TPRM

(Imagen 3)

A little (just a little) behind the scenes of why I write what I write.

What does TPRM mean?

I was prompted to write my WYSASOA post when I encountered a bunch of pages on a website that referred to TPRM, with no explanation.

Now if I had gone to the home page of that website, I would have seen text that said “Third Party Risk Management (TPRM).”

But I didn’t go to the home page. I entered the website via another page and therefore never saw the home page explanation of what the company meant by the acronym.

• They didn’t mean Trade Policy Review Mechanism.
• They didn’t mean Topic-based Personalized Ranking Model.
• They didn’t mean TimePiece Public Relations & Marketing.

They meant Third Party Risk Management.

Unless you absolutely know that everybody in the world agrees on your acronym definition, always spell out the first instance of an acronym on a piece of content. So if you mention that acronym on 10 web pages, spell it out on all 10 of them.

That’s all I wanted to say…

How is NIST related to TPRM?

…I lied.

Because now I assume you want to know what Third Party Risk Management (TPRM) actually is.

Let’s go to my esteemed friends at the National Institute of Standards & Technology, or NIST.

• In 2020, NIST issued (PDF) NIST Special Publication 800-53, Revision 5, Security and Privacy Controls for Information Systems and Organizations. Note that this is different from other special publications, such as the NIST 800-63 series of digital identity documents that I’ve referenced before (for example here). However, SP 800-53 does not explicitly mention TPRM.
• Nor does (PDF) NIST Special Publication 800-37, Revision 2, Risk Management Framework for Information Systems and Organizations.
• Nor does the (PDF) NIST Cybersecurity Framework (CSF) 2.0.

What is TPRM?

But TPRM is implied in a NIST document entitled (PDF) Best Practices in Cyber Supply Chain Risk Management. Because there are a lot of “third parties” in the supply chain.

When companies began extensively outsourcing and globalizing the supply chain in the 1980’s and 1990’s, they did so without understanding the risks suppliers posed. Lack of supplier attention to quality management could compromise the brand. Lack of physical or cybersecurity at supplier sites could result in a breach of corporate data systems or product corruption. Over time, companies have begun implementing vendor management systems – ranging from basic, paper-based approaches to highly sophisticated software solutions and physical audits – to assess and mitigate vendor risks to the supply chain.

Because if MegaCorp is sharing data with WidgetCorp, and WidgetCorp is breached, MegaCorp is screwed. So MegaCorp has to reduce the risk that it’s dealing with breachable firms.

The TPRM problem

And it’s not just my fictional MegaCorp. Cybersecurity risks are obviously a problem. I only had to go back to January 26 to find a recent example.

Bank of America has confirmed a data breach involving a third-party software provider that led to the exposure of sensitive customer data.

What Happened: According to a filing earlier this month, an unidentified third-party software provider discovered unauthorized access to its systems in October. The breach did not directly impact Bank of America’s systems, but the data of at least 414 customers is now at risk.

The breach pertains to mortgage loans and the compromised data includes customers’ names, social security numbers, addresses, phone numbers, passport numbers, and loan numbers.

Note that the problem didn’t occur at Bank of America’s systems, but at the systems of some other company.

Manage your TPRM…now that you know what I mean by the acronym.