Cloud Accounting Data
Security Fears Addressed
It is not arguable that cloud computing is now more prevalent than ever and consequently that cloud based accounting programs are taking over in the accounting world. Our previous article discussed the upsides of cloud accounting systems from accessibility through to seamless integrations.
While data security has been empowered by cloud accounting, cybercrime has equally been recognized to be among the fastest growing forms of criminal activity. Data, in this era, being among the most valuable resources in business, cybercrime threats do not discriminate on business size or industry and thus SMEs are not immune to threats. This article addresses data security tools implemented by cloud accounting programs providers to mitigate these threats.
While physical servers are prone to natural events or theft, cloud accounting data can be hacked. Data security on cloud is thus majorly dependent on the security features of the system in use.
How Cloud Accounting Ensures Data Safety
- Authorized Access: Cloud-based accounting tools allow admission as a system user based on job description/user roles.
- Unique Login Credentials/Passwords: Usually the more complex it is, the safer. It is further recommended to not save the passwords within any web browser.
- 2-Step-Factor Authentication Process: This is an added security layer where a unique code is sent via an authenticator app, text or email to confirm user access.
- Multiple Data Centers: Top accounting software companies have multiple data centers in various undisclosed sites with round the clock surveillance and monitoring.
- Data backup: This is the creation of data copies for retrieval in the case of deletion or other forms of loss.
- Encryption: This is the conversion of data into another form, or code so that only people with authorized access or password can read it.
- Encryption: This is the conversion of data into another form, or code so that only people with authorized access or password can read it.
When necessary precautions are implemented, cloud data security and cloud accounting is a competitive edge that differentiates your organization to your clients.
Related: IMPORTANCE OF IT SECURITY AUDIT
