The cost of Sarbanes-Oxley.A recent AMR (1) (Adaptive Multi-Rate) A variable rate speech codec selected by the 3GPP for the 3G evolution of the GSM cellphone system (WCDMA). Using the Algebraic CELP (ACELP) compression technology, AMR provides toll quality sound at transmission rates from 4.75 to 12. Research report found that 77 percent of U.S. companies will spend more on information technology (IT), business process change, corporate governance Corporate Governance The relationship between all the stakeholders in a company. This includes the shareholders, directors, and management of a company, as defined by the corporate charter, bylaws, formal policy, and rule of law. , and/or consulting this year in efforts to comply with the Sarbanes-Oxley Act See SOX. . According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. the report: * 52 percent of public companies are in the process of implementing their Sarbanes-Oxley compliance plans * 33 percent are still evaluating the issues at hand * Only 15 percent reported that they have not yet begun to evaluate options, but most plan to start soon * 61 percent expect business process change will be required * More than 61 percent are looking for Looking for In the context of general equities, this describing a buy interest in which a dealer is asked to offer stock, often involving a capital commitment. Antithesis of in touch with. external assistance from audit firms and/or consultants The report found that many companies are forming cross-functional Sarbanes-Oxley project teams and seeking help from external audit/risk management consultants to define, analyze, and improve best practices for managing their internal controls. But compliance costs companies. According to a study by Foley & Lardner and KRC KRC - Kent Recursive Calculator. A lazy functional language developed by David Turner in 1981 based on SASL, with pattern matching and ZF expressions. ["Functional Programming and its Applications", David A. Turner, Cambridge U Press 1982]. See also continental drift. Research, Sarbanes-Oxley implementation is expensive. The study of 450 companies found that audit fees for organizations with a market capitalization Market Capitalization A measure of a public company's size. Market capitalization is the total dollar value of all outstanding shares. It's calculated by multiplying the number of shares times the current market price. This term is often referred to as market cap. of around $1 billion rose by 35 percent in 2002. The report blamed the rising costs on the new corporate governance laws and greater demands from the market to ensure sound financial statements. Boston-based AMR Research estimates that the act's requirements present a gargantuan gar·gan·tu·an adj. Of immense size, volume, or capacity; gigantic. See Synonyms at enormous. gargantuan Adjective huge or enormous [after Gargantua, a giant in Rabelais' "Y2K-like" task that will cost organizations as much as $2.5 billion. PricewaterhouseCoopers' latest "Management Barometer," a quarterly survey of top executives in large, multinational businesses--including technology, financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. , and consumer and industrial products and services--found that Sarbanes-Oxley implementation has resulted in changes in controls and compliance practices at nearly 85 percent of large U.S. multinational companies. Fully 82 percent expressed confidence that their company is in compliance with the law, while 13 percent said they had more to do. Only 13 percent said it has been "very costly" to make their company Sarbanes-Oxley-compliant, and 44 percent said it has been "somewhat costly." More than 50 percent said implementation has not been costly, but 85 percent of executives surveyed expect costs to rise long term. (For more information, visit www.barometersurveys.com.
Sarbanes-Oxley Compliance Costs
Executives were polled in October 2002 and June 2003. With more time
and experience, far greater numbers have found it costly to bring
their entire company into compliance:
October 2002 June 2003
Extremely costly -- 3%
Very costly 3% 13%
Somewhat costly 29% 44%
Total 32% 60%
More executives also are concerned about the long-term cost of
control and compliance:
October 2002 June 2003
Much higher long-term
costs expected 12% 27%
Somewhat higher long-term
costs expected 59% 58%
Total 71% 85%
Source: PricewaterhouseCoopers' www.barometersurveys.com
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