In today's fast-paced digital landscape, trust and security are paramount. Whether you're a start-up, an established business, or even an individual, understanding the significance of the systems that protect our data is crucial.
SOC2: a framework that many organisations use to showcase their commitment to security. But what is SOC2, and who should consider it? Let's break it down.
What is SOC2?
SOC2, or Service Organisation Control 2, is a framework established by the American Institute of CPAs (AICPA). It's designed to ensure that service providers store, process, and transmit customer data in a secure and trustworthy manner. Rather than being a one-size-fits-all checklist, SOC2 assessments are based on five Trust Services Criteria:
Security: The system is protected against unauthorized access.
Availability: The system is available for operation as committed or agreed upon.
Processing Integrity: System processing is complete, valid, accurate, timely, and authorised.
Confidentiality: Information classified as confidential is adequately protected.
Privacy: Personal information is collected, used, retained, and disposed of in accordance with the entity's commitments and system requirements.
An organisation can choose to be evaluated against one or more of these criteria depending on its specific needs or the demands of its customers.
Who Should Consider SOC2?
If your organization manages customer data, especially if it's of a sensitive nature, you might want to consider SOC2. Specifically, businesses that fall into the following categories often pursue SOC2:
SaaS Companies: Software-as-a-Service platforms, especially those dealing with enterprise customers, often need to prove their commitment to security and privacy.
Cloud Providers: As storage solutions for vast amounts of data, cloud providers are frequent candidates for SOC2 assessments.
IT Managed Services: These firms often interact with the internal systems of other companies, making security paramount.
Healthcare IT Companies: With the handling of medical records and other sensitive health data, the need for stringent security measures is clear
However, it's not just the technology and healthcare sectors that can benefit. Any organisation that wishes to build trust with its stakeholders, be they clients, partners, or customers, should consider a SOC2 assessment. In an era where breaches and data mishandling can tarnish reputations overnight, a SOC2 report acts as a seal of approval, signifying a robust commitment to data security and privacy.
SAMEC has successfully implemented SOC2 type 2 for Australian businesses effectively and efficiently.
If you are considering this SOC2 roadmap for your business, have a chat with us before embarking on this journey.