BirdDog Solutions, Inc., the leading provider of Transportation Spend Management services for large-volume shippers in North America, has received SAS 70 Type II certification, effective August 3, 2009, following an in-depth, independent audit of its financial and business operations. The audit was conducted by Armanino McKenna, LLP, one of the largest and most respected public accounting and consulting firms in California. The firm’s findings validate that BirdDog has satisfied rigorous operational and internal controls and that it operates as a trusted outsourced transportation spend management provider.
What is SAS 70?
SAS 70¹ is a professional standard designed to report the internal control objectives and activities of third-party service providers. Achieving this certification is extremely important in today’s market. Due to increasing global security issues, companies must be able to prove that they have sufficient internal controls in place when they handle customer data. In addition, to comply with Section 404 of the Sarbanes-Oxley Act of 2002, companies, through the services of an external auditor, must be able to report on the adequacy of their internal control over financial reporting. SAS 70 certification, which is recognized worldwide, provides professional organizations with a strategic advantage in their industry, one which will certainly set them apart from amateur providers in the marketplace.
Why is this important for BirdDog customers?
Type II certification² documents that BirdDog Solutions excels at the following internal control elements: Control Environment, Risk Assessment, Monitoring, Information – Communication, and Control Activities.
“It is of utmost importance to BirdDog that we deliver the highest quality and most secure transportation services to our clients,” stated Joel Sitak, BirdDog’s CEO. “We continuously reinvest in our company’s financial and business operations to ensure that we are demonstrating satisfactory safeguards with regard to our clients’ data. Because we are a SAS 70 Type II certified organization, our customers can have peace of mind knowing that their information is in good hands and that our financial processes are sound.”
SAS 70 certification, specifically Type II, is of great benefit to third-party providers as well as their clients. “BirdDog Solutions’ recent certification further confirms that we are taking the necessary measures to protect our customers,” Sitak added. “We will continue to gain client trust by providing state-of-the-art technology and secure business practices. For companies that may be considering outsourcing, before selecting your vendor, we highly recommend that you request a copy of their SAS 70 Type II certification. Choosing to work with a certified vendor will ensure that your best interests are of their foremost concern.”
¹ SAS 70, which stands for Statement on Auditing Standard #70, is an internationally recognized auditing standard developed by the American Institute of Certified Public Accountants (AICPA).
²Once the SAS 70 audit is complete, a “Service Auditor’s Report” is issued to the service organization in the form of one of two types of reports: Type I or Type II. A Type I report is a description of the service organization’s controls at a specific point in time. Type II reports are very similar; however, they test a service organization’s financial and operational controls over a period of six months or longer. Due to the quantity and length of processes tested,
Type II reports are much more thorough and usually more expensive. They represent the highest level of certification attainable.