Benefits to the Service Organization
Service organizations receive significant value from having a SAS 70 engagement performed.
A Service Auditor's Report with an unqualified opinion that is issued by an Independent Public Accounting Firm:
- differentiates the service organization from its peers by demonstrating the establishment of effectively designed control objectives and control activities.
- helps a service organization build trust with its user organizations (i.e. customers).
- eliminates the need to entertain multiple audit requests from its customers and their respective auditors. Multiple visits from user auditors can place a strain on the service organization's resources.
- ensures all user organizations and their auditors have access to the same information. In many cases this will satisfy the user auditor's requirements.
SAS 70 engagements are generally performed by controls-oriented professionals who have experience in accounting, auditing, and information technology. A SAS 70 engagement allows a service organization to have its control policies and procedures evaluated and tested (in the case of a Type II engagement) by an independent party. Very often this process results in the identification of opportunities for improvements in many operational areas.
