Libby Bevin

Cloud computing is everywhere these days, which means that the security risks inherent to cloud computing are everywhere too — and corporations need to manage those risks somehow. 

One beacon of guidance is NIST, the National Institute of Standards and Technology. NIST offers numerous frameworks to help organizations manage technology risks, cloud computing included.  

For example, NIST Special Publication 800-145 (originally published in 2010) lays the groundwork for cloud computing, defining it as “a model for enabling ubiquitous, convenient, on-demand network access to a shared pool of configurable computing resources that can be rapidly provisioned and released with minimal management effort or service provider interaction.” This definition captures the essence of cloud computing, NIST 800-145 identifies the technology’s five essential characteristics, three service models, and four deployment models.

This article unpacks the NIST definition of cloud computing to understand the value of cloud computing services and gain the best return on your cloud information technology investment.

What Is Cloud Computing?

The term “cloud computing” was coined in 1996 in an internal document from computer manufacturer Compaq (today a part of Hewlett-Packard). The concept, however, likely originated in the 1950s when some organizations started using complex systems of massive mainframe computers to process data.

Today cloud computing refers to “distributed” computing. In this model, IT hardware, software, and processes exist in different physical locations, and connect and communicate with each other via the Internet.

By hosting platforms, databases, and software remotely, cloud computing supports the on-demand delivery of computing power, storage, networking, databases, and applications to users.

Benefits of Cloud Computing

Cloud computing allows users to access applications and data from any location at any time and from any Internet-connected device, such as a laptop or mobile phone. Cloud systems also provide infrastructure for businesses to develop and deploy enterprise software and services. This infrastructure improves agility and time-to-market for software development.

Cloud systems also offer many other benefits over traditional, “on-premises” computing.

Scalability

Cloud infrastructure can easily be scaled up or down to meet the organization’s fluctuating business demands.

Lower Costs

A pay-as-you-go payment model allows organizations to control their IT costs by paying only for the resources they use. Even better, they don’t have to purchase or maintain their equipment, which reduces capital expenditures (CAPEX) and lowers the total cost of ownership (TCO).

Multiple Storage Options

Enterprises can choose from public, private, or hybrid cloud storage offerings depending on their requirements and cloud security needs.

Data Security

Most “public” clouds (that is, those maintained by a cloud-services provider such as Amazon Web Services or Microsoft Azure) offer advanced security features including granular permissions and access management, authentication, encryption, API keys, and virtual private clouds (VPC) to secure sensitive data. In addition, networked backups minimize the probability of data loss.

Multiple Control Choices

Organizations can determine their desired level of cloud control with multiple “as-a-service” cloud options, including SaaS, IaaS, and PaaS (software, infrastructure, and platform as a service).

What Is the NIST’s Cloud Computing Definition and Model?

NIST’s cloud model (definition) is composed of:

• Five essential characteristics
• Three service models
• Four deployment models

NIST’s Five Characteristics of Cloud Computing

The five essential characteristics of a cloud service create the cloud computing infrastructure. It includes a physical layer of hardware resources and an abstraction layer, which consists of the software deployed across the physical layer. These attributes are:

1. On-Demand Self-Service

Self-service means the cloud user can acquire the service independently, without going through an IT department, call center, or other middleman. To support self-service:

• The cloud provider must have an automated interface such as a web portal or mobile app.
• The user should be able to access the interface at any time.
• The user should also be able to cancel the cloud service anytime.

2. Broad Network Access

The cloud service must be broadly available over the communication network. Users should be able to access it from any location and on an internet-enabled device.

3. Resource Pooling

Multiple customers share the cloud service resources in a multi-tenancy model. This model does raise privacy and security concerns, so users must protect their cloud data and assets by taking necessary security precautions.

4. Rapid Elasticity

Elasticity refers to the flexibility of the cloud service to scale up or down automatically to meet the user’s needs. That allows the user to access the right level and kind of resources, including processing power, memory, network bandwidth, and storage, to accommodate the user’s varying workloads.

5. Measured Service

A measured cloud service provides a metering capability that underpins the provider’s pay-as-you-go pricing model. This model provides users with greater transparency and control over their cloud costs.

What Is the NIST’s Cloud Computing Architecture Model?

NIST Special Publication 500-292 defines five distinct and significant roles within a cloud computing model:

1. Cloud consumer
2. Cloud provider
3. Cloud auditor
4. Cloud broker
5. Cloud carrier

Discussing each of these roles in detail is beyond the scope of this article. We can, however, briefly list the cloud providers and deployment models to understand NIST’s perspective on the cloud computing architecture model. 

Cloud Providers in the NIST Cloud Computing Reference Architecture

NIST identifies three distinct cloud service provider categories:

1. Software-as-a-Service (SaaS)

In the SaaS model, the cloud provider manages the underlying software and IT infrastructure. Users access the SaaS offering via a web browser. Local installation is not required, and organizations don’t have to worry about managing data centers, IT operations, or maintenance.

Some famous examples of SaaS applications include:

• Amazon Web Services (AWS)
• Salesforce
• Microsoft Office 365
• Google applications (G-Suite), including Gmail
• Dropbox
• SAP
• Adobe Creative Cloud

2. Platform-as-a-Service (PaaS)

PaaS provides a powerful development platform with programming languages, web-based APIs, and processes that allow software developers to create cloud-based applications. The PaaS provider fully manages the underlying infrastructure and automatically configures infrastructure resources across user-created environments.

Some popular PaaS providers include:

• AWS Elastic Beanstalk
• Oracle Cloud Platform (OCP)
• Google App Engine
• Microsoft Azure
• Red Hat OpenShift PaaS

3. Infrastructure-as-a-Service (IaaS)

Users can rent the cloud IT infrastructure, such as servers, networking, and storage, from an IaaS provider on a pay-as-you-go basis, so the user doesn’t incur the cost of on-premises installation or maintenance.

Examples of popular IaaS providers include:

• AWS EC2
• Google Compute Engine
• DigitalOcean
• Microsoft Azure 

NIST Models for Deployment

The NIST cloud computing definition includes four cloud deployment models representing four types of cloud environments. Users can choose the model with features and capabilities best suited to their needs.

1. Private Cloud

A private cloud is a single-tenant environment provisioned by a single organization.

Security is one of the most significant benefits of a private cloud; the company’s data cannot be accessed by anyone other than its authorized users. That’s why the private cloud is a good choice for organizations whose data or assets are too valuable or sensitive to put on a public cloud and for firms aiming for HIPAA or PCI DSS compliance.

Some private cloud providers are:

• VMWare
• Dell
• Oracle
• IBM
• Microsoft
• Cisco
• AWS

2. Public Cloud

In this multi-tenant deployment model, the cloud service provider owns the cloud. The underlying resources are shared by multiple customers who pay for the resources they use on a pay-as-you-use basis.

The provider owns, controls, and protects the data security requirements of different customers. It is also responsible for administration, maintenance, troubleshooting, capacity planning, and data backups.

As of the fourth quarter of 2023, the top three public cloud providers are AWS, Microsoft Azure, and Google Cloud, which own 31, 24, and 11 percent of the market share, respectively. Other up-and-coming public cloud providers include:

• Alibaba Cloud
• IBM
• DigitalOcean
• Dell
• Adobe

3. Hybrid Cloud

In a hybrid cloud, the infrastructure comprises two or more distinct public or private clouds bound together by technology-supporting data and application portability. This deployment model provides greater flexibility, portability, and scalability than the others.

Examples of hybrid cloud providers include:

• AWS VPC
• EMC
• BMC
• F5
• NetApp

4. Community Cloud

Users from organizations with shared concerns use a community cloud. This multi-tenant platform allows multiple companies or special interest user groups to collaborate securely on projects or research.

Community clouds are expected in government, healthcare, and education for use cases such as:

• Customer service
• Partner relationship management
• Channel sales
• Dealer contract renewals
• Employee engagement
• Collaboration and business decision-making

NIST Models for Orchestration

The NIST cloud computing definition provides a view on orchestration as a key architectural component to describe how different cloud providers interact at each layer of the cloud infrastructure, namely:

Service Layer 

Determines the services made available depending on the Cloud Provider type (SaaS, PaaS, or IaaS)

Resources Layer 

Abstract the data and the allocation of resources among the different cloud providers.

Physical Layer 

Define the interaction between actual endpoints and devices across these providers.

NIST Models for Management

NIST defines management as another critical architectural component and describes it in three different categories:

1. Interoperability: defines the management, security, and accessibility of information across different formats
2. Provisioning: defines the adherence of service-level agreements between different cloud service models
3. Support: defines accountability and reporting of capacity and availability across the different cloud service models

The Importance of NIST Cloud Security Standards

NIST’s comprehensive definition of cloud computing allows organizations to evaluate and compare various cloud services and deployment models more effectively. By understanding this definition, businesses can better appreciate the transformative benefits of cloud technology, implement robust security controls and compliance best practices outlined by NIST, and be empowered to make well-informed investments in cloud resources.

Adhering to NIST’s cloud security guidelines is crucial for organizations operating in regulated industries, such as federal agencies, where information security and risk management are paramount. 

Conducting thorough risk assessments and implementing strong access control measures can fortify an organization’s information systems against potential vulnerabilities and assure compliance with regulations such as the Federal Risk and Authorization Management Program (FedRAMP) and the Federal Information Security Management Act (FISMA).

NIST’s guidance extends beyond mere compliance. It enables organizations to establish comprehensive incident response protocols and foster a culture of continuous improvement by adopting frameworks including the NIST Cybersecurity Framework (CSF). 

By embracing NIST’s best practices, businesses can unlock the full potential of secure and cost-effective cloud computing solutions while maintaining a steadfast commitment to data protection and operational resilience.

Frequently Asked Questions (FAQs)

What Are the Core NIST Functions?

The NIST Cybersecurity Framework outlines five core functions: identify, protect, detect, respond, and recover. These functions provide a strategic view of an organization’s cybersecurity practices and enable effective risk management.

What Does the Cloud Security Framework Cover?

NIST’s cloud security framework offers comprehensive guidance on various aspects of cloud computing security, including risk assessment, access control, data protection, incident response, and continuous monitoring.

How Do NIST Guidelines Affect Cloud Computing Security?

NIST guidelines serve as valuable references for organizations adopting cloud computing solutions. By following NIST’s best practices, businesses can support robust security controls, regulatory compliance, and effective risk management in their cloud environments.

What Are the Main Components of NIST’s Cloud Security Model?

The NIST cloud security model has several key components: security controls, risk assessment methodologies, incident response plans, and continuous monitoring processes. Together, these components provide a holistic approach to cloud security.

How Can Organizations Implement NIST Cloud Security Standards?

Organizations can implement NIST cloud security standards by conducting thorough risk assessments, establishing strong access control measures, implementing incident response protocols, and adopting frameworks such as the NIST Cybersecurity Framework (CSF). Regular security audits and employee training are also crucial for effective implementation.

Maintain Cloud Compliance with ZenGRC

ZenGRC streamlines evidence and audit management for all of your compliance frameworks. Whether you are implementing NIST guidelines or SOC2 regulations, we can help you strengthen your security posture and cloud compliance.

The integrated, automated ZenGRC platform provides a comprehensive view of control environments and relevant compliance information. Leverage this knowledge to evaluate risks, close gaps, and assure your business systems and data are safe.

ZenGRC provides modern organizations the tools to transition from “check-the-box” compliance to compliance-driven cybersecurity. Schedule a demo today.

The PCI-DSS 4.0 security standard for credit card transactions went into effect at the end of March 2024, and supplanted the Payment Application Data Security Standard (PA-DSS) as the primary security standard for all retail transactions. 

That said, it’s still important to understand the distinction between PA-DSS and PCI-DSS, as many organizations may still be transitioning to the new standards or dealing with legacy payment applications.

The Payment Application Data Security Standard (PA-DSS) and the Payment Card Industry Data Security Standard (PCI-DSS) require companies to protect credit card information and secure payment portals. 

While these standards share a common goal of protecting financial data, they are distinct in their focus, scope, and security requirements. Failure to comply with these standards can result in significant compliance gaps, leaving organizations vulnerable to data breaches and financial penalties.

In this article, we’ll discuss the fundamental differences between PA-DSS and PCI-DSS to give you a comprehensive overview of their respective roles in enhancing payment security.

What Is PCI DSS?

The Payment Card Industry Data Security Standard is a set of technical requirements created by the PCI Security Standards Council (PCI SSC) to protect credit card information during retail transactions.

PCI DSS compliance standards apply to all entities that store, process, or transmit cardholder data, regardless of that organization’s size or sector; although the exact controls an organization needs to implement will depend on the volume of transactions it processes and whether that business has had any prior breaches or non-compliance with PCI standards.

The Payment Card Industry Security Standards Council is an independent organization established by major payment card companies Visa, MasterCard, American Express, Discover, and JCB. It is responsible for oversight and enforcement of compliance with PCI DSS.

Understanding PA-DSS Compliance

The Payment Application Data Security Standard (PA-DSS) regulates software applications that handle cardholder and sensitive authentication data. Its goal was to help software vendors build secure payment software applications that don’t store prohibited data, such as full magnetic stripe, card verification code, CVV2, or PIN block data.

The PA-DSS requirements were derived from PCI DSS requirements and security assessment procedures. So any software applications that store, process, or transmit cardholder data fell under the scope of an organization’s PCI DSS assessment, even if the applications had been validated to meet PA-DSS standards.

While PA-DSS compliance was essential for the security of payment applications, using a PA-DSS-compliant application alone didn’t guarantee compliance requirements with the broader PCI DSS.

Is PA-DSS Still Valid, and What Replaces It?

PA-DSS v3.2 expired in October 2022, and was superseded by the PCI Software Security Framework (SSF). That said, PA-DSS remains available and supported to minimize disruption and ease the transition process for stakeholders.

The PCI Software Security Framework (SSF) aims to provide a more comprehensive and flexible approach to cybersecurity and information security for payment software and validated applications. The new framework includes the PCI Secure Software Standard (SSS) and the Payment Application Best Practices (PABP). 

The SSS focuses on secure software lifecycle processes, incorporating security throughout the development lifecycle. It addresses access control, vulnerability management, and other security functionality requirements.

Meanwhile, the PABP guides secure payment application deployments, covering cardholder data environment scoping, PAN storage and transmission, firewalls, and other PCI DSS-compliant best practices.

To Whom Does PCI DSS Apply?

PCI DSS applies to a wide range of organizations, including:

• Merchants. This includes businesses of all sizes that accept payment cards for goods and services through physical point-of-sale (POS) terminals or e-commerce platforms.

• Service providers. These companies process, store, or transmit payment card data on behalf of merchants. Examples include website hosts and cloud service providers.

• Processors. Processors enable merchants to accept payment cards and must ensure that the card transactions meet PCI DSS requirements.

• Issuing banks. Banks that issue payment cards must adhere to PCI DSS to secure the cardholder data.

How Does a Company Obtain PCI Compliance?

Merchants must achieve a certain level of PCI compliance based on the volume of their credit card transactions within a given year. The more transactions a merchant processes, the more stringent the compliance criteria are. There are four levels of compliance for merchants and two for service providers.

The method of evaluating PCI compliance varies based on the nature of a merchant’s business and their merchant level. While all merchants must perform an annual assessment to maintain PCI compliance, the merchant level determines who performs that assessment and how detailed that assessment is.

PCI-DSS assessments generally fall into one of three methods:

1. Qualified Security Assessor (QSA): A QSA is a third-party assessor certified by the PCI Security Council to perform PCI assessments. A QSA is required to evaluate all merchants at Level 1, the highest level of compliance.
2. Internal Security Assessor (ISA): An ISA is an internal assessor of the assessed organization, such as an internal auditor. The ISA must be certified by the PCI Security Council to perform PCI assessments, but only for his or her organization.
3. Self-Assessment Questionnaire (SAQ): A SAQ is used by lower-level merchants (with fewer transactions) to self-assess their compliance. Multiple SAQs are available, with the specific SAQ used determined by how customers perform credit card transactions (for example, card not present versus card present).

What Does PA DSS Compliance Mean?

Compliance with PA DSS means a payment application has been independently assessed and validated to meet these security standards. This compliance is vital for software vendors and businesses, as it helps protect cardholder data and that, in turn, enhances customer trust by reducing the risk of data breaches and financial fraud.

What Are PA DSS Requirements?

Below is a general overview of PA DSS requirements:

• Avoid storing complete track data, card verification codes, or PIN block data.
• Protect stored cardholder data.
• Keep a comprehensive log of payment application activity.
• Implement authentication features.
• Develop payment applications with solid security measures.
• Test payment applications regularly for vulnerabilities, and keep them updated as new vulnerabilities are discovered.
• Secure wireless data transmissions.
• Enable secure remote access to the payment application.
• Encrypt sensitive data when transmitted over public networks.
• Assure a secure network setup.
• Maintain a PA-DSS Implementation Guide for customers, resellers, and integrators.
• Never store cardholder data on an internet-connected server.
• Designate personnel for PA-DSS responsibilities and provide training for personnel, customers, resellers, and integrators.
• Secure all non-console administrative access.

To Whom Does PA DSS Apply?

PA DSS applies to third parties — principally software developers and vendors — that create payment applications to process credit card transactions. So if you develop an in-house payment application, that application would be subject to PA DSS requirements.

What Is the Difference Between PCI DSS and PA-DSS?

The key differences between PCI DSS and PA-DSS are as follows:

Scope and Coverage

• PCI DSS. PCI DSS applies to any organization that stores, processes, or transmits cardholder data, regardless of whether that organization develops its payment applications.
• PA DSS. This applies to software vendors and developers creating payment applications to process payment card transactions.

Compliance validation

• PCI DSS. Compliance with PCI DSS involves a self-assessment questionnaire (SAQ) for smaller merchants or an on-site assessment by a Qualified Security Assessor (QSA) for larger organizations.
• PA DSS. Compliance with PA-DSS involves a formal validation process by a Payment Application Qualified Security Assessor (PA-QSA). This means vendors must submit their payment applications for review and approval.

Supervisión

• PCI DSS. Major card brands such as Visa, MasterCard, American Express, and Discover require this standard, which the Payment Card Industry Security Standards Council oversees.
• PA DSS. PA DSS is under Visa‘s supervision.

Meet Your Compliance Goals with ZenGRC

ZenGRC is a compliance management solution that streamlines and improves the compliance process. Our solution automates the tracking of compliance-related activities, reducing the need for manual intervention. That way, you assure compliance tasks and deadlines are consistently monitored and met.

Plus, ZenGRC provides comprehensive dashboards that present a holistic view of your compliance initiatives. Dashboards make it easy to access information on compliance gaps, progress, and action items and get a clear path to manage any deviations.

Sign up for a demo to see how ZenGRC can optimize your compliance management processes.

The confidentiality of personal health data is one of the highest priorities in information security. As healthcare providers and organizations handle vast troves of protected health information (PHI), the need for robust security measures and unwavering HIPAA compliance cannot be overstated. 

Failure to maintain compliance with HIPAA (the Health Insurance Portability and Accountability Act) exposes healthcare businesses to substantial legal and reputational risks, underscoring the importance of conducting thorough security risk assessments — and one fundamental requirement for HIPAA compliance is a security risk assessment.

A HIPAA security risk assessment examines your compliance with the HIPAA Security Rule. It applies to both your own organization, and any business associates that handle PHI on your behalf. This article will explore what that risk assessment should encompass and how to perform it effectively.

Areas of the HIPAA Security Rule

The HIPAA Security Rule is both complex and challenging. It has three primary components. 

Administrative safeguards

These are the administrative actions, policies, and procedures to secure electronically protected health information (e-PHI), including electronic health records (EHR). These safeguards should address seven major points.

• The security management process addresses organizational policies, procedures, and employee security training, including cybersecurity awareness and HIPAA compliance. It also outlines expectations for security risk assessment, analysis, risk register, and risk management plans.
• Assigned security responsibility requires businesses to designate someone responsible for developing and implementing organizational policies and procedures by the Security Rule.
• Workforce security stipulates that policies and procedures must give employees access to e-PH that they need to do their work, and that the access ends with the need to access the PHI.
• Information access management says that covered entities must restrict PHI access to only those who need it.
• Security awareness and training stipulates that covered entities must train employees in security policies, procedures, and practices.
• Security incident procedures require policies and procedures in case of a security incident, so that employees know how to protect e-PHI.
• Contingency plans address outages that aren’t breaches — say, those caused by a loss of power or a disaster — and require policies and procedures for assuring confidentiality, availability, and integrity in the event of a crisis.
• The evaluation says covered entities must have up-to-date security monitoring and evaluation plans.
• Business associate contracts and other arrangements require contracts with service providers and third parties that create, receive, maintain, or transmit PHI to meet specific HIPAA requirements.

Physical safeguards

Physical safeguards consider the concrete measures covered entities take to safeguard PHI, including building and equipment security. This includes the following.

• Facility access controls require policies and procedures for restricting physical access to the buildings where PHI and its systems are stored, including data centers, IT staff offices, workstations, and peripheral equipment.
• Workstation use and security requires physical security with restricted access for all e-PHI-accessible workstations.
• Device and media control requires policies for receipt and removal of hardware and electronic media that contain ePHI into and out of a facility, and the movement of these items within the facility. Disposal of hardware, software, and patient data should also be addressed.

Technical safeguards

Technical safeguards (also known as cyber safeguards) protect e-PHI and control technological access, requiring access controls, audit controls, integrity controls, authentication controls, and transmission security controls.

• Access controls concern policies and procedures for restricting electronic access to PHI to certain authorized users and software.
• Audit controls stipulate that systems containing e-PHI must be monitored and their activity recorded. These controls also dictate audit procedures and frequency, evidence collection, results in analysis, and penalties for employee HIPAA violations.
• Integrity controls address preventing and correcting PHI errors and unauthorized PHI changes or deletions.
• Person or entity authentication governs how the identity of people and entities requesting access to PHI is authenticated.
• Transmission security protects e-PHI in transit from compromise, including encryption.

What your HIPAA Security Risk Assessment Should Cover

A HIPAA security risk assessment assesses your compliance with the administrative, physical, and technical safeguards listed above.

The supporting risk analysis should identify risks, potential risks, vulnerabilities, and potential threats; and assess how well the safeguards you have in place address them. According to the U.S. Department of Health & Human Services (HHS), your risk analysis should include the following:

• The scope of the analysis: this should include all electronic media containing, processing, or storing e-PHI.
• Data collection: map the data flow and vulnerable areas on that map from start to finish.
• Vulnerabilities and threat identification: identify and document reasonably anticipated threats to electronically protected health information (e-PHI) and vulnerabilities that might create a risk of inappropriate access to or disclosure of e-PHI.
• Current security measures: assess and document which security measures now safeguard e-PHI, whether the HIPAA Security Rule requires them, and whether they are configured and used correctly.
• Likelihood of threat occurrence: determine the likely impact of risks to the confidentiality, integrity, and availability of e-PHI. Assess how significant the effect would be if a threat were to trigger or exploit each vulnerability.
• Potential impact of threat: determine the adverse effects of an attack on the confidentiality, integrity, and availability of e-PHI and the organization. Potential impacts should be listed with every vulnerability.
• Risk level: assign risk levels for the threat and vulnerability combinations you’ve identified. Document the risk levels, including corrective actions to mitigate each level.
• Periodic review and update: review and update the risk assessment as warranted. Some businesses may do this yearly; others bi-annually or every three years, depending on their circumstances.

To help small and medium-sized healthcare organizations conduct HIPAA security risk assessments, the National Institute of Standards and Technology (NIST) has launched, in tandem with HHS, a HIPAA Security Risk Assessment (SRA) Tool.

Frequently Asked Questions (FAQs)

How Do You Assess HIPAA Compliance?

Assessing HIPAA compliance involves a comprehensive review of an organization’s policies, procedures, and technical safeguards for protecting ePHI. This typically consists of conducting a HIPAA risk analysis, implementing appropriate security measures, training staff, and maintaining documentation of compliance efforts.

Is a HIPAA Risk Assessment Mandatory?

The HIPAA Security Rule requires covered entities and business associates to conduct risk assessments as part of their compliance obligations. A thorough risk assessment process is a core requirement for identifying potential risks and vulnerabilities to the confidentiality, integrity, and availability of ePHI.

What Are the Key Components of a HIPAA Compliance Assessment?

A comprehensive HIPAA compliance assessment should include:

• Risk analysis and risk management processes
• Evaluation of administrative, physical, and technical safeguards
• Review of policies and procedures related to ePHI handling
• Assessment of workforce training and information security awareness
• Analysis of business associate agreements and third-party vendor management
• Examination of data breach notification and incident response plans
• Adherence to CFR Title 45, which governs how people participate in medical research projects 

How Often Should a Risk Assessment Be Conducted?

HIPAA regulations don’t specify a fixed timeframe, but risk assessments should be carried out periodically to account for changes in the organization’s operations, information technology systems, or regulatory landscape. 

Best practices recommend conducting a full risk assessment annually, with reviews whenever significant changes (a merger or major change in IT systems, for example) could affect the security of ePHI. 

Simplify HIPAA Compliance with ZenGRC

Navigating the complexities of HIPAA compliance can be challenging, but ZenGRC’s powerful risk management platform is designed to simplify the process. With ZenGRC, you can streamline workflow management, centralize compliance activities, and map controls across multiple frameworks to identify potential gaps.

Leverage ZenGRC’s automation capabilities to focus on core compliance requirements while minimizing tedious tasks. Enhance efficiency, foster a proactive approach to governance, and ensure robust patient data protection.

Don’t let HIPAA compliance overwhelm your organization. Choose ZenGRC to streamline your journey toward regulatory compliance. Schedule a demo today and discover how our platform can transform your HIPAA risk management strategies.

Modern organizations have huge demands for regulatory compliance, which means a huge amount of documentation that your business must generate and manage to show that it is fulfilling those compliance obligations. 

As such, a document management system is crucial for an effective compliance program. This article will review what document management systems should be able to do, common challenges in building a document management system, and how to get started with doing so.

What Is a Compliance Document Management System?

A document management system (DMS) is software that stores, manages, and tracks electronic documents or electronic images of paper documents. These systems are also sometimes known as an “electronic filing cabinet,” harkening back to early days when they began as systems to convert paper documents into digital ones. 

Today, of course, a DMS has many more sophisticated features. Document management systems can capture, distribute, and track documents; and manage channel workflows, output systems, and information retrieval systems.

How Effective Document Management Supports Compliance

Document management systems support compliance in several important ways. For example, they increase data protection, automate procedures to consistency, provide audit trails, and standardize employee workflows. 

Strengthening Data Protection

Perhaps the easiest method to safeguard data is to limit who has access to it. Document management systems can do that. 

For example, a GoogleDoc can be accessed by anybody who receives a link to it. That might be safe in theory, but one incorrect click grants access to everyone on a particular team member’s contact list.

Document management software restricts access to those who should have it. This assures compliance with confidentiality rules such as HIPAA, the GDPR, and other statutes or rules.

Automating Processes

Inconsistency in standard operating procedures (SOPs) can lead to blunders that put your firm out of compliance. An automated document management system eliminates discrepancies by enforcing standard SOPs across departments and organizations.

When your processes are developed and automated with compliance in mind, the likelihood of a single team member violating compliance falls, often sharply.

Providing Auditing Trails

The capacity to audit is critical to the compliance function. Document management systems allow users to sift through files swiftly and efficiently. The DMS will typically record every change made to a document, by whom, and at what time. Auditors can use that level of visibility to trace the evidence they need to form an opinion about the strength of your compliance program. 

Enforcing Workflows

Standardized workflows help to guide employee behavior and keep operations efficient. Document management systems can enforce the workflows you design to maintain that efficiency. 

For example, consider an approval request procedure. Employees might request approval for some action by email, which could lead to conflicting responses from  multiple managers. A DMS can enforce workflows so that approvals go to the first manager first, the second manager second, and so forth.

Common Challenges in Compliance Document Management

Implementing a document management system does have its challenges. We’ve listed some of them below.

• Misfiling. Critical papers to go misplaced or filed in the wrong location, resulting in irritation and lost time.
• Lack of organization. Without a clear structure, locating the papers you want might be challenging when you need them.
• Security risks. Storing sensitive information in physical files or on insecure computers increases your company’s risk of data breaches and theft.
• Time-consuming procedures. Paper-based document management can be time-consuming, from filing to retrieval.
• Limited accessibility. If your papers are not digital, they may be challenging to view remotely or share with others.
• Compliance issues. If your company handles sensitive information or is subject to restrictions, you must verify that your document management methods meet compliance standards.

Best Practices for Managing a Document Repository

A document management system provides workflow capabilities to help your company stay compliant and avoid penalties and litigation.

Ditch Manual Processes

Transform your procedures by no longer relying on paper, unstructured electronic files, or Excel spreadsheets to track and save compliance documents. Business processes that rely on error-prone methods, such as retyping data into a spreadsheet, are dangerous, especially when performed by several people.

Embrace Cloud Automation

Advanced security and disaster recovery planning are critical components of any compliance program. Cloud-based platforms establish defined security and privacy standards and regularly meet them.

These solutions provide cutting-edge document and internet communication encryption, protecting cloud services from cookie hijacking, malware, and other cyber threats.

Cloud-based solutions also offer secure backup by mirroring data in off-site data centers. Moving your DMS to the cloud assures that the company meets compliance standards while lowering the burden on internal IT resources.

Control Access and Permissions

If anyone at all can access and change papers and reports, the situation will likely spiral out of control. A DMS uses a rights-based control structure to control document access and process information.

Rights-based control limits the documents and index data that each user is allowed to save, retrieve, edit, change, and delete, based on that user’s role in the organization. Sensitive data is safeguarded to preserve its authenticity and to prevent unauthorized changes and workarounds.

Manage the Entire Document Lifecycle

Because each document category has its own retention timeline, manual procedures to enforce that timeline can be time-consuming and error-prone. Your organization needs a plan, and a document management system makes its execution easier.

A DMS controls retention schedules by automatically deleting files or emailing a staff person before deleting them. Automation based on your business rules simplifies compliance with Sarbanes-Oxley, HIPAA, GDPR, FINRA, FERPA, and other federal and state standards.

Implement Version Control

Store documents with version control enabled. Look for a document management system with a list view that displays when a document was last modified and who did it. Limiting access to prior versions helps to avoid misunderstanding and unneeded adjustments.

When you send a document for review, you may provide a link to the working version rather than the document itself, so you don’t have to deal with several versions being changed by various team members simultaneously.

Assure Audit Preparedness

Audits can be conducted on government agencies, nonprofit organizations, and other private and public businesses. A compliance audit examines the acts of a company, corporation, or specialized department to see whether its regulations and processes are following corporate policy. Some compliance audits also determine whether a company’s actions align with external standards, such as government or business regulations.

A document management system assures compliance with company policies and practices by generating reports that certify the implementation of an organization’s standard operating procedures. A DMS allows for the speedy assembly of reports and efficient distribution to auditors.

Prioritize Data Privacy Initiatives

Data privacy is becoming increasingly important to all organizations. In addition to the compliance obligations stated by HIPAA, GDPR, the Shield Act, COPPA, and industry-specific legislation, be prepared for new (and perhaps stricter) ones to emerge in the future. Compliance with these rules requires your company to have a comprehensive view of the condition of your data and the means to keep it secure, confidential, and up to date.

A document management system allows you to assure high data integrity and demonstrate that information is complete, correct, and preserved with administrative, physical, and technical protections to prevent it from being inappropriately edited, destroyed, or deleted.

In addition to assuring internal security, the system protects customer and membership information. Electronic procedures can also respond swiftly to changing regulations or new legislation. And centralizing the enforcement of company-wide rules is far more efficient than applying them department by department.

How Do You Establish a Compliant Document Repository for Sensitive Information?

Consider these seven factors to build an effective, and compliance, document repository.

• Establish and implement written policies, procedures, and codes of conduct. Set a goal to attain and promote consistency among your personnel.
• Implement program oversight. Assign a team to manage, monitor, and enforce the compliance program. This squad is frequently called your company’s “watchdog.”
• Offer training and education. Every employee needs training regardless of job title. Employees should get initial training and yearly refresher courses so that they know the company’s compliance procedures.
• Foster two-way communication. It is vital to communicate with the company’s compliance department and “watchdogs” on time. Communicate inquiries and report non-compliance actions and ethical concerns in the workplace to assure adequate compliance documentation.
• Monitor and audit. You want your compliance program to succeed. Monitoring the frequency of compliance breaches, perform audits to identify potential weaknesses, and then rectify problems as you find them.

ZenGRC Offers an Integrated Solution Document Management

Document management is one of the most critical components of a successful compliance program, and it is also one of the most effective ways for your company to demonstrate that compliance is taken seriously.

ZenGRC allows you to track, manage, and analyze your documentation and identify and resolve issues. It offers a unified, automated platform that integrates with your current business apps and procedures. It automatically gathers audit trail evidence from all the business apps you use to offer proof to auditors and regulators, so you don’t have to.

ZenGRC integrates all your business systems for continuous risk and compliance monitoring, allowing you to retrieve stored documents instantly through our “Single Source of Truth” repository — no more searching for documentation to verify your compliance efforts.

Schedule a demo to learn how ZenGRC can help you develop your company’s compliance program.