Certified Materials and Resource Professional Practice

A SAS 70 audit, now known as SSAE 16 or ISAE 3402 in some regions, primarily evaluates internal controls and safeguard measures related to a service organization’s operational systems and processes. This audit assesses how well a service organization manages and protects the data and operations of its clients.

The focus is on understanding the effectiveness of internal controls that are in place to manage risks, ensure the integrity of information, and protect client assets. This includes examining policies, procedures, and controls that the organization has implemented to ensure compliance with various regulations and operational efficiencies.

The other options do not capture the primary purpose of a SAS 70 audit; they target entirely different aspects of an organization’s operations, such as employee performance, tax regulations, or market competitiveness. These elements, while important in their own contexts, are not the central focus of a SAS 70 audit, which is dedicated to evaluating how the organization safeguards sensitive data and maintains effective internal control over its processes.