How to Manage the Vendor Risk Lifecycle

How to Manage the Vendor Risk Lifecycle

Prerequisites

  • At least one vendor in the system
  • Access to the vendor's Manage Risk tab

  • Accessing Vendor Risk Management

    Navigation: Sidebar → Vendors → [Select Vendor] → Manage Risk Tab
  • Click on a vendor to open their details page.
  • Navigate to the Manage Risk tab.
  • Existing risks are displayed as category cards with severity indicators.

  • Creating a New Risk

  • Click the Add Risk button on the Manage Risk tab.
  • Fill in the risk details:
  • Risk Name — descriptive name for the vendor risk
  • Description — detailed explanation
  • Assignee — user responsible for managing this risk
  • Due Date — target resolution date
  • Click Submit to create the risk.

  • Risk Lifecycle Stages

    Stage 1: Risk Initiation

  • Review the risk details (name, description, owner, due date).
  • Add context, linked documents, or related notes.
  • Proceed to the next stage when initiation is complete.
  • Stage 2: Risk Scoring

  • Evaluate the risk's likelihood and impact.
  • The system calculates a combined risk score.
  • This score determines the risk's severity category and priority.
  • Stage 3: Risk Management

  • Define the treatment strategy (mitigate, accept, transfer, avoid).
  • Upload risk evidence documenting treatment actions.
  • View and manage evidence documents with the evidence upload panel.
  • Create follow-up tasks for specific remediation actions.
  • Attach private documents visible only to your internal team.
  • Stage 4: Risk Closure

  • Document the resolution summary and outcome.
  • Confirm closure to complete the risk lifecycle.
  • Closed risks are retained for audit trail purposes.

  • Linking Unlinked Documents

  • If documents exist that should be associated with a risk, use the Link Document option.
  • Select from unlinked documents in the vendor's document library.

  • Troubleshooting

    IssueSolution
    Cannot create a riskVerify your role has Risk Create permission.
    Cannot proceed to next stageComplete all required fields in the current stage first.
    Evidence upload failsCheck file format and size limits.
    Risk score not calculatingEnsure both likelihood and impact values are entered in the Scoring stage.

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