RiskWatch, Inc. announced the release of a new version of its RiskWatch for Information Systems software that includes the Sarbanes-Oxley Act self-assessment compliance surveys and reports.
The new version of RiskWatch for Information Systems and ISO 17799 includes the full set of SOX Section 404 guidance and requirements for organizations who are required to comply with Sarbanes-Oxley (SOX) requirements.
Section 404 of the Sarbanes-Oxley Act focuses heavily on the critical role of internal controls over financial reporting, re-emphasizing the importance of ethical conduct and reliable information in the preparation of financial information reported to investors.
“Using the RiskWatch software to do self-assessments prior to auditors coming in for full audits lessens the burden on smaller firms because it not only makes them more familiar with the Section 404 provisions, but it allows them to self-assess and then correct any identified deficiencies before their formal audit,” said Gary Swindon, a management expert and member of the ISACA CISM (Certified Information Security Manager) Board of Directors.
SOX compliance has been especially difficult for small companies, and they have been given extra time to comply and file their accounts; the SEC is trying to be sensitive to the impact on smaller companies. According to a recent article in The Economist, “The auditors emphasize that a good deal of the cost arises from a one-off learning process involved in first adopting the act’s requirements.”
Nearly half of all small companies feel that Sarbanes-Oxley (SOX) regulation has made it harder for them to successfully conduct business, according to a recent study commissioned by SAP America, Inc., a subsidiary of SAP AG. The study, which comes on the heels of a decision by the U.S. Securities and Exchange Commission (SEC) to delay compliance requirements for small businesses by one year, brings to light the opinions and difficulties faced by small business decision-makers managing SOX-related processes at public and private small businesses nationwide.