Red Flags In Your Vendor’s Business Continuity Plan

This post has been revised for clarity and accuracy. The most recent updates were made on February 25, 2025.

Ensure your vendors are crisis-ready by recognizing these key indicators of weak continuity planning.

The interconnected nature of modern business means that your vendors’ operational resilience can, and frequently does, have an outsized impact on business operations. Case in point: 61% of companies experienced a third-party data breach or cybersecurity incident in the past year alone.

Take the global Microsoft outage, for example. Windows users were unable to access various applications and services, leading to significant disruptions in business processes across every industry, from airport terminals to shopping centers to banks across the world.

Smaller vendors may not have the broad-based impact of a Microsoft outage, but that doesn’t mean their organizational resilience or lack thereof won’t have an impact on your business.

At the end of the day, understanding your vendors’ business continuity plans and their ability to quickly recover from a disaster can have a major impact on your own business results and reputation.

That’s why regularly reviewing your vendor’s business continuity plans is essential. And to help, we’re breaking down the key red flags that might signal a weak or ineffective plan. These warning signs will help you spot risks early and protect your business.

Annual Review of Vendor’s Business Continuity Plans

Regularly review vendors’ business continuity plans and IT/DR plans to protect your business. Annual assessments help spot gaps, outdated strategies, and weak recovery measures before they become problems.

Common Red Flags in Vendor’s Business Continuity Plans

A vendor’s weak continuity plan can quickly become a crisis. Which is why it’s imperative to keep an eye out for these red flags, including:

Vendor Risk Doesn’t Have to Be a Guessing Game

According to a recent Gartner survey, 45% of organizations experienced third-party-related business interruptions in the past two years, so the need for Vendor Risk Intelligence has never been greater. By continuously integrating vendor risk data into your continuity planning, you can identify vulnerabilities, anticipate disruptions, and strengthen your overall risk posture.

Tracking vendor risks isn’t a one-time task—it’s an ongoing process. Regularly reviewing, evaluating, and integrating vendor risk data into your BCP ensures you’re not just reacting to disruptions but proactively mitigating them. The stronger your vendor partnerships, the stronger your business.