Table of Contents ISO 27001 and SOC 2 Comparison
Background
There is an increased need for service organizations to provide assurance, trust and transparency over their controls to enterprises that outsource functions or processes to them (service organizations).
SOC 2 report – Relates to assurance on IT controls.
ISO 27001 enables organisations to implement an ISMS (Information Security Management System) framework. This framework includes detailed documentation of IT policy and procedures. Once an organisation is compliant to ISO 27001 standard, it is assured of having a strong foundation of Information Security principles that are designed and implemented.
Control Effectiveness (Design and Operation)
- SOC 2
- ISO 27001
- Information Security Management System (ISMS)
Foundation: ISMS
The framework can then be used to build upon other regulatory or client requirements such as SOC 2.
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Why SOC 2?
The ISO certification is a proof of organisation’s ability to maintain an effective ISMS at a certain point in time. (Example — It is comparable to getting a house inspected. The house may be very clean on the day of inspection but once the inspection is complete, there is no real way to verify the cleanliness standard of the house).
Due to this lack of long-term assurance, many organisations go for a Service Organisation Control (SOC) attestation in order to demonstrate their ability to maintain an effective IT security control environment (as opposed to simply being able to execute them).
Scope
SOC 2 report focuses on the effectiveness of the design and operation of their controls (over the system through which the services are delivered) that are relevant to the systems’ security, availability or processing integrity, or it may cover the confidentiality or privacy of the information processed for user entities.
| Area | SOC 2 | ISO 27001 |
|---|---|---|
| Purpose | Assist service organization management in reporting to customers that it has met trust service principles and criteria that ensures that the system is protected. | Outlines the requirements for constructing a risk-based framework to initiate, implement, maintain, and manage information security within an organization. |
| Focused on | Systems (information systems policy, procedures, system security, and change management) | ISMS (information security risk that can apply to human resources, asset management, supplier relationships, etc.) |
| Certification / Attestation |
Attestation – Includes details of the company background, services provided, and the system (infrastructure, procedures, people, data, and applications) within the scope of the assessment. The attestation report includes details of controls that meet the applicable Trust Services Criteria. |
Certification – which includes deliverable that outlines the organization’s conformance to the standard set of requirements. |
| Period covered |
Point in time (Type 1 report) — provides information on controls designed at a specific point in time. Period of time (Type 2 report) — shows controls are operating effectively over a specified period. |
Point in time |
| Framework | 7 common criteria + 4 additional criteria | Controls ranging from A.5 to A.18 |
Can ISO 27001 and SOC 2 be Implemented at the Same Time?
Yes, both can be implemented as it saves time, cost, and effort. The point to consider here is the requirements for SOC 2 can be treated as an input to implement the ISMS framework.
Conclusion
ISO 27001 is an excellent guide for implementing a security program (or practices) at an organisation. SOC 2’s best use is to provide an organisation with a way to demonstrate that security practices are in place and operating effectively. An organisation may have a need for both.
