitoring specific to each supplier. Annual audits must validate compliance or establish a monitoring mechanism in cases where direct audits aren’t feasible.


Information-Driven Risk Assessments:

Adopt an information-driven approach rather than a supplier-centric one to ease assessments across different vendors. Assure levels for each data-handling application based on business risk factors, such as sensitive information disclosure, reputation damage, or financial loss. Enforce mandatory multi-factor authentication for accessing shared resources.


Traffic and Data Flow Mapping:

Security strategies should enforce the principle of least privilege, precisely mapping traffic and critical data flows. This meticulous mapping enables efficient monitoring of supplier access. Monitoring capabilities must detect threats, unusual activities, and data exfiltration. Network segmentation and compartmentalisation further fortify the environment against attacks.


Data Management and Ownership:

Contractually agree on data sharing protocols, data ownership, acceptable use, and encryption for data at rest and in transit. Ensure clarity on shared information across the supply chain.


Comprehensive Security Measures:

Besides certifications and data management, impart security awareness training and conduct social engineering assessments for all personnel in the supply chain. Periodically test off-site data backups and disaster recovery plans, collaborating with suppliers in these scenarios. Establish breach notification protocols for coordinated responses.


Embedding Risk Management in Procurement Processes:

Integrate supply chain and third-party risk management into procurement and vendor management processes. Deploy clear metrics and service-level agreements governing application and data security to strengthen the supply chain.


Failing to secure the supply chain could prove costlier than the investment required. Litigation cases, like Marriott's data breach due to inadequate subsidiary IT infrastructure oversight, highlight the repercussions of overlooking supply chain security. Implementing these steps doesn't guarantee absolute security but significantly fortifies the supply chain, making organisations less susceptible to supply chain-based attacks.


A message from our sponsors, The Ideas Distillery:


If you would like to look at how to implement an ISO 27001 information security management system, then simply contact us.


Or, if you want to see what's involved in more detail, then get a completely free, no obligation, totally tailored ISO Gap Analysis for your business (only available to UK businesses).

5 views0 comments

Comments


bottom of page