ID: MRFR/ICT/4488-HCR | February 2021 | Region: Global | 100 pages
Organizations are witnessing high competition due to the advancement of technology which enhances profitability by increasing their customer base. Additionally, to provide quality of service as well as maximize their profit margin, business entities are lowering their operational costs by partnering with third-party vendors who mostly manage critical business operations. Increase in third-party vendors increases the risk of disruptions in business operations as well as enhance potential threats of cyber-attacks. In the light of this factor, vendor management becomes critically important. Thus, Vendor Risk Management (VRM) solutions allow business entities to prevent third-party vendors from unacceptable disruption and negative impact on business performance. VRM technology facilitates the organization to evaluate, monitor and manage the risk exposure from third-party suppliers (TPSs) offering IT products and services, or accessing the enterprise information.
Evolution of innovative technology has led to business collaborations and increase in off-shore outsourcing and suppliers of networks which eventually increases the level of regulatory risks. On the flip side, business entities without a centralized contract repository witness inconsistent versions of contracts deposited in different repositories within functional departments of organization. This ambiguity leads to inconsistencies that creates noncompliance which increases the expenditure budget. Such ambiguities can pose as one of the hindering factors for the growth of VRM market over the next few years.
The global vendor risk management market was valued USD 2.50 billion in 2017 and is expected to reach approximately USD 7.58 billion by 2023 growing with 18% CAGR over the forecast period 2017-2023.
Some of the key players of vendor risk management market include IBM Corporation (U.S.), MetricStream (U.S.), Lockpath Inc. (U.S.), Logic Manager (U.S.), Rsam (U.S.), BitSight Technologies (U.S.), RSA (U.S.), Genpact (U.S.), Resolver (Canada), SAI Global (Australia), Optiv (U.S.), Quantivate (U.S.), BWise Internal Control (The Netherlands), RapidRatings (U.S.), ProcessUnity (U.S.), and VendorInsight (U.S.).
The vendor risk management market is differentiated by component, deployment, organization size, and end-user.
By component, the Vendor Risk Management market is sub-segmented as solutions and services. On the basis of services, the market is sub-segmented into professional services and managed services. The professional services are further segregated into consulting services, implementation services, and maintenance & support services. The solutions are segregated as policy & procedure management, monitoring & performance management, assessment management, compliance management, contract management, quality management, and others.
On the basis of organization type, the market is segregated into large enterprise and small & medium enterprise. Furthermore, on the basis of deployment, the market is sub-divided into on-cloud and on-premises.
By end-user, the market is sub-divided into IT & telecom, BFSI, manufacturing, energy & power, healthcare, transportation & logistics, government, and others (media & entertainment and education).
Geographically, the vendor risk management market is segmented into four different regions namely North America, Asia Pacific, Europe, and the Rest of the World.
North America is expected to have significant growth in the vendor risk management market. The United States and Canada are leading the market in the region. The growth is due to high-level expertise in the cloud deployment of vendor risk management. Asia Pacific is also anticipated to be the fastest growing region in the vendor risk management market over the forecast period. India, Japan, South Korea, and China are the leading countries owing to a rapid increase in collaboration with third-party vendors for managing security services for BFSI and Telecom sector. Furthermore, Europe is expected to have a substantial growth in the market owing to robust technological infrastructure.
Vendor Risk Management tool providers
Vendor Risk Management service providers
Managed service providers
Cybersecurity consulting firms
Frequently Asked Questions (FAQ) :
The advancement of technology and the prevention of third-party vendors from unacceptable disruption and negative impact on business performance are the essential factors actively progressing the market’s growth.
The growth percentage of the global automotive camera market is calculated to be18% CAGR.
The market will be valuating USD 7.58 billion by 2023, the growth period.
The evolution of innovative technology has led to business collaborations and growth in off-shore outsourcing and suppliers of networks to increase the level of regulatory risks are the grossing factors influencing the market to grow.
IBM Corporation (U.S.), Lockpath Inc. (U.S.), MetricStream (U.S.), Rsam (U.S.) Logic Manager (U.S.) are the top companies assisting growth for the market.