Security frameworks / attestations and certifications: Which one is the right fit for your organization?
Perspective:
Despite the alphabet soup of security standards frameworks and compliance criteria, this post will concentrate on the two most common certifications for SaaS and B2B companies. cybersecurity services and compliance certifications, such as SOC 2 and ISO 27001, show that your company follows best practices. They are frequently categorized as “security” and are considered to be your systems’ technical security.
They are more comprehensive, concentrating on organizational practices that support your security and other goals. Included in this are system availability (system resilience), data security, user privacy, processing integrity goals, scalable process design, and operational preparedness to support important business customers.
So let’s quickly get on the same page as to the main reasons why these certifications and attestations are important from a business perspective before we discuss which one you would choose, how, and why.
Background and benefits:
It helps establish brand trust and enable sales:
Before we talk about which one you would choose, how to choose it, and why, let’s briefly agree on the primary reasons why these certifications and attestations are significant from a business standpoint.
It helps demonstrate compliance and establish a baseline for risk management:
To prove supply chain security, procurement teams frequently require these certificates.
It helps reduce overhead and time responding to due diligence questionnaires:
Firstly, The constant attentiveness required to meet the needs of enterprise customers is a major source of frustration for software companies. Vendor audits and hundreds or even thousands of “security questions”
It helps streamline and improve business operations:
Firstly, By completing these certificates, you adopt the “best” or “excellent” industry practises. Implementing and validating your alignment to standards benefits investors, regulators, partners, the board, the management team, and even employees. It gives you confidence that you are enhancing your security posture, assists in meeting regulatory needs, and fortifies your fundamental operational procedures.
Which standard is best for these goals?
Each standard has unique requirements, subtleties in their application, and market perceptions. This affects which might be best for your company and how they assist you in achieving the aforementioned objectives.
The two most popular standards, SOC and ISO, are contrasted here.
The SOC 2 reports are frequently warmly embraced and acknowledged. Before accepting the use of a SaaS vendor, many procurement and security departments may need a SOC 2 report. Obtaining a SOC 2 report can assist in demonstrating to users and customers that your company takes data security and protection seriously if it handles any client data. Businesses that will profit from SOC 2 compliance certification include those in the healthcare, retail, financial services, SaaS, cloud storage, and computing industries.
What is a SOC -2 certification?
Five Trust Service Criteria (TSC) concepts form the foundation of SOC-2.
- Firstly,- ensuring that all prescribed security processes are followed, sensitive information and systems are protected from security hazards,
- Secondly, – minimising downtime and ensuring that all systems are available to preserve sensitive data
- Thirdly,– checking the accuracy of the data both during processing and before permission
- Fourthly, – limiting access to information to those who have been authorised and permitted to receive
- Fifthly– maintaining the integrity and care of personal and private information
The American Institute of Certified Public Accountants (AICPA) created SOC 2 exams to aid firms in safeguarding their data and the privacy of their customers’ personal information. An organization’s security controls relating to general services, operations, and cybersecurity compliance are the subject of a SOC 2 examination. Organizations of all sizes and in a variety of industries can complete SOC 2 audits.
If the company passes the audit after an outside auditor completes a SOC 2 audit, the auditor will issue a SOC 2 certificate proving the company complies with all requirements. SOC 2 audits come in two varieties: Type 1 and Type 2. Simple differences exist between them: A Type 2 audit evaluates the effectiveness of the security process, while a Type 1 audit examines its design at a particular point in time.
What Is ISO/IEC 27001:2013?
The International Organization for Standardization (ISO) and the International Electrotechnical Commission (IEC) together publish the international information security standard known as ISO/IEC 27001. (IEC.) It belongs to the family of ISO/IEC 27000 standards. It provides a framework to assist businesses in setting up, implementing, running, overseeing, reviewing, maintaining, and continuously enhancing their information cybersecurity management systems.
The Information Security Management System (ISMS) specification described in ISO 27001 explains how businesses can address people, processes, and technology in relation to data security to safeguard the confidentiality, integrity, and availability of their information assets. In order to comply with the ISO 27001 framework, which is based on risk assessment and risk management, it is necessary to identify information security risks and put in place the necessary security controls to reduce them. Additionally, it incorporates ISO 27017 and 27018 as an extension to ISO 27001 and demonstrates cloud security and privacy measures.
The intent of information protection – a common thread between both SOC and ISO 27001.
SOC 2 and ISO 27001 are comparable in that they both aim to give clients confidence that you are securing their data. If you look at their guiding principles, you’ll see that they individually address crucial aspects of information security like confidentiality, integrity, and availability.
The good news from this comparison is that both certifications come from widely respected standards, demonstrating to clients that you take security seriously. The good news is that you are already well on your way to obtaining the other certification if you successfully finish the first one. Clients frequently accept these credible attestations and certificates as evidence that you have adequate security. Let’s say you do business with US-based companies. They will probably accept SOC 2 or ISO 27001 as a third-party validation of your information security programme in that instance.
The primary distinction between ISO 27001 and SOC 2 is scope, while there are other significant distinctions as well. The purpose of ISO 27001 is to give businesses a framework for managing their data However, demonstrate that they have a fully functional ISMS in place. SOC 2 on the other hand shows that a company has put in place fundamental data security safeguards.
Which one should you go with?
Regardless of whatever certification you choose to pursue initially, it’s likely that as your company expands, you will eventually need to accomplish both to satisfy the demands of your diverse customers. The good news is that you can utilize your effort from one certification to lessen the amount of work you have to complete for subsequent certifications using easier, quicker, and more affordable approaches. We advise you to approach compliance with a proactive perspective because doing so will ultimately save you time and money cybersecurity services.
