New regulations regarding financial controls and statements have necessitated an overhauling of collection, retention and management procedures as far as information cares .
What is Regulatory Compliance?
Regulatory Compliance Acts make it mandatory for public companies to guage , review, restructure and make an in depth report of the interior controls in situ for financial statements. The report has got to tend a “clean chit” by external auditors. These Acts seek to stop financial misstatements, and reduce fraud publicly companies.
IT is a crucial tool when it involves data management to make sure regulatory compliance. IT tools are used for accessing and maintaining records, and protecting the financial systems from misuse. Here are some tips to make sure good data management practices.
1) the acceptable management must be notified of knowledge management ownership and that they must understand their responsibilities.
2) Data systems should be listed, their managers notified, and therefore the number of databases, sorts of information software used, the underlying OS , access conditions, and other utilities should be listed.
3) Review the potential threats to information stored in databases, and involve periodic reassessments.
4) the info should be properly catalogued, so extraction and tracking become easier.
5) There should be data backup in situ .
6) The responsibilities regarding management must be delegated during a way that it prevents unauthorized access to information, also as alterations to the info .
Database Management: Database Administrators.
In order to make sure regulatory compliance, management is choppy into different tasks and every task is delegated to a database administrator, or DBA. The DBA’s responsibilities include:
1) Being in charge of the integrity of the info .
2) Authorizing and tracking database modifications and management of security of the system.
3) Ensuring proper backup for database.
4) Ensuring that the database is foolproof against unauthorized access.
5) Maintain an inventory of all databases, and databases aside from their own that they access information from.
6) Keep proper documents in situ establishing that they follow legal practices regarding access and privileges.
7) Test database log validation procedures.
8) Rectify the database quickly when unauthorized access and changes to the database are noticed.
9) make sure that just in case of an accidental or premeditated loss of knowledge , it are often recovered within the minimum possible time in order that business isn’t affected.
Database management procedures should satisfy auditors, be legal, and will employ correct auditing methods. There are companies that provide these services. However, they ought to remember of their duties and responsibilities and ensure regulatory compliance of their management processes. Upgrading the database system and fixing proper controls to information access and flow keeps the organization within the good books of auditors, and prevents financial scandals.