policy SME

Audit and Compliance Monitoring Policy - SME

Ensure operational control and certification readiness with an SME-friendly audit and compliance monitoring policy aligning with ISO 27001 and GDPR.

Overview

This policy outlines structured audit and compliance monitoring processes for SMEs, ensuring controls, policies, and systems meet ISO 27001, GDPR, and legal obligations with minimal complexity.

SME-Ready Simplicity

Designed for SMEs with clear roles, repeatable checklists, and no need for a dedicated compliance team.

Standards-Based Auditing

Aligns with ISO 27001, GDPR, NIS2, DORA, NIST SP 800-53, and COBIT 2019 for proven compliance.

Full-Scope Review

Applies to all departments, systems, and third parties involved in IT, data, or critical services.

Structured Corrective Actions

Audit findings are documented, risk-rated, assigned, and tracked for reliable remediation.

Read Full Overview
The Audit and Compliance Monitoring Policy (Document P33S) provides a comprehensive framework for structured internal audits, security control checks, and regulatory compliance monitoring, specifically adapted for small and medium-sized enterprises (SMEs). Recognizing that SMEs often lack dedicated compliance staff, this policy delegates essential roles and responsibilities to the General Manager, IT provider or administrator, team leads, and, when necessary, external auditors or consultants. Its core objective is to detect control failures, prevent non-compliance, and continuously demonstrate due diligence in line with the requirements of ISO/IEC 27001, GDPR, and related industry standards. The scope of this policy is broad, covering all internal departments, external service providers involved with IT systems, personal data processing, and any business-critical services. It mandates regular and structured review of all controls and systems within the Information Security Management System (ISMS). Audits may be triggered internally or at the request of clients, regulators, or for certification and recertification exercises. The policy stipulates that evidence collection and reporting must be well organized to meet the demands of ISO/IEC 27001, GDPR audits, client due diligence, and evolving regulatory or legal requirements (such as NIS2 and DORA). Key governance requirements include GM approval of an annual audit plan, with clear identification of systems, controls (e.g., ISO/IEC 27001 Annex A controls), GDPR-specific processes, outsourced services, and critical business activities subject to annual or ad hoc review. Internal audits should occur at least annually, with higher frequency for critical or high-risk domains. All audit activity must be based on structured checklists, including policy status, technical controls validation, user compliance, and appropriate evidence logging. Findings are risk-rated and tracked through to remediation, with corrections reviewed and confirmed by the GM. Supporting SME realities, the policy institutionalizes simple and repeatable audit checklists, centralized evidence storage (with metadata and retention requirements), and a straightforward exception and risk management process. All roles, from General Manager through IT provider to key users, are given clear, actionable responsibilities, facilitating compliance without need for a dedicated compliance department. Audit results are integrated into ongoing ISMS management reviews, with annual policy evaluation and updates required in response to changes in regulations, certifications, or major incidents. This policy is explicitly labeled as an SME policy (noted by the document number P33S and the direct addressing of the General Manager, rather than specialist compliance or security officers). It is crafted to ensure that organizations can maintain certification readiness and operational control, even with limited internal resources, and to satisfy the requirements of multiple global frameworks through practical, business-realistic processes.

Policy Diagram

Audit and compliance monitoring flow chart illustrating planning, scheduled reviews, evidence collection, corrective actions, and exception management steps.

Click diagram to view full size

What's Inside

Scope and Annual Review Requirements

Structured Audit Checklists

Risk-Based Findings and Corrective Actions

Evidence Collection and Retention Rules

Legal, Regulatory, and Client Audit Coverage

SME-Specific Roles and Governance

Framework Compliance

🛡️ Supported Standards & Frameworks

This product is aligned with the following compliance frameworks, with detailed clause and control mappings.

Framework Covered Clauses / Controls
ISO/IEC 27001:2022
ISO/IEC 27002:2022
NIST SP 800-53 Rev.5
EU GDPR
2432
EU NIS2
EU DORA
10
COBIT 2019

Related Policies

Information Security Policy-SME

Sets the baseline for all control expectations and requires enforcement through audits.

Governance Roles And Responsibilities Policy-SME

Establishes accountability for audit planning, execution, and corrective action ownership.

Risk Management Policy-SME

Identifies control weaknesses uncovered in audits and ensures that findings are documented in the risk register.

Data Protection And Privacy Policy-SME

Defines GDPR controls that must be audited, including data handling, breach response, and privacy notices.

Logging And Monitoring Policy-SME

Supplies the audit logs and forensic data used during compliance and control reviews.

Incident Response Policy-SME

Requires periodic audit of incident records and post-event reviews to verify response effectiveness.

Evidence Collection And Forensics Policy-SME

Provides the procedures for gathering verifiable, chain-of-custody evidence during audits.

About Clarysec Policies - Audit and Compliance Monitoring Policy - SME

Generic security policies are often built for large corporations, leaving small businesses struggling to apply complex rules and undefined roles. This policy is different. Our SME policies are designed from the ground up for practical implementation in organizations without dedicated security teams. We assign responsibilities to the roles you actually have, like the General Manager and your IT Provider, not an army of specialists you don't. Every requirement is broken down into a uniquely numbered clause (e.g., 5.2.1, 5.2.2). This turns the policy into a clear, step-by-step checklist, making it easy to implement, audit, and customize without rewriting entire sections.

Centralized Evidence Management

All audit evidence is collected, organized, and retained in a single secure folder for smooth certification and client reviews.

Collaborative Audit Participation

Includes clear requirements for General Managers, IT Providers, and team leads to ensure full coverage and shared accountability.

Flexible Risk Exception Handling

Allows custom treatment and documentation of audit risks or scheduling gaps for real-world business constraints.

Frequently Asked Questions

Built for Leaders, By Leaders

This policy was authored by a security leader with 25+ years of experience deploying and auditing ISMS frameworks for global enterprises. It's designed not just to be a document, but a defensible framework that stands up to auditor scrutiny.

Authored by an expert holding:

MSc Cyber Security, Royal Holloway UoL CISM CISA ISO 27001:2022 Lead Auditor & Implementer CEH

Coverage & Topics

🏢 Target Departments

IT Security Compliance Audit

🏷️ Topic Coverage

Compliance Management Internal Audit Continual Improvement Risk Management Policy Management
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Audit and Compliance Monitoring Policy - SME

Product Details

Type: policy
Category: SME
Standards: 7