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What is an ISO Surveillance Audit?

Libby Bevin · October 30, 2023 ·

An ISO surveillance audit is an audit of your business that happens after you achieve compliance with an ISO standard, to assure that you still follow that standard’s expectations across time. In other words, a surveillance audit is meant to confirm that your organization is still living up to the promises it made when you first received ISO certification sometime in the past.

Take ISO 9001, the ISO standard for quality management systems, as an example. To comply with ISO 9001 a company must first undergo an initial audit by an accredited ISO auditor. Once you pass that audit you can be certified as ISO 9001-compliant, and that certification lasts for three years.

Surveillance audits would then happen in the next two years of that three-year period. In the third year, your original certification expires, and the process starts all over again with a recertification.

The same principle applies to ISO 27001 and ISO 27002 audits. ISO 27001 serves as the international standard for an information security management system (ISMS). In contrast, ISO 27002 focuses on the specific information security controls that organizations may choose to implement. The primary distinction between the standards is that ISO 27002 is intended as a reference guide for selecting security controls when establishing an ISMS based on ISO 27001.

What are some of the benefits of a surveillance audit?

Surveillance audits are required as part of ISO compliance, so if you’re serious about embracing ISO standards you have little choice other than to accept them. That said, surveillance audits do have other benefits, too.

Continuous compliance. Surveillance audits assure that an organization’s compliance with established standards or regulations is ongoing. This helps maintain the integrity of the quality management system and confirms that the organization consistently meets the required standards.

Issue identification and risk mitigation. By identifying and addressing minor non-conformities or issues during surveillance audits, organizations can take corrective actions promptly, reducing the likelihood of more significant compliance or quality problems in the future.

Improved performance. Ongoing surveillance and regular assessments lead to better organizational performance. They allow for continuous refinement of processes, increased efficiency, and a focus on continuous improvement.

Customer confidence. Organizations that consistently demonstrate their commitment to maintaining compliance through surveillance audits can instill greater confidence in their customers. This can lead to increased customer satisfaction and loyalty.

Cost reduction. The sooner you identify a non-conformity or deficiency, the sooner you can rectify that situation — before the issue becomes a significant problem that will likely cost more money to fix.

These benefits support an organization’s commitment to quality, compliance, and excellence in its operations.

How does the certification audit cycle work?

The certification audit cycle is a structured process that organizations undergo to achieve and maintain certification for compliance with specific ISO standards or regulations. This cycle typically consists of three key phases: the initial certification audit, surveillance audits, and recertification audits.

The first phase is the initial certification audit. An accredited auditor evaluates the organization’s processes, procedures, and systems to determine whether it meets the requirements of the chosen standard. This initial audit is comprehensive and often serves as a baseline assessment. If the organization successfully demonstrates compliance with the standard, it is awarded certification, typically valid for a specific period, often three years.

Following the initial certification audit, organizations enter the surveillance audit phase. Surveillance audits are periodic assessments that occur at regular intervals, such as annually or semi-annually, throughout the certification cycle. The purpose of surveillance audits is to verify that the organization continues to uphold the standard’s requirements. These audits are typically less extensive than the initial certification audit but still cover essential aspects of compliance.

The final phase of the certification audit cycle is the recertification audit. This audit takes place at the end of the certification period, typically three years after the initial certification. It is similar in scope to the initial certification audit and serves to reevaluate the organization’s compliance with the standard. To maintain certification, the organization must once again demonstrate that it meets the standard’s requirements.

The certification audit cycle is a continuous process to assure that organizations not only attain compliance, but also sustain it over time. It provides a structured framework for ongoing assessment and improvement. Successful completion of this cycle allows organizations to demonstrate their ongoing commitment to quality, compliance, and best practices. That, in turn, can enhance the company’s reputation, foster customer trust, and drive operational excellence. This cycle helps organizations stay competitive in their industries and adapt to evolving standards and regulations.

What should I expect during an ISO surveillance audit?

During a surveillance audit, either the ISO registrar or an auditor from an accredited certification body examines the organization’s key processes. This assessment encompasses several essential elements, including a management review, an evaluation of preventive and corrective actions and processes, scrutiny of the company’s internal auditing procedures, and an examination of the implementation of recommendations following internal audits.

The primary objective of the auditor is to ascertain the functionality of the company’s management system within its day-to-day operations. Moreover, the auditor pays particular attention to identifying minor non-conformances, which are areas of concern detected during the certification audit or previous surveillance audits. It is incumbent upon the organization to address and rectify all non-conformances.

Take ISO 9001 as an example. Minor non-conformances typically signify weaknesses in the quality management system that could potentially culminate in a significant QMS failure. Major non-conformances, on the other hand, indicate substantial failures within the quality management system, which could hinder the organization from achieving its objectives or safeguarding its customers.

Each surveillance audit serves as a preparatory exercise for the organization’s impending recertification audit, which occurs at the conclusion of each three-year certification cycle. This meticulous evaluation process assures that organizations continue to uphold the high standards set by ISO, promoting the consistent delivery of quality products and services while safeguarding information security.

How do I prepare for an ISO surveillance audit?

Preparing for an ISO surveillance audit is crucial to ensure a successful audit outcome and ongoing compliance with ISO standards. Here are some essential practices so that can you prepare effectively:

Review previous audit findings. Start by reviewing the findings and corrective actions from previous surveillance audits. Assure that all identified non-conformances and corrective actions have been appropriately addressed and resolved. This demonstrates your commitment to continuous improvement.

Update documentation. Confirm that all documentation related to your ISO management system is up-to-date and accurate. This includes policies, procedures, work instructions, and records. Make sure any changes in processes or systems are reflected in the documentation.

Conduct internal audits. Prior to the surveillance audit, perform internal audits of your quality management system. This helps to identify any potential issues or non-conformances that may need corrective action before the surveillance audit.

Employee training. Assure that all employees are aware of their roles and responsibilities related to the ISO management system. Training and awareness are essential components of maintaining compliance.

Documented information. Prepare all the necessary documented information required for the surveillance audit. This includes records of past surveillance audits, corrective actions, and evidence of ongoing compliance.

Management review. Conduct a thorough management-level review of your ISO management system. This includes assessing the system’s effectiveness, identifying opportunities for improvement, and addressing any strategic or organizational changes.

Pre-audit meeting. Schedule a meeting with the audit team or the lead auditor before the actual surveillance audit begins. This allows you to discuss the scope of the audit, clarify any questions, and understand the audit process better.

Check for regulatory changes. Verify that your processes and documentation are aligned with any changes in ISO standards or relevant industry regulations. Staying updated with the latest revisions and requirements is crucial for compliance.

Corrective actions. Be sure to implement any pending corrective actions from previous audits, and that those actions are effective. Provide evidence of these corrective actions during the surveillance audit.

Auditor familiarization. Make sure that the audit team is familiar with your organization’s processes, structure, and specific requirements. Provide them with access to the areas they need to audit and any necessary documentation.

Employee awareness. Communicate to all relevant employees that a surveillance audit is approaching. Stress the importance of cooperation and adherence to the ISO management system during the audit period.

Simulation exercises. If possible, conduct mock or simulation audits to prepare employees for the audit process and to identify any potential gaps in compliance.

Documentation access: Ensure that the audit team has easy access to all relevant documentation and areas they need to audit. Make it as convenient as possible for them to review your processes.

Open communication. Encourage open communication with the audit team. Answer their questions honestly and provide any necessary information promptly during the audit.

By following these steps and maintaining a rigorous approach to ISO compliance, you can better prepare for a surveillance audit and increase the likelihood of a successful audit outcome. This approach not only assures ongoing compliance but also contributes to the continuous improvement of your quality management system.

Maintain compliance with ZenGRC

Maintaining ISO surveillance compliance is a complex and ongoing process that requires robust management and monitoring of an organization’s quality management system. ZenGRC provides an effective and streamlined solution for ensuring continued compliance with ISO standards.

Through its comprehensive suite of tools and features, ZenGRC simplifies the process of preparing for and undergoing surveillance audits. It enables organizations to maintain up-to-date documentation, track corrective actions, and schedule internal audits, all within a single, user-friendly platform.

With ZenGRC, organizations can not only achieve initial certification but also consistently demonstrate their commitment to compliance, fostering trust among stakeholders and ensuring operational excellence in line with ISO standards.

What Are NIST Controls and How Many Are There?

Libby Bevin · October 30, 2023 ·

The National Institute of Standards and Technology is a U.S. government agency that publishes cybersecurity frameworks organizations can use to strengthen their internal controls and compliance programs. Its most notable framework is NIST Special Publication 800-53, a framework that contains more than 900 unique controls across 18 larger “control families.”

NIST controls are meant to enhance an organization’s cybersecurity program, risk posture, information protection, and security standards. NIST 800-53 is mandatory for federal agencies, but any other organization can also use the standard to improve their own security program.

Information technology is rapidly changing, so the NIST 800-53 standard is now on its fifth revision to keep up with emerging technologies such as the Internet of Things (IoT). Indeed, the adaptability of NIST frameworks is one of the primary reasons so many organizations keep using the standards NIST churns out.

What is the NIST cybersecurity framework?

The NIST cybersecurity framework (NIST CSF) is more than just a collection of rules and guidelines; it’s a dynamic and adaptable blueprint for fortifying your organization’s digital defenses. The framework is designed to help any organization — any size, any industry, any amount of maturity in your security program — to manage and reduce cybersecurity risk.

At its core, NIST CSF offers a structured approach to securing information systems, including risk management, incident response, and contingency planning. It helps organizations to align their cybersecurity strategies with broader business goals and objectives. By adhering to NIST recommendations, organizations can protect their data and information systems against an ever-expanding range of cyber threats, adhering to control baselines and promoting efficient federal information security.

Within the NIST CSF you’ll find a set of guidelines and best practices that cover the full spectrum of cybersecurity, including risk management, incident response, and media protection. These guidelines serve as a baseline for organizations to identify vulnerabilities, mitigate risks, and maintain the resilience of their information systems.

What is the goal of NIST?

NIST is a cornerstone of cybersecurity, but its influence extends even further. The purpose of NIST (and the frameworks it produces) is to enhance the security and resilience of information systems. Notable NIST frameworks include:

NIST 800-53. This standard provides an extensive catalog of security controls for federal information systems and organizations, serving as a comprehensive guide for safeguarding sensitive data such as personally identifiable information (PII). Adherence to NIST 800-53 assures compliance with the Federal Information Systems Management Act (FISMA), which is required for federal government agencies and government contractors.
NIST Cybersecurity Framework. NIST CSF was first designed for critical infrastructure sectors. Today the framework outlines how any organization can effectively manage and reduce cybersecurity risk.
NIST 800-171. This standard is intended for defense contractors and others that might handle controlled, unclassified information (CUI). It is related to NIST 800-53, although 800-53 has many more individual controls.

What are the NIST security controls?

At their core, NIST security controls are comprehensive safeguards and countermeasures that organizations can implement to secure their information systems. Whether you’re a federal agency, a private business, or part of any organization that relies on digital information, these controls play a crucial role in assuring the security and resilience of your systems.

The primary purpose of NIST security controls is to provide organizations with a structured and organized approach to securing their information systems. The controls encompass various security requirements, from access control and authentication (digital and physical access) to risk assessment and incident response, and much more. By adhering to these controls, organizations can systematically address vulnerabilities, mitigate risks, and enhance their overall cybersecurity posture.

How many security controls are there in NIST?

The current version of NIST 800-53 has more than 900 unique security controls, organized into 18 control families. This significant number underscores the sweeping scope of NIST’s approach to cybersecurity.

That said, not every organization needs to implement all 900 security controls. Rather, companies can use 800-53 as a guide to help them understand the correct security controls to implement for their specific needs, and then methodically work through those controls to assure that each one is implemented, tested, and working.

NIST has also introduced a specialized standard NIST SP 800-53B, which focuses on high-impact security controls specifically designed for national security systems. NIST SP 800-53B supplements the main standard, and addresses the unique and rigorous demands of safeguarding classified information within national security systems.

NIST SP 800-53 Revision 5

NIST introduced the fifth revision of its 800-53 framework in 2020, formally titled “Security and Privacy Controls for Information Systems and Organizations.” This revision marks a significant evolution from the previous version because it intentionally drops the word “federal” from the title. Doing so broadens the scope of the guidance, making 800-53 applicable to all organizations, not just those working with the U.S. government

Revision 5 introduces an outcomes-based approach, transforming the structure of the controls to focus on achieving specific results. Moreover, it removes the limiting term “information system,” broadening the applicability of these controls to encompass a wide range of systems.

This expansion includes emerging technologies such as IoT devices and cyber-physical systems, reflecting the evolving landscape of information security and privacy.

Maintain compliance with ZenGRC

Maintaining NIST compliance is not easy. To assure a successful and seamless approach, trust ZenGRC. Our platform automates compliance workflows, simplifies your journey, and empowers you to focus on what matters most: protecting your valuable data and information systems.

With ZenGRC, you can centralize and streamline your NIST control management processes.

Ready to experience the ZenGRC difference? Schedule a demo today, and let us show you how our solution can make NIST compliance a breeze.

What Does ISO Certification Cost?

Libby Bevin · October 30, 2023 ·

Certifying your compliance with ISO standards for cybersecurity, quality management, and other good business practices can be a great way to demonstrate your organization’s commitment to superior performance.

ISO certification means that a third party has independently validated that a company conforms to a set of standards established by the International Standards Organization. The ISO has developed more than 22,000 international standards with applicability covering a variety of industries and topics.

One question: How much does ISO certification cost?

The short answer is that cost varies. For example, certification with the ISO 9001 standard for quality management can depend on many factors, including::

Size of the organization (how many offices)
Complexity of the business
Industry sector
Annual revenue
Number of employees
Gaps between the company’s current quality systems and those defined in the ISO 9001 standard
Cost of employees to develop documentation and to conduct internal audits and system review meetings
Cost of an ISO consultant
Cost of certification auditors (external certification audit fees)
Surveillance audits (there are two)
Ongoing maintenance costs

A single copy of the ISO 9001 standard can cost $120 or more. Auditors can cost approximately $1,300 per day. For small businesses, the minimum for everything might be $10,000 to $15,000.

ISO 9001:2015 (the latest version of the standard) defines the requirements for developing a quality management system (QMS), which deals with meeting customer requirements and overall customer satisfaction. The main benefits of ISO 9001 certification are that it will improve business processes by enhancing employee performance and productivity as well as improving customer satisfaction.

ISO certification cost for a small business

The cost of obtaining ISO certification for a small business can seem daunting, so estimating the likely cost as accurately as possible is always a good idea. Here are some factors to consider when estimating the cost of ISO certification for a small business:

ISO standard. Cost may vary depending on the ISO standard you want to use. ISO 9001 (Quality Management System), ISO 14001 (Environmental Management System), and ISO 27001 (Information Security Management System) are some of the common standards.
Size and complexity. The size and complexity of your business will influence the cost. Larger and more complex organizations often require more time and resources to achieve certification.
In-House vs. consultant. Many small businesses choose to hire ISO consultants to help with the certification process. This can increase the cost, but it can also expedite the process and improve the chances of successful certification. While in-house auditors may be more cost-effective because they already know your business, if the audits are done incorrectly, that can end up costing more in the long run.
Training. If your employees need training to understand and implement the ISO standard‘s requirements, you’ll need to factor in the cost of employee training programs.
Documentation. Creating and maintaining the necessary documentation can also incur costs. This includes documenting policies, procedures, work instructions, and other records.
External Audit. Certification typically involves a third-party audit. There will be costs associated with that audit, which can vary based on the certification body you choose.
Maintenance. ISO certification is not a one-time expense. There are ongoing costs for maintaining the certification, including annual surveillance audits.
Miscellaneous costs. You may encounter unexpected costs, such as process improvements, infrastructure upgrades, or software for managing documentation and compliance.

To get a more accurate estimate, you should contact certification bodies or consultants for quotes specific to your business’s circumstances. Costs can range from a few thousand dollars to tens of thousands or even more, depending on the complexity of the certification process.

It’s important to weigh the costs against the potential benefits of ISO certification. Those benefits can include improved efficiency, increased customer trust, and access to new markets. Small businesses should carefully consider the return on investment before pursuing ISO certification.

Steps for a small business to become ISO-certified

To achieve ISO certification, a company has to submit to a series of audits performed by an independent auditor who has been accredited by a certification body. During the certification process, these third-party auditors conduct certification audits to determine whether your organization’s processes, products, and services meet the ISO criteria.

External audit fees are based on the cost to maintain ISO certification for three years. The number of days the auditor spends conducting the audit determines the cost of the certification audit. The number of auditor days is based on the number of employees in the organization. In addition, the external audit fees depend on an organization’s size and how many branches or operational sites it has.

Your internal and external audits will often identify “nonconformances,” defined as the non-fulfillment of requirements. While one nonconformance isn’t necessarily a bad thing, a number of nonconformances could indicate major weaknesses in an organization’s quality management system. A company should correct both minor and major nonconformances as soon as possible.

FAQs for ISO Certification Costs

Can a small business be ISO-certified?

Yes. ISO standards are designed to accommodate organizations of all sizes, including small businesses. Small enterprises can achieve ISO certification by adapting ISO standards to their unique needs and resources. This adaptability is one of the strengths of ISO certification, making it an accessible and practical quality management option for businesses of various scales.

Furthermore, ISO certification offers numerous advantages for small businesses. It allows them to gain a competitive edge by demonstrating their commitment to quality, environmental responsibility, information security, or other aspects covered by ISO standards. This commitment can bolster credibility, enhance customer trust, and open doors to new markets and opportunities.

Small businesses can leverage ISO certification to optimize their operations, streamline processes, and establish a reputation for reliability and excellence. While the certification process does require effort and resources, the potential benefits make it a strategic and beneficial choice for small enterprises looking to thrive in a competitive marketplace.

Is ISO 9001 worth it for a small business?

ISO 9001, the standard for quality management systems, can indeed be valuable for small enterprises. Foremost, ISO 9001 provides a systematic framework for enhancing the quality of products and services, which can lead to improved customer satisfaction. For small businesses looking to distinguish themselves in a competitive market, the ability to deliver high-quality products or services consistently can be a significant advantage. ISO 9001 can help businesses identify and rectify inefficiencies and quality issues in their processes, ultimately leading to cost savings and improved performance.

Another benefit of ISO 9001 is its adaptability. Small businesses can tailor their quality management systems to fit their specific needs and scale. This flexibility allows small businesses to reap the benefits of ISO 9001 without the need for excessive bureaucracy or complexity in their operations.

ISO 9001 certification also enhances credibility. It signals to customers, partners, and investors that a small business is committed to meeting internationally recognized quality standards. This assurance can lead to increased customer trust and can facilitate access to new markets and opportunities.

In the end, the decision on whether ISO 9001 is worth it for a small business depends on the business’s objectives and the potential return on investment. For many, the benefits of ISO 9001 certification can outweigh the costs, making it a sound strategic choice for small businesses aspiring to thrive in a competitive marketplace

How much does ISO certification cost for a small business?

The cost of obtaining ISO certification for a small business can vary significantly based on several factors, including the size and complexity of your organization, the specific ISO standard you’re seeking certification for, the location of your business, and whether you choose to pursue certification with the help of a consultant or do it in-house.

To get a more accurate estimate, you should contact certification bodies or consultants for quotes specific to your business’s circumstances. Costs can range from a few thousand dollars to tens of thousands, or even more, depending on the complexity of the certification process.

ZenGRC Makes Getting the Certification You Need Easier

ZenGRC is a powerful platform that simplifies the often complex process of obtaining ISO certifications. One of its key advantages is its ability to streamline the certification journey, making it more accessible and efficient.

With ZenGRC, the arduous task of documentation, compliance, and audit preparation becomes a breeze. The platform offers a centralized and intuitive interface, allowing businesses to organize and manage their certification tasks seamlessly. This not only saves time and effort but also significantly reduces the risk of errors or oversights.

ZenGRC empowers organizations to confidently pursue the certifications essential for their industry, enhancing their credibility, trustworthiness, and competitive edge in the marketplace.

How do I Prepare for an ISO Surveillance Audit?

Libby Bevin · October 30, 2023 ·

An ISO (International Organization for Standardization) surveillance audit is an occasional review of a company’s quality management system or information security management system (ISMS) by an accredited auditor, to confirm that the company still meets ISO standards, after the company had already achieved ISO compliance at some point in the past.

To put it more simply: an ISO surveillance audit checks on your business to confirm whether you’re still on the ISO path.

What Is an ISO 9001 surveillance audit?

An ISO 9001 surveillance audit is a part of the process to monitor and maintain compliance with the ISO 9001 standard. ISO 9001 is a standard for quality management systems, and organizations that are certified to this standard must undergo regular surveillance audits to assure they continue to meet the standard’s requirements.

How often does the ISO 9001 surveillance audit occur?

Once a company achieves ISO 9001 compliance (which includes an outside audit) and obtains an ISO certification, that certification is valid for three years. ISO surveillance audits are then conducted in each of the next two years after certification — at which point, the company then needs to be re-certified. (The surveillance audits should help your organization to be ready for recertification when that time comes.)

The surveillance audit will always review specific areas that apply to certification audits. Depending on your organization and the specific ISO standards for which you are seeking certification, the audit areas may entail:

The performance and maintenance of the organization’s systems;
Preventive and corrective actions and processes;
The effectiveness of the organization’s internal auditing process;
The implementation of recommendations following the company’s internal audits;
Regular management reviews of the ISO implementation;
Customer satisfaction rates;
Updates to the company’s documentation systems.

The surveillance audit will be conducted by an auditor accredited by the same certification body that accredited the original ISO auditor. That auditor will review any nonconformities from previous inspections, how effective the company’s systems are within the context of its audits, any new activities that have begun since the previous certification, and previous results.

What does a surveillance audit cover?

A surveillance audit for ISO 9001 can cover a range of areas within an organization. The specific scope can vary based on factors such as the organization’s size, complexity, and the auditors’ focus. Broadly speaking, however, a surveillance audit tends to address the following.

Quality management policy and objectives. Auditors will assess whether the organization has a documented quality management policy and clear quality objectives that are aligned with the ISO 9001 standard.

Quality manual and documentation. The audit may review the organization’s quality manual and documentation to assure that both are up to date and accurately reflect the organization’s processes and quality management system.

Management responsibility. This includes assessing the commitment of top management to the quality management system, their involvement in setting quality objectives, and their understanding of customer and regulatory requirements.

Resource management. Auditors may evaluate the allocation of resources, including personnel, equipment, and facilities, to assure that those items support the quality management system‘s objectives.

Product realization. This involves assessing the processes from design and development (if applicable) through production, testing, and delivery to assure they meet the organization’s quality standards.

Measurement, analysis, and improvement. Auditors will look at how the organization collects and analyzes data and information to measure its performance and drive continuous improvement. This may include a review of corrective and preventive actions taken in response to nonconformities.

Customer focus. The organization’s commitment to meeting customer requirements and assuring customer satisfaction is a key element of ISO 9001. Auditors may assess how the organization gathers and acts on customer feedback.

Internal audits. The surveillance audit may review the organization’s internal audit program to assess whether internal audits are performed effectively and that corrective actions are taken as needed.

Control of non-conforming products or services. Auditors will check how the organization identifies, handles, and mitigates non-conformities in its products or services.

Supplier management. This involves evaluating how the organization manages its relationships with suppliers, including how it assesses and monitors supplier performance.

Risk management. Assessing how the organization identifies and manages risks and opportunities related to its processes and quality management system.

Training and competence. Assuring that employees have the necessary skills and training to perform their roles effectively.

The scope and depth of the surveillance audit may vary from one audit to another, and it can also change over time based on the organization’s evolving needs and risks. Organizations must work closely with their auditor to determine the specific areas and processes that will be audited during each surveillance audit.

For additional information, refer to the Guide to ISO Certification and ISO Compliance.

Preparing for your ISO surveillance audit

It’s crucial to prepare for an ISO surveillance audit, to assure that your organization continues to meet its requirements for ISO 9001 compliance. Effective preparation involves careful planning, documentation review, process evaluation, and staff readiness. Here’s a step-by-step explanation of how to prepare for your ISO surveillance audit.

Review your quality management system (QMS). Start by reviewing your organization’s quality management system (QMS) documentation, including your quality manual, procedures, and work instructions. Confirm that these documents accurately reflect your current processes and that they are up to date. Any changes or improvements made since the last audit should be well-documented.

Internal audits. Conduct thorough internal audits of your QMS to identify and address any non-conformities. These internal audits should be carried out by trained auditors who can impartially assess the effectiveness of your QMS. Correct any issues identified during these internal audits and assure that corrective actions are well-documented.

Training and awareness. Assure that your employees are aware of the ISO 9001 standard, your quality policy, and quality objectives. Training should be provided to address any knowledge gaps, and employees should understand their roles in the QMS. It’s essential that staff can explain and demonstrate their understanding of the QMS processes to the auditors.

Documented information. Gather and organize all the necessary documented information for the audit. This includes records of key processes, evidence of compliance, and records of performance, such as customer feedback, supplier evaluations, and corrective action reports.

Management review. Hold a management review meeting to assess the performance of your QMS, discuss any issues, and set objectives for improvement. Assure that this meeting is well-documented and that any decisions or actions are clear.

Communication. Communicate the upcoming surveillance audit to all relevant personnel so that they are aware of the audit date, scope, and purpose. Encourage an atmosphere of openness and cooperation among employees and emphasize the importance of their roles in maintaining the QMS.

Auditor familiarization. If possible, provide the surveillance audit team with access to relevant documentation and an overview of your organization’s operations in advance. This will help auditors become familiar with your processes and make the audit process more efficient.

Mock audits. Conduct mock or practice audits with internal auditors or colleagues who are not directly involved in the areas being audited. This will help identify any gaps or issues in your readiness for the surveillance audit.

Continuous improvement. Assure that your organization has a culture of continuous improvement and that you can demonstrate how you’ve acted upon lessons learned from previous audits to enhance your QMS.

Pre-audit meeting. Before the actual surveillance audit, schedule a meeting with the surveillance audit team to discuss the scope, objectives, and expectations. This is an opportunity to clarify any questions and set the tone for the audit.

Effective preparation not only helps to assure a successful audit. It also contributes to the continued success of your organization’s quality management system.

Maintain your ISO compliance with ZenGRC

Sustaining ISO surveillance compliance is an intricate, ongoing endeavor that demands vigilant management and monitoring of an organization’s quality management system.

ZenGRC offers an efficient and streamlined solution to assure continuous ISO standard compliance. Its extensive array of tools and features simplifies the preparations and navigation of surveillance audits. ZenGRC facilitates the maintenance of current documentation, the tracking of corrective actions, and the scheduling of internal audits, all within a user-friendly, consolidated platform.

By using ZenGRC, organizations can not only attain initial certification, but also consistently exhibit their dedication to compliance, cultivating trust among stakeholders and upholding operational excellence in alignment with ISO standards.

How Much Does a SOC 2 Audit Cost?

Libby Bevin · October 30, 2023 ·

SOC 2 audits inspect the security controls of vendors and service providers. (“SOC” itself is an abbreviation of System and Organization Controls for Service Organizations.) It’s reasonable to ask how much a SOC 2 audit might cost, but every SOC 2 audit is unique — which means that nobody can give a single, universal estimate of compliance cost for a SOC 2 audit. The answer truly is, “it depends.”

In this Guide to SOC 2 Audit Costs, we’ll explain why.

What Is a SOC 2 Audit?

A SOC 2 audit assesses the strength of a service vendor’s cybersecurity controls. The audit is done by an independent audit firm, resulting in an attestation report about the vendor’s cybersecurity. The vendor can then provide that report to would-be customers, who want to know whether they can entrust their confidential data with that vendor.

SOC 2 audit standards were designed specifically for service providers, including just about every Software-as-a-Service (SaaS) provider storing customer data in the cloud. Most B2B vendors are asked to complete SOC 2 or ISO 27001 audits by their customers, to assure that the vendor has appropriate controls in place to reduce its risk of data breaches or other security incidents.

The main difference between SOC 2 and ISO 27001 is that SOC 2 focuses on whether a vendor has implemented internal controls to protect its customer data. In contrast, ISO 27001 is much broader in scope; it is a standard to assure that the organization has implemented an information security management system (ISMS) to manage its information security.

SOC 2 audits can be one of two types:

A SOC 2 Type 1 audit (SOC 2 Type I) only assesses whether a vendor’s security controls are properly designed for the risks at hand. That is, a SOC 2 Type 1 report only provides assurance on your controls at one point in time.

A SOC 2 Type 2 audit (SOC 2 Type II) also assesses whether those controls work effectively over a period of time (say, six months or one year).

SOC 2 Type 1 audits are usually the first SOC audit a vendor undergoes, to provide a baseline for future audits. SOC 2 Type 2 audits then come next, and assess how well your data security and privacy controls have worked since the last SOC 2 audit.

How Much Does It Cost to be SOC 2 Compliant?

The cost of becoming SOC 2 compliant can vary widely depending on the size and complexity of the organization, existing controls, scope of the audit, and other factors. Here’s a breakdown of potential costs associated with SOC 2 compliance:

Step 1: Gap analysis and initial assessment. Before undergoing a full audit, companies often engage consultants to perform a gap analysis to identify potential areas of non-compliance. This helps to set a roadmap for what needs to be addressed. The cost could be $5,000 to $20,000

Step 2: Technology and tool investments. This involves investing in technologies to meet the SOC 2 audit standards (known as “Trust Services Criteria”), such as encryption tools, monitoring tools, security software, and more. The costs in this step can vary widely, from a low of $10,000 to $100,000 or more.

Step 3: Personnel and time. A dedicated team or individual will need to manage the audit process, including remediation you might undertake to close any gaps found during Step 1. The personnel could be an internal resource or an external consultant. The time spent on SOC 2 can translate into significant costs; what your exact price tag might be is anyone’s guess.

Step 4: Policy policy and documentation. If you don’t already have them in place, you’ll need to create or refine policies, procedures, and other documentation to meet SOC 2 requirements. Cost is likely to be $5,000 to $25,000.

Step 5: Training and awareness programs. Employees need to be trained on new policies, procedures, and tools. Cost could be $1,000 to $10,000 or more.

Step 6: Remediation. If gaps are identified, there might be costs involved in addressing and correcting them, which could range from minor adjustments to major system overhauls. Costs could vary widely here.

Step 7: External audit. Engaging a third-party firm to conduct the SOC 2 audit is a significant portion of the cost. Type I audits assess the design of controls at a specific point in time, while Type II audits assess both the design and operating effectiveness of controls over a minimum six-month period. Costs for a Type I audit could be $20,000 to $60,000, and $30,000 to $75,000 for Type II.

Step 8: Ongoing maintenance. You will need continuous monitoring, periodic reviews, and yearly re-assessments to maintain compliance. These costs could vary widely.

Step 9: Additional costs. Your audit might incur legal fees, require changes to infrastructure or vendors, and other costs you didn’t expect at the start. Again, costs could vary widely.

Step 10: Intangible costs. Expect stress, potential disruptions to normal business operations, and the learning curve associated with understanding and addressing SOC 2 requirements. Quantifying those pressures with a cost number is impossible, but clearly they will impose some sort of burden on your business.

Also note that all of the above are general estimates; actual costs can vary widely depending on many factors. Additionally, while SOC 2 compliance can be costly, the benefits of being compliant — including enhanced trust with customers and stakeholders, improved security and operational processes, and competitive advantage — can often outweigh the costs.

Is SOC 2 Legally Required?

No, SOC 2 audits are not required under U.S. law. That said, many large companies will ask their vendors to complete a SOC 2 audit before engaging in business with those vendors. Completing that audit gives those corporations assurance that your security controls are strong, and they can trust your business to handle their data or to engage in other transactions with them.

SOC 2 Audit FAQs

How do you determine the cost of a SOC 2 audit?

The cost of a SOC 2 audit depends on the audit’s scope, the size of the organization, how many locations are involved, the complexity of the processing, and the maturity of the organization’s internal controls.

The scope of the audit — that is, what actually gets reviewed in the audit — is defined before the engagement begins. SOC 2 audits were developed by the American Institute of Certified Public Accountants (AICPA), and they are based on five “Trust Service Criteria:”

Security
Availability
Processing integrity
Confidentiality
Privacy

The vendor and the auditor will first need to decide which of those five principles should be included in the SOC 2 audit (perhaps even all of them). The auditor then uses various procedures to review and test controls related to the principles in scope for the audit. Usually, the more principles in scope, the more expensive the audit.

The cost also depends on an auditor’s method of performing the SOC audit. The fees an auditor charges for a SOC report vary widely from one audit firm to another.

Can any CPA perform a SOC 2 audit?

While a SOC 2 audit is under the purview of the AICPA and technically any Certified Public Accountant (CPA) can be involved in the process, not just any CPA is qualified to lead and perform a SOC 2 audit.

Here are some points to consider:

Specialized training and expertise. SOC 2 audits require specialized knowledge and expertise about the Trust Services Criteria (TSC), systems, IT controls, and more. CPAs who work in other areas such as tax or financial accounting may not have this expertise.

Experience. Experience plays a crucial role. A veteran SOC 2 auditor will be better equipped to understand the intricacies of the assessment, which can make the audit process smoother and more effective.

Firm licensing. Not all CPA firms are licensed or authorized to perform SOC 2 audits. Firms that conduct these audits need to undergo a peer review to ensure that their audit and attestation work meets the professional standards set by the AICPA.

Quality controls. The AICPA requires that firms have certain quality controls in place to conduct attestation engagements, including SOC 2 audits. This means that not every CPA firm is set up to meet these standards.

Potential conflict of interest. A CPA or CPA firm that provides certain services to a company (such as system implementation or certain consulting services) might be seen as having a conflict of interest, and may not be able to perform an independent SOC 2 audit for the same company.

Continuous learning. The world of cybersecurity and data privacy is evolving all the time. A CPA involved in SOC 2 audits needs to engage in continuous learning to stay updated with the latest threats, controls, technologies, and regulations.

If your organization is considering a SOC 2 audit, it’s essential to select a CPA or a CPA firm with a strong track record in this area. This assures that you’re getting an accurate and thorough assessment that can genuinely benefit your organization’s security and trustworthiness.

How long does a SOC 2 audit take?

A SOC 2 audit‘s duration varies depending on several factors, including the audit’s scope, the organization’s size and complexity, and its current state of readiness.

Typically, the preliminary phase involves a readiness assessment or gap analysis, which can take between one to three months. This assessment identifies areas that might not meet the Trust Services Criteria, allowing organizations to address potential deficiencies. Following this, a Type I audit, which evaluates the design of controls at a specific point in time, can generally be completed in three to six weeks.

In contrast, a Type II audit, which assesses both the design and operational effectiveness of controls over a minimum six-month period, requires the auditor to review the organization’s processes over that extended timeframe. Therefore, from the initial readiness assessment to the completion of a Type II audit, companies should anticipate the process to last seven to nine months, although this can be shorter or longer based on specific circumstances.

ZenGRC Can Help You Manage SOC 2 Audits

Audits of any kind are onerous projects, with large amounts of documentation that auditors need to manage. To do all that work — communicating with everyone involved in the audit, confirming test results, and gathering evidence — is nearly impossible to do with spreadsheets, emails, and manual processes. In the modern era, you need a dedicated tool to manage your SOC 2 audit.

ZenGRC is a compliance tool that can help. It can streamline your compliance procedures by automating those laborious, manual tasks. You could also speed up self-assessments with its compliance templates. ZenGRC’s simple, unified dashboard offers a comprehensive picture of all your compliance frameworks, identifying gaps in your programs and outlining solutions.

Depending on your particular needs, compliance officers can monitor non-compliance risks in real-time in a rapid, simple, and dynamic manner. Even better: ZenGRC stores and arranges all relevant documents, making it simple to find them when the time comes for your audit.

Why would you try to manage a SOC 2 audit on your own? By taking the risk out of risk management and compliance, ZenGRC helps. Schedule a demo with us today to start your worry-free path to compliance.