Why a SOC 2 Report makes you a more attractive vendor

In today’s world, transferring risk to a third party is a valid risk mitigation strategy. Many organizations assess their core competencies and find areas where they’re less knowledgeable, specifically managed IT Services, and begin their search for a third-party vendor to fill this gap. During this search many questions will be raised, but none is more important than, “Will my company’s data be protected?”

The SOC 2 examination helps vendors show their clients and potential clients that they have proper controls in place to protect their customers’ data.

This is where the SOC 2 examination shines. The SOC 2 examination helps vendors show their clients and potential clients that they have proper controls in place to protect their customers’ data. A SOC 2 Report has the ability to report out on five key areas:

1. Security. The system is protected against unauthorized access, use or modification to meet the organization’s commitments and system requirements.
2. Availability. The system is available for operation and use to meet the organization’s commitments and system requirements.
3. Confidentiality. Information designated as confidential is protected to meet the organization’s commitments and system requirements.
4. Processing Integrity. The system processes data in a complete, accurate, timely, and authorized manner, and the system achieves its intended function.
5. Privacy. Personal information is collected, used, retained, disclosed, and disposed of meet the organization’s commitments and system requirements.

The services you provide your clients will be the driving factors for which areas you choose to report on. Reporting on all five is not required.

Data security is major concern of most organizations today. Organizations are looking for vendors that take this concern seriously, and one way to address this concern is to undergo and issue a SOC 2 report from qualified Certified Public Accountant. Not only is it a wonderful tool to demonstrate security competence but it’s also a great marketing tool for current and prospective clients, reduces client-requested site audits, and encourages customer confidence.