Many companies today choose to undergo an SOC 2 audit to determine how well they manage internal controls. However, before undergoing this audit, they want to take steps to prepare. They aren’t sure where to start and don’t want to spend the time and money only to fail dismally. The following steps will help any company prepare for this critical assessment.
Conduct a Pre-Assessment
Assign a team member to prepare the organization for the audit. A C-level representative should also be involved to ensure all parties are engaged. Other employees may need to be called in to help, removing them from their other duties. When choosing those responsible for handling the prep work, consider how their involvement will impact the company financially and in different ways. To avoid these issues, many companies hire an independent SOC 2 compliance audit specialist to oversee the process.
Choose the Trust Service Criteria
Trust Service Criteria vary by business type. This framework covers many topics and is essential in ensuring compliance. Trust Service Principles to consider when making this decision include security, availability, processing integrity, confidentiality, and privacy. Only security is compulsory, and the business might need help choosing which others are essential to their organization. This choice often depends on what partners look for when selecting a provider.
Conduct an Initial Gap-Analysis
An initial gap analysis provides information on the company’s current compliance status. It shows where improvements can be made and how to fill gaps. The study also reveals the work required to achieve full compliance and how best to achieve this goal.
Interview Employees
Employees are an excellent resource during the SOC 2 audit process. They are familiar with existing controls and processes and know where changes are needed. Those in charge of preparing for the audit will benefit significantly from these interviews.
Gather Documentation and Evidence
The team should gather and evaluate critical documents to determine whether they fulfill SOC 2 requirements. Furthermore, the team needs evidence to prove the controls and processes are working. This step also shows areas where improvements are required.
Pre-Assessment Report
Following the analysis, a pre-assessment report and gap mitigation roadmap should be developed and shared with the appropriate parties. This roadmap can be broken down into steps the organization must take to comply. With this information, everyone can work together to meet the assessment requirements.
Prepare Missing Documents
SOC 2 requirements outline essential documents. The company must create these documents before moving forward with the audit. This process takes time and expertise, so it should start early. The policies must be clearly articulated, adhere to industry best practices, and comply with regulatory requirements.
Close Technical Gaps
Technical gaps can be the downfall of an audit. The company must have controls that address the trust service categories for which it is being audited. These controls must be monitored and reviewed regularly to ensure they are effective and align with these categories. Doing so will help the company maintain its SOC 2 certification once it has been obtained.
The External Audit
A third-party auditor must conduct the formal assessment for SOC 2 certification. This auditor must be employed by a reputable CPA firm with experience in audits. Compare several options before choosing someone to handle this task.
Upon completion of the assessment, the auditor provides a report outlining their findings and whether they feel the established controls comply with the evaluated trust principles. The company can share this report with customers and stakeholders to show it is committed to security and compliance. Companies find taking these steps can generate additional business, which is always appreciated.