The Sarbanes Oxley (SOX) Act is an attempt to maintain correctness in financial figures pertaining to the internal systems of enterprises. Every aspect of business which involves financial transaction comes under the scrutiny of the act. Many of the US enterprises, especially those involved in retail supply chain, have already complied with SOX; many are on the path of compliance. On the other hand, a large number of European enterprises are reluctant to comply as they feel the Act involves a lot of complications. However one thing is clear; if not in the near future, at some point of time all the public limited companies will have to comply with the SOX or similar acts.
This white paper explains the need for organizations involved in supply chain activities to comply with SOX and outlines the best practices that can be adopted to achieve that. Considerable amount of space is devoted to explain the impact of SOX in the US context and the learning European companies can embrace from these early adopters.