Tuesday, November 15, 2005
IT the key to cutting SOX costs
The Sarbanes Oxley Act (SOX) has already celebrated its third birthday. And like many three-year-olds it can still create lots of mess - and plenty of sleepless nights - for the companies that fall under its power.
IT departments have had to deal with a fair amount of the teething problems. SOX demands a single version of the truth from companies in terms of the financial figures they deliver. But with the complex systems they have built up, one plus one doesn't always equal two, which means many companies have been scrambling to get their systems straight.
Companies have to prove they have strong controls in place. These controls can cover a range of situations - such as not sending more stock to a customer that has reached its credit limit. This could be done manually, by pouring over spreadsheets every week, or could be built in automatically.
posted by Brian Moran @ 8:49 AM