Why Your IT Provider Should be SOC 2 Accredited
A SOC 2 audit isn’t just a one-time exercise. The audit must be completed yearly, inspecting performance and compliance over the last 12 months. Consistently completing a SOC 2 audit builds continuity of vital controls and processes.
Teknologize is committed to doing our part to protect our clients. Obtaining our SOC 2 Attestation through a third-party auditor allows us to continue to grow and operate at a more mature and secure level of compliance and security.
“SOC 2 compliance demonstrates to customers, clients, and security vendors that we have taken the necessary steps to protect data and systems from potential threats and breaches. Teknologize is committed to completing the SOC 2 readiness and audit process annually. We believe our commitment to data management and security best practices allows us to implement the same processes and controls for our clients."
Byron Martin, Teknologize CEO
How Does SOC 2 Compliant IT Provider Affect Your Business?
A SOC 2 compliance audit measures an IT provider's network and system management services and their commitment to data management and security best practices. Therefore, the SOC 2 audit process and report allows businesses to assess and validate the integrity of the IT Provider they are trusting with their business and critical data.
Request a copy of the IT Provider’s SOC 2 report. The report is an attestation by a third party, allowing business leaders to trust the credibility of the assessment and have the reassurance that the IT Provider is implementing the necessary data governance, controls, and IT security required to protect your business. You’re not stuck relying on the IT provider’s “promise”.
If an IT Provider cannot complete a SOC 2 audit, they likely are not strictly implementing the data governance policies and procedures to protect your business.
Why Should You Ask Your IT Provider for Their SOC 2 Report?
A SOC 2 report can provide organizations with the assurance that their IT provider's systems and processes meet regulatory requirements, such as those related to data privacy and security.
Their best practices, security controls, and processes will ultimately help manage your business to appropriately store, manage and protect the critical data and systems relevant to your business.
Additionally, a SOC 2 report empowers decision-makers to eliminate those providers who may put their business data and reputation at risk.
This helps organizations make informed decisions about the providers they choose to work with and ensure that they are entrusting their sensitive data to IT Providers that have demonstrated a commitment to protecting that data.
Furthermore, it can also give you an idea about the level of security and compliance that the provider maintains, which can be useful if your company is required to comply with certain regulations or industry standards.
If SOC 2 Is So Important, Why Don’t All IT Providers Have It?
Many IT providers are not willing to invest in the SOC 2 attestation process.
It takes a significant commitment of money, time, and company resources to complete the audit process.
The audit also enforces IT Providers to hold their own organization accountable by noting any gaps in their efforts to safeguard both internal and client-related data.
Additional Considerations of How SOC 2 Compliance Can Influence Your Business
By using an IT Provider that is SOC 2 compliant, your vendors, customers, and clients can be assured that you’re following the necessary controls and best practices to protect their critical data and information.
- Improved customer trust: By demonstrating that your business uses a SOC 2 compliant IT Provider, you’re also demonstrating that you have adequate controls in place to protect the security, confidentiality, and privacy of your customer data as well as your own, therefore improving customer trust. This can be especially important for businesses that handle sensitive data, such as financial or healthcare information.
- Increased business opportunities: Some customers, particularly larger enterprises, may require their service providers to be SOC 2 compliant as a condition of doing business with them. By choosing a SOC 2 compliant IT Provider, a company may be able to create new business opportunities and expand its customer base.
- Enhanced reputation: You can enhance your business's reputation by partnering with a reliable and trustworthy provider of IT services. This can lead to increased customer loyalty and improved brand recognition.
- Reduced risk: Partnering with a SOC 2 compliant IT Provider demonstrates that you are implementing controls and security measures to reduce the risk of data breaches, cyber-attacks, and other security incidents. Protecting the business from potential financial losses and legal liabilities that may result from such incidents.
What is SOC 2?
SOC 2, Service Organization Control, is a set of security standards developed by the American Institute of Certified Public Accountants (AICPA) designed to ensure that service organizations have adequate controls in place to protect the security, availability, processing integrity, confidentiality, and privacy of the customer's data.
SOC 2 reports, which are issued by independent auditing firms, provide assurance that an organization's controls and processes related to security, availability, processing integrity, confidentiality, and privacy meet a set of specified criteria.
SOC 2 is widely recognized in the technology industry as a standard for ensuring the security and reliability of cloud-based systems.
Why is SOC 2 Important?
SOC 2 is important for a number of reasons.
- SOC 2 helps organizations to safeguard sensitive data and ensure the privacy and security of that data. This is particularly important in today's Information Age, where data breaches and cyber-attacks are becoming increasingly common.
- SOC 2 provides assurance that an organization's controls and processes related to security, availability, processing integrity, confidentiality, and privacy meet a set of specified criteria. This can give organizations that use the services of these providers confidence that their sensitive data is being handled properly and that the provider is committed to protecting that data.
- SOC 2 reports are widely recognized in the technology industry as a standard for ensuring the security and reliability of cloud-based systems. This means that IT Providers that have a SOC 2 report are viewed as more trustworthy and reliable by their customers, partners, and other stakeholders.
- SOC 2 compliance can also help organizations comply with regulatory requirements such as HIPAA, GLBA, and PCI DSS, which have strict data security and privacy requirements. Thus, partnering with and IT Provider that has a SOC 2 certification can help organizations gain customers and partners, and it can also help them to avoid costly regulatory fines and penalties.
What is Measured by a SOC 2 Type 2 Report?
A SOC 2 report measures the controls of a service organization related to the five "trust services criteria" outlined in the SOC 2 framework:
- Security: This refers to the measures taken to protect the confidentiality, integrity, and availability of the system and the information processed by the system.
- Availability: This refers to the measures taken to ensure that the system is available for use as intended.
- Processing integrity: This refers to the measures taken to ensure that the system processes transactions and data accurately and reliably.
- Confidentiality: This refers to the measures taken to protect the confidentiality of information processed by the system.
- Privacy: This refers to the measures taken to protect the privacy of personal information processed by the system.
The SOC 2 report includes a description of the service organization's controls, as well as an assessment of the effectiveness of those controls, over a specific period of time. It is based on an evaluation of the service organization's controls by an independent, third-party auditor.
The Importance of Being SOC 2 Accredited
It is important for an IT provider to have a SOC 2 attestation because it shows that the provider has undergone an independent, third-party assessment of its controls and has demonstrated that it meets the relevant standards. This can help customers feel more confident in the security and privacy of their data when using the provider's services. It can also help the provider to stand out in a crowded market and win new business.
Teknologize is a SOC 2 accredited, Professional Technology Services company with clients throughout the Pacific Northwest. We have offices located in:
- Tri-Cities, Washington 509.396.6640
- Yakima, Washington 509.396.6640
- Bend, Oregon 541.848.6072
Questions about your IT or Cybersecurity? Give us a call today!