Sarbanes-Oxley Act Essay

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Sarbanes-Oxley Act on Internet security systems



As well as impacting accounting, the Sarbanes-Oxley Act also had a significant impact upon IT security: "Each organization that is affected by the Sarbanes-Oxley Act has some level of reliance on automated information systems to process and store the data that is the basis of financial reports. The Act requires these organizations to consider the IT security controls that are in place to promote the confidentiality, integrity, and accuracy of this data" (Byrum 2003: 3). All security controls protecting such data must be analyzed for effectiveness: acceptable controls may include flagging multiple login attempts and restricted data accessibility for all data covered by the Act (Byrum 2003: 4). This ensures that financial information is less likely to be tampered with, a critical concern of SOX.



The Act does not specify which types of controls are required given that this will vary with the needs of the organization.

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However, it does identify three critical areas of Internet security as "infrastructure security,….....

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