The Creation of Sarbanes Oxley

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The Creation of Sarbanes Oxley Introduction In 2002, the Sarbanes Oxley Act was ratified to address critical challenges impacting the way all firms are reporting financial information. Since this happened, a variety of companies have been implementing these standards using different techniques. In the case of IT activities, these provisions are designed to enhance reporting and communication. To fully understand the impact of the law on IT requires examining if Sarbanes Oxley is not already embraced by these firms and identifying three areas that have yet to be resolved (in the form of questions). Together, these different elements will highlight the impact of the law on IT related activities. The major things that IT managers will have to do differently when Sarbanes-Oxley becomes fully implemented and effective According to Worthen (2005) there are several different areas that are adversely affecting IT departments. The most notable include: Failure to segregate duties and make updates: A common challenge that all corporations will face is segregating duties between different departments. This is problematic, as these kinds of issues do not create specific areas of responsibility. When this happens, there are reduced amounts of communication and collaboration. In the future, this sets the stage for IT related difficulties to create more challenges for the organization. (Worthen, 2005) Furthermore, the inability to make timely updates for accessing the system
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