Equivalent controls: Overview, definition, and example
What are equivalent controls?
Equivalent controls refer to measures or practices implemented by an organization that achieve the same or similar objectives as the prescribed or standard controls, but may be designed or applied differently. These controls are often used in situations where standard controls may not be feasible, practical, or effective due to specific circumstances or constraints.
For example, in compliance with regulatory requirements, an organization might be required to implement controls to protect sensitive data or ensure workplace safety. If the organization cannot meet the exact control requirements as outlined by regulations, it may implement alternative or "equivalent" controls that provide the same level of security or safety.
Equivalent controls are commonly used in industries like cybersecurity, risk management, and safety compliance, where flexibility in how objectives are met can still ensure overall compliance with regulations or standards.
Why are equivalent controls important?
Equivalent controls are important because they provide flexibility while still ensuring that organizations meet the required standards or objectives. Sometimes, strict compliance with prescribed controls may be difficult or overly burdensome, particularly for smaller businesses or organizations with unique operational needs. By using equivalent controls, businesses can maintain compliance without compromising their ability to operate efficiently.
Additionally, equivalent controls allow businesses to adapt to specific operational, financial, or environmental constraints while still addressing the core objectives of the regulation or standard. This flexibility ensures that businesses can protect assets, mitigate risks, and maintain compliance in a way that makes sense for their unique circumstances.
Understanding equivalent controls through an example
Imagine a company, ABC Corp., that is required by law to implement specific physical security measures, such as installing access control systems that restrict entry to certain areas of their building. However, due to the layout of the building, it is not feasible to install a traditional access control system. Instead, ABC Corp. decides to implement alternative measures, such as using security personnel to monitor access or adopting a digital visitor management system that tracks entry and exit.
These alternative security measures are considered equivalent controls because they achieve the same goal—protecting sensitive areas of the building from unauthorized access—without using the prescribed access control system. The business can still comply with the regulations by adopting a practical solution that fits its specific needs.
In another example, a healthcare provider is required to implement a standard procedure for protecting patient data, such as using encryption to secure all communications. Due to budget limitations, the healthcare provider opts to implement a simpler, but still secure, method of ensuring patient privacy, like using multi-factor authentication for access to sensitive systems. This is an example of an equivalent control, as it achieves the same goal of securing patient data without following the exact method outlined in the regulation.
An example of an equivalent controls clause
Here’s how an equivalent controls clause might look in a contract or policy document:
“The Company agrees to implement equivalent controls where required to meet the objectives of the regulatory requirements outlined in this Agreement. If the standard prescribed controls are not feasible, the Company shall implement alternative measures that provide a similar level of security, safety, or compliance. All equivalent controls must be approved by [relevant authority] to ensure that they meet the required standards.”
Conclusion
Equivalent controls are an important concept for organizations that need to adapt to specific operational or regulatory challenges. They provide flexibility in achieving compliance with laws and standards while still ensuring that the core objectives—whether it be security, safety, or risk management—are met. For businesses, the ability to implement equivalent controls allows them to remain compliant and operational, even when following standard procedures is impractical or costly.
This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.