APRA's (Australian Prudential Regulation Authority) planned changes to existing policy highlight its determination to ensure that organisations are more accountable for their supply chain. The proposed changes require organisations to monitor a broader range of their supplier base with increased levels of detail. In addition, business continuity plans and enhanced operational risk management are central to APRA's demands upon its member organisations. APRA's decision to enact more robust requirements and harsher penalties for non-compliance has been triggered by global supply-chain disruptions experienced over the last three years and an apparent lack of adequate processes and policies to withstand these disruptions.
APRA’s findings are underpinned by three key findings from their consultations with industry leaders:
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Organisations do not have suitable controls in place to manage risk events
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