Better Data Risk Mitigation For SaaS Providers

Better Data Risk Mitigation For SaaS Providers

Better Data Risk Mitigation for SaaS Providers

SaaS-Security

We live in a world that is rife with internal-controls breakdowns that result in security and data breaches, which can cause tremendous business and reputational damage for organizations.

The rise of cloud computing systems has now created an even greater need for organizations to develop the right controls to protect data that reside in the ‘cloud.’ Virtually every organization leverages Software-as-a-Service (SaaS) solutions – where data can be easily accessed through a web browser.

As most technology providers are migrating away from larger enterprise data systems to the cloud, it opens the doors to vulnerabilities. With SaaS providers hosting vital client data, they need to provide the right level of assurance that their clients’ sensitive data resides in a highly trusted environment.

Created by the American Institute of Certified Public Accountants (AICPA), Service Organization Control 2 (SOC 2) reporting allows any SaaS provider to mitigate risk when it comes to managing sensitive customer data in a virtualized environment.

Going through a SOC 2 security audit and receiving a favorable report allows SaaS providers to build-in a level of controls and trust in relationships with clients. However, the challenge with SOC 2 reporting is that many SaaS providers are unaware of this reporting and that not having an audit completed can cause significant business damage.

In addition, it is often the SaaS providers’ clients who inquire about SOC 2 reporting, and an “I don’t know” response does not provide clients with the critical assurance that they seek.

Fortunately, there are new tools that help SaaS providers determine their readiness to undergo a SOC 2 security audit and gain a ‘clean opinion.’

As more organizations are seeking support from SaaS providers, we will continue to see the true value of cloud computing emerge for any business sector. Providing the right level of assurance is critical for SaaS providers to further grow their businesses, and the little secret of undergoing a SOC 2 audit is now out of the bag.

Now, is the time to make sure that all of your clients’ data is residing in a truly trusted environment, and there are solutions for meeting this goal.

By Paul L. Shifrin, CPA, is a Director of Audit Services at SC&H Group

Paul directs SC&H’s SOC/SSAE 16 auditing practice, providing companies with audit services for their outsourcing of key components of their clients’ internal controls.

(Image Source: Shutterstock)

About CloudTweaks

Established in 2009, CloudTweaks is recognized as one of the leading authorities in connected technology information and services.

We embrace and instill thought leadership insights, relevant and timely news related stories, unbiased benchmark reporting as well as offer green/cleantech learning and consultive services around the world.

Our vision is to create awareness and to help find innovative ways to connect our planet in a positive eco-friendly manner.

In the meantime, you may connect with CloudTweaks by following and sharing our resources.

View All Articles

Sorry, comments are closed for this post.

Multi-Cloud Integration Has Arrived

Multi-Cloud Integration Has Arrived

Multi-Cloud Integration Speed, flexibility, and innovation require multiple cloud services As businesses seek new paths to innovation, racing to market with new features and products, cloud services continue to grow in popularity. According to Gartner, 88% of total compute will be cloud-based by 2020, leaving just 12% on premise. Flexibility remains a key consideration, and…

Knots And Cloud Service Providers

Knots And Cloud Service Providers

How Do These Two Compare? In Boy Scouts, I learned how to tie knots. The quickest knot you can tie is the slipknot. It’s very effective for connecting one thing to another via the rope you have. It was used in setting up tents, mooring boats to docks temporarily and lifting your food up into…

Global Cloud Development An Open Question

Global Cloud Development An Open Question

Global Cloud Development Statistics and projections from Cisco’s Global Cloud Index show that the world’s data centers are already processing 4.7 zettabytes (4.7 million petabytes) per year. Cisco research says this amount will continue to grow by 23% annually for the next few years. (Inforgraphic Source: https://visual.ly/how-much-petabyte) If we project these numbers over the next 25…

Big Data – Productivity, Innovation And Competitiveness

Big Data – Productivity, Innovation And Competitiveness

Big Data – Productivity, Innovation And Competitiveness Big Data Analytics Big data refers to datasets that are so large, diverse, and fast-changing which need advanced and unique storage, management, analysis, and visualization technologies.  According to McKinsey, Big Data is “the next frontier for innovation, competition and productivity”.  The right use of Big Data can increase productivity,…

5 Things A Cloud Provider Should Offer – Part II

5 Things A Cloud Provider Should Offer – Part II

5 Things A Cloud Provider Should Offer Part II I recently posted an article for the CloudTweaks community on “Cloud-Enabled Managed Hosting: 5 Things a Cloud Provider Should Offer” and many readers have since asked me to expand upon this list. So, as a sequel to my first article, here are another five things I…

Even Companies With A “Cloud First” Strategy Have Lingering Security Concerns

Even Companies With A “Cloud First” Strategy Have Lingering Security Concerns

Lingering Security Concerns Considering the cost and time-to-market advantages of SaaS applications in particular, it’s no surprise that companies are looking to the cloud to meet their business objectives. But what happens when a ‘cloud first’ company must also put security and compliance first? In a recent Bitglass survey report from a cloud access security…

OpenStack Interoperability – Dawn Of A New Era?

OpenStack Interoperability – Dawn Of A New Era?

The Interoperability Challenge! OpenStack has always had interoperability as one of its unique selling points. Simply put – you can use OpenStack on-premise and what you develop will also work with other OpenStack environments. Open APIs and open source is the common denominator. However until now, it has been an elusive feature or really dream…

CloudTweaks is recognized as one of the leading influencers in cloud computing, infosec, big data and the internet of things (IoT) information. Our goal is to continue to build our growing information portal by providing the best in-depth articles, interviews, event listings, whitepapers, infographics and much more.

Advertising