The main objective of SOC reports is to provide comfort to the user’s organization as it relates to security. SOC stands for Service Organization Control, and it’s a type of examination geared toward entities that provide services directly related to a user’s control systems. Here’s where SOC examinations come into play. That’s why service providers that manage users’ sensitive information must provide structured documentation detailing what they’re doing to protect users’ information. Without solid controls in place, that information could be compromised. The payroll company is dealing with sensitive information about their users’ employees. The main difference between organizations lies in the impact their products and services have on user operations.įor example, a payroll software provider serving large manufacturing companies will have more data responsibility than a marketing agency. We’ll discuss the main differences between SOC 1 and SOC 2 reports, as well as the specific requirements and specifications of each.īut first, let’s add a bit of context to make sure we’re all in sync. The terms “ SOC 1” and “ SOC 2” may seem confusing or intimidating at first glance, especially if you aren’t familiar with security controls and financial audits.īut the truth is that once you understand a few key (and simple) concepts, SOC reports are pretty straightforward.
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