Standards Comparison

    ISO 28000

    Voluntary
    2022

    International standard for supply chain security management systems

    VS

    U.S. SEC Cybersecurity Rules

    Mandatory
    2023

    U.S. SEC regulation for cybersecurity incident and risk disclosures

    Quick Verdict

    ISO 28000 provides voluntary supply chain security management certification globally, while U.S. SEC Cybersecurity Rules mandate rapid incident disclosure and governance reporting for public companies. Organizations adopt ISO 28000 for resilience and contracts; SEC rules for legal compliance and investor transparency.

    Supply Chain Security

    ISO 28000

    ISO 28000:2022 Security management systems requirements

    Cost
    €€€
    Complexity
    High
    Implementation Time
    12-18 months

    Key Features

    • Risk-based supply chain security management framework
    • PDCA cycle for continual improvement
    • High Level Structure for ISO integration
    • Scalable to all organization sizes
    • Third-party supplier risk governance
    Capital Markets

    U.S. SEC Cybersecurity Rules

    Cybersecurity Risk Management, Strategy, Governance, Incident Disclosure

    Cost
    €€€€
    Complexity
    High
    Implementation Time
    6-12 months

    Key Features

    • Four-business-day material incident disclosure via Form 8-K
    • Annual risk management and governance disclosures in Form 10-K
    • Inline XBRL tagging for structured, comparable data
    • Board oversight and management expertise requirements
    • Inclusion of third-party risks in incident and process disclosures

    Detailed Analysis

    A comprehensive look at the specific requirements, scope, and impact of each standard.

    ISO 28000 Details

    What It Is

    ISO 28000:2022 is an international management system standard specifying requirements for establishing, implementing, maintaining, and improving a security management system (SMS) focused on supply chain security and resilience. It uses a risk-based, PDCA (Plan-Do-Check-Act) approach to protect people, assets, and operations across supply chains.

    Key Components

    • Clauses 4-10 cover context, leadership, planning, support, operation, evaluation, and improvement.
    • Emphasizes risk assessment, security policies, operational controls, and supplier interdependencies.
    • Built on ISO High Level Structure (HLS) for integration; no fixed control count, proportionate to risks.
    • Optional third-party certification via accredited bodies per ISO 28003.

    Why Organizations Use It

    • Reduces supply chain disruptions, theft, and sabotage risks.
    • Meets contractual, customs, and insurance requirements.
    • Enhances trade facilitation, market access, and resilience.
    • Builds stakeholder trust through auditable governance.

    Implementation Overview

    • Phased approach: scoping, gap analysis, risk assessment, control deployment, audits.
    • Applicable to all sizes/industries like logistics, manufacturing; 6-36 months typical.
    • Involves training, supplier engagement, KPIs, internal audits, management reviews.

    U.S. SEC Cybersecurity Rules Details

    What It Is

    U.S. SEC Cybersecurity Rules (Release No. 33-11216), adopted in 2023, is a federal regulation mandating standardized disclosures for public companies. It requires timely reporting of material cybersecurity incidents and annual details on risk management, strategy, and governance, applying a materiality-based approach under securities law principles.

    Key Components

    • **Form 8-K Item 1.05Four-business-day disclosure of material incidents' nature, scope, timing, and impacts.
    • **Regulation S-K Item 106Annual descriptions of risk processes, board oversight, management's role/expertise, and material effects on business.
    • Inline XBRL tagging for structured data.
    • Built on existing securities materiality (e.g., TSC Industries test); no fixed controls, emphasizes processes over technical details.

    Why Organizations Use It

    Public companies comply to meet legal obligations, enhance investor transparency, reduce information asymmetry, and improve capital market efficiency. Benefits include stronger governance, defensible materiality processes, and alignment with investor demands amid rising cyber threats like ransomware and supply-chain attacks.

    Implementation Overview

    Phased rollout: incident reporting from Dec 2023 (SRCs June 2024); annual from FYE Dec 2023. Involves cross-functional playbooks, gap analysis, third-party oversight, board cadences, and XBRL readiness. Applies to all Exchange Act filers; no certification but SEC enforcement via antifraud provisions.

    Key Differences

    Scope

    ISO 28000
    Supply chain security management system
    U.S. SEC Cybersecurity Rules
    Public company cyber incident and governance disclosure

    Industry

    ISO 28000
    Logistics, manufacturing, all supply chain sectors globally
    U.S. SEC Cybersecurity Rules
    All SEC registrants, primarily U.S. public companies

    Nature

    ISO 28000
    Voluntary international management standard, certifiable
    U.S. SEC Cybersecurity Rules
    Mandatory SEC regulation for public company disclosures

    Testing

    ISO 28000
    Internal audits, management reviews, third-party certification
    U.S. SEC Cybersecurity Rules
    SEC filing reviews, enforcement examinations, no certification

    Penalties

    ISO 28000
    Loss of certification, no legal penalties
    U.S. SEC Cybersecurity Rules
    SEC enforcement, civil penalties, litigation exposure

    Frequently Asked Questions

    Common questions about ISO 28000 and U.S. SEC Cybersecurity Rules

    ISO 28000 FAQ

    U.S. SEC Cybersecurity Rules FAQ

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