How do you manage risk when the vulnerabilities outside your organization aren’t in your hands? In this episode of Corruption, Crime, and Compliance, we delve into third-party risk management with our guest, Natalie Druckman, from Certa. As we discuss the regulatory landscape in EMEA and the US, Natalie highlights the higher regulatory burden faced by companies in EMEA and how Certa uses AI to streamline workflows, provide intuitive data visualization, and enhance risk forecasting capabilities. AI is the future of third-party risk management, now and in the future.
- Cybersecurity has become one of the top concerns for organizations. In 2012, Target worked with a third-party vendor and, as a result, suffered an attack that exposed their customers’ credit data. Since then, compliance departments have started working closely with IT to prevent such vulnerabilities.
- Unlike the US, EU companies don’t benefit from gaps created between state and federal regulations. EMEA faces a mandatory and substantial regulatory burden, particularly in areas like ESG and compliance. A forced labor scandal can sink a company, so ESG’s importance is on par with cyber security.
- Global companies increasingly recognize the importance of addressing ESG topics alongside cybersecurity and financial risks. ESG considerations, such as diversity, modern slavery, and gender pay gaps, have significant reputational and revenue impacts.
- AI is changing the world in many ways, including compliance. Certa aims to provide a comprehensive solution for third-party risk management, compliance, and operational risks by streamlining processes and incorporating AI capabilities to enhance efficiency and effectiveness.
- Certa utilizes various AI capabilities, including design AI, which allows users to create workflows using plain language. They don’t need to know anything about tech; they can dictate the process, and AI generates the necessary code and infrastructure. This allows the company to remain flexible and quickly adapt to change.
- Insights AI is another capability that collects and analyzes data, making it far more accessible and efficient in managing up-to-the-minute risks and developments. This technology also uses design AI, allowing plain language inputs to create actionable, detailed reports immediately.
- Recall AI allows companies to guarantee rapid and consistent responses from suppliers and customers by recalling past interactions to create surveys, forms, workflows, and processes. This removes the back-and-forth burden on all parties while retaining the human touch.
- Smaller and midsize companies should prioritize risk management processes and consider automated solutions like Certa. Regardless of their industry or size, these companies can benefit from the efficiency and effectiveness of an automated platform.
Resources:
Michael Volkov on LinkedIn | Twitter
Natalie Druckman on LinkedIn
Email Natalie: nat@certa.ai
