Perspectives: Third Party Management

The last thing any multinational organization wants to worry about are business and compliance risks introduced by third party vendors.

As global firms respond to the post-Great Recession regulatory and economic realities, efficiency of the back-office has become critical to ongoing success.

Over time, many firms realize that they have become so reliant on vendors/contractor for critical knowledge on key applications, that they have, in fact, ceded control of those applications to the vendors.

One question seldom asked is “how do I put my (IT infrastructure) customers on a diet?” The demand side is often assumed as a given, and there is with little assessment of (over-) consumption by applications.

Procurement often involves multiple disparate stakeholders, systems and protocol. This complexity results in increased reliance on inefficient sourcing processes and only partially takes advantage of all the benefits available from supplier competition.

It is well known that one way to make better predictions about how your customers, distributors and suppliers will behave, is to augment your own data with that of third parties.

Now that Business As Usual is unusual, leaders are forced to re-imagine business models and build ‘winning strategies’ - to not only survive the pandemic but also emerge as successful change-makers, shaping an altered business reality.

The payments industry has been experiencing explosive growth across Latin America over the past few years: cash usage has decreased ~20% as consumers pivoted towards payment products that are well integrated into the financial ecosystem.