ISO 27001 vs SOC 2: Which Do You Need?

Overview

ISO 27001 and SOC 2 are both information security frameworks, but they serve different purposes and audiences. Understanding the differences helps you decide which to pursue first — or whether you need both.

ISO 27001 at a glance

• Issuing body — ISO (International Organization for Standardization)
• Scope — Information Security Management System (ISMS)
• Controls — 93 Annex A controls across 4 themes
• Output — Certification (3-year cycle with annual surveillance)
• Recognition — Global, especially strong in EU, UK, Australia, Asia-Pacific
• Audit type — Certification audit by accredited certification body

SOC 2 at a glance

• Issuing body — AICPA (American Institute of Certified Public Accountants)
• Scope — Trust Services Criteria (security, availability, processing integrity, confidentiality, privacy)
• Controls — Organisation-defined controls mapped to Trust Services Criteria
• Output — Attestation report (Type I: point-in-time, Type II: over a period)
• Recognition — Primarily North America
• Audit type — Examination by licensed CPA firm

Key differences

• Prescriptive vs flexible — ISO 27001 prescribes 93 specific controls (with justification for exclusions). SOC 2 lets you define your own controls as long as they satisfy the Trust Services Criteria. This makes ISO 27001 more structured but also more predictable for auditors.
• Certification vs attestation — ISO 27001 results in a formal certification you can publicly reference. SOC 2 produces an attestation report that’s typically shared under NDA with specific customers. ISO 27001 certification is a stronger public signal of security maturity.
• Global vs US-centric — ISO 27001 is recognised worldwide and is the standard expected by most non-US enterprises and governments. SOC 2 is primarily recognised in North America. For Australian companies, ISO 27001 is almost always the right first choice.
• Continuous vs periodic — ISO 27001 requires an ongoing ISMS with annual surveillance audits. SOC 2 Type II covers a specific period (usually 6–12 months) and needs to be renewed annually.
• Cost— ISO 27001 certification typically costs $15,000–$50,000 for the full process (excluding consulting). SOC 2 Type II audits typically cost $20,000–$80,000.

Which should Australian organisations pursue first?

For most Australian organisations, ISO 27001 is the right first choice:

• ISO 27001 aligns directly with Australian regulatory requirements (Privacy Act, Essential Eight, IRAP)
• Australian government agencies and enterprise buyers expect ISO 27001, not SOC 2
• ISO 27001 provides a foundation for IRAP assessment
• ISO 27001 is a formal certification (stronger than an attestation report)
• Once you have ISO 27001, adding SOC 2 is incremental — many controls overlap

Consider SOC 2 first if your primary customers are US-based SaaS companies that specifically request SOC 2 reports. Even then, pursuing ISO 27001 concurrently or soon after gives you broader market coverage.

Pursuing both frameworks

Many organisations eventually need both. The good news: there’s significant overlap between ISO 27001 Annex A controls and SOC 2 Trust Services Criteria. An integrated approach can save 30–40% of the effort compared to pursuing them independently.

• Build your ISMS to ISO 27001 first — it’s more structured and gives you a complete security management system
• Map your ISO 27001 controls to SOC 2 Trust Services Criteria
• Fill gaps (SOC 2 has additional criteria around availability and processing integrity that ISO 27001 doesn’t explicitly address)
• Use a single set of evidence and documentation for both audits where possible

How Standardise helps

Standardise is purpose-built for ISO 27001 and Australian compliance. It provides all 93 Annex A controls in the Statement of Applicability, 27 document templates, risk register, evidence collection, and audit management. The platform also includes Essential Eight, IRAP, and Privacy Act modules that no SOC 2-focused tool covers. Start with ISO 27001, build your ISMS, and extend to SOC 2 when your US customers require it.