The provisions of the Digital Operational Resilience Act (DORA), including those concerning third-party service providers and outsourcing service providers, will become applicable from January 17, 2025. This date marks the end of the 24-month implementation period that started after the regulation was officially published in the EU's Official Journal on January 17, 2023. If you want to familiarise yourself with the requirements of DORA regarding third-party providers, please see our previous blog post here.
Key Milestones for Applicability:
January 17, 2023: DORA was published and entered into force.
January 17, 2025: Full application of DORA begins, including all provisions related to third-party and outsourcing service providers.
Implications for Financial Entities and Third-Party Providers
● Financial entities must ensure they have updated their contracts, governance frameworks, and monitoring processes with third-party and outsourcing providers to align with DORA’s requirements by this date.
● Third-party providers, especially critical ICT service providers, need to prepare for potential regulatory oversight, including resilience testing and direct monitoring by designated authorities.
Both financial entities and service providers should use the remaining time to conduct gap analyses, revise policies, and establish compliance mechanisms to meet DORA's standards by the January 2025 deadline.
How Trudexia can help your business before and after the DORA application deadline:
Trudexia can play a critical role in helping financial entities prepare for and maintain compliance with the Digital Operational Resilience Act (DORA), particularly in managing third-party and outsourcing risks. Before the January 2025 deadline,
Trudexia's platform and intelligence services in supplier risk assessments allows organizations to identify and address cybersecurity vulnerabilities and weaknesses, compliance and risk issues in the supplier ecosystems. By leveraging Trudexia, entities can conduct in-depth evaluations of third-party vendors, ensuring these partners meet DORA's operational resilience standards.
Trudexia also supports contract reviews to incorporate DORA-mandated provisions, such as monitoring rights and termination clauses, while providing tailored treatment plans to mitigate risks. These proactive measures align to any third-party risk management frameworks with DORA's requirements, reducing potential compliance gaps well before the regulation becomes enforceable.
Post-deadline, Trudexia's continuous monitoring and real-time risk assessment capabilities help entities maintain compliance in an evolving risk landscape. The platform provides insights into third-party cybersecurity postures, enabling financial institutions to swiftly detect and address emerging threats. Advanced resilience testing and automated board-level reporting streamline regulatory compliance, ensuring institutions can provide accurate and timely updates to stakeholders and regulators.