Information security should come standard: Everything you need to know about ISO 27001 

Editor’s note: The opinions expressed in this commentary are the author’s alone. BARR Advisory, which has offices in Kansas City, is a cloud-based security and compliance solutions provider, specializing in cybersecurity, is a financial partner of Startland News.

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In today’s digital age, information security is more critical than ever. Businesses across the globe are facing increasing pressure to protect sensitive data from cyber threats. ISO 27001, an internationally recognized standard for information security management, provides a comprehensive framework for organizations to safeguard their information assets. 

What is ISO 27001? 

ISO 27001 is part of the ISO/IEC 27000 family of standards, which are designed to help organizations manage the security of their information. Specifically, ISO 27001 is a specification for an information security management system (ISMS). An ISMS is a systematic approach to managing sensitive company information, ensuring it remains secure. This includes applying a risk management process that considers people, processes, and IT systems. 

ISO 27001 provides a framework for organizations to identify, assess, and treat information security risks according to their risk appetite and regulatory requirements. It is a versatile standard that can be applied to organizations of all sizes and industries. 

Who needs ISO 27001? 

ISO 27001 is applicable to a wide range of organizations across various industries, especially those that handle sensitive information and are concerned about information security. Here are some types of organizations that typically benefit from implementing ISO 27001: 

Technology companies: 

• Software developers: Companies that develop software applications, especially those involving sensitive data, such as healthcare or financial software. 
• Cloud service providers: Businesses offering cloud-based services that store and process client data. 
• IT service providers: Companies providing IT services, including data centers and managed service providers. 

Financial institutions: 

• Banks and credit unions: Organizations that handle large volumes of financial transactions and sensitive customer information. 
• Insurance companies: Companies that process the personal and financial data of clients. 

Healthcare organizations: 

• Hospitals and clinics: Facilities that manage patient records and sensitive health information. ● Pharmaceutical companies: Businesses involved in the research and development of medical drugs and treatments. 

Government agencies: 

• Public sector organizations: Entities that handle sensitive information related to national security, public services, and citizen data. 

Telecommunications companies:

• Network providers: Companies managing vast amounts of data transmitted over their networks. 

E-commerce and retail businesses: 

• Online retailers: Businesses handling customer data, including payment information, addresses, and purchase history. 

Legal and consulting firms: 

• Law firms: Organizations managing sensitive client information and legal documents. ● Consultancies: Companies providing advisory services where client data security is critical. 

Educational institutions: 

• Universities and schools: Institutions managing student records, research data, and administrative information. 

Manufacturing and industrial companies: 

• Manufacturing organizations: Those that rely on digital systems for operations, design, and production data management. 

Benefits of ISO 27001 

There are numerous benefits to ISO 27001. Take a look at just a few below: 

• Enhanced information security: Provides a structured approach to managing sensitive information, reducing the risk of data breaches and cyber attacks. 
• Regulatory compliance: Helps organizations comply with legal and regulatory requirements related to information security, such as GDPR. 
• Reputation and trust: Demonstrating a commitment to information security can enhance customer trust and improve the organization’s reputation. 
• Competitive advantage: Achieving ISO 27001 certification can differentiate a business from its competitors, potentially attracting more clients. 
• Cost reduction: By identifying and mitigating risks early, organizations can avoid costly data breaches and associated financial losses. 

ISO 27001 Certification Process 

The following steps outline what to expect during the certification process with BARR Advisory. 

Pre-certification activities: Your auditor will conduct a client evaluation and engagement acceptance review as part of pre-certification activities. During pre-certification activities, your auditor will gather information about your ISMS scope and boundaries of the system to determine fee arrangements and resourcing needs, such as: 

• Approximate number of people 
• Infrastructure 
• Software components 
• Key activities and data 
• Locations (physical and virtual) of the ISMS 
• Pre-assessment (optional)
• A pre-assessment is not required, but a formal readiness assessment against the ISO 27001 standard can help organizations prepare for initial certification by identifying deficiencies in your ISMS. 

Initial certification audit: Initial certification audits include two stages. In Stage 1 of the audit, the certification body will obtain documentation on the design of the ISMS covering the documentation required in ISO/IEC 27001. Based on the findings documented in Stage 1, BARR will develop an audit plan for Stage 2. In addition to evaluating the effective implementation of the ISMS, the objective of Stage 2 is to confirm that the client adheres to its own policies, objectives, and procedures. 

Surveillance audit: The initial certificate issued is valid for three years from the issuance date. At least annually, surveillance audits are conducted to help ensure your organization complies with the standard. 

Recertification: Before the certificate expires, arrangements for recertification are planned. Recertification activities include a full audit of your ISMS. 

Notice of changes: The BARR team will discuss any changes in the scope of the certification (i.e., reduction or expansion) or changes to requirements during the three-year certification cycle. 

Importance of accredited auditors for ISO 27001 

Achieving and maintaining an ISO 27001 certification isn’t something organizations can do on their own—it requires the expertise and oversight of accredited auditors. Accreditation serves as a seal of trust and competency, and accredited organizations adhere to rigorous standards. 

In order to issue ISO certifications with the seal of an accreditation body, accredited auditors undergo a rigorous process, including being audited themselves. For example, as an accredited certification body under the ANAB, BARR is audited against ISO 17021, 27006, and IAF mandatory documents—all standards and requirements that describe how an ISO audit should be performed. We also undergo an annual week-long audit process, during which a representative from the accreditation body visits our office, reviews our internal quality management system, and reviews a sample of the ISO 27001 audits that we performed the prior year. 

There are dozens of accreditation bodies across the globe, including the ANAB and United Kingdom Accreditation Service (UKAS). Each of those accreditation bodies is a member of the International Accreditation Forum (IAF) and is held to IAF standards. 

Opting for an accredited auditor comes with numerous benefits. Because accredited auditors are subject to continuous oversight, organizations can rest assured that their auditors will adhere to established standards and comply with their own set of strict requirements to ensure an accurate attestation process. Let’s take a look at some of the additional benefits: 

• Peace of mind knowing that your auditor is also audited to remain competent and consistent
• An official accreditation seal on your ISO 27001 certification to assure legitimacy and signify the audit was conducted by accredited auditors 
• Boosted reputation for achieving a highly-regarded security certification 
• Increased stakeholder trust

While organizations can comply with ISO 27001 through non-accredited auditors, the absence of accreditation poses inherent risks. Without an accredited certification body seal, an ISO certification may have less value to stakeholders. 

The ultimate shortcoming of using a non-accredited auditor for ISO 27001 is the lack of trust. Because the auditor isn’t subject to an annual audit and rigorous accreditation process, their standards and procedures may not accurately align with established standards—increasing the risk of inadequate assessments and undermining the credibility of the certification process. 

Overall, accreditation serves as a testament to not just competence, but also integrity and trust. By choosing accredited auditors, organizations can ensure compliance with ISO 27001 and demonstrate a steadfast commitment to securing sensitive information. 

Key takeaways 

ISO 27001 provides a robust framework for organizations to protect their information assets and manage information security risks. By achieving ISO 27001 certification, businesses can enhance their reputation, gain a competitive edge, and ensure compliance with regulatory requirements. While implementing ISO 27001 requires commitment and resources, the long-term benefits of enhanced information security and risk management make it a worthwhile investment for organizations of all sizes. 

If you’d like to learn more about whether ISO 27001 is right for your business, contact BARR Advisory today to get started today.