SOX modernization
Optimizing compliance while extracting value
In the years since the Sarbanes-Oxley Act of 2002 (SOX) was enacted, there have been significant developments in technology, methodology, and business and operating environments; however, the SOX program at many companies may not have evolved at the same pace, or at all. Through modernization, a company can optimize its SOX program, achieve efficiencies, extract value and insights to share with other areas of the organization, and potentially lower the related cost of compliance while still achieving reasonable assurance for regulatory compliance.
It’s time to refresh and rethink SOX
Many programs and processes at companies can succumb to the proverbial saying, “If it ain’t broke, don’t fix it.” This can be exacerbated by competing priorities due to an evolving business environment, new or revised regulatory requirements, changing technology, and so on. For many public companies, the SOX program established to comply with the regulatory requirements of the Sarbanes-Oxley Act of 2002 (SOX) may have also fallen into a “rinse and repeat” pattern.
A SOX program that has not been challenged in years may be stale, which could be a drain on resources and impede performance, particularly if this compliance program is treated more like a “check-the-box” activity.
After having an established SOX program for years, especially one that may not have kept up with the pace of change, it’s time to refresh, rethink, and modernize. Through modernization , a company can optimize its SOX program, achieve efficiencies, extract value and insights to share with other areas of the organization, and potentially lower the related cost of compliance while still achieving reasonable assurance for regulatory compliance.
Lindsay Rosenfeld
