Successful SOX implementation and seven key issues
Since first time Sarbanes Oxley act enacted, there are many stories about SOX implementation in every company. Both sharing the same story about the happy and the sad part of implementing what so called Risk Control Matrices, IT General Control, and Application Control. Here is seven sign for successful SOX implementation.
1. Number of control implemented is increase
Number of control already implemented is one of the key of successful SOX implementation. During first year of SOX compliance implementation, most of company could not able to implement all control which already designed.
2. Every body happy with the compliances
Usually most of people will refuse new thing, and SOX compliances is one the new thing that people will find difficult to accept. Successful SOX compliances should be able to make every body happy with the policy and procedures that company accepted. Failure dealing with people issue is time bomb for bigger problem tomorrow
3. Risk Control Matrices already mature
Risk Control Matrices (RCM) is always changing due to business trend and climate. The company of course must update the RCM to meet business change. However the basic control should not be change and already mature.
4. Control deficiencies is could be avoided
This is classic sign for successful SOX implementation. Number of control deficiencies from first year to the last year testing should be minimized. Internal auditor should maintain effectively which control could be implemented and which not effective.
5. Increasing internal satisfaction
The goal of SOX compliance, instead of corporate governance is of course an increasing in internal satisfaction. Better policy and procedures, better business process operation. By set several indicator company could find that internal satisfaction should be increased.
6. Internal awareness about control is increase
Awareness is a classic issue. Effective control implementation could increase internal awareness. As regulation, SOX will be able play important role against this issue.
7. Dispute and conflict between department already remediate
Since every business is personal business, so does the SOX compliances. Sometimes dispute and conflict between each department is happened. After two or three years SOX implementation, the internal audit department or the audit dept. should able to remediate each potential conflict that could be happen.
Any other experience for successful sign of SOX implementation?
