In wake of corporate scandals such as the Enron scandal, the United States Congress enacted the SOX Compliance Act in 2002. The SOX (Sarbanes-Oxley) Act was designed particularly for all United States publicly traded companies, and requires stricter control over internal affairs and the governance of these companies. This act also subjected companies to audits from independent sources.
As a result of this, during the earlier years after the SOX Compliance Act was enacted, companies spent a large sum of their budget trying to ensure that assessment reports met the guidelines that were stipulated by the SOX Compliance. Today, however, these companies are looking for a more cost effective solution to meet the requirements of the SOX Compliance Act.
If you fall into the bracket of seeking a more inexpensive way to sustain SOX Compliance, you should consider speaking to a representative from a Denver IT consulting firm such as NOYNIM. NOYNIM will work with you to address all the challenges of, and help reduce the costs of the compliance.
You ought to keep in mind that when choosing a company to help you with addressing the challenges of the Sarbanes-Oxley Compliance Act, you must ensure that the companies can work closely with your management team to create, evaluate and enhance your business’ internal controls. Additionally, the company should be able to regularly monitor the progress of the compliance, in order to prove to independent auditors that the internal controls were tested according to regulations.
By using Denver IT services like NOYNIM, you are providing yourself and your management team with more control over all the plans and issues that are related to the SOX Compliance Act. This solution to the Compliance Act will not only allow you to breathe easier when it is time for independent auditing, but it will also provide you with other great benefits like:
- Decreased Risk – Solution companies can allow you access to dashboards that will give you a clear view of the financial management of your company, and also to see what is going on with the compliance process. This helps to reduce the risk of being reprimanded under the SOX Act, as it will make it easier for you to notice and address any important alerts.
- Enhanced Process Control – A compliance solution must be able to help you regularly check your company’s process controls, so that you will be better able to delete all the redundancy and errors from the system.
- Decreased Compliance Costs – Most compliance solutions will provide you with an automated system for the flow of information and testing and assessments of process controls; therefore, significantly reducing all costs associated with the compliance.
- Standardization – Working with a reputable Denver IT consulting firm will also enable you and your management staff to standardize compliance reporting and operations across all areas of your company.
- Increased Safety of Financial Information – Not only does the SOX Compliance Act require stricter financial governance, but it also has harsher punishments for not complying with the requirements of the Compliance Act. When you use a security solution such as NOYNIM, you will be able to quickly identify and address any security problems in your company. You will then be able to easily create assessment reports and plans for remediation.
It is better to be on the safe side of the law and adhere to the regulations of the SOX Compliance Act, than to have your company go through a highly publicized scandal (like Enron did) and face severe consequences. Therefore, if your company is a publicly traded company, you need to consider using the services of a compliance solution so that you will have better control over your company’s information security, and protect your company against possible external or internal threats.
On your own, adhering to the regulations of the Sarbanes-Oxley Compliance Act might seem like a burdensome and costly task. However, with help from a Denver computing consulting company, you will not only be able to adhere to SOX Compliance regulations, but you will also be able to keep your company safer and in turn allow stockholders to breathe easier.
Remember a compliance solution can assist your company with:
- Securely managing and maintaining all financial data.
- Accurately documenting all procedures and policies related to the SOX Compliance. In addition to keeping track of all independent audits.
- Providing you and your management staff with an easy-to-control dashboard and very detailed reports on the condition of the Sarbanes-Oxley Compliance, and quickly lead you to any problem areas across your business units that you may need to address.
As such, you should not hesitate to contact NOYNIM today to speak to a representative about the ideal SOX compliance solution for your publicly traded company. Who would not want to save money on the best technology while keeping their company’s financial data secure? Call today.