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Due Diligence Framework

The organization shall establish a due diligence framework that defines the structures, processes, and practices for assessing third-party risks before engagement and periodically thereafter. The framework shall articulate how due diligence is conducted, how risks are assessed, and how assessment is governed, providing the foundation for all third-party risk assessment activities.

Requirement ID
TPR-002-R001
Parent Control
TPR-002
Domain Code
TPR

Requirement Details & Guidance

TPR-002-R001 · TPR-002
Why This Requirement Exists

This requirement exists to assess third-party risk before engagement and periodically thereafter, including security, privacy, financial, compliance, scoring, acceptance, reporting, review, and improvement, specifically addressing due diligence framework, so that third-party risks remain identified, controlled, and aligned with organizational risk appetite.

Implementation Guidance

Establish and document the process for due diligence framework. Define accountable owners, required inputs and outputs, assessment or approval criteria, review frequency, monitoring, reporting, exception handling, evidence requirements, and escalation paths. Apply the process consistently across relevant third parties based on criticality, data sensitivity, service dependency, and risk.

Practical Application & Audit Readiness

TPR-002-R001 · Field Guidance

Business Examples

    Common Audit Findings

      Common Mistakes

        Best Practices & Ownership

        TPR-002 · Recommended Approach

        Recommended Practices

          Typical Owner

          Cross-Mapped Regulatory Frameworks

          Harmonized Control Mappings
          FRAMEWORK CODE FRAMEWORK NAME & DETAILS FAMILY / CATEGORY VERSION ACTION
          CIS-V8 CIS Controls CIS Controls are a prioritized set of cybersecurit... Clause: Control 15 – Service Provider Management: 15.5 – Assess Service Providers
          CIS
          Best Practice
          		 vv8 View →
          COBIT2019 COBIT COBIT is an enterprise governance and management f... Clause: 4.2 – Align, Plan and Organize (APO) > APO10 – Managed Vendors > APO10.01 – Identify and evaluate vendor relationships and contracts.
          COBIT
          Governance Framework
          		 v2019 View →
          DORA Digital Operational Resilience Act The EU Digital Operational Resilience Act establis... Clause: Article 28(1) – General principles for ICT third-party risk management Article 28(3) – Contractual arrangements for ICT services and third-party risk
          EU
          Regulation
          		 vCurrent View →
          GDPR General Data Protection Regulation (GDPR) The General Data Protection Regulation is a bindin... Clause: Article 28(1) – Processor requirements; Article 32(2) – Risk-based security measures
          EU
          Regulation
          		 vCurrent View →
          IRDAI IRDAI Information & Cyber Security Guidelines IRDAI information and cyber-security requirements... Clause: §2.14-3.4 – Periodic assessment
          India
          Guideline
          		 vLatest View →
          NIS2 NIS2 Directive The NIS2 Directive establishes EU-wide cybersecuri... Clause: Article 21(2)(d) – Supply chain security, including relationships with direct suppliers/service providers Article 21(3) – Supplier vulnerabilities, product/cybersecurity quality and secure development; critical supply-chain risk assessment results
          EU
          Directive
          		 vCurrent View →
          NIST-CSF NIST Cybersecurity Framework (CSF) The NIST Cybersecurity Framework provides high-lev... Clause: GV.SC – Cybersecurity Supply Chain Risk Management | GV.SC-06 – Planning and due diligence are performed to reduce risks before entering into formal supplier or other third-party relationships
          NIST
          Framework
          		 v2 View →
          NIST80053 NIST SP 800-53 NIST SP 800-53 Rev. 5 presents control families, i... Clause: 3.20 – SUPPLY CHAIN RISK MANAGEMENT, 3.17 – SYSTEM AND SERVICES ACQUISITION; SR-6 – SUPPLIER ASSESSMENTS AND REVIEWS, SA-9 – EXTERNAL SYSTEM SERVICES
          NIST
          Control Catalog
          		 vRev. 5 View →
          NPCI-ISR NPCI Information Security Requirements NPCI information-security requirements define cont... Clause: Governance Controls; Policy, Roles and Risk Linkages – Cyber Risk Management programs
          India
          Standard
          		 vLatest View →
          PCI-DSS PCI DSS PCI DSS is an industry security standard maintaine... Clause: 12.8.3 – An established process is implemented for
          PCI
          Standard
          		 v4 View →
          RBI-CSF RBI Cyber Security Framework / Master Directions RBI cyber-security requirements and directions set... Clause: 11) Vendor Risk Management – 11.2 Risk assessment for outsourcing critical processes and vendor/partner selection; 11) Vendor Risk Management – 11.3 Due diligence, oversight and management of third-party vendors/service providers/partners
          India
          Regulation
          		 vLatest View →
          SEBI-CSCRF SEBI Cyber Security & Cyber Resilience Framework SEBI’s Cybersecurity and Cyber Resilience Framewor... Clause: 1.6 GV.SC: Cybersecurity Supply Chain Risk Management
          India
          Regulation
          		 vLatest View →
          SOC2 SOC 2 Trust Services Criteria SOC 2 is an independent examination and reporting... Clause: CC9.2 – Risk Mitigation – The entity assesses and manages risks associated with vendors and business partners.
          AICPA
          Audit Framework
          		 vLatest View →

          Parent Domain Context

          Governance Domain Baseline
          Domain Name:
          Third-Party & Supply Chain Security (TPR)
          Purpose:
          To manage the security and privacy risks associated with third-party vendors and partners.
          Scope:
          Enterprise
          View

          Parent Control Context

          Control Baseline
          Control Name:
          Third-Party Risk Assessment & Due Diligence (TPR-002)
          Summary:
          Establishes third-party due diligence including vendor risk assessment, security assessment, privacy assessment, financial assessment, risk scoring, risk acceptance, reporting, review, and continuous improvement.
          Business Description:
          Establish and maintain processes to perform security, privacy, operational, financial, regulatory, and business due diligence and risk assessments for third parties before engagement and throughout the relationship lifecycle.
          View