The Sarbanes Oxley Compliance rule dictates that management should have a more proactive approach rather than a reactive approach. This means that they need to put systems and checks in place to make sure that the products that are made turn out properly the first time. This helps both the consumer and the manufacturer. First of all, the consumer doesn't receive a faulty product and secondly the manufacturer doesn't lose as much money from product returns and lawsuits.
It isn't easy to enact this protocol however; it means that companies will be required to keep a lot of information regarding methods and financial efficiency. Someone would have to keep track of what works and what doesn't to make sure that everything goes according to plan, and the company can be fairly blameless when it comes to the creation of their products and the way they manage their company and finances. Even though it is difficult, it is definitely a lot better than the old way in which companies just reacted to the things that went wrong rather than preparing for them. In this way, they are now in control of the things that happen to them, and they will remain financially secure for the foreseeable future.
Business has come a long way, and so have the methods that are employed to keep it running smoothly. It's hard to tell what sort of advancements will be made next, but the ones that have been made so far have definitely made the job of management a lot easier. It also frees people up to do the jobs that they were assigned to do rather than worrying about the minor details that could possibly go wrong.
All in all this is a great move for both businesses and the consumers, so when doing business with any company that does manufacturing, make sure that they comply with the Sarbanes Oxley rule.
