Termination Terms: Reviewing the terms associated with the termination of service helps ensure that the organization understands the costs, processes, and potential challenges involved in switching vendors. This knowledge is crucial for planning and mitigating the risks of vendor lock-in.
Exit Strategy: A thorough review of termination terms allows the organization to develop a clear exit strategy, which is essential for maintaining flexibility and avoiding dependency on a single vendor.
Evaluating Risks of Vendor Lock-Out (Option B): This focuses on a different aspect of vendor risk management.
Evaluating Audit Reports and Questionnaires (Option C): This helps assess overall risk but may not specifically address termination and lock-in issues.
Including Vendor Stability in Assessment (Option D): This is important for understanding the vendor's reliability but does not directly mitigate lock-in risks.
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Steel16
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2 months ago