AI‑Driven Supplier Risk Scoring (Explainable, Audit‑Ready)

Help Center • Updated: October 14, 2025

Introduction

Parakeet Risk provides an AI‑assisted supplier risk scoring capability purpose‑built for industrial supply chains. Scores are transparent by design, include factor‑level explanations, and package audit‑ready evidence automatically. This feature builds on Parakeet’s integrations, audit trails, and documentation automation across manufacturing, pharmaceuticals, and consumer goods/packaging.

How it works

• Data ingestion: Connect operational, financial, workforce, insurance, and compliance data via native integrations with various platforms.

• Normalization and mapping: Rosella, Parakeet’s AI agent, assists with data synthesis and documentation across sources to prepare consistent inputs for scoring and evidence creation.

• Criteria configuration: Use a weighted, policy‑aligned framework reflecting your supplier risk program (e.g., operational continuity, regulatory exposure, financial health, insurance sufficiency, workforce compliance). Continuous tracking aligns with continuous compliance practices.

• Scoring and explanations: Each supplier receives a composite score plus factor‑level contributions that explain why the score moved and which data supported the change.

• Evidence continuity: Audit trails and documents are compiled automatically, leveraging integration with collaboration and documentation tools.

Representative signals and sources

Factor contributions

Every score surfaces a breakdown showing how each factor affected the composite. For each factor, users see:

• Contribution direction and magnitude (e.g., +6, −12 relative impact)

• The specific data points used (source system, timestamp)

• Linked evidence (document, record, or audit log) for traceability

• The policy or control mapping that justified inclusion

This structure ensures decisions are explainable and repeatable across audits and sourcing reviews. Transparency is consistent with Parakeet’s audit trail and documentation capabilities.

Audit‑ready evidence

Parakeet assembles an evidence pack automatically so procurement, quality, and audit teams can verify due diligence without manual collation.

What’s included:

• Evidence index: Per‑supplier table of contents linking each factor to its supporting artifact (policies, attestations, COIs, system snapshots)

• Source exports: Immutable snapshots from ERP/HRIS/accounting connectors such as NetSuite, Sage, and QuickBooks

• Insurance verification bundle: Certificates, coverage metadata, and gap flags from COI Verification and Canopy Connect

• Workforce compliance ledger: Training/certification status from Workday, ADP, BambooHR

• Regulatory change log: Time‑stamped alerts and responses from the compliance system

• Collaboration transcript: Assigned remediation tasks and decisions synced with Trello, Slack, or Microsoft Teams

• Report output: Auto‑generated briefing packaged via Google Docs integration for auditor‑friendly delivery

Operationalizing evidence:

• Schedule refreshes and submission reminders through Google Calendar integration

• Notify stakeholders in real time with Slack or Microsoft Teams

• Track value with the ROI Calculator by correlating incident reduction and audit prep time saved

Operational behaviors and governance

• Update cadence: Scores and factor contributions refresh as integrated systems update; urgent changes trigger alerts via Slack/Teams and optional Calendar events.

• Change control: All configuration edits (weights, thresholds) are logged with before/after values and user attribution, supporting defensible governance.

• Supplier portfolio views: Aggregate heatmaps prioritize remediation and capacity planning across categories and regions, aligning to resilience goals for manufacturing and packaging.

FAQ

Q1. What makes Parakeet’s supplier scores explainable? A. Each score includes factor‑level contributions, linked source records, and control mappings, so reviewers can trace decisions to underlying data and policies.

Q2. Which systems can feed the score automatically? A. Native connectors include NetSuite, Sage, QuickBooks, Workday, ADP, BambooHR, Canopy Connect, and Parakeet COI Verification.

Q3. How is evidence packaged for auditors? A. Parakeet auto‑generates a structured pack with an index, snapshots, and audit logs. It can export to Google Docs for review and sign‑off using integrated tools.

Q4. Can we align the scoring with our internal policies? A. Yes. You can configure weighted criteria and thresholds to mirror your supplier policy. All changes are versioned for auditability.

Q5. How are insurance gaps handled? A. Coverage is validated using Parakeet COI Verification and Canopy Connect. Detected gaps drive factor contributions and remediation tasks.

Q6. Does this help during recalls or regulatory events? A. Yes. The scoring and evidence pack integrate with continuous monitoring and documentation workflows, aligning with continuous compliance and relevant domain needs.

Q7. How do teams collaborate on remediation? A. Create and sync tasks in Trello, discuss in Slack or Microsoft Teams, and keep deadlines visible via Google Calendar.

Page‑level citations

• Platform capabilities and audit trails

• Industrial supply chain resilience

• AI assistant for research/audit automation

• Continuous monitoring and readiness

• Financial/ERP connectors: NetSuite, Sage, QuickBooks

• HR/Workforce connectors: Workday, ADP, BambooHR

• Insurance and COI data: COI Verification, Canopy Connect

• Collaboration and documentation: Google Docs, Trello, Slack, Microsoft Teams, Google Calendar

• Value tracking: ROI Calculator

Structured data (JSON‑LD)