Three IT Areas for SOX ComplianceRajesh Unadkat
The Sarbanes-Oxley Act doesn’t just affect your company’s accounting department, SOX compliance is also critical to the IT department. IT managers need to be aware of SOX compliance issues and what they need to do to avoid running afoul of the law.
SOX was passed in 2002, largely in response to corporation accounting scandals that had rocked the financial world in the early 00s. In addition to creating rules regarding accounting practices and corporate disclosures, the act also regulates how corporate IT departments must store the records of public companies.
SOX covers three basic areas regarding how IT departments maintain archives of corporate records:
- The destruction, alteration, or falsification of corporate electronic records.
- How long IT departments must store corporate records. In general, companies should follow the same record retention rules followed by public accountants with regard to record retention.
- The type of corporate records that must be SOX clarifies what communications, reports, and other records IT departments need to retain.
Noncompliance with SOX carries big penalties, including possible imprisonment, so it is vital that corporate IT departments understand and comply with this complex legislation. Governance, risk, and compliance (GRC) software can greatly assist companies in their efforts to remain in compliance with SOX.
Aruvio has decades of experience in providing GRC and information security solutions. Thanks to its partnership with , Aruvio provides ready-made SOX compliance templates that greatly facilitate the management of SOX compliance. With its GRC applications that are built on Salesforce platform, Aruvio can help companies instantly and with limited resource maximize benefits offered by their governance, risk management, and compliance management operations.