Four Questions to Answer
One common question I get from high growth organizations in the Software as a Service (SaaS) or broader technology service provider space is, “When is the right time to embark on a SOC2 assurance program and what value will it add?”.
The simple answer to this question is……..when your current or prospective clients start asking for it. However, there are other factors to consider in determining the right time to invest is such as initiative. If it were my business, I would also be asking the following questions:
1.) Will the ability to provide a SOC2 audit report to my current or prospective customers provide a competitive advantage?
As organizations move up market and enter into service agreements with larger more sophisticated clients it is likely that a SOC2 report will be required and the ability to provide that in a timely manner could be the difference between quickly onboarding the client or losing out to another service provider that is more prepared.
2.) Are there specific aspects of a SOC2 audit report that will be of particular interest to current or prospective customers that you are targeting?
For regulated organizations that deal in health care related information, or other entities with specific privacy and confidentiality requirements, the ability of a service provider to share their SOC2 audit report covering off these areas of interest will be table stakes for entry into that sector given modern third-party risk management programs.
3.) Are we getting full credit in the market for our investments in security, privacy and confidentiality procedures and controls?
Will a SOC2 audit process enable your company to tell its story to the market and differential itself from competitors by highlighting the maturity of your organizations control framework with respect to SOC2 Principals (Security, Confidentiality, Privacy, Availability, Processing Integrity).
4.) Can we leverage a SOC2 readiness process to assist in maturing our overall control framework while also preparing for an inevitable SOC2 audit requirement?
It is possible to kill two birds with one stone. Where you have concerns with your current processes and controls or are in the process of building them, by considering a SOC2 audit methodology in the design or update of such processes you set your organization up for long term success on multiple fronts.
If the answer to any of these questions is yes then your organization is likely at a point in its evolution and growth where investment in a SOC2 readiness assessment and/or audit process makes sense.
