The Basics of SOC Reports

<p>This  article, part 1 of Securily’s “Knowledge Base Series,” provides a brief  overview of SOC reports, including what they are, who creates them, and how  they benefit organizations. Already familiar with SOC Reports? You can hop  into our article about <a  href="https://securily.com/blog/soc-1-vs-soc-2-which-report-you-need-and-why  "SOC 1 vs SOC 2"">determining what kind of SOC report your  organization needs</a>.</p><h2>What are SOC Reports?</h2><p>To start with the basics, SOC (pronounced “sock”) stands for  System and Organization Controls and refers to an organization’s information  security policies and procedures (they’re sometimes referred to as Service  Organization Controls). Organizations do not generate SOC reports themselves,  rather, they are created after an independent third-party auditor performs a  technical audit of the organization. The audit can identify internal system  vulnerabilities, as well as discrepancies between an organization’s system  design and its actual functionality. Basically, the auditor runs a series of  tests to discern if an organizations’ data security systems are working  properly. The results of this audit are presented in the form of a SOC report.</p><p>If an organization wants to achieve SOC compliance, they must  first meet “trust services criteria.” These criteria, established by the  <a href="https://www.aicpa-cima.com/">American Institute of  Certified Public Accounts</a>, include the following: * Security *  Availability * Processing Integrity * Confidentiality *  Privacy</p><p><a  href="https://securily.com/cyber-security">Securily</a>  helps organizations meet trust services criteria by assessing and  strengthening their “cybersecurity posture” with AI-enabled automated scans,  manual penetration testing, and preparation for various compliance  frameworks. (“Cybersecurity posture” refers to the overall strength of an  organization’s controls, protocols, and defense against cyberattacks.)  Securily prepares organizations for SOC certification by shoring up their  cybersecurity defense and creating policies necessary for certification. (See  how Disco, acquired by Culture Amp, <a  href="https://securily.com/case-study">achieved continuous  compliance</a> with Securily.)</p><h2>Why are SOC Reports valuable?</h2><p>Now that we’ve explained what SOC reports are and how they are  created, let’s talk about how they benefit organizations and their  customers.</p><p>If your organization has encountered more companies requiring  compliance certification, here’s why: data breaches—including identity theft,  ransomware, and hacker attacks—hit an <a  href="https://www.apple.com/newsroom/pdfs/The-Continued-Threat-to-Personal-Data-Key-Factors-Behind-the-2023-Increase.pdf">all-time  high in 2023</a> for U.S. organizations. The statistics are staggering:  “98% of organizations have a relationship with a vendor that experienced a  data breach within the last two years.” So, it is not a matter of “if” your  company will get targeted, but “when.” And it’s possible that it already happened.</p><p>Organizations that value responsibility and accountability should  be proactive about protecting themselves and their customers. But how does an  organization go about doing this? One option is to undergo a third-party  audit (described above), which would generate a SOC report. The yield of such  an assessment could help organizations identify and address any systemic  inconsistencies and vulnerabilities, potentially avoiding data breaches and  significant financial losses.</p><p>A more immediate option, which you can try right now, is  Securily’s <a href="https://securily.com/freescan">free  website header scan</a>. This scan checks the seven most common website  header vulnerabilities that hackers can exploit to inject malicious code,  disable your website, and steal your customers’ data.</p><p>According to the aforementioned <a  href="https://www.apple.com/newsroom/pdfs/The-Continued-Threat-to-Personal-Data-Key-Factors-Behind-the-2023-Increase.pdf">report</a>,  “The number of ransomware attacks was two and a half times higher in  September 2023 compared to September 2022,” and this upward trend will  continue in 2024. The best course of action is to be proactive rather than  reactive to lessen the risk of jeopardizing your business, customers, and  reputation.</p>