Friday, December 07, 2007

Regulatory Compliance and data security

Study: Frequency of Data Loss Connected To Compliance Efforts
For companies that continue to look for the business and financial value of regulatory compliance initiatives, listen up. There is a direct correlation between a company's compliance record and its ability to protect sensitive data, according to a new report.

Companies that perform well in compliance audits also excel at protecting their data, according to the study, released today by the IT Policy Compliance Group, a Cleveland-based research firm. By contrast, companies that performed poorly on regulatory audits tend to have the worst data protection records.

There have calls for changes to Sarbanes-Oxley. This is evidence that it is working.

As the credit implosion continues there will be calls for more regulation. The best thing investor relations pros can do in this situation is impress upon management the necessity of telling the truth, even if that means bankruptcy. Now is the time for accountants, lawyers, and PR pros to work together to salvage what they can.

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