Third-Party Cyber Risk: What We’ve Learned from Our Recent Cyber Uplift
As cyber threats become increasingly sophisticated and regulatory scrutiny intensifies, businesses across Australia are being urged to enhance their cybersecurity posture, particularly in managing third-party risks.
At AIC Solutions, we’ve recently undertaken a Cyber Uplift program with Fraser and Damien from the Cyber Collective. This work is part of our preparation for an upcoming cyber audit and has involved a thorough review of our internal systems, policies, and third-party relationships.
One of the key takeaways? Your business is only as secure as your weakest external link.
As we conducted risk assessments across our third-party providers, we identified several areas where businesses can improve cyber resilience. Below, we share some practical tips that may help you do the same.
What Are Third-Party Cyber Risks?
Third-party risks arise when vendors, contractors, cloud service providers or software partners have access to your systems or sensitive information. If these external parties experience a breach, your business could suffer data loss, reputational harm, or even regulatory penalties, particularly under laws such as:
- The Privacy Act 1988 and the Notifiable Data Breaches scheme
- The Security of Critical Infrastructure Act 2018 (SOCI) for key industries
- ACSC’s guidance, including the Essential Eight mitigation strategies
Tips from Our Cyber Uplift: How to Strengthen Third-Party Risk Management
1. Map Your Third-Party Ecosystem
Start by identifying all external providers who access your data or systems. Don’t overlook small or niche software tools—these can be entry points for cyber threats.
2. Ask the Right Questions
We’ve found value in asking providers:
- Do you have a formal cybersecurity policy in place?
- How do you manage user access and patch vulnerabilities?
- What’s your process for detecting and reporting breaches?
3. Review Your Contracts
Check that contracts include clauses on data protection, mandatory breach notification, audit rights, and secure offboarding procedures. Fraser and Damien helped us strengthen our vendor agreements in line with best practice.
4. Apply the Principle of Least Privilege
Ensure third parties only access the data or systems they need—no more, no less. This reduces the impact of any accidental or malicious breach.
5. Monitor, Don’t Just Trust
We’ve implemented a regular review process for key vendors, including security questionnaires, updated risk ratings, and integration reviews.
Why It Matters
With regulatory expectations rising and cyberattacks increasingly targeting supply chains, businesses can no longer afford a “set and forget” approach to vendor risk.
We’ve seen firsthand how valuable a proactive review can be—not just for compliance, but for peace of mind as well.
If you’re unsure where to start or want to explore your cyber uplift, we’d be happy to share more about our experience or introduce you to Fraser and Damien from the Cyber Collective.
