All suppliers support the services of your organization but how does this affect the service to your customers? In order to determine the risk of a particular supplier you must classify their service internally. By drawing up internal questionnaires you can determine the classification of the supplier in a uniform manner and record it in VendorLink. You can think about determining a classification based on the importance of availability, data integrity or data confidentiality.

Based on the answers of your supplier you can properly assess whether it meets the expectations and requirements of your own organization. You can classify the various topics you ask questions about based on 'impact' and 'probability'. A combination of these two elements creates an automatically calculated "residual risk". A high residual risk means that, despite the answers given by the supplier, there is still an increased risk that something could go wrong. You can mitigate these residual risks by placing internal and external tasks on a VendorLink Planboard. These tasks are performed during the collaboration with the supplier. In this way residual risks are reduced to a minimum.

Risk monitoring is not just about the supplier's internal risk classification. It is also about the financial health of a supplier. Monitoring such risks is best done by means of so-called financial ratios. These ratios reflect scores on relationships between financial data such as earnings, revenue and the balance sheet. In VendorLink you can enter this yourself or automatically import them by external credit rating agencies such as Annual Insight and Graydon.