CenterBeam Awarded SAS 70 Type II Certification

CenterBeam’s Quality Initiative Passes Rigorous Audit

SAN JOSE, CA - July 5, 2005

After an extensive audit, CenterBeam has been awarded SAS 70 Type II certification.  The SAS (Statement on Auditing Standards) 70 certification is an internationally-recognized standard developed by the American Institute of Certified Public Accountants.  The Type II certification means an independent auditor examines CenterBeam’s day-to-day procedures to determine if they continue to perform as documented and issues a report on their findings every six months.  

“Winning SAS 70 Type II certification is another important step on CenterBeam’s quest for quality,” said Kevin Francis, CenterBeam’s president and chief executive officer.  “The certification means our procedures are well-documented, support the delivery of our services and can withstand the scrutiny of an independent auditor not just one time but every day.  SAS 70 certification supports one of CenterBeam’s most important values: Integrity.  It documents that we do what we say we do.” 

SAS 70 Certification Part of CenterBeam’s Quest for Quality

CenterBeam’s quest for quality is lead by Kevin Francis and touches every aspect of the company’s operations.  For example:

• Training on Lean Six Sigma methodology.  About 15% of CenterBeam’s staff has been trained as Black Belts, Green Belts and Corporate Champions, and all of CenterBeam’s staff have been provided with training in Lean Six Sigma fundamentals.
• Recruiting of several quality management specialists with training and experience in the application of IT Infrastructure Library (ITIL), IT Service Management (ITSAM).
• Continued development and deployment of automated processes that speed service delivery while simultaneously improving the quality of those services.
• Investment in new infrastructure, in particular the design and construction of special purpose engineering and support facilities in San Jose and Saint John, New Brunswick creating redundant operations centers spanning both coasts of North America. 

SAS 70 Certification Helps CenterBeam Clients Comply to SOX

For a SAS 70 Type I report, an auditor decides whether the service organization accurately describes its controls as of a specific date and whether the controls are designed to achieve defined control objectives.  For CenterBeam, these objectives are the services it delivers to its clients.  CenterBeam was awarded its SAS 70 Type I certification in 2003.  In the much more in-depth Type II audit, the auditor examines and verifies that the company’s controls are being followed on an ongoing basis, and then reports on their findings every six months.  CenterBeam completed the rigorous Type II audit during the second quarter of 2005 and received its certification in June.  SAS 70 Type II certification helps CenterBeam clients in many ways including documenting procedures for Sarbanes-Oxley Section 404. 

CenterBeam’s success regularly attracts the attention of important opinion makers such as leading IT industry analyst Gartner.  Gartner has published a case study on the CenterBeam service and cited CenterBeam’s innovative approach when the firm named CenterBeam one of the “Cool Vendors” in IT management.  A book by Cisco Press, The Business Case for Virtual Business Processes, includes a case study of CenterBeam as an example of how companies can use IT outsourcing to reduce costs, improve efficiencies, and focus on their core business.  Most recently, the prestigious KIRA award was presented to CenterBeam for its achievement and Kevin Francis for his industry leadership.

About CenterBeam, Inc.

CenterBeam is an award-winning North American-based IT outsourced services company that delivers more than 44,000 services daily for mid-sized clients in sixteen countries across four continents. Founded in 1999, CenterBeam pioneered the application of quality management techniques to IT and currently earns a 97% client satisfaction rating as measured by Quality Resource Associates. CenterBeam's Total Satisfaction Guarantee and month-to-month contracts make the company unique among IT outsourced services companies. CenterBeam is headquartered in San Jose, Calif. and can be reached at 408.750.0500 or www.centerbeam.com.