Robo-raters help banks vet vendors for cyber risk

Specialists tout service for monitoring third parties amid tougher rules on outsourcing risk

If you want to reduce the risk posed by third parties to your organisation, you hire another third party to police them.

This concept may not be intuitive, but cyber risk rating companies such as BitSight, RiskRecon and SecurityScorecard have made it central to their business proposition.

These companies are trying to offer an alternative to the staple methods of third-party risk management, where banks vet vendors using questionnaires, lengthy audits and site visits. Instead, the rating