Beyond Questionnaires: How SOC 2 Elevates Security Assessment

Beyond Questionnaires: How SOC 2 Elevates Security Assessment

Are you drowning in security questionnaires? You're not alone. These inquiries, while crucial for managing risk, can strain vendor relationships. They can be lengthy and repetitive, taking a significant amount of time to complete for each partner. Most companies rely on security questionnaires to assess vendor IT security, with many exceeding 100 questions and, in some cases, even exceeding 1,000.

The burden extends beyond time investment. Questionnaires are rarely standardized, making it difficult to reuse responses across different partners. The range of questions often necessitates involvement from multiple departments — such as IT, HR and legal — to compile a comprehensive response. Coordinating efforts across these functions can be a time-consuming logistical headache.

Security questionnaires, though commonplace, have significant limitations. Their reliance on self-assessment allows organizations to present an idealized picture of controls, especially when concerned about losing a client or vendor. Further reducing their effectiveness, a recent Cyentia Institute study shows only 34% of risk management professionals find them truly valuable despite the time required, underscoring the need for alternatives.

Fortunately, alternatives exist. One option involves independent validation, where the requesting party sends its own audit team to assess controls on-site. While thorough, this method can be resource intensive. A more efficient solution is obtaining a System and Organization Controls (SOC) 2 report. This independent auditor-generated report provides a standardized and verified assessment of an organization's security controls.

Using SOC 2 as an Alternative

Obtaining a SOC 2 report offers independent verification of your organization's controls for security, availability, processing integrity, confidentiality and privacy. Essentially, it acts as a single source of truth for potential clients and vendors, demonstrating your commitment to safeguarding sensitive data.

While there's a cost associated with a SOC 2 report, consider it an investment in operational efficiency. Imagine the time saved by eliminating the need to complete individual questionnaires, often requiring input from multiple departments. The time saved by a single SOC 2 report, compared to the cumulative effort of countless individual questionnaires, can quickly transform this from an administrative cost to a strategic advantage.

Why Don’t More Companies Use SOC 2 Reports?

There are two main factors contributing to the continued reliance on security questionnaires:

1.Misunderstanding the ROI: Some companies view a SOC 2 report as a compliance expense, not an investment in efficiency. However, a simple calculation considering time spent on questionnaires (multiplied by hourly rates) versus the cost of a SOC 2 report often reveals significant cost savings.

2.Limited Awareness: Organizations sending questionnaires may not fully understand their limitations. Questionnaires offer self-reported information, while a SOC 2 report provides independent verification of security controls. Independent assurance is demonstrably more reliable.

While logic may be on your side, sometimes you encounter decision makers who haven't considered these benefits.

SOC 2 Report Obtained, But Still Facing Questionnaires?

Are you still frustrated by customer/vendor security questionnaires after obtaining a SOC 2 report? Our step-by-step guide below helps you navigate the process, minimize self-assessment efforts and maximize the value of your SOC 2 report.

1.Ask: When you receive a security questionnaire, take a proactive approach. Simply reply to the vendor or customer and explain: "We've recently obtained a SOC 2 report, which independently audits our IT controls. Would you be willing to accept this report in lieu of completing the questionnaire?" If they accept, you’ve saved valuable time and effort. However, if they push back, move on to step 2.

2.Educate: If your vendor/customer doesn't initially accept the SOC 2 report, explain its advantages. A SOC 2 report goes beyond self-assessment; it's an independent audit conducted by a qualified professional. This independent verification provides a higher level of assurance about your security controls compared to a questionnaire. Express your willingness to discuss the report's findings to address any specific concerns they may have.

3.Demonstrate: If an explanation doesn't suffice, propose a one-time mapping exercise. You can offer to map the relevant controls from your SOC 2 report to the specific questionnaire. This demonstrates how the SOC 2 report addresses their security concerns. A one-time mapping exercise can be a valuable tool to establish trust and potentially eliminate the need for future questionnaires.

4.Navigate: Security questionnaires are often managed by procurement departments, who may not understand the nuances of a SOC 2 report. Politely ask procurement if they can connect you with the IT personnel who developed the questionnaire. IT staff will likely have a better understanding of how a SOC 2 report addresses their security concerns. If procurement remains inflexible, explain the situation to your customer service representative. Emphasize your understanding of the request but highlight the need for clarification. Customer service can often facilitate a more direct conversation with someone who can make informed decisions.

5.Flex: If, after following the previous steps, you're still required to complete the questionnaire, consider these options:

  • Voice Your Concerns: Express your dissatisfaction with the customer service representative in a professional and courteous manner. Explain how their questionnaire redundancy creates an unnecessary burden. By raising your concerns, you may contribute to a future policy change that benefits all vendors.
  • Evaluate Your Partnership: If you're a large vendor and the customer remains inflexible, consider using your size as leverage. Remind them of your value and the availability of alternative vendors who may be more willing to work with you.
  • Seek a More Streamlined Partner: Assess the value of the relationship for smaller vendors. If the questionnaire burden outweighs the benefits, explore alternative vendors with a more streamlined security verification process.

Remember, the goal is to establish a mutually beneficial partnership with efficient security practices.

Next Steps

If you need assistance conducting a SOC 2 report or have questions about the process, connect with one of our professionals


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Beyond Questionnaires: How SOC 2 Elevates Security Assessmenthttps://www.cbiz.com/Portals/0/Images/FSArticle_Beyond Questionnaires How SOC 2 Elevates Security Assessment_Hero-1920x1000.jpg?ver=1NesfB9G0ARwLcKT3xjpFw%3d%3dhttps://www.cbiz.com/Portals/0/Images/FSArticle_Beyond Questionnaires How SOC 2 Elevates Security Assessment_Thumbnail-300x200.jpg?ver=ReWth7-GQ0Pt69o2GCgvpQ%3d%3dMaximize operational efficiency with SOC 2 - your answer to reducing the burden of security questionnaires. See how it streamlines the assessment process, saving time and resources.2024-05-28T17:00:00-05:00

Maximize operational efficiency with SOC 2 - your answer to reducing the burden of security questionnaires. See how it streamlines the assessment process, saving time and resources.

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