Most firms want to manage vendor-related risk better. Yet, Forrester finds that firms view vendor risk differently — some consider only the risk that a vendor fails to deliver against a contract, while others worry only about whether a vendor might cause them to be out of compliance with government regulations. This report explains the four primary perspectives on vendor risk, describes the ways supplier risk and performance management (SRPM) software can help manage vendor risk, and provides questions to ask software vendors in this space.