Vendor Risk Assessment
Automation vs Manual Reviews
Deciding between GRC automation and spreadsheet-based vendor management.
Manual (Spreadsheets)
- ✓Zero upfront software cost.
- ✓Complete flexibility in questionnaire design.
- ✗Hard to track "last reviewed" dates at scale.
- ✗Manual email follow-ups for evidence.
- ✗No centralized repository for SOC 2 reports.
Automated (GRC/VRM)
- ✓Automated chase-emails for stale evidence.
- ✓Instant scoring based on questionnaire answers.
- ✓Centralized dashboard for auditor review.
- ✗Annual subscription costs ($5k-$20k+).
- ✗Rigid workflows may not fit custom processes.
Which path is right for you?
For most startups, the "Hybrid" approach works best: Use risk-based scoring logic to triage vendors (like our VRA Triage Tool), and only invest in heavy automation once your vendor count exceeds your ability to review them manually in 1-2 hours per month.
The Efficiency Test
"If it takes more than 45 minutes to find a vendor's latest SOC 2 report and check if they've remediated last year's findings, you are losing money on manual labor."
Frequently Asked Questions
When should we move from spreadsheets to automation?
Once you hit 20+ active vendors or start receiving 5+ new vendor requests per month, manual tracking becomes a bottleneck for procurement and compliance.
Does automation replace human review?
No. Automation handles data collection, initial scoring, and reminders, but a human must still validate the "residual risk" and approve the vendor.
Download the Vendor Risk ROI Calculator
Calculate exactly how much time and money your team can save by automating vendor security reviews.
- Fully editable template
- Built for 2026 Audit Standards
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