If you are a B2B company, you likely will be asked to complete a SOC 2 or ISO 27001 certification by your customers. If you have never experienced this process before, it can be a daunting proposition. Since it is our mission statement at Tugboat Logic to demystify the complex world of security so you can get on with the business of selling, here is a quick guide on how the two certifications are alike and dissimilar to help you out. The truth is these certifications are “close cousins”, so if you work smart you can leverage the work you do on one certification to complete the other in record fashion.
One of the main differences between ISO 27001 and SOC 2 is scope
Similarities in scope for SOC 2 vs ISO 27001
Both SOC 2 and ISO 27001 are similar in that they are designed to instill trust with clients that you are protecting their data. If you look at their principals, they each cover important dimensions of securing information, such as confidentiality, integrity and availability. When Tugboat Logic mapped these two certification framework, it proved that 30% of the controls overlap. The good news you can draw from this comparison is that both frameworks are broadly recognized certifications that prove to clients that you take security seriously. The great news is, if you complete one certification, you are well along the path to completing the other.
Differences in scope for SOC 2 vs ISO 27001
The main difference between SOC 2 and ISO27001 is that SOC 2 is focused mostly on proving the security controls that protect customer data have been implemented, whereas ISO 27001 also wants you to prove you have an operational Information Security Management System (ISMS) in place to manage your InfoSec program on an ongoing basis. This adds several controls around proving this management system is in place and regularly reviewed for conformity to the ISO27001 standard. With Tugboat Logic, if you do the SOC 2 certification first, we have already done the work for you to map controls to policies so you essentially get an ISMS for free when you implement the control in the first place.
SOC 2 vs ISO 27001 differences include market applicability
Similarities in market applicability for SOC 2 vs ISO 27001
As said above, both of these certifications are very reputable security certifications accepted by clients as proof that you have proper security in place. If you are selling to organizations in the United States, they will likely accept either SOC 2 or ISO 27001 as a third-party attestation to your InfoSec program. Both are equally “horizontal” in that they are accepted by most industries, with the exception of the federal government (requires FedRAMP) or healthcare (requires HIPAA).
Differences in market applicability for SOC 2 vs ISO 27001
The only market difference is that if you are doing business internationally, ISO27001 is more widely accepted by clients in these regions.
SOC 2 vs ISO 27001 Certification Differences
Similarities in SOC 2 and ISO 27001 Certification
Both SOC 2 and ISO27001 are reputable independent, third-party-attested certifications that attest to your level of security as an organization.
Differences in SOC 2 and ISO 27001 Certification
The main difference is a licensed CPA firm attests SOC 2; whereas a recognized ISO 27001-accredited registrar certifies ISO 27001.
ISO 27001 vs SOC 2 Cost
Similarities in SOC 2 vs ISO 27001 Cost
Differences in SOC 2 vs ISO 27001 Costs
While pricing varies widely across the industry and depending on the scope of your certification project, ISO 27001 typically costs 50%-60% more than SOC 2. This is likely due to the added burden of documentation required by auditors to prove you have an ISMS in place. One benefit of using a Security Assurance platform such as Tugboat Logic is that we reduce the cost of creating these documents dramatically with our prebuilt policies and controls that have been mapped to both ISO 27001 and SOC 2. It also reduces the time it takes the auditor to complete the audit since the back-and-forth time is greatly reduced.
ISO 27001 and SOC 2 differ in time to complete
Similarities in time to complete SOC 2 and ISO 27001
Certification projects are made up of three distinct stages: Gap Assessment/Plan Definition, Implementation/Evidence Collection, and Audit/Certification. Since SOC 2 and ISO 27001 share many of the same security controls, the implementation and evidence collection time will be very similar.
Differences in time to complete SOC 2 and ISO 27001
Traditionally, ISO 27001 requires about 50%-60% more time to complete than SOC 2. Typically it takes approximately three to six months to complete a SOC 2 Type 1 certification from start to finish depending on how long it takes you to implement all of the security controls, and another three to six months to achieve SOC 2 Type 2. ISO 27001 usually takes 12-18 months to complete, again likely due to the additional process and documentation required to install an operating ISMS. Tugboat Logic can help reduce this burden on creating an ISMS with our automated InfoSec program creation platform. We also have the only automated Statement of Applicability and Risk Assessment Module on the market to assist in speeding up ISO 27001 audits and ensuring you pass.
SOC 2 vs ISO 27001 certification renewal differences
Similarities in SOC 2 vs ISO 27001 renewals
As is customary for most certifications, both SOC 2 and ISO 27001 need to be renewed periodically to remain valid.
Differences in SOC 2 vs ISO 27001 renewals
Some subtle differences exist. SOC 2 has a point-in-time variant named the Type 1 Report, but most enterprises will request a Type 2 Report as well, which requires you to demonstrate effectiveness of your security controls for a period of time, typically twelve months. Once completed, SOC 2 Type 2 needs to be renewed annually. As for ISO 27001, most engagements include a three-year commitment where you have a point in time audit in year one, and renewals each year thereafter.
ISO 27001 vs SOC 2 Mapping
SOC 2 and ISO 27001 have many similarities that can make expanding your InfoSec program simple. To see the overlaps between these two frameworks, use our free overlap finder.
SOC 2 vs ISO 27001: Final Thoughts
Whatever certification you decide to do first, the odds are as your business grows you will eventually have to complete both certifications to meet the requirements of your global clientele. The encouraging news is that there are easier, faster and more cost-effective methods to leverage the work you do in one certification to reduce the amount of work you need to do in subsequent certifications. Tugboat Logic’s core mission is to demystify and automate the process of obtaining security certifications so you know exactly what you need to do, and help you expedite completion of that work so you can complete your audit quickly.