bswift Receives SAS 70, Type II Audit Report
CHICAGO, IL — Thursday, April 17th, 2008
“As a service provider doing business with many publicly-traded companies, it is imperative that we have a SAS 70 Type II audit report,” said Rich Gallun, Chief Executive Officer of bswift. “Given the volume of sensitive employee data that bswift processes on a daily basis, it is even more vital that we have an outside entity verify that we have a high level of security and that we really do what we say we do.”
A Requirement for Doing Business
Since the passage of the Sarbanes-Oxley Act of 2002 (“SOX”), the SAS 70 has become a virtual business requirement for service and outsourcing providers, especially those serving publicly-traded firms.
In fact, many corporations consider it a liability to use the services of an external vendor who does not have a SAS 70 Type II report and thus, are reevaluating all of their outsourcing arrangements and partnerships. For example, Bruce Besanko, CFO of $600 million Yankee Candle, was quoted in Harvard Business Review as saying that he plans to take a hard line if he cannot obtain an SAS 70 report.
“If it is a major partner that impacts our financials, we will terminate the relationship,” said Besanko.
A Motivation to Automate Benefits Administration; An Opportunity to Streamline Operations
While initially perceived by many corporate executives as a compliance annoyance, SOX has served as a stimulus to many corporate organizations to re-visit their internal processes. It has also motivated many firms to move away from manual processing for numerous functions such as benefits administration and toward the standardization and automation of tasks in order to reduce errors and tighten controls.
“Ask most auditors what they consider to be the weakest aspect of internal control, and they'll tell you, 'manual processes,'” write Stephen Wagner and Lee Ditmar of Deloitte & Touche in their article The Unexpected Benefits of Sarbanes-Oxley. “Automated controls, if properly designed and implemented, aren't susceptible to such pitfalls.”
The automation of manual processes creates the opportunity to greatly streamline operations, thereby turning the SOX compliance requirement for many companies into an impetus for greater corporate efficiency. Because of the inefficiencies inherent in many HR processes, the automation of benefits administration has become an easy target for leveraging SOX compliance and has fueled tremendous growth for bswift over the past few years.
“Completing the SAS 70 Type II audit process was not an easy task, but it has already reaped great dividends for bswift with streamlined internal processes as well as meeting the needs of our clients,” said Gallun.
bswift is changing the world of benefits administration by combining deep expertise and a passion for technological innovation with a unique consumer-driven approach. Partnering with enterprises nationwide and serving millions of employees, bswift offers cloud-based technology and services for online enrollment, interactive decision support, ACA compliance reporting and employee engagement. bswift also provides access to consumerism, product and consulting solutions needed to build a benefits program specialized for both employers and employees alike. For more information about bswift, an Aetna company, visit www.bswift.com.
MEDIA CONTACTLisa Fernandez