Businesses, irrespective of their function or scale, need to work with partners – often called as counterparties or third parties. These partners, across the supply chain continuum, assist with varied activities including supplies, services, distribution, licensing, technology enablement and support, among many others. With increasing competitive intensity and globalisation, the importance of these partners cannot be overstated.
With the current regulatory norms applicable to businesses, securing such sort of relationships becomes more important than ever. KPMG’s experience with third party due diligence has shown that companies wish to conduct business with only such vendors/counterparties who do not impact their regulatory, reputational, and/or business continuity.
Typical concerns with counterparties
We understand that not all counterparties need the same level of due diligence. We work with multinationals across the globe on a risk-based due diligence framework, which makes the whole programme of due diligence effective as well as cost efficient: