ISO 27001 vs SOC 2 Certification: Major Differences and Similarities

Srividhya Karthik

Srividhya Karthik

Sep 30, 2023

ISO 27001 vs SOC 2

As a B2B SaaS player, it isn’t uncommon for customers to ask you for ISO 27001 and SOC 2 compliance reports. Both frameworks dovetail robust cybersecurity practices and are widely recognized certifications. And the primary goal of both is to prove to your customers that security is your top priority.

ISO 27001 vs SOC 2 which of these compliances do you need? Is one better than the other? The answer to these questions depends on several factors; all of which we have discussed in detail in the article. Read on to learn the differences and similarities between ISO 27001 and SOC 2 frameworks, the extent of their overlap, and what to expect if you want to become compliant with one or both.

What is ISO 27001?

ISO 27001 is one of the leading international standards focused on implementing enterprise-wide information security.

It was developed in 2005 by the International Organization for Standardization (ISO) in partnership with the International Electrotechnical Commission (IEC) to help organizations protect their information systematically and cost-effectively by adopting an Information Security Management System (ISMS). The ISMS is an organized approach to maintaining an organization’s confidentiality, integrity, and availability.

The current standard was updated in 2022. You can read more about ISO 27001 requirements.

What is SOC 2?

SOC 2 Compliance (System and Organization Control 2) is a voluntary compliance standard developed by the American Institute of Certified Public Accountants (AICPA). It specifies how organizations should manage customer data based on the Trust Services Criteria (TSC) of Security, Availability, Confidentiality, Processing Integrity, and Privacy. 

It provides evidence of the strength of an organization’s data protection practices in the form of a SOC 2 report. The report details the evaluation of the organization’s internal controls by an independent certified auditor – the auditor releases the report after examining the organization’s control over one or more of their chosen Trust Services Criteria (TSC). 

Get SOC 2 & ISO 27001 ready in weeks

What is the difference between SOC 2 and ISO 27001?

The primary difference is that the ISO 27001 standard checks whether your organization has an ISMS in place to manage your information security requirements whereas SOC 2 evaluates the strength of your organization’s information security controls.

Both compliances are unique in many ways. While both lead to improved information security practices, understanding their differences will underscore their relevance to different organizations.

Here is a detailed comparison of ISO 27001 vs SOC 2:

Attestation vs Certification:  The successful completion of SOC 2 leads to the attestation of the strength of an organization’s data security and cloud security practices in the form of a SOC 2 report by an independent certified public accountant. A successful ISO 27001 audit, on the other hand, results in a one-pager certification from an ISO Certification Body. It is a standard to establish ISMS.

Market Applicability: While SOC 2 is mostly sought by businesses with customer bases in the United States, ISO 27001, in comparison, has a broader appeal and is accepted as a security standard the world over.

Timelines for Readiness: It takes about 6-12 months to become SOC 2 compliant. The ISO 27001 compliance, in comparison, can take 6-24 months. 

Renewal Period: While the SOC 2 compliance needs to be renewed every year (audit once every year), the ISO 27001 certification is valid for three years. There are surveillance audits once every year.

Scope, Criteria & Controls: The controls for SOC 2 run deep. ISO 27001 controls, in contrast, are high-level. SOC 2 has about 61 criteria under the five TSCs, and the organizations are audited based on their chosen TSC (security is compulsory). ISO 27001 has seven requirements (mandatory) with 114 security controls grouped into 14 sections (Annex A), and the audit is based on the review of the ISMS or its elements to test if it meets the standard’s requirements. Also, while SOC 2 looks back to evaluate evidence, and doesn’t attempt to offer comfort that the attested organization will continue to operate in the same way in future, ISO 27001 certification requires periodic surveillance audits (partial review) in years 2 and 3.

Audit Scope: SOC 2 compliance tests the design (SOC 2 Type 1) and operational effectiveness (SOC 2 Type 2) of the organization’s internal controls over one or more of the chosen TSCs. Infrastructure, software, people, data and procedures also get audited. ISO 27001 tests the design and operating effectiveness of the ISMS’ approach to maintaining confidentiality, integrity and availability in the organization during the stage 1 and stage 2 audits.

The Extent of Report: The SOC 2 report is a detailed description of the audit and contains the independent auditor’s opinion, management assertion, system description, controls list, the tests and their lists. The ISO 27001, on the contrary, is an audit findings report consisting of observations, nonconformities, comments, and positive findings followed by a certificate.

Some of the key differences between SOC 2 and ISO 27001 audits are highlighted in the table below:

ISO 27001 vs SOC 2 - Difference between SOC 2 and ISO 27001

Similarities between ISO 27001 and SOC 2

Even though markedly distinct, there are some similarities between the ISO 27001 and SOC 2. And here’s how they stack up:

  • Voluntary frameworks: Both ISO 27001 and SOC 2 are not regulatory compliances and are optional, unlike government-mandated frameworks such as GDPR Compliance and HIPAA Compliance. Organizations undertake these compliances out of their own volition. 

  • Assessment of security practice: Both frameworks help organizations get an overview of their current security practice, and its strengths and weaknesses through internal risk assessment and management. 

  • Design effective information security systems: As leading compliances, both help organizations design an effective and operational information security system through a mixture of policies, procedures, and best practices.

  • Build trust with vendors and customers: Both frameworks are widely-accepted ways to prove to customers that an organization’s security practices are robust.

  • Overlap of scope: The two frameworks have about 80% overlap in terms of security requirements.  

  • Continuous monitoring: Both frameworks require the organization to set up a continuous monitoring practice to remain compliant throughout. You cannot leave your compliance on autopilot mode post a successful audit – they aren’t one-off projects and require ongoing efforts to maintain compliance.

Achieve Always-on compliance with Sprinto

Here’s AICPA’s downloadable ISO 27001 vs SOC 2 mapping in excel.

Which framework should you use? ISO 27001 vs SOC 2?

ISO 27001 vs SOC 2, the decision between this would rest on your organization’s target market, customer requirements, and your security posture and ambitions. While many organizations eventually grow to get both frameworks, if you have to choose one over the other, here are some factors worth considering.

Which to choose - soc 2 vs iso 27001

The two compliances aren’t mutually exclusive. For that matter, they overlap roughly 80% depending on the size of the organization and the scope of the audit. So, you could also consider pairing the two. From an audit standpoint, the overlap of requirements and controls makes the compliance journey relatively easier. Besides, in our experience, most organizations typically go on to add both frameworks as they grow and expand in new geographies.

Did you know that when you work with Sprinto, you can be compliance-ready much faster, no matter the framework? Thanks to the smart, streamlined, and automated workflow on Sprinto, you can get compliant ready within weeks!

SOC 2 or ISO 27001 – The smart way to compliance

Sprinto offers an automated, intuitive and scalable approach to SOC 2 and ISO 27001. For instance, you could get SOC 2 compliant first and then consider ISO 27001 (or vice versa). But no matter what, you can rest assured that the work put in to become compliant with any framework, wouldn’t go waste. Sprinto’s intelligent automation builds on the requirements’ overlap, making subsequent certifications easier and faster. 

Here are some of the features of Sprinto that promise to make compliance rather enjoyable for you:

  • Scalable Solution: Sprinto is built to grow with your organization. From expanding the scope of your audit to adding more frameworks as you grow, Sprinto makes compliance effortless and easy.

  • Allows for Edge Cases: Unlike other automation players, Sprinto makes allowance edge cases (for instance, an employee on long leave who couldn’t update their operating system) and lets you mark them as exceptions and temporarily move them out of your audit scope. 

  • Entity-level control mapping: Controls mapping is automated with Sprinto, saving you from hours of dreadful work. You can mark production and non-production assets and define the security criteria for each. For instance, you can earmark some of your non-production assets from the purview of the audit. 

  • Always be Compliant: Sprinto’s continuous monitoring helps you be compliant always and flags off lapses, oversights, and vulnerabilities that need fixing. With Sprinto, you could add custom controls, classify your entities and select the evidence you want to share.

Sprinto helps you intelligently map and minimize risk, build trust, and prove business resilience. Talk to us and understand how to make your compliance journey easy, error-free, and enjoyable. Book a demo.

Join Sprinto’s 450+ satisfied compliance conquerors

Srividhya Karthik

Srividhya Karthik

Srividhya Karthik, is a Content Lead at Sprinto, she artfully transforms the complex world of compliance into accessible and intriguing reads. Srividhya has half a decade of experience under her belt in the compliance world across frameworks such as SOC 2, ISO 27001, GDPR and more. She is a formidable authority in the domain and guides readers with expertise and clarity.

Here’s what to read next….

Sprinto: Your growth superpower

Use Sprinto to centralize security compliance management – so nothing
gets in the way of your moving up and winning big.