[{"id":171442,"date":"2026-10-07T10:05:53","date_gmt":"2026-10-07T14:05:53","guid":{"rendered":"https:\/\/riskonnect.com\/uncategorized-en-gb\/companies-train-employees-evaluate-ai-outputs-research\/"},"modified":"2026-10-07T10:05:53","modified_gmt":"2026-10-07T14:05:53","slug":"companies-train-employees-evaluate-ai-outputs-research","status":"publish","type":"post","link":"https:\/\/riskonnect.com\/en-gb\/press-en-gb\/companies-train-employees-evaluate-ai-outputs-research\/","title":{"rendered":"Less Than Half of Companies Have Trained Employees on How to Evaluate AI Outputs, New Riskonnect Research Finds"},"content":{"rendered":"<?xml encoding=\"utf-8\" ?><p><div class=\"fusion-fullwidth fullwidth-box fusion-builder-row-1 nonhundred-percent-fullwidth non-hundred-percent-height-scrolling\" style=\"--awb-border-radius-top-left:0px;--awb-border-radius-top-right:0px;--awb-border-radius-bottom-right:0px;--awb-border-radius-bottom-left:0px;--awb-flex-wrap:wrap;\" ><div class=\"fusion-builder-row fusion-row\"><div class=\"fusion-layout-column fusion_builder_column fusion-builder-column-0 fusion_builder_column_1_1 1_1 fusion-one-full fusion-column-first fusion-column-last\" style=\"--awb-bg-size:cover;--awb-margin-bottom:0px;\"><div class=\"fusion-column-wrapper fusion-flex-column-wrapper-legacy\"><div class=\"fusion-text fusion-text-1\" style=\"--awb-text-transform:none;\"><h2><span style=\"color: #000000;\">Data reveals compounding threats are putting pressure on risk management teams, from economic volatility to geopolitical shocks to AI governance<\/span><\/h2>\n<p><span style=\"color: #999999;\"><em>Oct 07,2026<\/em><\/span><\/p>\n<p>Key Takeaways from Riskonnect\u2019s <a href=\"https:\/\/riskonnect.com\/content-library\/2026-new-generation-of-risk-report\/\" target=\"_blank\" rel=\"noopener\"><strong>2026 New Generation of Risk Report<\/strong><\/a>:<\/p>\n<ul>\n<li>46% of risk leaders say their organisations have trained employees on how to evaluate AI outputs.<\/li>\n<li>66% of organisations have trained employees on rules, responsibilities, and defined roles around AI oversight and accountability.<\/li>\n<li>72% of risk leaders now have a policy governing employee AI use, up from 58% in 2025.<\/li>\n<li>55% of risk leaders cited economic risk as a top corporate threat, tying for the first time with cybersecurity, also cited by 55% of respondents.<\/li>\n<li>74% of risk leaders now use or plan to use AI for risk management, up sharply from 62% in 2024.<\/li>\n<\/ul>\n<hr style=\"width: 35%; margin: 20px auto;\">\n<p>ATLANTA, Oct. 7, 2026 \/PRNewswire\/ \u2014 Just 46% of risk leaders say their organisations have trained employees on how to evaluate AI outputs in terms of what to trust versus challenge, according to the <a href=\"https:\/\/riskonnect.com\/content-library\/2026-new-generation-of-risk-report\/\" target=\"_blank\" rel=\"noopener\">2026 New Generation of Risk Report<\/a>, released today by Riskonnect. The proprietary research is based on a global survey of more than 250 risk, compliance, and resilience professionals. The study uncovered critical gaps in how organisations are governing AI and preparing employees to use it responsibly.<\/p>\n<p>Only 17% of risk leaders say they feel very prepared to manage AI and AI governance risks. While 66% of organisations have trained employees on rules, responsibilities, and defined roles around AI oversight and accountability, the data suggests fewer have gone deeper to provide training on practical skills or specific risks. Only 35% have trained employees on how to interpret and act on AI-driven insights and just 18% have formally trained or briefed the entire company on risks related to agentic AI. Nearly four years into generative AI hitting the mass market, just 35% of survey respondents say they have trained or briefed the entire company on generative AI risks.<\/p>\n<blockquote>\n<p>\u201cAn AI policy sets the rules. Training gives employees the practical knowledge to apply those rules in their day-to-day work. As AI permeates every corner of the organisation, employees need to know how to validate what AI gives them, recognise the risks, and make responsible decisions. Pairing strong governance and policies with useful training allows organisations to accelerate AI innovation while minimising risk to the enterprise,\u201d said Jim Wetekamp, Riskonnect\u2019s CEO.<\/p>\n<\/blockquote>\n<p>The report also reveals:<\/p>\n<ul>\n<li>AI policies aren\u2019t specific enough. Seventy-two percent of risk leaders have a policy governing employee AI use, up from 58% last year. But only 54% say they have clear policies and guidelines on what AI tools can be used and how they can be used.<\/li>\n<li>Agentic AI risk assessments are lagging. Fifty-eight percent of the companies considering incorporating agentic AI solutions into their operations or products haven\u2019t assessed the risks.<\/li>\n<li>Economic risk has caught up to cybersecurity as a top corporate threat. The percentage of risk leaders saying economic risk is having a \u201csevere\u201d or \u201csignificant\u201d impact on their business is now tied with cybersecurity at 55%. Cybersecurity held the top spot for the past two years.<\/li>\n<li>Geopolitical volatility is taking a toll on companies. The impacts hitting the hardest are higher operating or production costs (65%), increased cybersecurity threats or attacks (58%), supply chain and shipping disruptions or delays (50%), and increased energy costs (49%).<\/li>\n<li>Siloed decisions are hurting organisations. Forty-one percent of risk leaders say, in the past year, another department made a risk-based decision without consulting the risk team that had a significant, unforeseen disruption elsewhere in the business.<\/li>\n<\/ul>\n<p><strong>Risk Professionals Are Under Pressure<\/strong><\/p>\n<p>Seventy-five percent of risk leaders say pressure has increased on their role over the past year. Thirty-seven percent say the pressure is \u201chigh\u201d or \u201cextreme.\u201d Yet only 25% saw their risk management technology budget grow in the past six months. The majority (66%) say their budgets stayed flat.<\/p>\n<p>Risk teams are combatting the pressure and workload by leaning harder into AI to see more and move faster. Seventy-four percent of risk leaders currently or plan to use AI for risk management, up from 70% in 2025 and 62% in 2024. Top AI use cases for risk professionals include assessing risks (37%), scenario planning and simulations (34%), and surfacing risks they hadn\u2019t previously considered (32%). Thirty-one percent say AI has helped them uncover gaps or weaknesses in internal processes or controls in the past 12 months.<\/p>\n<p>\u201cRisk teams are shouldering a lot more than a few years ago as risk velocity accelerates. The teams putting AI to work are best equipped to carry that load and prove how indispensable they are,\u201d added Wetekamp.<\/p>\n<p><strong><a href=\"https:\/\/riskonnect.com\/content-library\/2026-new-generation-of-risk-report\/\" target=\"_blank\" rel=\"noopener\">Access the full report<\/a> <\/strong>to dive deeper into the new generation of risk.<\/p>\n<h4 class=\"h4spacing\">About Riskonnect<\/h4>\n<p>Riskonnect is the leading provider of software that brings risk under one roof. The technology empowers organisations to anticipate, manage, and respond in real time to strategic and operational risks across the extended enterprise.<\/p>\n<p>More than 2,700 customers across six continents partner with Riskonnect to gain previously unattainable insights that deliver better business outcomes. Riskonnect has more than 1,500 risk management experts in the Americas, Europe, and Asia-Pacific. To learn more, visit <a href=\"https:\/\/riskonnect.com\/en-gb\/\" target=\"_blank\" rel=\"noopener\">www.riskonnect.com<\/a>.<br>\n\u2014<br>\n<strong>Media Contact:<\/strong><br>\nCorporate Ink for Riskonnect<br>\nAmanda Coyne<br>\nRiskonnect@corporateink.com<\/p>\n<\/div><div class=\"fusion-clearfix\"><\/div><\/div><\/div><\/div><\/div>\n<\/p>","protected":false},"excerpt":{"rendered":"","protected":false},"author":3,"featured_media":120079,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5649],"tags":[],"class_list":["post-171442","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-press-en-gb"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.7 (Yoast SEO v28.7) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Less Than Half of Companies Have Trained Employees on How to Evaluate AI Outputs, New 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the Ball: Caddyshack and Proving Your AI Governance is Up to Par"},"content":{"rendered":"<?xml encoding=\"utf-8\" ?><p><div class=\"fusion-fullwidth fullwidth-box fusion-builder-row-2 fusion-flex-container has-pattern-background has-mask-background nonhundred-percent-fullwidth non-hundred-percent-height-scrolling\" style=\"--awb-border-radius-top-left:0px;--awb-border-radius-top-right:0px;--awb-border-radius-bottom-right:0px;--awb-border-radius-bottom-left:0px;--awb-flex-wrap:wrap;\" ><div class=\"fusion-builder-row fusion-row fusion-flex-align-items-flex-start fusion-flex-content-wrap\" style=\"max-width:1248px;margin-left: calc(-4% \/ 2 );margin-right: calc(-4% \/ 2 );\"><div class=\"fusion-layout-column fusion_builder_column fusion-builder-column-1 fusion_builder_column_1_1 1_1 fusion-flex-column\" style=\"--awb-bg-size:cover;--awb-width-large:100%;--awb-margin-top-large:0px;--awb-spacing-right-large:1.92%;--awb-margin-bottom-large:20px;--awb-spacing-left-large:1.92%;--awb-width-medium:100%;--awb-order-medium:0;--awb-spacing-right-medium:1.92%;--awb-spacing-left-medium:1.92%;--awb-width-small:100%;--awb-order-small:0;--awb-spacing-right-small:1.92%;--awb-spacing-left-small:1.92%;\"><div class=\"fusion-column-wrapper fusion-column-has-shadow fusion-flex-justify-content-flex-start fusion-content-layout-column\"><div class=\"fusion-text fusion-text-2\"><p><em>By Quin Rodriguez, VP, Strategy and Innovation, GRC, Riskonnect, Inc.<\/em><\/p>\n<p>AI adoption is outpacing AI governance. Organisations are deploying AI across functions, often without a clear view of where it\u2019s used, what risks it creates, or whether the right controls are in place. Regulators increasingly expect companies to demonstrate that those controls work, too. With this, evidence has become the real test of AI governance.<\/p>\n<p>In the classic 1980 comedy <em>Caddyshack<\/em>, groundskeeper Carl Spackler wages an obsessive, increasingly elaborate war against a single gopher. He sets traps. He floods tunnels. He eventually detonates the entire golf course \u2013 and the gopher still wins. His increasingly elaborate efforts fail because he never addresses the problem in a controlled, systematic way.<\/p>\n<p>AI governance can follow the same path. Without clear controls, small gaps can become larger problems as AI use spreads across your organisation.<\/p>\n<p>Effective AI governance requires ways to demonstrate that AI systems remain within defined boundaries and that someone\u2019s accountable for them. Nine practical controls can help make that governance visible and provable.<\/p>\n<h3 class=\"h4spacing\">1. Know What You Have: Control Starts with Visibility<\/h3>\n<p>Ty Webb could sink a putt blindfolded because he\u2019d already seen the green. AI governance requires the same kind of visibility. Before you can assess risk or put controls in place, you need to know what AI systems and models your organisation uses.<\/p>\n<p>Build a living inventory that covers every AI system, whether your teams built it internally, purchased it from a vendor, or adopted it independently. That includes the \u201cshadow AI\u201d that enters the business without formal approval.<\/p>\n<p>Your inventory should capture:<\/p>\n<ul class=\"list-2\">\n<li>The model or system name and version<\/li>\n<li>The business function it serves and who owns it<\/li>\n<li>The data it consumes and the outputs it produces<\/li>\n<li>Its risk classification<\/li>\n<li>Who approved it and when<\/li>\n<\/ul>\n<p>A complete inventory gives leaders a clear view of the organisation\u2019s AI footprint and provides the foundation for the controls that follow. Without that visibility, gaps in oversight can stay hidden as AI use expands.<\/p>\n<h3 class=\"h4spacing\">2. Classify Risk Before You Build (or Buy)<\/h3>\n<p>In <em>Caddyshack<\/em>, the Yacht Club pool serves very different guests with very different risk tolerances. A suspected contamination event is a different problem than a damp towel on the deck.<\/p>\n<p>AI requires the same distinction: Not all AI is equal risk. Your governance framework should match the level of oversight to the potential consequences.<\/p>\n<p>A practical three-tier approach separates low-risk AI that supports routine productivity, medium-risk AI that influences business decisions, and high-risk AI that affects people\u2019s rights, access, safety, or financial outcomes. Each tier should trigger an appropriate level of review and oversight.<\/p>\n<table class=\"table\" style=\"height: 116px;\" width=\"90%; border:1px solid #777;\">\n<colgroup>\n<col style=\"width: 20%;\">\n<col style=\"width: 40%;\">\n<col style=\"width: 40%;\"> <\/colgroup>\n<tbody>\n<tr>\n<th><strong>Risk Tier<\/strong><\/th>\n<th><strong>Examples<\/strong><\/th>\n<th><strong>Governance Response<\/strong><\/th>\n<\/tr>\n<tr>\n<td><strong>High<\/strong><\/td>\n<td>HR decisions, credit scoring, medical triage, legal research<\/td>\n<td>Human-in-the-loop required; mandatory audit trail; regular bias testing<\/td>\n<\/tr>\n<tr>\n<td><strong>Medium <\/strong><\/td>\n<td>Customer service chatbots, content summarisation<\/td>\n<td>Periodic review; output monitoring; user feedback loops<\/td>\n<\/tr>\n<tr>\n<td><strong>Low <\/strong><\/td>\n<td>Internal productivity tools, autocomplete<\/td>\n<td>Baseline logging; periodic spot-checks<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>The goal is proportional control. A meme generator doesn\u2019t need the same governance process as an AI system making high-stakes decisions. Treating them the same can make governance unnecessarily burdensome. Focus scrutiny where the consequences demand it.<\/p>\n<h3 class=\"h4spacing\">3. Human Oversight: Keep Someone\u2019s Hand on the Wheel<\/h3>\n<blockquote>\n<p><em>\u201cI don\u2019t think the heavy stuff is gonna come down for quite a while.\u201d \u2013 <\/em>Carl Spackler (right before it pours)<\/p>\n<\/blockquote>\n<p><img decoding=\"async\" class=\"lazyload blogimgrt2\" src=\"data:image\/svg+xml,%3Csvg%20xmlns%3D%27http%3A%2F%2Fwww.w3.org%2F2000%2Fsvg%27%20width%3D%27400%27%20height%3D%27267%27%20viewBox%3D%270%200%20400%20267%27%3E%3Crect%20width%3D%27400%27%20height%3D%27267%27%20fill-opacity%3D%220%22%2F%3E%3C%2Fsvg%3E\" data-orig-src=\"https:\/\/riskonnect.com\/wp-content\/uploads\/2026\/10\/Human-Oversight-Keep-Someones-Hand-on-the-Wheel.webp\" alt=\"Human Oversight- Keep Someone's Hand on the Wheel\" width=\"400\" height=\"267\">Overconfidence is the enemy of control. Meaningful human oversight gives people defined opportunities to review, correct, or halt AI-driven decisions before they cause harm.<\/p>\n<p>This means:<\/p>\n<ul class=\"list-2\">\n<li><strong>Human-in-the-loop (or HITL)<\/strong> for decisions with material consequences to individuals<\/li>\n<li><strong>Human-on-the-loop (or HOTL)<\/strong> for automated workflows, where humans monitor and can intervene<\/li>\n<li><strong>Clear escalation paths<\/strong>, so any employee can flag a concern without fear of being dismissed like a caddy who dares question a member\u2019s swing<\/li>\n<\/ul>\n<p>Effective oversight also requires clear accountability. Document who is responsible for oversight, when they review the system, and what authority they have to override it. Those three details make human oversight tangible rather than theoretical.<\/p>\n<h3 class=\"h4spacing\">4. Explainability is Evidence of Control<\/h3>\n<p>Judge Smails demanded decorum and order. But when pressed on why a rule existed, the answer was usually \u201cbecause I said so.\u201d That might work at Bushwood. It won\u2019t work in front of a regulator, a board, or an affected customer.<\/p>\n<ul class=\"list-2\">\n<li>Explainability is a governance imperative. For every material AI system, you should be able to answer:<\/li>\n<li>What data was used to train it and whether that data was representative and fairly sourced<\/li>\n<li>What the model is designed to optimise and whether that objective could conflict with human values<\/li>\n<li>How it makes decisions and whether those decisions can be explained in plain language to a non-technical audience<\/li>\n<li>Where it can fail and what limitations users need to understand<\/li>\n<\/ul>\n<p>Model cards and AI system datasheets provide a structured way to document this information throughout a model\u2019s lifecycle. Think of them as the scorecard for your AI.<\/p>\n<h3 class=\"h4spacing\">5. Bias, Fairness, and Testing<\/h3>\n<blockquote>\n<p><em>\u201cThis is a hybrid\u2026 I\u2019ve been workin\u2019 on for about twelve years.\u201d<\/em> \u2013 Carl, on his combination Bill Murray\/Dalai Lama spiritual moment.<\/p>\n<\/blockquote>\n<p>Twelve years of well-intentioned tinkering can still produce something that explodes on the green. Bias doesn\u2019t announce itself. It can hide in training data, emerge from proxy variables, or surface outcomes that look fair in aggregate while disadvantaging specific groups.<\/p>\n<p>Ongoing bias and fairness testing should include:<\/p>\n<ul class=\"list-2\">\n<li>Pre-deployment bias audits across protected characteristics such as race, gender, age, and disability<\/li>\n<li>Disparate impact analysis that examines whether model performance remains consistent across groups<\/li>\n<li>Red-teaming to probe for edge cases, unintended behaviours, and other weaknesses<\/li>\n<li>Post-deployment monitoring to detect drift as models and the environments around them change<\/li>\n<\/ul>\n<p>A model can perform fairly at launch and produce different results later as its data, users, or operating environment changes. Testing should continue throughout the model\u2019s lifecycle.<\/p>\n<h3 class=\"h4spacing\">6. Data Governance: You Are What You Eat<\/h3>\n<p>AI learns from data, and the quality and integrity of that data shape the systems built on top of it. Data governance is AI governance.<\/p>\n<p>Your training and inference data should be:<\/p>\n<ul class=\"list-2\">\n<li><strong>Legally and ethically sourced<\/strong><\/li>\n<li><strong>Accurate and up-to-date<\/strong><\/li>\n<li><strong>Collected with appropriate consent<\/strong> when it includes personal data<\/li>\n<li><strong>Stored and accessed securely<\/strong><\/li>\n<\/ul>\n<p>These practices give organisations a clearer basis for evaluating the systems that rely on their data and managing the risks those systems introduce.<\/p>\n<p>Data governance also requires data lineage: a traceable record of where data came from and where it flows. Think of it as the caddie\u2019s yardage book; every distance, every hazard, every bounce documented, so there are no surprises.<\/p>\n<h3 class=\"h4spacing\">7. Your Response Demonstrates whether you were ever in Control: Have a Plan Before the Pool Turns Brown<\/h3>\n<p><img decoding=\"async\" class=\"lazyload blogimgrt2\" src=\"data:image\/svg+xml,%3Csvg%20xmlns%3D%27http%3A%2F%2Fwww.w3.org%2F2000%2Fsvg%27%20width%3D%27400%27%20height%3D%27267%27%20viewBox%3D%270%200%20400%20267%27%3E%3Crect%20width%3D%27400%27%20height%3D%27267%27%20fill-opacity%3D%220%22%2F%3E%3C%2Fsvg%3E\" data-orig-src=\"https:\/\/riskonnect.com\/wp-content\/uploads\/2026\/10\/Your-Response-Demonstrates-whether-you-were-ever-in-Control-Have-a-Plan-Before-the-Pool-Turns-Brown.webp\" alt=\"Your Response Demonstrates whether you were ever in Control- Have a Plan Before the Pool Turns Brown\" width=\"400\" height=\"267\">The <em>Caddyshack<\/em> pool scene is a masterclass in what happens when no one has an incident response plan. Panic. Overreaction. Unnecessary evacuation. And a Baby Ruth bar that didn\u2019t deserve the blame.<\/p>\n<p>AI systems will fail. Generative AI models can hallucinate. Outputs will surprise you. Feedback loops will go wrong. When they do, your organisation needs a defined process for containing the problem, understanding what happened, and preventing a repeat.<\/p>\n<p>A mature AI incident response plan includes:<\/p>\n<ul class=\"list-2\">\n<li><strong>Detection<\/strong>: How you identify that something has gone wrong through monitoring, alerts, or user reports<\/li>\n<li><strong>Containment<\/strong>: How you limit the damage through model suspension, output filtering, or fallback systems.<\/li>\n<li><strong>Investigation<\/strong>: How you determine whether the root cause lies in the data, model, prompt, or deployment configuration<\/li>\n<li><strong>Remediation<\/strong>: What you fix and how you verify that the fix worked<\/li>\n<li><strong>Communication<\/strong>: Who you notify, when, and what you communicate to customers, regulators, and leadership<\/li>\n<li><strong>Post-mortem<\/strong>: What you learned and which governance controls need to change<\/li>\n<\/ul>\n<p>Test the plan before an incident puts it to work.<\/p>\n<h3 class=\"h4spacing\">8. Policies, Accountability, and Culture<\/h3>\n<blockquote>\n<p><em>\u201cI want to party with you, cowboy.\u201d<\/em> \u2013 Ty Webb<\/p>\n<\/blockquote>\n<p>Technology can\u2019t carry AI governance on its own. People need clear responsibilities, leadership needs to reinforce them, and employees need to feel comfortable raising concerns when something goes wrong.<\/p>\n<p>That requires:<\/p>\n<ul class=\"list-2\">\n<li><strong>Clear AI policies<\/strong>: Define acceptable use, prohibited applications, and employee responsibilities.<\/li>\n<li><strong>Defined accountability<\/strong>: Identify the AI risk owner, and establish who participates in AI ethics or review boards.<\/li>\n<li><strong>Training and awareness<\/strong>: Ensure everyone who uses AI understands their role in governance.<\/li>\n<li><strong>A speak-up culture<\/strong>: Give employees a clear path to raise concerns about AI systems without fear of retaliation.<\/li>\n<\/ul>\n<p>Good AI governance depends on people working together and taking responsibility for the systems they oversee. When those expectations are clear, accountability becomes part of how the organisation operates.<\/p>\n<h3 class=\"h4spacing\">9. Regulatory Alignment<\/h3>\n<p>Every golf course has its own local rules. AI governance works the same way. Requirements vary by jurisdiction and industry, with frameworks and regulations including the EU AI Act, NIST AI RMF, ISO 42001, and sector-specific guidance from financial and health regulators.<\/p>\n<p>A strong governance program should include:<\/p>\n<ul class=\"list-2\">\n<li>Mapping your AI inventory to applicable regulatory requirements<\/li>\n<li>Maintaining documentation that satisfies audit and supervisory requests<\/li>\n<li>Monitoring regulatory developments and updating your program accordingly<\/li>\n<li>Engaging legal and compliance as active partners in AI governance, not a final checkpoint<\/li>\n<\/ul>\n<p>Regulations will continue to evolve. Know which rules apply to your organisation and keep the program current as those requirements change.<\/p>\n<p>The <em>Caddyshack<\/em> lesson, beneath the golf carts and gopher explosions, is deceptively simple: chaos follows when no one owns the problem. Judge Smails had the title of authority. Carl had responsibility for the grounds. Neither had the controls needed to keep the course under control.<\/p>\n<p>AI governance requires that same clarity of ownership and accountability. Leaders should be able to answer basic questions about their AI systems at any time:<\/p>\n<ul class=\"list-2\">\n<li>What is being used?<\/li>\n<li>Why is it being used?<\/li>\n<li>Who is responsible for it?<\/li>\n<li>What happens when it fails?<\/li>\n<li>Can the organisation intervene?<\/li>\n<\/ul>\n<p>That\u2019s what credible AI governance looks like: clear evidence that AI is understood, accountable, monitored, and controlled.<\/p>\n<div class=\"fusion-separator\" style=\"align-self: center;margin-left: auto;margin-right: auto;margin-top:20px;margin-bottom:30px;width:100%;max-width:68%;\"><div class=\"fusion-separator-border sep-single sep-solid\" style=\"--awb-height:20px;--awb-amount:20px;--awb-sep-color:#df6a2d;border-color:#df6a2d;border-top-width:1px;\"><\/div><\/div>\n<p><em>For more on AI governance, read the article, <a href=\"https:\/\/riskonnect.com\/en-gb\/ai-en-gb\/ai-governance-embed-ai-oversight-grc\/\" target=\"_blank\" rel=\"noopener\">AI Governance: 5 Ways to Embed AI Oversight into GRC<\/a> and check out <a href=\"https:\/\/riskonnect.com\/en-gb\/ai-governance\/\" target=\"_blank\" rel=\"noopener\">Riskonnect\u2019s AI Governance solution<\/a>.<\/em><\/p>\n<\/div><\/div><\/div><\/div><\/div>\n<\/p>","protected":false},"excerpt":{"rendered":"<p>Learn nine practical AI governance controls that help organizations manage risk, demonstrate accountability, and prove their AI systems are under control.<\/p>\n","protected":false},"author":28,"featured_media":171445,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5686,5877],"tags":[6471],"class_list":["post-171443","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ai-en-gb","category-governance-risk-and-compliance","tag-blog-en-gb"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.7 (Yoast SEO v28.7) - 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ERM and Compliance Functions? What That\u2019s Costing \u2013 and How to Fix It"},"content":{"rendered":"<?xml encoding=\"utf-8\" ?><p><div class=\"fusion-fullwidth fullwidth-box fusion-builder-row-3 fusion-flex-container has-pattern-background has-mask-background nonhundred-percent-fullwidth non-hundred-percent-height-scrolling\" style=\"--awb-border-radius-top-left:0px;--awb-border-radius-top-right:0px;--awb-border-radius-bottom-right:0px;--awb-border-radius-bottom-left:0px;--awb-flex-wrap:wrap;\" ><div class=\"fusion-builder-row fusion-row fusion-flex-align-items-flex-start fusion-flex-content-wrap\" style=\"max-width:1248px;margin-left: calc(-4% \/ 2 );margin-right: calc(-4% \/ 2 );\"><div class=\"fusion-layout-column fusion_builder_column fusion-builder-column-2 fusion_builder_column_1_1 1_1 fusion-flex-column\" style=\"--awb-bg-size:cover;--awb-width-large:100%;--awb-margin-top-large:0px;--awb-spacing-right-large:1.92%;--awb-margin-bottom-large:20px;--awb-spacing-left-large:1.92%;--awb-width-medium:100%;--awb-order-medium:0;--awb-spacing-right-medium:1.92%;--awb-spacing-left-medium:1.92%;--awb-width-small:100%;--awb-order-small:0;--awb-spacing-right-small:1.92%;--awb-spacing-left-small:1.92%;\"><div class=\"fusion-column-wrapper fusion-column-has-shadow fusion-flex-justify-content-flex-start fusion-content-layout-column\"><div class=\"fusion-text fusion-text-3\"><p>Enterprise risk management and compliance often operate independently, not because of a deliberate decision but because the structure around them was simply not built to connect the dots. This separation, however, can cause crippling blind spots that obscure problems and cost the company real money in delayed decisions, conflicting actions, lost productivity, and missed opportunities.<\/p>\n<p>Risk and compliance have a common goal of protecting the organisation. And both teams are usually well aware of impending regulatory change. The problem is in the execution of those changes \u2013 deciding what applies, who owns it, and how it gets done.<\/p>\n<p>Here\u2019s how to find the gaps between knowing something is coming and making sure it gets done, close them, and work together to avoid costly mistakes.<\/p>\n<h3 class=\"h4spacing\">One Goal, Two Perspectives<\/h3>\n<p>While ERM and compliance monitor the same regulators, the same requirements, and the same updates, they view those signals through different lenses. ERM looks at enterprise-level threats and opportunities in terms of the impact on long-term business goals. Compliance zeros in on the details to ensure strict adherence with the letter of the law.<\/p>\n<p>Consider the two perspectives of the same event:<\/p>\n<table class=\"table\">\n<tbody>\n<tr>\n<td><strong>Compliance: Are we checking off every requirement to the letter? <\/strong><\/td>\n<td><strong>ERM: What\u2019s the exposure if we get this wrong?<\/strong><\/td>\n<\/tr>\n<tr>\n<td>Focuses on rule-by-rule details.<\/td>\n<td>Focuses on portfolio-level likelihood.<\/td>\n<\/tr>\n<tr>\n<td>Considers enforcement precedent.<\/td>\n<td>Considers business impact and control design.<\/td>\n<\/tr>\n<tr>\n<td>Measures adherence and documentation.<\/td>\n<td>Measures residual risk and control effectiveness.<\/td>\n<\/tr>\n<tr>\n<td>Can miss the broader risk impact of change.<\/td>\n<td>Can miss regulatory technicalities.<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h3 class=\"h4spacing\">One Goal, Two Perspectives<\/h3>\n<p><img decoding=\"async\" class=\"lazyload blogimgrt2\" src=\"data:image\/svg+xml,%3Csvg%20xmlns%3D%27http%3A%2F%2Fwww.w3.org%2F2000%2Fsvg%27%20width%3D%27400%27%20height%3D%27208%27%20viewBox%3D%270%200%20400%20208%27%3E%3Crect%20width%3D%27400%27%20height%3D%27208%27%20fill-opacity%3D%220%22%2F%3E%3C%2Fsvg%3E\" data-orig-src=\"https:\/\/riskonnect.com\/wp-content\/uploads\/2026\/09\/One-Goal-Two-Perspectives-1.webp\" alt=\"One Goal, Two Perspectives\" width=\"400\" height=\"208\">Both perspectives are genuinely legitimate and valuable \u2013 but are incomplete on their own. The one-sided view becomes a problem when interpretation, ownership, and follow-through are unclear. Isolated data silos, conflicting taxonomies, and separate reporting lines exacerbate confusion.<\/p>\n<p>Two teams working in parallel cost the company in terms of:<\/p>\n<p><strong>Duplicated effort.<\/strong> Risk and compliance teams independently research, interpret, and act on the same regulatory development in parallel.<\/p>\n<p><strong>Inconsistent response.<\/strong> Similar changes get handled differently, depending on which team, region, or person happens to read the new rule or updated guidance first.<\/p>\n<p><strong>Slower cycle time.<\/strong> Every change triggers another ad hoc process to figure out what applies where and who is responsible.<\/p>\n<p>The most damaging cost of fragmentation, however, comes from blind spots. What is slipping through the cracks because one team thought the other was handling it? Will regulatory change increase risk at the enterprise level \u2013 by how much? What wasn\u2019t prioritised because the two perspectives weren\u2019t connected to show the full impact?<\/p>\n<h3 class=\"h4spacing\">Where the Breakdowns Happen<\/h3>\n<p>For every regulatory change, companies must see the signal, interpret the impact, and take appropriate action. The breakdown happens between the steps when deciding:<\/p>\n<p><strong>Whose job is this?<\/strong><\/p>\n<p>It\u2019s easy to assume others have it covered if ownership is implied by a job title instead of assigned to a specific person. Ownership is especially tricky to set when a regulatory change spans multiple business units, locations, or products.<\/p>\n<p><strong>Is it really done?<\/strong><\/p>\n<p>Tracked is not the same thing as done. A control, policy, or process marked \u201cin progress\u201d does not mean anything actually changed.<\/p>\n<blockquote>\n<p>Auditors are trained to find gaps between what has been tracked and what has been completed. The consequence is an audit finding with your organisation\u2019s name on it.<\/p>\n<\/blockquote>\n<h3 class=\"h4spacing\">How to Close the Gaps<\/h3>\n<p><img decoding=\"async\" class=\"lazyload blogimgrt2\" src=\"data:image\/svg+xml,%3Csvg%20xmlns%3D%27http%3A%2F%2Fwww.w3.org%2F2000%2Fsvg%27%20width%3D%27400%27%20height%3D%27208%27%20viewBox%3D%270%200%20400%20208%27%3E%3Crect%20width%3D%27400%27%20height%3D%27208%27%20fill-opacity%3D%220%22%2F%3E%3C%2Fsvg%3E\" data-orig-src=\"https:\/\/riskonnect.com\/wp-content\/uploads\/2026\/09\/How-to-Close-the-Gaps-1.webp\" alt=\"How to Close the Gaps\" width=\"400\" height=\"208\">Structure, not goodwill, is what keeps teams in sync. Closing the gaps takes coordination mechanisms that work.<\/p>\n<ul class=\"list-2\">\n<li><strong>Joint triage forum.<\/strong> Triage every item against applicability and impact using one consistent method that separates noise from what needs a decision. Decide if the change applies broadly or narrowly, and if it\u2019s high or low stakes for the organisation. Agree on the timeline for actions and resolution based on priority tier.<\/li>\n<li><strong>Shared taxonomy.<\/strong> Both teams need to speak the same language, e.g., what materiality means. Defining terms upfront stops misinterpretations down the road.<\/li>\n<li><strong>One system of record, not two.<\/strong> Keep everything related to monitoring, assessment, ownership, and status in a single platform. Regulatory change is captured once, immediately tagged for relevance, and routed by business line, jurisdiction, or risk type.<\/li>\n<li><strong>Assigned owners for every actionable item.<\/strong> Ownership \u2013 to a person not a department \u2013 must be named for every single change that requires action. This leaves no ambiguity.<\/li>\n<li><strong>Defined escalation paths.<\/strong> Automatically route any stalled item upward for action instead of letting it languish in someone\u2019s inbox.<\/li>\n<li><strong>Track to closure.<\/strong> Completion requires a genuine closing method \u2013 deadlines, escalation, and evidence of completion \u2013 not just a status report.<\/li>\n<li><strong>Committee-level reporting.<\/strong> Include the stage of regulatory action items \u2013 not just vague \u201cin progress\u201d tracking \u2013 in risk committee and leadership reporting on a fixed cadence.<\/li>\n<\/ul>\n<h3 class=\"h4spacing\">Build the Structure for Connection<\/h3>\n<p>Don\u2019t make the mistake of putting all your effort into monitoring regulatory change and assume the operational end will take care of itself. That rarely happens.<\/p>\n<p>Without a shared, structured way to assess and reconcile applicability, determining the impact of every new regulatory change starts from scratch. Visibility is obscured by noise, applicability to the business is ambiguous, and ownership is unclear. That\u2019s where inconsistency creeps in.<\/p>\n<p>To be sure, fixing the problems does not mean starting over. ERM and compliance do not need to become one function to work as one connected force. They need shared infrastructure that turns regulatory signals into coordinated action. A common platform gives both teams one place to capture change, assess applicability, assign ownership, route tasks, track evidence, escalate delays, and report status without friction.<\/p>\n<p>That technology layer matters because handoffs are where regulatory response breaks down. Spreadsheets, email threads, and separate point solutions leave too much room for duplicated effort, missed ownership, and inconsistent reporting. A single system of record creates the connective tissue between ERM, compliance, and the business, centralising the process while pushing accountability to the right owners across the organisation.<\/p>\n<p>The goal is not more meetings or another layer of oversight. It is disciplined execution at scale. When every regulatory change has a clear path, a named owner, built-in escalation, and evidence of completion, you can close the gap between knowing what is coming and proving that the right actions were taken.<\/p>\n<div class=\"fusion-separator\" style=\"align-self: center;margin-left: auto;margin-right: auto;margin-top:20px;margin-bottom:30px;width:100%;max-width:68%;\"><div class=\"fusion-separator-border sep-single sep-solid\" style=\"--awb-height:20px;--awb-amount:20px;--awb-sep-color:#df6a2d;border-color:#df6a2d;border-top-width:1px;\"><\/div><\/div>\n<p><em>For more on connecting risk and compliance with technology, download the ebook, <a href=\"https:\/\/riskonnect.com\/en-gb\/content-library\/e-book-transforming-compliance\/\" target=\"_blank\" rel=\"noopener\">Transforming Compliance from Check-the-Box to Champion<\/a>, and check out <a href=\"https:\/\/riskonnect.com\/en-gb\/compliance-software\/\" target=\"_blank\" rel=\"noopener\">Riskonnect\u2019s Compliance software<\/a>. <\/em><\/p>\n<\/div><\/div><\/div><\/div><\/div>\n<\/p>","protected":false},"excerpt":{"rendered":"<p>Costly mistakes can happen when ERM and compliance teams operate independently.\u00a0 Simple fixes to agree on what applies, who owns it, and how it gets done can make a huge difference. 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Risk Is Patient Risk: Four Regulatory Changes Raising the Stakes for Healthcare Organizations"},"content":{"rendered":"<?xml encoding=\"utf-8\" ?><p><div class=\"fusion-fullwidth fullwidth-box fusion-builder-row-4 fusion-flex-container has-pattern-background has-mask-background nonhundred-percent-fullwidth non-hundred-percent-height-scrolling\" style=\"--awb-border-radius-top-left:0px;--awb-border-radius-top-right:0px;--awb-border-radius-bottom-right:0px;--awb-border-radius-bottom-left:0px;--awb-flex-wrap:wrap;\" ><div class=\"fusion-builder-row fusion-row fusion-flex-align-items-flex-start fusion-flex-content-wrap\" style=\"max-width:1248px;margin-left: calc(-4% \/ 2 );margin-right: calc(-4% \/ 2 );\"><div class=\"fusion-layout-column fusion_builder_column fusion-builder-column-3 fusion_builder_column_1_1 1_1 fusion-flex-column\" style=\"--awb-bg-size:cover;--awb-width-large:100%;--awb-margin-top-large:0px;--awb-spacing-right-large:1.92%;--awb-margin-bottom-large:20px;--awb-spacing-left-large:1.92%;--awb-width-medium:100%;--awb-order-medium:0;--awb-spacing-right-medium:1.92%;--awb-spacing-left-medium:1.92%;--awb-width-small:100%;--awb-order-small:0;--awb-spacing-right-small:1.92%;--awb-spacing-left-small:1.92%;\"><div class=\"fusion-column-wrapper fusion-column-has-shadow fusion-flex-justify-content-flex-start fusion-content-layout-column\"><div class=\"fusion-text fusion-text-4\"><p>Healthcare organisations face growing pressure to prove they understand and control their third-party risk. All recently proposed or enacted, the HIPAA Security Rule Notice of Proposed Rulemaking, HHS Healthcare Sector Cybersecurity Performance Goals, the Health Care Cybersecurity and Resiliency Act or S.3315, and evolving CMS Conditions of Participation reflect growing concern about the impact third-party cyber incidents can have on healthcare organisations.<\/p>\n<p>Business associates and other third parties process claims, manage electronic health records, host critical applications, and store protected health information. Many also support essential functions, from pharmacy operations to connected medical devices. <a href=\"https:\/\/engage.klasresearch.com\/blog\/the-state-of-third-party-risk-management-in-healthcare\/10955\/\" target=\"_blank\" rel=\"noopener\">These relationships<\/a> create opportunities to improve care, but they also introduce new vulnerabilities.<\/p>\n<p>Together, these developments are changing expectations for how healthcare organisations identify and monitor vendor risk across the entire lifecycle.<\/p>\n<h2 class=\"h4spacing\">Four Federal Drivers Raising the Standard for Third-Party Oversight<\/h2>\n<p>Four federal developments now shape how healthcare organisations approach cybersecurity and third-party risk. While each takes a different approach, they show a broader shift in how federal agencies view healthcare organisations\u2019 responsibility for the vendors and business associates that support patient care.<\/p>\n<h3 class=\"boldspacing\"><em>HIPAA Security Rule NPRM<\/em><\/h3>\n<p>The proposed updates to the HIPAA Security Rule would strengthen cybersecurity requirements for covered entities and business associates while also emphasising ongoing risk management. The NPRM would require organisations to implement safeguards such as multifactor authentication and encryption. It would also require covered entities to verify in writing that business associates have implemented the security safeguards required under HIPAA.<\/p>\n<p>The written verification requirement raises the bar for vendor oversight. A business associate agreement establishes the responsibilities of each party, but the rule now places more weight on demonstrating that those responsibilities are being met. For healthcare organisations, that means maintaining documentation that shows how vendor safeguards were evaluated and verified over time.<\/p>\n<p><em><strong>Key Takeaway:<\/strong> The rule shifts vendor oversight toward documented, ongoing verification \u2013 rather than relying on contractual commitments or periodic assessments alone.<\/em><\/p>\n<h3 class=\"boldspacing\"><em>HHS Healthcare Sector Cybersecurity Performance Goals<\/em><\/h3>\n<p>HHS introduced the Healthcare Sector Cybersecurity Performance Goals to give healthcare organisations a baseline for strengthening their defences against common cyber threats. These voluntary goals address areas like multifactor authentication, asset inventory, incident response, and vendor risk management.<\/p>\n<p>Although the CPGs are not regulatory requirements, they provide benchmarks and prioritisation for cybersecurity practices. The goals also recognise that an organisation\u2019s security depends on the third parties it works with.<\/p>\n<p>For healthcare organisations, the CPGs offer a framework for evaluating whether their existing vendor oversight addresses the risks that matter most. They also provide a reference point for bolstering practices before more formal requirements are created.<\/p>\n<p><em><strong>Key Takeaway:<\/strong> Voluntary guidance can still influence what regulators consider reasonable safeguards. That makes the CPGs a useful benchmark for strengthening third-party cybersecurity practices today.<\/em><\/p>\n<h3 class=\"boldspacing\"><em>Health Care Cybersecurity and Resiliency Act or S.3315<\/em><\/h3>\n<p>The Health Care Cybersecurity and Resiliency Act would establish minimum cybersecurity requirements for covered entities and business associates, including measures such as multifactor authentication, encryption, and penetration testing. It also proposes expanded Safe Harbor protections for organisations that can demonstrate at least 12 months of recognised cybersecurity practices.<\/p>\n<p>The proposal rewards organisations that can demonstrate mature cybersecurity practices over time. For third-party risk programmes, that creates a stronger case for maintaining a continuous record of vendor assessments, safeguard verification, remediation, and other oversight activities.<\/p>\n<p><em><strong>Key Takeaway:<\/strong> The proposed legislation makes documented cybersecurity practices more valuable. Organisations would need evidence showing how they managed risks and maintained safeguards over time.<\/em><\/p>\n<h3 class=\"boldspacing\"><em>CMS Conditions of Participation<\/em><\/h3>\n<p>Cybersecurity expectations are also moving into the operational requirements healthcare organisations must meet to participate in Medicare and Medicaid. CMS has proposed strengthening security risk management expectations for hospitals, including greater attention to the risks created by third-party relationships.<\/p>\n<p>That connection matters because many of the systems that support patient care sit outside the organisation\u2019s direct control. With that in mind, a security risk management program needs to account for the vendors and dependencies that could interrupt care.<\/p>\n<p>Cybersecurity tying more closely to Conditions of Participation further forces healthcare organisations to treat vendor oversight as part of maintaining safe, resilient operations.<\/p>\n<p><em><strong>Key Takeaway:<\/strong> Cybersecurity and third-party risk are increasingly connected to the ability to maintain healthcare operations and participate in federal healthcare programmes, making vendor oversight an operational and governance responsibility alongside an IT concern.<\/em><\/p>\n<h2 class=\"h4spacing\">How Do Vendor Cyber Incidents Affect Patient Care?<\/h2>\n<p>The growing emphasis on continuous third-party oversight stresses the reality that cyber incidents involving vendors now have immediate consequences for healthcare delivery.<\/p>\n<p>A recent example is the ransomware attack on revenue cycle management vendor Unlimited Technology Systems, which affected approximately 3.8 million patients. The vendor provides billing and revenue cycle services for thousands of healthcare providers, meaning many of the affected patients had never interacted with the company directly. Yet the breach exposed sensitive information including Social Security numbers, medical records, diagnosis and treatment details, and scanned insurance cards.<\/p>\n<p>This incident is part of a broader pattern. According to MedCity News, vendors that process claims, billing, and medical records accounted for six of the 10 largest healthcare breaches reported in 2026.<\/p>\n<p>The consequences also extend beyond compromised data. Recent attacks affecting organisations such as Change Healthcare, Conduent, Ascension, and PIH Health demonstrated how quickly disruptions can spread across the healthcare ecosystem. Claims processing stalled, pharmacies experienced delays, clinical workflows were interrupted, and providers were forced to activate contingency plans to continue delivering care. What began as cybersecurity incidents quickly became operational crises affecting patients and clinicians.<\/p>\n<p><a href=\"https:\/\/www.hipaajournal.com\/healthcare-data-breach-statistics\/\" target=\"_blank\" rel=\"noopener\">Research reinforces the connection<\/a> between cybersecurity incidents and patient care. Hacking and other IT incidents account for the overwhelming majority of large healthcare breaches, while business associates continue to play an increasingly prominent role in those events. Among healthcare organisations whose patient care was disrupted by a cyberattack, nearly one-third reported increases in patient mortality rates. Those serious outcomes put the implications of vendor risk into perspective.<\/p>\n<h2 class=\"h4spacing\">Five Steps to Build a More Resilient Approach to Third-Party Oversigh<\/h2>\n<p>Healthcare organisations can strengthen their third-party oversight by focusing on five main areas. This approach creates greater visibility into vendor risk, as well as a stronger record of how those risks are managed.<\/p>\n<ol class=\"list-2\">\n<li><strong>Identify and tier critical vendors.<br><\/strong>Organisations can prioritise business associates and downstream vendors based on factors such as their impact on patient care, operational continuity, regulatory requirements, and concentration risk. This helps focus resources on relationships where a disruption could have the greatest consequences.<\/li>\n<li><strong>Monitor vendors continuously.<br><\/strong>Vendor risk can change significantly between annual assessments. Continuous monitoring helps teams identify changes in vendor risk and respond before annual reviews expose the problem. Extending oversight across onboarding, ongoing monitoring, and offboarding also creates a more complete picture of the vendor relationship.<\/li>\n<li><strong>Maintain documented evidence.<br><\/strong>Written verification can demonstrate how vendor risks were evaluated and addressed over time. Keeping that evidence accessible and organised also makes it easier to respond to an OCR investigation, CMS review, or other inquiry.<\/li>\n<li><strong>Connect risk signals across the organisation.<br><\/strong>Cybersecurity findings provide only one view of vendor risk. Financial health, fourth-party dependencies, resilience, compliance, incident activity, and patient safety can all affect the potential impact of a vendor. Connecting these signals within a shared vendor profile creates a more complete view of exposure and helps teams identify issues that might otherwise remain disconnected.<\/li>\n<li><strong>Establish cross-functional governance.<br><\/strong>Compliance, enterprise risk, business continuity, resilience, and clinical teams may all have a role in assessing the potential impact of a critical vendor. A shared risk register and coordinated response process can give these teams a common view of vendor risk and clearer accountability when issues emerge.<\/li>\n<\/ol>\n<p>Vendors aren\u2019t just a compliance concern anymore. They\u2019re part of the healthcare delivery chain. When a critical vendor experiences a cyber incident, the consequences can reach patients, clinicians, and operations almost immediately. Healthcare organisations that build continuous, evidence-based oversight programmes will be better prepared for regulatory scrutiny and better positioned to protect patient care.<\/p>\n<div class=\"fusion-separator\" style=\"align-self: center;margin-left: auto;margin-right: auto;margin-top:20px;margin-bottom:30px;width:100%;max-width:68%;\"><div class=\"fusion-separator-border sep-single sep-solid\" style=\"--awb-height:20px;--awb-amount:20px;--awb-sep-color:#df6a2d;border-color:#df6a2d;border-top-width:1px;\"><\/div><\/div>\n<p><em>For more information on third-party risk management, read our ebook, <a href=\"https:\/\/riskonnect.com\/en-gb\/content-library\/ebook-rethinking-supply-chain-risk-management-practical-guide\/\" target=\"_blank\" rel=\"noopener\">Rethinking Supply Chain Risk Management: A Practical Guide to Better Assurance<\/a>, and download our <a href=\"https:\/\/riskonnect.com\/en-gb\/resources\/riskonnect-toolkits\/your-third-party-threat-kit\/\" target=\"_blank\" rel=\"noopener\">Reduce Third-Party Exposures toolkit<\/a>.<\/em><\/p>\n<\/div><\/div><\/div><\/div><\/div>\n<\/p>","protected":false},"excerpt":{"rendered":"<p>Learn how four federal healthcare cybersecurity initiatives are raising expectations for continuous third-party risk oversight, evidence, and governance.<\/p>\n","protected":false},"author":28,"featured_media":169909,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5877,5709],"tags":[],"class_list":["post-169908","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-governance-risk-and-compliance","category-third-party-risk-management-en-gb"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.7 (Yoast SEO v28.7) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Vendor Risk Is Patient Risk: Four Regulatory Changes Raising the Stakes for Healthcare 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Desilva"}}]}},"_links":{"self":[{"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/posts\/169908","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/users\/28"}],"replies":[{"embeddable":true,"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/comments?post=169908"}],"version-history":[{"count":1,"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/posts\/169908\/revisions"}],"predecessor-version":[{"id":171453,"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/posts\/169908\/revisions\/171453"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/media\/169909"}],"wp:attachment":[{"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/media?parent=169908"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/categories?post=169908"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/tags?post=169908"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}},{"id":169910,"date":"2026-08-26T21:56:34","date_gmt":"2026-08-27T01:56:34","guid":{"rendered":"https:\/\/riskonnect.com\/uncategorized-en-gb\/ehs-jim-wetekamp-ai-reshaping-workplace-safety\/"},"modified":"2026-10-15T13:51:19","modified_gmt":"2026-10-15T17:51:19","slug":"ehs-jim-wetekamp-ai-reshaping-workplace-safety","status":"publish","type":"post","link":"https:\/\/riskonnect.com\/en-gb\/news-coverage\/ehs-jim-wetekamp-ai-reshaping-workplace-safety\/","title":{"rendered":"How AI Is Reshaping Workplace Safety and Risk Management"},"content":{"rendered":"<?xml encoding=\"utf-8\" ?><p><div class=\"fusion-fullwidth fullwidth-box fusion-builder-row-5 nonhundred-percent-fullwidth non-hundred-percent-height-scrolling\" style=\"--awb-border-radius-top-left:0px;--awb-border-radius-top-right:0px;--awb-border-radius-bottom-right:0px;--awb-border-radius-bottom-left:0px;--awb-flex-wrap:wrap;\" ><div class=\"fusion-builder-row fusion-row\"><div class=\"fusion-layout-column fusion_builder_column fusion-builder-column-4 fusion_builder_column_1_1 1_1 fusion-one-full fusion-column-first fusion-column-last\" style=\"--awb-bg-size:cover;--awb-margin-bottom:0px;\"><div class=\"fusion-column-wrapper fusion-flex-column-wrapper-legacy\"><div class=\"fusion-text fusion-text-5\" style=\"--awb-text-transform:none;\"><p><em>Artificial intelligence has the capability to better track\u2014and prevent\u2014workplace injuries and fatalities. To do so, you must take a holistic look at the data, find easy wins, gain buy-in and keep improving. <\/em><\/p>\n<p><span style=\"color: #999999;\"><em>By Jim Wetekamp, CEO of Riskonnect | Published by <a href=\"https:\/\/www.ehstoday.com\/safety-technology\/article\/55389470\/how-ai-is-reshaping-workplace-safety-and-risk-management?utm_source=OZ+EHS+Today+Daily+Update&amp;utm_medium=email&amp;utm_campaign=CPS260805082&amp;o_eid=2146A8644590G1G&amp;rdx.ident%5bpull%5d=omeda%7C2146A8644590G1G&amp;oly_enc_id=2146A8644590G1G\" target=\"_blank\" rel=\"noopener\">EHS Today<\/a> | August 13, 2026<\/em><\/span><\/p>\n<p>Workplace safety began as a reactive discipline. An incident occurs; teams investigate, assign corrective actions, and update their processes. The cycle repeats, and too often, so do the incidents.<\/p>\n<p>The case for proactive workplace safety is both a human and a financial one. The Bureau of Labour Statistics recently reported <a href=\"https:\/\/www.bls.gov\/news.release\/osh.nr0.htm\" target=\"_blank\" rel=\"noopener\">2.5 million<\/a> nonfatal workplace injuries and illnesses in a single year. According to Liberty Mutual, workplace accidents cost U.S. employers <a href=\"https:\/\/www.libertymutualgroup.com\/about-lm\/news\/articles\/us-companies-spend-50.87b-year-top-ten-causes-serious-workplace-injuries-according-2025-liberty-mutual-workplace-safety-index\" target=\"_blank\" rel=\"noopener\">nearly $59 billion annually<\/a>. Most organisations already have the data they need to stay ahead of safety risks. The problem is it\u2019s scattered across systems, teams, and locations, which makes it difficult to connect the dots in time to prevent the next incident.<\/p>\n<p>AI is changing that. By continuously analysing data across systems, formats, and locations, AI can make sense of the data, surface risk patterns that would be invisible to humans, predict potential incidents, and guide teams to the right remediation actions. It delivers these insights and recommendations in everyday workflows, so teams can intervene before an incident actually occurs. Safety teams that have spent years managing risk after the fact now have a way to get ahead of it.<\/p>\n<p><em>Read the full article in <a href=\"https:\/\/www.ehstoday.com\/safety-technology\/article\/55389470\/how-ai-is-reshaping-workplace-safety-and-risk-management?utm_source=OZ+EHS+Today+Daily+Update&amp;utm_medium=email&amp;utm_campaign=CPS260805082&amp;o_eid=2146A8644590G1G&amp;rdx.ident%5bpull%5d=omeda%7C2146A8644590G1G&amp;oly_enc_id=2146A8644590G1G\" target=\"_blank\" rel=\"noopener\">EHS Today<\/a> for more on the warning signs, how AI helps teams stay ahead, and how to get started.<\/em><\/p>\n<\/div><div class=\"fusion-clearfix\"><\/div><\/div><\/div><\/div><\/div>\n<\/p>","protected":false},"excerpt":{"rendered":"<p>Riskonnect CEO Jim Wetekamp writes in EHS Today on how AI helps safety leaders surface hidden risk patterns and prevent workplace injuries.<\/p>\n","protected":false},"author":28,"featured_media":169911,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6644],"tags":[],"class_list":["post-169910","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-coverage"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.7 (Yoast SEO v28.7) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>How AI Is Reshaping Workplace Safety and Risk Management &#183; Riskonnect<\/title>\n<meta name=\"description\" content=\"Riskonnect CEO Jim Wetekamp writes in EHS Today on how AI helps safety leaders surface hidden risk patterns and prevent workplace injuries.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/riskonnect.com\/en-gb\/news-coverage\/ehs-jim-wetekamp-ai-reshaping-workplace-safety\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How AI Is Reshaping Workplace Safety and Risk Management\" \/>\n<meta property=\"og:description\" content=\"Workplace injuries don\u2019t come out of nowhere\u2014the warning signals are there, but often hidden in scattered data. \ud83c\udfed In a featured article for EHS Today, Riskonnect CEO Jim Wetekamp explores how AI connects scattered safety data to surface hidden risk patterns, predict potential incidents, and help safety leaders intervene before an injury occurs.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/riskonnect.com\/en-gb\/news-coverage\/ehs-jim-wetekamp-ai-reshaping-workplace-safety\/\" \/>\n<meta property=\"og:site_name\" content=\"Riskonnect\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/riskonnect\/\" \/>\n<meta property=\"article:published_time\" content=\"2026-08-27T01:56:34+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2026-10-15T17:51:19+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/riskonnect.com\/wp-content\/uploads\/2026\/08\/EHS-Today-News-Image.webp\" \/>\n\t<meta property=\"og:image:width\" content=\"1000\" \/>\n\t<meta property=\"og:image:height\" content=\"533\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/webp\" \/>\n<meta name=\"author\" content=\"Madura Desilva\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:description\" content=\"Workplace accidents cost U.S. employers nearly $59B annually. \ud83d\udcc9 In @EHSToday, @Riskonnect CEO Jim Wetekamp explains how AI helps safety teams move from reactive investigations to proactive injury prevention. 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Inc.","url":"https:\/\/riskonnect.com\/en-gb\/","logo":{"@type":"ImageObject","inLanguage":"en-GB","@id":"https:\/\/riskonnect.com\/en-gb\/#\/schema\/logo\/image\/","url":"https:\/\/riskonnect.com\/wp-content\/uploads\/2019\/07\/risk-logo.png","contentUrl":"https:\/\/riskonnect.com\/wp-content\/uploads\/2019\/07\/risk-logo.png","width":600,"height":198,"caption":"Riskonnect, Inc."},"image":{"@id":"https:\/\/riskonnect.com\/en-gb\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/riskonnect\/","https:\/\/x.com\/Riskonnect","https:\/\/www.instagram.com\/riskonnect\/","https:\/\/www.linkedin.com\/company\/riskonnect-inc","https:\/\/www.youtube.com\/user\/Riskonnect"]},{"@type":"Person","@id":"https:\/\/riskonnect.com\/en-gb\/#\/schema\/person\/28bc8f7f57820598e3986900ce830d4e","name":"Madura Desilva","image":{"@type":"ImageObject","inLanguage":"en-GB","@id":"https:\/\/secure.gravatar.com\/avatar\/cf75cad5d6512287c5333752e5f44d40de44e82fc11c93aa07a70731eb70ae19?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/cf75cad5d6512287c5333752e5f44d40de44e82fc11c93aa07a70731eb70ae19?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/cf75cad5d6512287c5333752e5f44d40de44e82fc11c93aa07a70731eb70ae19?s=96&d=mm&r=g","caption":"Madura Desilva"}}]}},"_links":{"self":[{"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/posts\/169910","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/users\/28"}],"replies":[{"embeddable":true,"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/comments?post=169910"}],"version-history":[{"count":1,"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/posts\/169910\/revisions"}],"predecessor-version":[{"id":171454,"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/posts\/169910\/revisions\/171454"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/media\/169911"}],"wp:attachment":[{"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/media?parent=169910"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/categories?post=169910"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskonnect.com\/en-gb\/wp-json\/wp\/v2\/tags?post=169910"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}},{"id":161793,"date":"2026-08-12T11:55:29","date_gmt":"2026-08-12T15:55:29","guid":{"rendered":"https:\/\/riskonnect.com\/uncategorized-en-gb\/resilience-only-strong-as-third-parties\/"},"modified":"2026-10-06T18:52:16","modified_gmt":"2026-10-06T22:52:16","slug":"resilience-only-strong-as-third-parties","status":"publish","type":"post","link":"https:\/\/riskonnect.com\/en-gb\/business-continuity-management-en-gb\/resilience-only-strong-as-third-parties\/","title":{"rendered":"Your Resilience Is Only as Strong as Your Third Parties"},"content":{"rendered":"<?xml encoding=\"utf-8\" ?><p><div class=\"fusion-fullwidth fullwidth-box fusion-builder-row-6 fusion-flex-container has-pattern-background has-mask-background nonhundred-percent-fullwidth non-hundred-percent-height-scrolling\" style=\"--awb-border-radius-top-left:0px;--awb-border-radius-top-right:0px;--awb-border-radius-bottom-right:0px;--awb-border-radius-bottom-left:0px;--awb-flex-wrap:wrap;\" ><div class=\"fusion-builder-row fusion-row fusion-flex-align-items-flex-start fusion-flex-content-wrap\" style=\"max-width:1248px;margin-left: calc(-4% \/ 2 );margin-right: calc(-4% \/ 2 );\"><div class=\"fusion-layout-column fusion_builder_column fusion-builder-column-5 fusion_builder_column_1_1 1_1 fusion-flex-column\" style=\"--awb-bg-size:cover;--awb-width-large:100%;--awb-margin-top-large:0px;--awb-spacing-right-large:1.92%;--awb-margin-bottom-large:20px;--awb-spacing-left-large:1.92%;--awb-width-medium:100%;--awb-order-medium:0;--awb-spacing-right-medium:1.92%;--awb-spacing-left-medium:1.92%;--awb-width-small:100%;--awb-order-small:0;--awb-spacing-right-small:1.92%;--awb-spacing-left-small:1.92%;\"><div class=\"fusion-column-wrapper fusion-column-has-shadow fusion-flex-justify-content-flex-start fusion-content-layout-column\"><div class=\"fusion-text fusion-text-6\"><p>Your ability to deliver critical business services depends on more than your own people, processes, and technology. Cloud providers, SaaS platforms, payment processors, logistics partners, outsourced operations, and specialist suppliers are now integral to how you operate. When one of these dependencies fails, your customers, employees, and business feel the impact.<\/p>\n<p>Traditional third-party risk management helps you identify, assess, and reduce supplier risk before something goes wrong. Business continuity planning helps your organisation recover from disruption. But neither fully answers an increasingly important question: Can your business continue delivering critical services when a key third party cannot?<\/p>\n<p>That is where third-party resilience comes in.<\/p>\n<p>Third-party resilience extends beyond assessing supplier risk. It focuses on understanding which third parties support your most important business services, how their disruption would affect your resilience objectives, and what capabilities you need to continue operating when they fail. It connects third-party risk management with operational resilience and business continuity, ensuring supplier disruption does not become business disruption.<\/p>\n<p>Building third-party resilience means being able to:<\/p>\n<ul class=\"list-2\">\n<li>Maintain critical services despite supplier disruption<\/li>\n<li>Adapt your operating model when third-party dependencies fail<\/li>\n<li>Recover within defined resilience tolerances, including your RTOs, RPOs, and MTD<\/li>\n<\/ul>\n<p>Achieving that requires more than periodic supplier assessments. You need to understand your critical third-party dependencies, continuously monitor emerging threats, test response plans, and ensure your suppliers are robust enough to support your resilience objectives.<\/p>\n<h3 class=\"h4spacing\">The Growing Challenge of Third-Party Resilience<\/h3>\n<p>You cannot treat supplier disruption as a \u2018vendor issue\u2019. You must treat it as a direct threat to your critical business services. A disruption at a single vendor can cascade across your operations, affecting shared services, cloud dependencies, and outsourced operating models, ultimately impacting customer-facing operations.<\/p>\n<p><img decoding=\"async\" class=\"lazyload blogimgrt2\" src=\"data:image\/svg+xml,%3Csvg%20xmlns%3D%27http%3A%2F%2Fwww.w3.org%2F2000%2Fsvg%27%20width%3D%27400%27%20height%3D%27267%27%20viewBox%3D%270%200%20400%20267%27%3E%3Crect%20width%3D%27400%27%20height%3D%27267%27%20fill-opacity%3D%220%22%2F%3E%3C%2Fsvg%3E\" data-orig-src=\"https:\/\/riskonnect.com\/wp-content\/uploads\/2026\/08\/The-Growing-Challenge-of-Third-Party-Resilience.webp\" alt=\"\" width=\"400\" height=\"267\"><\/p>\n<p>When a third-party experiences disruption, you may see immediate and measurable impacts:<\/p>\n<ul class=\"list-2\">\n<li>A payroll provider fails, which delays employee payments and damages trust<\/li>\n<li>A cloud provider suffers an outage, and you cannot serve customers, impacting revenue<\/li>\n<li>A logistics provider fails, and you miss deliveries and breach SLAs<\/li>\n<li>A supplier fails, stopping production or service delivery entirely<\/li>\n<\/ul>\n<p>These events translate directly into:<\/p>\n<ul class=\"list-2\">\n<li>Revenue loss<\/li>\n<li>Customer harm and SLA penalties<\/li>\n<li>Regulatory exposure<\/li>\n<li>Operational downtime costs<\/li>\n<\/ul>\n<p>Traditional business continuity planning focuses on internal disruptions such as system outages, facility issues, and workforce impacts, but it does not account for how disruptions spread across today\u2019s supply networks.<\/p>\n<h3 class=\"h4spacing\">Where Third-Party Exposure Is Growing<\/h3>\n<p><strong>Cyber Threats <\/strong><\/p>\n<p>Unlike an internal cyber incident, in which you control the response, a third-party attack causes widespread disruption from an event you do not own or control. It simultaneously impacts hundreds or even thousands of the suppliers\u2019 other customers, some of whom might do business with you.<\/p>\n<p>While you can assess your suppliers\u2019 cyber resilience, require them to implement the appropriate security controls, and monitor emerging risks, you cannot prevent or manage the incident itself. Yet your organisation remains responsible for maintaining critical business services, meeting regulatory obligations, and serving customers.<\/p>\n<p>The risk is even greater when suppliers are closely integrated with your environment. An attack on a connected third party can disrupt shared systems, expose sensitive data, or provide attackers with a pathway into your own network.<\/p>\n<p><strong>Regulatory Expectations<\/strong><\/p>\n<p>Regulators now require you to demonstrate that your core operations remain resilient even when they depend on third parties. Frameworks such as DORA, CER, and CPS 230 push you toward continuous oversight of critical services.<\/p>\n<p>You must now:<\/p>\n<ul class=\"list-2\">\n<li>Identify critical services and dependencies<\/li>\n<li>Assess supplier resilience against defined tolerances<\/li>\n<li>Continuously monitor third-party risk<\/li>\n<li>Govern outsourced service delivery as part of operational resilience<\/li>\n<\/ul>\n<p>This reflects a shift from one-off vendor assessments to a more continuous approach to third-party risk management.<\/p>\n<p><strong>Operational, Geopolitical, and Climate-Related Disruptions<\/strong><\/p>\n<p>Unlike isolated disruptions, systemic events like geopolitical or climate events can create cascading failures as multiple organisations depend on the same suppliers, infrastructure, and resources. These types of events might include:<\/p>\n<ul class=\"list-2\">\n<li>Labor shortages<\/li>\n<li>Transport disruptions<\/li>\n<li>Regional conflicts<\/li>\n<li>Trade restrictions<\/li>\n<li>Climate-related events<\/li>\n<li>Supply-chain bottlenecks<\/li>\n<\/ul>\n<p>A disruption in one part of the network can trigger shortages, capacity constraints, and further failures elsewhere, creating a cycle of disruption that becomes increasingly difficult to contain.<\/p>\n<p>For example, a severe flood could force a critical supplier to shut down a manufacturing facility, while geopolitical tensions restrict access to alternative suppliers or replacement materials. As organisations compete for limited capacity and resources, delivery timelines extend, costs increase, and other suppliers across the network may become overwhelmed. What begins as a localised disruption can therefore escalate into a broader operational crisis, affecting multiple suppliers, service providers, and business functions simultaneously.<\/p>\n<p>Third parties often rely on their own upstream networks, creating fourth-party and deeper dependencies that may not be immediately visible but can significantly affect your ability to deliver critical services. Understanding these interconnected relationships is essential to stopping these events from cascading through the wider ecosystem, creating impacts far beyond the original event.<\/p>\n<h3 class=\"h4spacing\">Why Traditional Vendor Risk Management Falls Short<\/h3>\n<p>Vendor risk management tools can help you evaluate key supplier attributes, but they say little about whether the vendor can continue to support your critical business services during disruption. Risk ratings, for example, are a common tool for evaluating supplier stability; however, risk ratings alone do not give you a complete picture of resilience capability. Likewise, assessments of financial stability, compliance status, security controls, and contractual obligations are necessary first steps, but they still fail to answer the fundamental question.<\/p>\n<p>Most of the information you rely on comes from annual questionnaires or periodic reviews, which provide only a point-in-time snapshot. They rarely show you how a supplier responds, recovers, and maintains operations when something goes wrong. As a result, you may make decisions based on static assessments that do not reflect real-world performance under stress.<\/p>\n<p>Because of all these factors, a low-risk vendor rating does not necessarily mean a resilient supplier. A vendor can appear compliant, financially stable, and well-controlled, but still fail when exposed to real-world stress, such as data breaches, Nth-party failure, capacity constraints, or cascading supply chain disruption.<\/p>\n<p>You therefore need to understand supplier recovery capabilities, how often continuity plans are tested, and the impact of dependencies beyond your direct suppliers. This is especially true where risk and business continuity functions operate in silos. Many organisations know whether a supplier has a business continuity plan, but they have little confidence in whether it has ever been tested successfully or could meet the required recovery objectives.<\/p>\n<h3 class=\"h4spacing\">Understanding the Connection Between Third-Party Risk and Business Resilience<\/h3>\n<p>When continuity professionals analyse a business\u2019s resilience, they unsurprisingly tend to uncover significant gaps at the points where critical operations intersect with external suppliers and providers.<\/p>\n<p>To identify gaps and dependencies, conduct regular business impact analyses to determine which business services are most critical and how disruptions would affect your operations, customers, and revenue. This helps you understand the resources required to deliver those services, including the processes, technologies, facilities, suppliers, and people they depend on. You can then focus resilience efforts on the areas that matter most.<\/p>\n<p>To fully understand these dependencies, you should combine business impact analysis with process mapping and dependency reviews to build an end-to-end view of how your critical services are delivered. This allows you to map each service to the third parties, technologies, facilities, and internal teams that support it, helping you identify single points of failure, concentration risk, and gaps between recovery expectations and actual capabilities.<\/p>\n<p>Build a clearer picture of resilience by focusing on three areas:<\/p>\n<p><strong>Criticality<\/strong><\/p>\n<p>Prioritise your third parties based on the operational impact of their failure. For example:<\/p>\n<ul class=\"list-2\">\n<li><strong>Tier 1<\/strong>: Failure stops a critical business service.<\/li>\n<li><strong>Tier 2<\/strong>: Failure significantly degrades service delivery.<\/li>\n<li><strong>Tier 3<\/strong>: Failure has a limited or localised impact.<\/li>\n<\/ul>\n<p>This helps you direct your resilience planning and resources where they will have the greatest impact.<\/p>\n<p><strong>Tolerance for disruption<\/strong><\/p>\n<p>Resilience is only meaningful if you define what constitutes acceptable disruption.<br>\nEstablish measurable tolerances such as:<\/p>\n<ul class=\"list-2\">\n<li>Maximum tolerable downtime (MTD)<\/li>\n<li>Recovery time objectives (RTO)<\/li>\n<li>Recovery point objectives (RPO)<\/li>\n<li>Acceptable service level degradation<\/li>\n<\/ul>\n<p>These help you determine whether suppliers can continue to support essential operations within acceptable limits during a disruption.<\/p>\n<p><strong>Dependency depth<\/strong><\/p>\n<p>A complete view of third-party risk requires looking beyond direct suppliers, because critical vulnerabilities often exist within the deeper network of fourth party providers that support them, including:<\/p>\n<ul class=\"list-2\">\n<li>Cloud infrastructure dependencies<\/li>\n<li>Outsourced sub-processors<\/li>\n<li>Geographic supplier concentration<\/li>\n<li>Fourth-party dependencies<\/li>\n<\/ul>\n<p>This deeper understanding helps you identify hidden points of failure before they disrupt operations.<\/p>\n<h3 class=\"h4spacing\">What Resilient Organisations Do Differently<\/h3>\n<p>To incorporate third-party failures into your overall resilience planning, here\u2019s what you need to do differently:<\/p>\n<p><strong>1. Evaluate Critical Third Parties Through a Resilience Lens<\/strong><\/p>\n<p><img decoding=\"async\" class=\"lazyload blogimgrt2\" src=\"data:image\/svg+xml,%3Csvg%20xmlns%3D%27http%3A%2F%2Fwww.w3.org%2F2000%2Fsvg%27%20width%3D%27400%27%20height%3D%27267%27%20viewBox%3D%270%200%20400%20267%27%3E%3Crect%20width%3D%27400%27%20height%3D%27267%27%20fill-opacity%3D%220%22%2F%3E%3C%2Fsvg%3E\" data-orig-src=\"https:\/\/riskonnect.com\/wp-content\/uploads\/2026\/08\/What-Resilient-Organizations-Do-Differently.webp\" alt=\"\" width=\"400\" height=\"267\"><\/p>\n<p>Contract value and spend do not always reflect operational importance. When assessing third parties, focus on their criticality to the delivery of your business services by considering operational dependencies, customer impact, regulatory exposure, and recovery requirements. This helps you identify the suppliers that would have the greatest impact if disrupted, allowing you to prioritise contingency planning and recovery strategies accordingly.<\/p>\n<p><strong>2. Integrate Third-Party Risk and Business Continuity Functions<\/strong><\/p>\n<p>Eliminate silos between your TPRM and business continuity teams by creating a shared understanding of essential services and the third-party dependencies that support them. Align these teams through:<\/p>\n<ul class=\"list-2\">\n<li><strong>Shared criticality assessments<\/strong>: Evaluate suppliers based on the impact of their disruption on critical business services, not just their individual risk profile.<\/li>\n<li><strong>Joint reporting and governance<\/strong>: Create a consistent view of supplier resilience risks, issues, and decisions for business leaders.<\/li>\n<li><strong>Coordinated response planning<\/strong>: Ensure third-party disruption scenarios are included in business continuity plans and recovery exercises.<\/li>\n<li><strong>Clear accountability<\/strong>: Establish joint ownership between TPRM and business continuity teams for resilience decisions, mitigation actions, and ongoing monitoring.<\/li>\n<\/ul>\n<p>Working from the same information improves collaboration, strengthens decision-making, and enables a more coordinated response during disruption.<\/p>\n<p><strong>3. Assess Resilience, Not Just Risk\u00a0<\/strong><\/p>\n<p>Risk assessments alone do not show whether a vendor can withstand disruption and recover effectively. During vendor onboarding and due diligence, evaluate their business continuity program and disaster recovery plans. Build an understanding of their incident management processes and look at the results of their testing and exercise programmes. This gives you a clearer view of their ability to respond to, recover from, and maintain critical services during disruptions.<\/p>\n<p><strong>4. Monitor Continuously\u00a0<\/strong><\/p>\n<p>You cannot assess a vendor once during onboarding and assume their resilience remains unchanged. Combine ongoing monitoring of emerging cyber threats, operational incidents, supplier changes, and geopolitical developments with regular reassessment of their business continuity plans, disaster recovery capability, incident management processes, and testing results. This helps you detect changes in risk and resilience early, rather than relying on point-in-time reviews.<\/p>\n<p><strong>5. Include Third Parties in Resilience Exercises\u00a0<\/strong><\/p>\n<p>Strengthen preparedness by involving third parties in resilience exercises and recovery validation activities. Run joint tabletop exercises and incident simulations that test real recovery steps, decision-making, and crisis communication. Don\u2019t just test your plans, test your ability to execute them. This helps you identify gaps early, build confidence in your recovery capability, and take corrective action before a real disruption occurs.<\/p>\n<p><strong>6. Align Operations with Core Resilience Regulations<\/strong><\/p>\n<p>Build regulatory requirements into your resilience program rather than treating compliance as a periodic exercise. Implement the controls required by frameworks such as DORA and CPS 230, assign clear ownership, conduct regular assessments and resilience questionnaires, test key capabilities, and act on the findings to strengthen resilience over time. By embedding these activities into your day-to-day operations, you can demonstrate compliance more effectively while continuously improving your resilience.<\/p>\n<p><strong>7. Reduce Concentration Risk\u00a0<\/strong><\/p>\n<p>Don\u2019t rely too heavily on a single supplier, technology platform, geographic region, or fourth party to deliver critical business services. Identify areas where multiple services depend on the same vendor or infrastructure, and develop alternative suppliers, recovery strategies, or manual workarounds where appropriate. Reducing concentration risk limits the impact of a single failure and improves your ability to maintain critical operations during disruption.<\/p>\n<h3 class=\"h4spacing\">Resilience Extends Beyond Your Organisation<\/h3>\n<p>You can no longer afford to view resilience as something that exists solely within your operations. Your resilience is only as strong as the third parties you depend on. You cannot assume your suppliers will perform under disruption. You need to understand their role in delivering your critical business services, assess their recovery capability, and continuously validate their performance against defined tolerances during times of disruption.<\/p>\n<p>Resilience requires visibility into key vendor dependencies, confidence in supplier recovery capabilities, and ongoing validation that your critical business services can remain within defined tolerances during disruption.<\/p>\n<p>Taking a more joined-up approach to third-party resilience improves visibility across your supplier ecosystem, strengthens decision-making during disruption, and enables faster, more coordinated response and recovery when issues arise. You need to build resilience into your supplier ecosystem before disruption tests it. Set clear resilience expectations with your suppliers, validate their recovery capabilities, and continuously monitor their ability to support your critical business services. By taking a proactive approach to third-party resilience, you can build an ecosystem prepared to maintain critical services and recover faster from disruptions.<\/p>\n<div class=\"fusion-separator\" style=\"align-self: center;margin-left: auto;margin-right: auto;margin-top:20px;margin-bottom:30px;width:100%;max-width:68%;\"><div class=\"fusion-separator-border sep-single sep-solid\" style=\"--awb-height:20px;--awb-amount:20px;--awb-sep-color:#df6a2d;border-color:#df6a2d;border-top-width:1px;\"><\/div><\/div>\n<p><em>Learn how Riskonnect helps organisations strengthen <a href=\"https:\/\/riskonnect.com\/en-gb\/operational-resilience\/\" target=\"_blank\" rel=\"noopener\">operational resilience<\/a> and <a href=\"https:\/\/riskonnect.com\/en-gb\/third-party-risk-management-software\/\" target=\"_blank\" rel=\"noopener\">third-party risk management<\/a> through integrated visibility, continuous monitoring, and coordinated response planning. <a href=\"https:\/\/riskonnect.com\/en-gb\/schedule-free-demo\/\" target=\"_blank\" rel=\"noopener\">Request a demo<\/a>. <\/em><\/p>\n<\/div><\/div><\/div><\/div><\/div>\n<\/p>","protected":false},"excerpt":{"rendered":"<p>Understand how third-party failures cascade into operational disruption, and how to build resilience through visibility, governance, and supplier dependency management.<\/p>\n","protected":false},"author":28,"featured_media":161794,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5736,5924,5709],"tags":[6471],"class_list":["post-161793","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-continuity-resilience-en-gb","category-business-continuity-management-en-gb","category-third-party-risk-management-en-gb","tag-blog-en-gb"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.7 (Yoast SEO v28.7) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Why Third-Party Resilience Strengthens Business Continuity &#183; Riskonnect<\/title>\n<meta name=\"description\" content=\"Understand how third-party failures cascade into operational disruption, and how to build resilience through visibility, governance, and supplier dependency management.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/riskonnect.com\/en-gb\/business-continuity-management-en-gb\/resilience-only-strong-as-third-parties\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Your Resilience Is Only as Strong as Your Third Parties\" \/>\n<meta property=\"og:description\" content=\"Third-party disruption is no longer a vendor issue. 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It is a direct threat to your resilience. See how resilient organizations reduce supplier-related disruptions and protect critical business services. #BusinessContinuity #TPRM #OperationalResilience\" \/>\n<meta name=\"twitter:creator\" content=\"@Riskonnect\" \/>\n<meta name=\"twitter:site\" content=\"@Riskonnect\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Madura Desilva\" \/>\n\t<meta name=\"twitter:label2\" content=\"Estimated reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"17 minutes\" \/>\n<script type=\"application\/ld+json\" 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and Argos Risk Partner on Vendor Risk Analysis"},"content":{"rendered":"<?xml encoding=\"utf-8\" ?><p><div class=\"fusion-fullwidth fullwidth-box fusion-builder-row-7 nonhundred-percent-fullwidth non-hundred-percent-height-scrolling\" style=\"--awb-border-radius-top-left:0px;--awb-border-radius-top-right:0px;--awb-border-radius-bottom-right:0px;--awb-border-radius-bottom-left:0px;--awb-flex-wrap:wrap;\" ><div class=\"fusion-builder-row fusion-row\"><div class=\"fusion-layout-column fusion_builder_column fusion-builder-column-6 fusion_builder_column_1_1 1_1 fusion-one-full fusion-column-first fusion-column-last\" style=\"--awb-bg-size:cover;--awb-margin-bottom:0px;\"><div class=\"fusion-column-wrapper fusion-flex-column-wrapper-legacy\"><div class=\"fusion-text fusion-text-7\" style=\"--awb-text-transform:none;\"><p><span style=\"color: #999999;\"><em><a href=\"https:\/\/www.commercialriskonline.com\/riskonnect-and-argos-risk-partner-on-vendor-risk-analysis\/\" target=\"_blank\" rel=\"noopener\">Commercial Risk<\/a>, July 23, 2026<\/em><\/span><\/p>\n<p>Risk management software provider Riskonnect has partnered with Argos Risk to bring its third-party vendor analysis to clients.<\/p>\n<p>\u201cThe partnership enables organisations to monitor, assess and respond to financial, cyber, legal and reputational risk without leaving the Riskonnect platform, and equips teams with real-time visibility to identify vendor risk faster, act sooner and make more informed decisions,\u201d the companies said.<\/p>\n<p>Customers will gain access to intelligence on more than 400 million companies across 200 countries, to help organisations link third-party risk signals to ERM, resilience and risk reporting.<\/p>\n<p><em>Read the full article in <a href=\"https:\/\/www.commercialriskonline.com\/riskonnect-and-argos-risk-partner-on-vendor-risk-analysis\/\" target=\"_blank\" rel=\"noopener\">Commercial Risk<\/a>.<\/em><\/p>\n<\/div><div class=\"fusion-clearfix\"><\/div><\/div><\/div><\/div><\/div>\n<\/p>","protected":false},"excerpt":{"rendered":"<p>Commercial Risk covers Riskonnect\u2019s partnership with Argos Risk, bringing continuous vendor risk intelligence directly into third-party workflows.<\/p>\n","protected":false},"author":28,"featured_media":160511,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6644],"tags":[],"class_list":["post-160510","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-coverage"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.7 (Yoast SEO v28.7) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Riskonnect and Argos Risk Partner on Vendor Risk Analysis &#183; Riskonnect<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" 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Hormuz Closure Is No Longer a Crisis, It\u2019s an Operating Condition"},"content":{"rendered":"<?xml encoding=\"utf-8\" ?><p><div class=\"fusion-fullwidth fullwidth-box fusion-builder-row-8 nonhundred-percent-fullwidth non-hundred-percent-height-scrolling\" style=\"--awb-border-radius-top-left:0px;--awb-border-radius-top-right:0px;--awb-border-radius-bottom-right:0px;--awb-border-radius-bottom-left:0px;--awb-flex-wrap:wrap;\" ><div class=\"fusion-builder-row fusion-row\"><div class=\"fusion-layout-column fusion_builder_column fusion-builder-column-7 fusion_builder_column_1_1 1_1 fusion-one-full fusion-column-first fusion-column-last\" style=\"--awb-bg-size:cover;--awb-margin-bottom:0px;\"><div class=\"fusion-column-wrapper fusion-flex-column-wrapper-legacy\"><div class=\"fusion-text fusion-text-8\" style=\"--awb-text-transform:none;\"><p><span style=\"color: #999999;\"><em><a href=\"https:\/\/supplychainmoves.co\/supply-chain-moves-the-hormuz-closure-is-no-longer-a-crisis-its-an-operating-condition\/\" target=\"_blank\" rel=\"noopener\">Supply Chain Moves<\/a>, July 15, 2026<\/em><\/span><\/p>\n<p>The Strait of Hormuz story has entered a new phase, and it is one that most companies\u2019 risk playbooks were never written for. More than 400 vessels are stranded, freight rates are up 75%, and analysts warn Brent crude could reach $150 a barrel if the closure holds through September. What began as a geopolitical shock that companies expected to wait out has become a sustained operational reality they now have to run their businesses inside of, and the organisations still treating it as temporary are the ones quietly accumulating the most risk.<\/p>\n<p>The distinction matters because a crisis and an operating condition demand different responses. A crisis gets a task force, a war room, and a countdown to normal. An operating condition gets absorbed into how a company plans, sources, prices, and reports, and the Hormuz closure has crossed that line. Freight rerouted around the Cape of Good Hope, war-risk premiums layered onto every Gulf-linked lane, and fuel costs feeding into every mode of transport are no longer disruptions to the plan. They are the plan.<\/p>\n<p>For risk leaders, the defining feature of this event is not any single exposure but the way exposures are stacking. Jim Wetekamp, CEO of\u202f<a href=\"https:\/\/riskonnect.com\/en-gb\/\" target=\"_blank\" rel=\"noopener\">Riskonnect<\/a>, argues that the standard framing already undersells what is happening.<\/p>\n<p>\u201cThis isn\u2019t just a supply chain or geopolitical risk conversation,\u201d Wetekamp said. \u201cMultiple risk exposures are colliding in real time \u2013 supplier financial stability, cost volatility, sanctions compliance, cash flow pressure, and more. And the economic impacts are still expanding.\u201d<\/p>\n<p>That collision is exactly the scenario most corporate risk functions were not designed for, because those functions grew up in silos, with supply chain risk owned by operations, sanctions exposure owned by compliance, and cost volatility owned by finance, each looking at its own piece of the same event.<\/p>\n<p>\u201cThis is a classic example of compounding risk, and siloed risk management was never built to handle it,\u201d Wetekamp said. \u201cThe organisations navigating what\u2019s unfolding in the Strait of Hormuz well are working from a connected view of their risk landscape that lets them see how risks interrelate, anticipate threats, and make better decisions faster to reduce their exposure and protect the business.\u201d<\/p>\n<p><em>Read the full article in <a href=\"https:\/\/supplychainmoves.co\/supply-chain-moves-the-hormuz-closure-is-no-longer-a-crisis-its-an-operating-condition\/\" target=\"_blank\" rel=\"noopener\">Supply Chain Moves<\/a>.<\/em><\/p>\n<\/div><div class=\"fusion-clearfix\"><\/div><\/div><\/div><\/div><\/div>\n<\/p>","protected":false},"excerpt":{"rendered":"<p>The Strait of Hormuz story is one that few risk playbooks were written for. Riskonnect CEO Jim Wetekamp explains in Supply Chain Moves that what defines this event is the way multiple exposures are colliding in real time \u2013 and the economic impacts are still expanding.<\/p>\n","protected":false},"author":28,"featured_media":159540,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6644],"tags":[],"class_list":["post-159539","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-coverage"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.7 (Yoast SEO v28.7) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>The Hormuz Closure Is No Longer a Crisis, It\u2019s an Operating Condition &#183; Riskonnect<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/riskonnect.com\/en-gb\/news-coverage\/strait-of-hormuz-closure-compounding-supply-chain-risk\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Hormuz Closure Is No Longer a Crisis, It\u2019s an Operating Condition\" \/>\n<meta property=\"og:description\" content=\"The Strait of Hormuz story is one that few risk playbooks were written for. Riskonnect CEO Jim Wetekamp explains in Supply Chain Moves that what defines this event is the way multiple exposures are colliding in real time \u2013 and the economic impacts are still expanding.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/riskonnect.com\/en-gb\/news-coverage\/strait-of-hormuz-closure-compounding-supply-chain-risk\/\" \/>\n<meta property=\"og:site_name\" content=\"Riskonnect\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/riskonnect\/\" \/>\n<meta property=\"article:published_time\" content=\"2026-07-22T17:43:58+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/riskonnect.com\/wp-content\/uploads\/2023\/01\/risk-management-software-by-riskonnect.png\" \/>\n\t<meta property=\"og:image:width\" content=\"600\" \/>\n\t<meta property=\"og:image:height\" content=\"600\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Madura Desilva\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@Riskonnect\" \/>\n<meta name=\"twitter:site\" content=\"@Riskonnect\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Madura Desilva\" \/>\n\t<meta name=\"twitter:label2\" content=\"Estimated reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/riskonnect.com\\\/en-gb\\\/news-coverage\\\/strait-of-hormuz-closure-compounding-supply-chain-risk\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/riskonnect.com\\\/en-gb\\\/news-coverage\\\/strait-of-hormuz-closure-compounding-supply-chain-risk\\\/\"},\"author\":{\"name\":\"Madura Desilva\",\"@id\":\"https:\\\/\\\/riskonnect.com\\\/en-gb\\\/#\\\/schema\\\/person\\\/28bc8f7f57820598e3986900ce830d4e\"},\"headline\":\"The Hormuz Closure Is No Longer a Crisis, It\u2019s an Operating Condition\",\"datePublished\":\"2026-07-22T17:43:58+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/riskonnect.com\\\/en-gb\\\/news-coverage\\\/strait-of-hormuz-closure-compounding-supply-chain-risk\\\/\"},\"wordCount\":695,\"publisher\":{\"@id\":\"https:\\\/\\\/riskonnect.com\\\/en-gb\\\/#organization\"},\"image\":{\"@id\":\"https:\\\/\\\/riskonnect.com\\\/en-gb\\\/news-coverage\\\/strait-of-hormuz-closure-compounding-supply-chain-risk\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/riskonnect.com\\\/wp-content\\\/uploads\\\/2026\\\/07\\\/SupplyChainMoves-News-Image.png\",\"articleSection\":[\"News Coverage\"],\"inLanguage\":\"en-GB\"},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/riskonnect.com\\\/en-gb\\\/news-coverage\\\/strait-of-hormuz-closure-compounding-supply-chain-risk\\\/\",\"url\":\"https:\\\/\\\/riskonnect.com\\\/en-gb\\\/news-coverage\\\/strait-of-hormuz-closure-compounding-supply-chain-risk\\\/\",\"name\":\"The Hormuz Closure Is No Longer a Crisis, It\u2019s an Operating Condition &#183; 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and Argos Risk\u00ae Partner to Bring Continuous Vendor Intelligence into Third-Party Risk Management Workflows"},"content":{"rendered":"<?xml encoding=\"utf-8\" ?><p><div class=\"fusion-fullwidth fullwidth-box fusion-builder-row-9 nonhundred-percent-fullwidth non-hundred-percent-height-scrolling\" style=\"--awb-border-radius-top-left:0px;--awb-border-radius-top-right:0px;--awb-border-radius-bottom-right:0px;--awb-border-radius-bottom-left:0px;--awb-flex-wrap:wrap;\" ><div class=\"fusion-builder-row fusion-row\"><div class=\"fusion-layout-column fusion_builder_column fusion-builder-column-8 fusion_builder_column_1_1 1_1 fusion-one-full fusion-column-first fusion-column-last\" style=\"--awb-bg-size:cover;--awb-margin-bottom:0px;\"><div class=\"fusion-column-wrapper fusion-flex-column-wrapper-legacy\"><div class=\"fusion-text fusion-text-9\" style=\"--awb-text-transform:none;\"><h2><span style=\"color: #000000;\">Integration embeds external vendor intelligence directly into Riskonnect, enabling organisations to identify material vendor risk changes as they emerge and act faster<\/span><\/h2>\n<p><span style=\"color: #999999;\"><em>July 21, 2026<\/em><\/span><\/p>\n<p><strong>ATLANTA and LONDON \u2013<\/strong>\u00a0<a href=\"https:\/\/riskonnect.com\/en-gb\/\" target=\"_blank\" rel=\"noopener\">Riskonnect<\/a>, the leading provider of software that brings risk under one roof, today announced an integration with <a href=\"https:\/\/www.argosrisk.com\/\" target=\"_blank\" rel=\"noopener\">Argos Risk<\/a>, LLC, a leading provider of third-party risk intelligence solutions, that embeds continuous vendor intelligence directly into Riskonnect\u2019s third-party risk management workflows. The partnership enables organisations to monitor, assess, and respond to financial, cyber, legal, and reputational risk without leaving the Riskonnect platform, and equips teams with real-time visibility to identify vendor risk faster, act sooner, and make more informed decisions.<\/p>\n<p>Most organisations rely on periodic assessments and manually collected vendor information, which leaves blind spots between reviews since risk conditions can change daily. A single supplier\u2019s financial distress or cyber incident can arise suddenly and cascade into operational, compliance, and reputational consequences across the enterprise, yet the intelligence needed to catch vendor changes early is typically disconnected from the workflows used to manage third-party risk. The integration between Riskonnect and Argos Risk closes that gap. Argos Risk\u2019s AR Surveillance\u2122 solution continuously monitors vendors and automatically surfaces material changes directly inside Riskonnect, where teams already assess, tier, and remediate third-party risk, equipping teams to identify risks and act faster.<\/p>\n<p>\u201cThird-party risk doesn\u2019t stand still, and neither should the systems organisations rely on to manage it. Our integration with AR Surveillance\u2122 helps customers bring continuous vendor intelligence directly into their day-to-day risk workflows, so they can identify changes sooner, make better decisions, and build more resilient programmes,\u201d said Kathryn Carlson, chief product officer at Riskonnect.<\/p>\n<p>The integration strengthens third-party risk programmes and vendor risk decisions by combining internal assessments, workflows, and tiering strategies with external signals across financial, cyber, legal, sanctions, watchlists, and reputational intelligence, giving organisations a more complete and dynamic picture of vendor risk. Customers gain access to intelligence on more than 400 million companies across 200 countries. By connecting vendor intelligence into Riskonnect\u2019s broader risk ecosystem, organisations can link third-party risk signals to ERM, resilience, and reporting efforts for a more unified view of enterprise risk.<\/p>\n<p>The partnership also helps organisations align with increasing regulatory expectations for ongoing monitoring and stronger third-party oversight, particularly in highly regulated industries such as financial services, insurance, and healthcare.<\/p>\n<p>\u201cOrganisations need more than periodic vendor reviews to keep pace with today\u2019s risk environment. Dynamic, actionable third-party intelligence is mission critical as companies increasingly depend on outsourced vendors and interconnected networks. By integrating AR Surveillance\u2122 into Riskonnect, we\u2019re making it easier for teams to access meaningful vendor intelligence within the workflows they already use to monitor risk, prioritise action, and strengthen third-party oversight,\u201d said Lori Frank, chief executive officer at Argos Risk.<\/p>\n<p>To learn more about Riskonnect\u2019s third party risk management solution, visit: <a href=\"https:\/\/riskonnect.com\/en-gb\/third-party-risk-management-software\/\" target=\"_blank\" rel=\"noopener\">https:\/\/riskonnect.com\/third-party-risk-management-software\/<\/a><\/p>\n<h4 class=\"h4spacing\">About Riskonnect<\/h4>\n<p>Riskonnect is the leading provider of software that brings risk under one roof. The technology empowers organisations to anticipate, manage, and respond in real time to strategic and operational risks across the extended enterprise.<\/p>\n<p>More than 2,700 customers across six continents partner with Riskonnect to gain previously unattainable insights that deliver better business outcomes. Riskonnect has more than 1,500 risk management experts in the Americas, Europe, and Asia-Pacific. To learn more, visit <a href=\"https:\/\/riskonnect.com\/en-gb\/\" target=\"_blank\" rel=\"noopener\">riskonnect.com<\/a>.<\/p>\n<h4 class=\"h4spacing\">About Argos Risk<\/h4>\n<p>With a focus on serving the unique needs of regulated industries and commercial enterprises, Argos Risk stands out as a premier provider of Third-Party Risk Intelligence Solutions. Argos Risk\u2019s AR Surveillance\u2122 platform delivers efficient, comprehensive risk mitigation\u2014empowering organisations to manage multi-dimensional risks, strengthen financial health, and ensure compliance with cybersecurity and ESG standards. Trusted by a wide spectrum of organisations, AR Surveillance\u2122 is a proven SaaS solution for robust third-party risk management. For more information, visit <a href=\"https:\/\/www.argosrisk.com\/\" target=\"_blank\" rel=\"noopener\">www.argosrisk.com<\/a>.<\/p>\n<p>\u2014<br>\n<strong>Riskonnect Contact:<br>\n<\/strong>Amanda Coyne<br>\nCorporate Ink for Riskonnect<br>\n<a href=\"mailto:riskonnect@corporateink.com\" target=\"_blank\" rel=\"noopener\">Riskonnect@corporateink.com<\/a><\/p>\n<p><strong>Argos Risk Contact:<br>\n<\/strong>Public Relations<br>\nArgos Risk, LLC<br>\n<a href=\"mailto:pr@argosrisk.com\" target=\"_blank\" rel=\"noopener\">PR@argosrisk.com<\/a><\/p>\n<\/div><div class=\"fusion-clearfix\"><\/div><\/div><\/div><\/div><\/div>\n<\/p>","protected":false},"excerpt":{"rendered":"<p>Riskonnect and Argos Risk partner to embed continuous AR Surveillance vendor intelligence directly into automated third-party risk management workflows.<\/p>\n","protected":false},"author":28,"featured_media":77368,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5649],"tags":[],"class_list":["post-159541","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-press-en-gb"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.7 (Yoast SEO v28.7) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Riskonnect and Argos Risk\u00ae Partner to Bring Continuous Vendor Intelligence into Third-Party Risk Management Workflows &#183; Riskonnect<\/title>\n<meta name=\"description\" content=\"Riskonnect and Argos Risk partner to embed continuous AR Surveillance vendor intelligence directly into automated third-party risk management workflows.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" 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Patient Safety Reporting Requirements: What You Need to Know Now"},"content":{"rendered":"<?xml encoding=\"utf-8\" ?><p><div class=\"fusion-fullwidth fullwidth-box fusion-builder-row-10 fusion-flex-container has-pattern-background has-mask-background nonhundred-percent-fullwidth non-hundred-percent-height-scrolling\" style=\"--awb-border-radius-top-left:0px;--awb-border-radius-top-right:0px;--awb-border-radius-bottom-right:0px;--awb-border-radius-bottom-left:0px;--awb-flex-wrap:wrap;\" ><div class=\"fusion-builder-row fusion-row fusion-flex-align-items-flex-start fusion-flex-content-wrap\" style=\"max-width:1248px;margin-left: calc(-4% \/ 2 );margin-right: calc(-4% \/ 2 );\"><div class=\"fusion-layout-column fusion_builder_column fusion-builder-column-9 fusion_builder_column_1_1 1_1 fusion-flex-column\" style=\"--awb-bg-size:cover;--awb-width-large:100%;--awb-margin-top-large:0px;--awb-spacing-right-large:1.92%;--awb-margin-bottom-large:20px;--awb-spacing-left-large:1.92%;--awb-width-medium:100%;--awb-order-medium:0;--awb-spacing-right-medium:1.92%;--awb-spacing-left-medium:1.92%;--awb-width-small:100%;--awb-order-small:0;--awb-spacing-right-small:1.92%;--awb-spacing-left-small:1.92%;\"><div class=\"fusion-column-wrapper fusion-column-has-shadow fusion-flex-justify-content-flex-start fusion-content-layout-column\"><div class=\"fusion-text fusion-text-10\"><p>All Pennsylvania healthcare providers and facilities are required to report <a href=\"https:\/\/riskonnect.com\/en-gb\/healthcare-risk-software\/patient-safety\/\" target=\"_blank\" rel=\"noopener\">patient safety events<\/a> through the Pennsylvania Patient Safety Reporting System. The requirement itself is not new. However, recent guidance updates and rising reporting volume have made compliance more demanding and \u2013 for many healthcare organisations \u2013 more time-consuming.<\/p>\n<h3 class=\"h4spacing\">What Is the Pennsylvania Patient Safety Reporting System?<\/h3>\n<p><a href=\"https:\/\/patientsafety.pa.gov\/PA-PSRS\/Pages\/PAPSRS.aspx\" target=\"_blank\" rel=\"noopener\">Pennsylvania established the PA-PSRS<\/a> under the Medical Care Availability and Reduction of Error Act. The act seeks to standardise the approach to patient safety reporting across the state. Rather than limiting investigations to individual facilities, PA-PSRS allows the Pennsylvania Patient Safety Authority to collect and analyse patient safety events and near misses across the state. With this data, it can then identify broader trends and contributing factors, as well as share recommendations to improve patient outcomes.<\/p>\n<p>PA-PSRS guidance requires detailed, standardised event classification and electronic submission through a specific reporting structure within the state\u2019s web-based reporting system. When relying on disconnected workflows or inconsistent reporting practices, even routine submissions can slow your team down. Reports might need corrections, and teams spend more time chasing missing details instead of surfacing the trends patient safety reporting is supposed to highlight.<\/p>\n<p>The stakes for this legislation are high. <a href=\"https:\/\/psnet.ahrq.gov\/issue\/medical-error-third-leading-cause-death-us\" target=\"_blank\" rel=\"noopener\">More than 250,000 patients die each year<\/a> in the United States from preventable harm and sentinel events. Pennsylvania\u2019s reporting requirements aim to help healthcare organisations identify and learn from incidents earlier and reduce the likelihood of future harm.<\/p>\n<h3 class=\"h4spacing\">What Pennsylvania Healthcare Organisations Need to Report<\/h3>\n<p>PA-PSRS requires healthcare facilities to electronically report patient safety events, including:<\/p>\n<ul class=\"list-2\">\n<li>Serious events that result in patient harm<\/li>\n<li>Incidents that reach a patient but do not cause harm<\/li>\n<li>Near misses and reportable events that expose potential risk or process breakdowns<\/li>\n<\/ul>\n<p>Each submission requires specific information, such as:<\/p>\n<ul class=\"list-2\">\n<li>Event date and discovery date<\/li>\n<li>Facility location<\/li>\n<li>Staff role<\/li>\n<li>Event type<\/li>\n<li>Severity level<\/li>\n<li>Contributing factors<\/li>\n<li>Follow-up actions and related documentation<\/li>\n<\/ul>\n<p>Pennsylvania also requires healthcare organisations to classify each event using a standardised taxonomy tied to 11 major event categories, like medication errors, falls, equipment issues, and complications of care.<\/p>\n<p><a href=\"https:\/\/patientsafety.pa.gov\/PatientSafetyAuthority\/Pages\/2025-annual-report.aspx\" target=\"_blank\" rel=\"noopener\">This structure helps the state analyse trends across Pennsylvania<\/a> and identify opportunities to reduce future harm. However, the reporting requirements are highly specific. Required fields, event classification, and supporting information must align with Pennsylvania\u2019s reporting standards. Even small inconsistencies can result in additional review or a returned report.<\/p>\n<h3 class=\"h4spacing\">Why Compliance Is Still Difficult<\/h3>\n<p><img decoding=\"async\" class=\"lazyload blogimgrt2\" src=\"data:image\/svg+xml,%3Csvg%20xmlns%3D%27http%3A%2F%2Fwww.w3.org%2F2000%2Fsvg%27%20width%3D%27400%27%20height%3D%27267%27%20viewBox%3D%270%200%20400%20267%27%3E%3Crect%20width%3D%27400%27%20height%3D%27267%27%20fill-opacity%3D%220%22%2F%3E%3C%2Fsvg%3E\" data-orig-src=\"https:\/\/riskonnect.com\/wp-content\/uploads\/2026\/06\/Why-Compliance-Is-Still-Difficult.webp\" alt=\"\" width=\"400\" height=\"267\">Healthcare organisations understand <a href=\"https:\/\/go.riskonnect.com\/hubfs\/Riskonnect\/Incident_Reporting_in_Healthcare_How_to_Improve_Patient_Safety.pdf\" target=\"_blank\" rel=\"noopener\">why patient safety reporting matters<\/a>. The challenge usually comes from the reporting process itself, with issues like:<\/p>\n<p style=\"padding-left: 40px;\"><strong>Classification:<\/strong> Without a clear taxonomy built into reporting, healthcare staff may interpret the same event differently. That creates inconsistent reporting and makes internal analysis harder. It also weakens the quality of statewide reporting data. Determining whether an event is reportable \u2013 and how it should be categorised \u2013 can be one of the most challenging parts of the process.<\/p>\n<p style=\"padding-left: 40px;\"><strong>Manual Processes:<\/strong> When teams collect information through spreadsheets, email, or disparate systems, reporting takes longer. Missing details become harder to track down, duplicate work increases, and the problem compounds.<\/p>\n<p style=\"padding-left: 40px;\"><strong>Returned Reports:<\/strong> Pennsylvania\u2019s reporting requirements are strict, and submissions must meet high standards. If information is missing, or an event is classified incorrectly, the report must be corrected and resubmitted. Those revisions create additional work and can delay the analysis needed to identify patient safety trends.<\/p>\n<p>The reporting burden also becomes harder to manage as reporting volume increases. Pennsylvania recently surpassed 300,000 annual reports in PA-PSRS, underscoring the importance of clear, consistent reporting processes.<\/p>\n<h3 class=\"h4spacing\">Why Accurate Reporting Matters Beyond Compliance<\/h3>\n<p>PA-PSRS reporting supports more than just regulatory requirements. Accurate reporting helps healthcare organisations spot recurring issues earlier, understand contributing factors more clearly, and focus efforts where they can have the most impact. Patient safety teams can spot patterns across departments or facilities, while leadership gains visibility into operational risk and emerging issues.<\/p>\n<p>When reporting lacks consistency, those insights become harder to find. Incomplete or incorrectly classified reports can create additional work and trigger more scrutiny in audits, surveys, and accreditation reviews. Trend analysis can also become less reliable when teams spend more time correcting submissions than addressing underlying risks. Investigations then take longer, and organisations may miss opportunities to prevent future incidents.<\/p>\n<p>Pennsylvania designed PA-PSRS to support shared learning across healthcare providers statewide. The quality of reporting directly affects how much that data can reduce preventable harm and improve patient safety.<\/p>\n<h3 class=\"h4spacing\">How Software Can Simplify PA-PSRS Compliance<\/h3>\n<p>Many healthcare organisations already have tools for reporting patient safety events. The challenge is that reporting data often resides across multiple departments, systems, and workflows. A corporate director at a Pennsylvania-based healthcare system summarised,<\/p>\n<blockquote>\n<p>\u201cWe are using a taxonomy based on our state reporting system, which is really difficult for reporters to figure out where to put an event. When people put things in the wrong place, it\u2019s a lot of extra work on the back end. It\u2019s important to have a way to bring these different systems together for one view of our patient safety program. That helps us understand how to improve safety for our patients and families.\u201d<\/p>\n<\/blockquote>\n<p>As reporting requirements become more detailed, staff need systems that help ensure information stays complete, consistent, and easy to analyse. Key capabilities to look for include:<\/p>\n<ul class=\"list-2\">\n<li><strong>Centralised data and workflows<br>\n<\/strong>Patient safety data is often shared across many departments, systems, and processes. A centralised platform can help bring that information together. That reduces duplicate data entry, improves visibility, and overall, creates a more consistent reporting experience for everyone.<\/li>\n<li><strong>Standardised event reporting<br>\n<\/strong>Dynamic reporting forms help ensure staff capture the right information at the time of reporting. This reduces variability across departments and helps improve data quality from the start.<\/li>\n<li><strong>Built-in validation<br>\n<\/strong>Validation rules can require critical fields, flag missing information, and help prevent common reporting errors before a submission moves forward.<\/li>\n<li><strong>Consistent event classification<br>\n<\/strong>A standardised taxonomy aligned with PA-PSRS requirements helps reduce misclassification and ensures similar events are reported consistently across the organisation.<\/li>\n<li><strong>Configurable workflows<br>\n<\/strong>Automated workflows can route events to the appropriate reviewers, prioritise serious events, and support timely follow-up and investigation.<\/li>\n<li><strong>Reporting and trend analysis<br>\n<\/strong>Dashboards and reporting tools can help organisations identify recurring issues, monitor returned submissions, and uncover opportunities to improve both compliance and patient safety outcomes.<\/li>\n<li><strong>Flexibility to adapt to changing requirements<br>\n<\/strong>As PA-PSRS reporting guidance evolves, configurable forms, workflows, and taxonomies make it easier to update processes without creating additional disruption for staff.<\/li>\n<\/ul>\n<p>While software alone can\u2019t ensure compliance, it can help healthcare organisations build more consistent reporting processes and reduce administrative effort, focusing more attention on improving patient safety outcomes.<\/p>\n<p>The value of PA-PSRS lies in the quality of the data that feeds into it. When reports are incomplete, inconsistent, or difficult to analyse, organisations lose visibility into the risks they need to address. Strong reporting processes help healthcare organisations stay compliant, respond faster to emerging issues, and make better-informed patient safety decisions. The organisations best positioned for success treat reporting as more than a compliance exercise; they build processes that produce reliable data and support better decisions.<\/p>\n<div class=\"fusion-separator\" style=\"align-self: center;margin-left: auto;margin-right: auto;margin-top:20px;margin-bottom:30px;width:100%;max-width:68%;\"><div class=\"fusion-separator-border sep-single sep-solid\" style=\"--awb-height:20px;--awb-amount:20px;--awb-sep-color:#df6a2d;border-color:#df6a2d;border-top-width:1px;\"><\/div><\/div>\n<p><em>For more on improving patient safety, download our ebook, <a href=\"https:\/\/riskonnect.com\/en-gb\/content-library\/healthcare-integrating-risk-management-quality-patient-safety\/\" target=\"_blank\" rel=\"noopener\">Better Together: Integrating Risk Management, Quality, and Patient Safety for Better Results<\/a>, and check out <a href=\"https:\/\/riskonnect.com\/en-gb\/healthcare-risk-software\/patient-safety\/\" target=\"_blank\" rel=\"noopener\">Riskonnect\u2019s Patient Safety software<\/a>. <\/em><\/p>\n<\/div><\/div><\/div><\/div><\/div>\n<\/p>","protected":false},"excerpt":{"rendered":"","protected":false},"author":28,"featured_media":159371,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5935,5766],"tags":[6471],"class_list":["post-159370","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-health-and-safety-management","category-healthcare-en-gb","tag-blog-en-gb"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.7 (Yoast SEO v28.7) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Pennsylvania Patient Safety Reporting Requirements: What You Need to Know Now &#183; Riskonnect<\/title>\n<meta name=\"description\" content=\"Learn what Pennsylvania healthcare organizations need to know about PA-PSRS reporting requirements, common challenges, and steps to improve patient safety outcomes.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/riskonnect.com\/en-gb\/healthcare-en-gb\/pennsylvania-patient-safety-reporting-requirements\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Pennsylvania Patient Safety Reporting Requirements: What You Need to Know Now\" \/>\n<meta property=\"og:description\" content=\"The value of PA-PSRS depends on the quality of its data. 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