Ethico

Third-party due diligence that scales with your business

Vendors, agents, distributors, and business partners create compliance exposure. Ethico automates third-party screening against sanctions lists, PEP databases, and adverse media—with ongoing monitoring that catches changes after onboarding, not just during initial checks.

The Shield

Screen before exposure, monitor continuously

The Risk

Third parties acting on your behalf can create FCPA and anti-bribery liability. An agent paying bribes, a distributor on sanctions lists, a vendor with government connections—all create exposure.

Due Diligence Coverage

  • Sanctions screening (OFAC, global)
  • PEP identification (government connections)
  • Adverse media screening
  • Beneficial ownership identification
  • Country risk assessment
The Engine

Right-size due diligence to actual risk

Not every third party needs the same review. Configure risk tiers based on exposure level, and let the system enforce appropriate screening requirements.

Tier 1 (High Risk)
  • Agents and distributors
  • Government-facing intermediaries
  • High-risk country operations

→ Enhanced due diligence, frequent re-screening

Tier 2 (Medium Risk)
  • Direct vendors with significant contracts
  • Professional service providers

→ Standard screening, annual review

Tier 3 (Low Risk)
  • Commodity suppliers
  • Low-value vendors

→ Basic screening, periodic checks

Configurable Workflows: Define risk tiers, set screening requirements, automate the process.

The Compass

See the complete picture

Integration with Disclosure Management

  • Cross-reference vendor relationships with COI disclosures
  • Identify employees with personal connections to third parties
  • Surface potential conflicts before they become violations

Example

Employee discloses outside consulting. Third-party screening reveals the consulting client is a vendor. System flags the relationship for review.

Ongoing Monitoring

Third-party risk doesn't stop at onboarding

The Problem

Initial due diligence is point-in-time. Vendor sanctioned in Year 2, you don't know until contract renewal.

Ongoing Monitoring

  • Continuous screening against updated lists
  • Adverse media alerts
  • Ownership change detection
  • Customizable monitoring frequency
Documentation

Evidence for regulators

Complete Documentation

  • Screening results and methodology
  • Risk assessment rationale
  • Approval chain and decisions
  • Ongoing monitoring history
  • Re-screening results

Audit-Ready

When regulators ask about your third-party due diligence program, you have the evidence.

What's Included

CapabilityDetails
Sanctions ScreeningOFAC, global lists
PEP IdentificationPolitical exposure
Adverse MediaNegative news screening
Risk-Tiered WorkflowsConfigurable by risk level
Ongoing MonitoringPost-onboarding surveillance
Disclosure IntegrationCOI cross-reference
Audit TrailComplete documentation
API AccessIntegrate with procurement

How Risk-Tiered Due Diligence Works

Right-size screening to actual third-party risk

Risk TierThird-Party TypesScreening LevelRe-Screening
Tier 1 (High)Agents, distributors, government-facingEnhanced: sanctions, PEP, adverse media, beneficial ownershipQuarterly
Tier 2 (Medium)Direct vendors, professional servicesStandard: sanctions, PEP, adverse mediaAnnually
Tier 3 (Low)Commodity suppliers, low-value vendorsBasic: sanctions screening onlyBi-annually

Risk criteria configurable: Country risk, contract value, government exposure, industry sensitivity.

"We had 2,000 third parties and no systematic due diligence. Ethico helped us implement risk tiering that focused our resources on the 200 that actually mattered. When regulators asked about our program, we had the documentation."
James R.
VP Compliance, Manufacturing (Global operations in 40 countries)
Result:
FCPA audit completed with no findings on third-party due diligence

Implementation Timeline

Third-party due diligence operational in 4-6 weeks

PhaseTimelineWhat Happens
DiscoveryWeek 1-2Third-party inventory, risk tiering criteria, screening requirements
ConfigurationWeek 2-3Risk tiers, screening workflows, approval chains
Data ImportWeek 3-4Existing third-party data migration, initial screening
IntegrationWeek 3-4Procurement system connection if applicable
TrainingWeek 4-5User training on workflows and reviews
Go-LiveWeek 5-6Ongoing monitoring activated, new third-party workflow live

What Happens Next

1

See Risk-Tiered Workflows

30-minute demo showing how third parties are screened at appropriate levels based on risk criteria.

2

Define Your Risk Tiers

Work with our team to configure risk criteria matching your FCPA/anti-bribery program requirements.

3

Import Your Third Parties

Initial population screening and risk classification for existing relationships.

4

Go Live

Ongoing monitoring activated with new third-party screening integrated into procurement.

Frequently asked questions

Automate your third-party due diligence

See how risk-tiered workflows focus your due diligence resources on the third parties that actually create exposure.

See Due Diligence Demo

Custom demo for your third-party population and risk criteria.