Corporate environmental, social and governance (ESG) research and ratings firms measure companies’ performance across a wide array of topics, such as greenhouse gas (GHG) emissions, workforce diversity and executive compensation. Some of these vendors predominantly track companies’ ESG performance to inform and influence equity investors, creditors, bondholders and other participants in the capital markets. These vendors’ products often include a single corporate score to represent a company’s entire performance, simplifying interpretation for end users. This is intended to make it easy for investors to make a more informed decision on potential investments and for other stakeholders to understand how a company is performing relative to its ESG obligations, as well as its peers.
The third-party risk management (TPRM) technology market offers solutions to identify, assess, manage, monitor and report on third-party risks associated with vendors, suppliers, distributors, agents, partners or other third parties. Solutions in this market can support a wide range of TPRM workflows across various risk domains. TPRM platforms in this market address the needs of a diverse range of customers and risk domains, including legal, compliance, procurement, supply chain, IT, cybersecurity and other teams that work with or provide routine oversight of third parties. Some technology solutions offer enterprise third-party risk management workflow as a feature, along with risk tiering, due diligence, risk mapping, metrics and reporting mechanisms. Other platforms may facilitate integration with risk data subscriptions, data aggregators or other subscriptions. The TPRM technology market is a complex array of solutions servicing many business functions across an enterprise. TPRM solution providers can be categorized into technology platforms and tools, or risk-domain-specific data and insights.