Third-Party Risk Management Solutions
In a globalized business environment, companies are gaining a competitive advantage by relying on vendors, service providers, affiliates, and other third-parties to provide goods and services. And while these relationships can produce gains in productivity and profitability, they often come at the price of taking on additional risk exposure.
Rapid Ratings provides comprehensive insight into the financial stability of your third-parties. Vendor risk professionals rely on the FHR® to help them meet emerging regulatory requirements, maintain operational stability, and increase corporate profitability.
Regulatory Oversight Encompasses Third-Party and Vendor Relationships
As third-parties become part of the “extended enterprise” with greater consideration to access of proprietary and/or sensitive information, it’s not surprising that greater dependency on third-parties has led to tighter regulatory oversight of these relationships. Regulators such as the OCC, Federal Reserve, and CFPB mandate that corporate controls extend to third-party providers and require continuous monitoring of third-parties to be included in the enterprise risk strategy.
Holistically Monitor Stability and Viability of Vendors
Rapid Ratings’ proprietary FHR® (Financial Health Rating) is the industry’s leading assessment of public and private company financial health. The FHR is a true, quantitative comparison of company financial health on a straightforward and consistent 0-100 scale and provides early warning (12 to 18 month forward looking) of a companies’ deterioration or improvement. With greater insight into vendors’ financial stability, organizations can better monitor, manage, and mitigate third-party risks.
Assessing Public and Privately Held Third-Parties on a Consistent Basis
While some third-party providers are publically traded companies, a large majority of third-parties and vendors are private. The FHR is the only product to provide the same depth of analysis on public and private companies by using a methodology proven to be far more predictive than traditional ratings tools that rely on payment history or qualitative judgments.
Rapid Ratings saves our clients time and resources by adding efficiency to their relationship management workflows. Understanding the financial health posture of their extended vendor network helps protect operations and meet mandates for regulatory risk monitoring, documentation, and reporting.
- Understand the financial stability of third-parties in the extended enterprise
- Leverage the FHR to maintain regulatory requirements for risk monitoring, documentation, and reporting
- Assess public and privately held vendors using the same scale and with the same depth of analysis
- Straightforward and consistent 0-100 cardinal scale depicting corporate financial health
- Predictive analysis is forward-looking 12-18 months’ out
- Intuitive reports customizable based on your defined parameters
- Seamless integration into your vendor risk management process and existing workflows