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How can you manage cybersecurity risks with supply chain partners?

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Cybersecurity risks are not limited to your own organization. They can also affect your supply chain partners, such as vendors, suppliers, contractors, or customers. If you share sensitive data or systems with them, you need to ensure that they follow the same security standards and practices as you do. Otherwise, you may expose yourself to data breaches, cyberattacks, or regulatory penalties. In this article, you will learn how to manage cybersecurity risks with supply chain partners in the context of IT consulting.

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Kaushal Saraf

CMMC DFARS 7012 NIST 800-171 for SMBs

1 Assess your supply chain risk profile

The first step to manage cybersecurity risks with supply chain partners is to assess your own risk profile. This means identifying and prioritizing the critical assets, processes, and data that you share or depend on with your partners. You also need to evaluate the potential impact and likelihood of different threats and vulnerabilities that could compromise them. You can use frameworks such as NIST SP 800-161 or ISO 27036 to guide your risk assessment process.

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2 Establish security requirements and expectations

The next step is to establish clear and consistent security requirements and expectations for your supply chain partners. You need to communicate what kind of security policies, procedures, controls, and standards they need to follow to protect your shared assets and data. You also need to define what kind of security audits, assessments, or certifications they need to undergo to verify their compliance. You can use contracts, agreements, or clauses to formalize your security requirements and expectations.

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Kaushal Saraf

CMMC DFARS 7012 NIST 800-171 for SMBs
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In my experience in the DoD world, in relation to DFARS 7012, this is clearly defined and outlined (security practices, policies, procedures) as there is a direct clause that defines subcontractor flow-down requirements i.e the subcontractor needs to be complying to DFARS 7012 as well, hence building a confidence level in the supply chain partners. One key thing to keep in mind, would be the cost and effort burden on that supply chain partner as you flow this down to them

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3 Monitor and verify your supply chain security

The third step is to monitor and verify your supply chain security on a regular basis. You need to collect and analyze security performance data from your partners, such as incident reports, audit results, or metrics. You also need to conduct your own security audits, tests, or reviews to validate their security posture and compliance. You can use tools such as security scorecards, dashboards, or ratings to track and compare your supply chain security performance.

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4 Respond and recover from supply chain incidents

The fourth step is to respond and recover from supply chain incidents in a timely and effective manner. You need to have a supply chain incident response plan that outlines the roles, responsibilities, and actions of your team and your partners in case of a security breach or attack. You also need to have a supply chain recovery plan that specifies the steps and resources needed to restore your normal operations and mitigate the impact of the incident. You can use frameworks such as NIST SP 800-150 or ISO 22301 to support your response and recovery efforts.

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Kaushal Saraf

CMMC DFARS 7012 NIST 800-171 for SMBs
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One great example to start thinking about this and why is this important would be the “Vendor Phishing” and other Incident Response exercises from CISA (Cybersecurity Infrastructure and Security Agency). It not only allows you to see and feel the impact of having contractual security requirements with supply chain partners but also helps your organisation to build a playbook.

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5 Educate and collaborate with your supply chain partners

The fifth step is to educate and collaborate with your supply chain partners to improve your cybersecurity awareness and capabilities. You need to provide them with security training, guidance, and best practices to help them enhance their security skills and knowledge. You also need to engage them in security discussions, forums, or events to share your security insights, feedback, or recommendations. You can use platforms such as webinars, newsletters, or blogs to foster your security education and collaboration.

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6 Review and improve your supply chain security

The sixth step is to review and improve your supply chain security on a continuous basis. You need to evaluate your supply chain security performance, gaps, and opportunities using the data and feedback you collected from your partners and your own assessments. You also need to update your supply chain security requirements, expectations, and plans based on the changing threat landscape, business needs, or regulatory standards. You can use methods such as SWOT analysis, benchmarking, or gap analysis to drive your security improvement process.

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7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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How can you manage cybersecurity risks with supply chain partners?

1

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3

4

5

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1 Assess your supply chain risk profile

2 Establish security requirements and expectations

3 Monitor and verify your supply chain security

4 Respond and recover from supply chain incidents

5 Educate and collaborate with your supply chain partners

6 Review and improve your supply chain security

7 Here’s what else to consider

IT Consulting

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How can you manage cybersecurity risks with supply chain partners?

1

2

3

4

5

6

7

1 Assess your supply chain risk profile

2 Establish security requirements and expectations

3 Monitor and verify your supply chain security

4 Respond and recover from supply chain incidents

5 Educate and collaborate with your supply chain partners

6 Review and improve your supply chain security

7 Here’s what else to consider

IT Consulting

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