How does DSAC Annex B recommend addressing third-party risks?

The recommendation to conduct due diligence and ensure third-party compliance with security standards reflects a comprehensive approach to managing third-party risks. This process involves assessing the security measures and practices of external partners or vendors to ensure they align with the organization's own security requirements. By verifying that third parties adhere to certain security standards, an organization can mitigate risks associated with data breaches, unauthorized access, and other potential vulnerabilities that may arise from outsourcing or collaborating with external entities.

Due diligence includes reviewing contracts, security policies, certifications, and audit reports, thereby building a clearer picture of the third party's capabilities and risks. This proactive measure not only helps in identifying any gaps in security but also establishes a framework for ongoing risk management. Consequently, the organization can make informed decisions about engaging with third parties and set the foundation for effective risk management throughout the partnership's lifecycle.

In contrast, options such as conducting regular staff training or implementing a redundancy policy focus more on internal practices, which while important, do not directly address the specific risks posed by external entities. Limiting access to organizational resources may help to protect sensitive information, but it does not consider the vetting process needed for third-party relationships. Therefore, the comprehensive assessment and enforcement of security standards for third parties is crucial for maintaining the