May 22, 2025 • Nelson Cicchitto

Beyond the Perimeter: Securing Supply Chains with Advanced Third-Party Access Management

Discover how AI-driven identity management secures your supply chain, reduces third-party risks, and automates access governance.

blog-How To Automate IT Security In Your Supply Chain

The modern enterprise doesn’t operate in isolation. Your business ecosystem likely includes hundreds—if not thousands—of third-party relationships spanning suppliers, contractors, partners, and service providers. Each of these relationships represents not just a business opportunity, but also a potential security vulnerability that extends far beyond traditional network boundaries.

According to Gartner, 60% of organizations work with more than 1,000 third parties, and this number is expected to grow by 15-20% annually. More alarmingly, 82% of data breaches involve a third party or supply chain partner, according to Verizon’s 2023 Data Breach Investigations Report.

The Colonial Pipeline attack, SolarWinds breach, and countless other high-profile incidents underscore a critical reality: your security is only as strong as your weakest third-party connection. Traditional perimeter-based security approaches simply cannot address the complex, interconnected nature of today’s supply chains.

Understanding the Third-Party Access Management Challenge

Third-party access management presents unique challenges compared to managing internal identities:

  1. Distributed Identity Sources: Unlike employee identities that typically reside in a centralized HR system, third-party identities exist across multiple external systems outside your direct control.
  2. Dynamic Relationships: Vendor relationships change frequently, with contractors cycling on and off projects and suppliers evolving over time.
  3. Complex Access Needs: Different third parties require varied levels of access to different systems, creating intricate access patterns.
  4. Limited Visibility: Organizations often lack comprehensive visibility into who has access to what resources through third-party connections.
  5. Regulatory Complexity: Compliance requirements like GDPR, HIPAA, SOX, and industry-specific regulations impose strict requirements on how third-party access must be managed.

A recent SailPoint study found that 73% of organizations have experienced security issues directly related to compromised third-party access, yet only 34% report having robust processes for managing third-party identities throughout their lifecycle.

The Evolution of Third-Party Access Management

Legacy approaches to third-party access management typically relied on manual processes: spreadsheets tracking vendor relationships, email-based access requests, and periodic but infrequent access reviews. These methods fail to address modern supply chain security needs for several reasons:

  • Scale Problems: Manual processes cannot efficiently handle hundreds or thousands of vendor relationships
  • Time Delays: Slow provisioning creates business friction and encourages workarounds
  • Human Error: Manual reviews inevitably miss critical access issues
  • Limited Enforcement: Access policies defined on paper often aren’t consistently implemented in systems

Modern third-party access management requires a different approach—one built around automation, continuous verification, and intelligent, context-aware security controls.

Building a Comprehensive Third-Party Access Management Strategy

A robust third-party access management strategy requires addressing multiple dimensions:

1. Streamlined Onboarding and Lifecycle Management

Efficient onboarding processes initiate the vendor relationship correctly from day one. This includes automated provisioning workflows that deliver appropriate access quickly while enforcing proper segregation of duties and least privilege principles.

Avatier’s Identity Anywhere Lifecycle Management provides an integrated platform for managing the complete identity lifecycle of third parties, from initial onboarding through changes in role or relationship, to offboarding. The solution applies consistent access policies and automated workflows to ensure third parties only receive necessary access—nothing more, nothing less.

Key capabilities include:

  • Self-service access requests with built-in approval workflows
  • Automated provisioning to rapidly deliver access while maintaining security
  • Role-based access controls that simplify managing complex access needs
  • Scheduled access expiration to automatically remove temporary access
  • Delegated administration allowing business units to manage relevant third parties

2. Continuous Monitoring and Zero Trust Verification

Traditional “trust but verify” approaches have given way to zero trust principles where verification is continuous and trust is never assumed. This is especially critical for third-party access.

Modern third-party access management solutions continuously monitor access patterns, verify identities through strong authentication, and assess risk in real-time. Advanced analytics detect unusual behaviors that may indicate compromised accounts or insider threats.

Key capabilities should include:

  • Multi-factor authentication for all third-party access
  • Risk-based authentication that adapts security requirements based on context
  • Continuous access certification rather than periodic reviews
  • Behavioral analytics to detect anomalous activity
  • Automated policy enforcement to revoke access when risky behavior is detected

3. Centralized Visibility and Governance

According to Okta’s Businesses at Work 2023 report, the average enterprise now uses 211 applications, many of which are accessed by third parties. This fragmentation creates massive visibility challenges.

Effective third-party access management requires a centralized approach that provides comprehensive visibility across all systems, applications, and resources. This enables both operational efficiency and strong governance.

Avatier’s Access Governance delivers this central control point, providing unified visibility and policy enforcement across hybrid IT environments. The platform integrates with hundreds of applications through pre-built connectors, enabling consistent access governance regardless of where resources reside.

Key capabilities include:

  • Centralized access visibility across cloud and on-premises resources
  • Comprehensive access certification campaigns
  • Policy-based access controls with automated enforcement
  • Separation of duties (SoD) enforcement
  • Detailed audit trails and compliance reporting

4. Intelligent Automation with AI-Enhanced Decision Support

The volume and complexity of third-party access decisions have grown beyond human scale. AI and machine learning technologies now play a critical role in modern identity management, augmenting human decision-making with data-driven insights.

AI-driven identity intelligence can:

  • Identify risky access combinations that might otherwise go unnoticed
  • Recommend appropriate access levels based on peer groups and job functions
  • Detect anomalous access requests that warrant additional scrutiny
  • Predict access needs based on changing business relationships
  • Continuously validate access against dynamic risk models

When implemented effectively, these AI capabilities dramatically reduce both security risks and administrative burden.

Addressing Industry-Specific Third-Party Access Challenges

Different industries face unique challenges when managing third-party access:

Healthcare

Healthcare organizations must balance the need for collaboration with strict HIPAA requirements and patient data protection. Third parties include insurance companies, research partners, equipment vendors, and a wide range of service providers who may need different levels of access to sensitive health information.

Avatier’s HIPAA Compliant Identity Management delivers healthcare-specific controls that protect patient data while enabling necessary collaboration. The solution includes specialized workflows and compliance reporting for healthcare environments.

Manufacturing

Modern manufacturing relies on complex supply chains with multiple tiers of suppliers, logistics providers, and distribution partners. Industry 4.0 and smart manufacturing initiatives further expand connectivity requirements through IoT devices and operational technology (OT) systems.

Third-party access management in manufacturing must address both IT and OT environments, often with specialized protocols and security requirements. Avatier’s Identity Management for Manufacturing addresses these unique needs with specialized connectors and workflows designed for manufacturing environments.

Financial Services

Financial institutions face stringent regulatory requirements related to third-party risk management, including SOX, PCI-DSS, and industry-specific regulations. The consequences of inadequate third-party access controls can include substantial financial penalties and reputational damage.

Financial services organizations need comprehensive third-party risk management capabilities integrated with their access governance. Avatier’s Identity Management for Financial Services delivers specialized controls for financial institutions, including robust separation of duties enforcement and detailed compliance reporting.

Measuring Success: Key Metrics for Third-Party Access Management

Effective third-party access management should deliver measurable improvements in several key areas:

  • Time to Access: How quickly can legitimate third-party access be provisioned?
  • Access Accuracy: What percentage of third parties have exactly the right access—not too much, not too little?
  • Certification Completion: Are access reviews completed on schedule with high-quality results?
  • Policy Violations: How many access policy violations are detected and remediated?
  • Security Incidents: Have third-party-related security incidents decreased?
  • Audit Findings: Are compliance audits finding fewer issues related to third-party access?

Organizations with mature third-party access management programs typically see 60-70% reductions in provisioning time, 80% fewer policy violations, and significantly improved audit outcomes.

The Future of Third-Party Access Management

As organizations continue to expand their digital ecosystems, several trends will shape the future of third-party access management:

  1. Decentralized Identity: Self-sovereign identity technologies will enable more portable and privacy-preserving identity verification for third parties.
  2. Advanced Risk Analytics: AI models will incorporate an expanding array of risk signals to provide increasingly precise access decisions.
  3. Cross-Organization Governance: Industry consortiums will establish shared trust frameworks for managing identities across organizational boundaries.
  4. Regulatory Expansion: New regulations will impose stricter requirements for third-party risk management and supply chain security.
  5. Zero Trust Maturity: Organizations will continue to mature their zero trust implementations with increasingly sophisticated verification mechanisms.

Taking the Next Step

Securing your supply chain through advanced third-party access management isn’t just a security imperative—it’s a business necessity. Organizations that effectively manage third-party access can onboard partners faster, collaborate more efficiently, and significantly reduce security and compliance risks.

The journey begins with assessing your current third-party access management capabilities and identifying the most critical gaps. Focus first on establishing basic governance and lifecycle management for your highest-risk third-party relationships, then progressively expand scope and capability.

Modern identity management platforms like Avatier’s Identity Anywhere provide the foundation for this journey, delivering the automation, visibility, and intelligence needed to secure today’s complex supply chains.

When evaluating solutions, prioritize platforms that deliver:

  • Comprehensive lifecycle management for third-party identities
  • Robust integration capabilities for your existing applications and systems
  • Flexible workflow automation to adapt to your business processes
  • Strong governance capabilities with detailed audit trails
  • Intelligence and analytics to drive risk-based access decisions

In today’s interconnected business landscape, your organization’s security extends far beyond your own walls. With the right approach to third-party access management, you can transform your extended enterprise from a security liability into a secure foundation for digital business growth.

Nelson Cicchitto