Purpose

Ensure outsourced services can continue, be transferred, replaced or exited without unacceptable disruption, and that subcontracting remains controlled.

Scope

This procedure applies to outsourcing arrangements and material changes to outsourcing arrangements as defined in the Bitkaya Outsourcing Risk Management Manual.

Steps

#ActionDetailsEvidence
1Identify continuity and exit expectations during classification and due diligenceBitkaya must be able to continue operating if the provider fails, performs badly, suffers an incident, or the arrangement has to be terminatedContinuity and exit expectations note
2For standard outsourcing, this may require only basic fallback thinking—Standard outsourcing fallback note
3For material outsourcing, consider whether the service can be continued or replaced without major disruption—Material outsourcing continuity assessment
4For critical or essential outsourcing, assess: whether the provider has appropriate continuity arrangements; whether the service can be replaced or transferred; whether Bitkaya can bring the function back in-house if needed; and how continuity would be maintained during any transitionCBCS requires business continuity planning and exit planning for outsourcing, especially critical or essential functionsCritical or essential continuity and exit assessment
5Confirm subcontracting is permitted only where Bitkaya agrees to it and the risks remain manageableCBCS states that outsourcing should ideally be limited to one level of sub-contracting and that the regulated entity must retain sufficient control and visibilitySubcontracting permission confirmation
6Where subcontracting is permitted, confirm the provider: informs Bitkaya in advance where relevant; remains responsible for the subcontractor’s performance; and ensures that confidentiality, security, and other relevant obligations continue to apply—Subcontracting oversight confirmation
7Document objection, termination or exit rights where subcontracting materially increases riskBitkaya reserves the right to object to or terminate arrangements where subcontracting materially increases riskObjection, termination or exit rights clause in agreement
8Review continuity, exit and subcontracting arrangements annually or after material change—Annual or post-change review record

Evidence

  • continuity and exit assessment
  • subcontracting review
  • provider continuity evidence
  • exit or transition plan where applicable

Relationships

Assurance

Runtime effectiveness results are maintained in Odoo and assessed through the Hermes workflow tracked in ISS-HERMES-001. This note defines design, ownership, evidence expectations and testing method; it does not contain a manually maintained operation, evidence or overall effectiveness rating.

  • Design status: drafted from approved manual

History

  • 2026-07-25: Created procedure from the Bitkaya Outsourcing Risk Management Manual version 1.0.
  • 2026-07-25: Set procedure status to implemented based on Board approval of the Outsourcing Risk Management Manual on 2026-04-16.