Complying with complex regulatory legislation, such as Sarbanes-Oxley (SOX), is a millstone for businesses, but one many IT bosses find worthwhile, according to a new report.
Conducted by the research firm Forrester, the study charts the impact of convoluted legislative rules governing transatlantic commerce and concludes that red tape may frustrate IT firms, but it ultimately offers invaluable insight.
Entitled Navigating the European Security Compliance Jungle, Forrester's research identifies SOX as the biggest encumbrance for the majority of respondents, followed by Basel II laws and the EU data protection directive.
Yet half of the 40 user firms and IT vendors surveyed found the process helpful, if tedious.
"Regulatory compliance is usually framed as a negative [but] fully half of our respondents replied that the existence of the regulatory regimes they were most concerned about, and the process of complying with them, has had a positive effect on their company and/or business," the report read.
The build-up of compliance paperwork shows no signs of abating, with the European Markets in Financial Instruments Directive looming on the horizon.
As time runs out for European firms affected by SOX directives, many executives predict an impending regulatory backlash.
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