Methodology & Data Verification

As the Center for NAICS & SIC Codes, SICCODE.com operates a governed Methodology & Data Verification Framework designed for enterprise reliability, auditability, and long-horizon comparability. This framework ensures that every establishment is classified using documented rules, governed lineage, and expert-verified evidence suitable for analytics, AI, compliance, and market intelligence.

Methodology & Data Verification Framework

Updated: 2025
Reviewed By: SICCODE.com Industry Classification Review Team (regulatory, economic, and data governance specialists)

SICCODE.com applies a multi-layered methodology that integrates rigorous data sourcing, normalization, machine-assisted labeling, and human-verified adjudication. The goal is to deliver decision-grade industry classification that remains stable, explainable, and faithful to official SIC and NAICS standards. This page provides the unified view of how classification and verification work together. For additional detail, see the dedicated Classification Methodology page.

Scope & Objectives

Our methodology prioritizes accuracy, transparency, and reproducibility across every stage of classification. Core objectives include:

  • Precision: Verified primary industry assignment with extended 6-digit depth for modern segmentation.
  • Consistency: Stable rollups for subsector and sector-level analysis across years and versions.
  • Auditability: Full lineage, rationale codes, and version control for regulated environments.
  • Governance: Formal rules, expert adjudication, and documented change control. See our Data Governance Framework.

Source Acquisition & Normalization

  • Authoritative references: Official SIC/NAICS definitions, notes, rulings, and interpretive guidance.
  • Multi-source inputs: Activity descriptions, products/services, entity structure, and location metadata.
  • Normalization: Vocabulary harmonization, address standardization, geocoding, and canonical IDs.
  • Deduplication: Probabilistic and deterministic entity-resolution procedures.

Update Cadence & Drift Management

SICCODE.com runs rolling update cycles that reduce classification latency and minimize dataset drift. Monitors proactively detect sectors requiring re-evaluation, enabling controlled updates while preserving longitudinal comparability across versions and hierarchies.

Classification Workflow (How It Works)

  1. Eligibility rules: Interpret official inclusion/exclusion notes to define the candidate space.
  2. Signal harvesting: Extract structured and unstructured signals (text, graph patterns, geo attributes).
  3. ML-assisted labeling: Ensemble models generate ranked candidate codes with confidence scoring.
  4. Expert QA (human-in-the-loop): Specialists adjudicate ambiguous cases and finalize decisions.
  5. Assignment & rationale: Primary code selection with rationale tags and optional adjacency indicators.
  6. Versioning & release: Changes logged with delta notes; downstream datasets updated on a rolling cycle.

Explore additional details in How It Works.

Accuracy & Validation Benchmarks

  • Classification accuracy: 96.8% (validated benchmark)
  • Coverage: 20M+ U.S. establishments
  • Organizations supported: 250,000+
  • Programs analyzed: 300,000+ marketing, analytics & compliance implementations

Benchmarks are derived from multi-industry sampling (2015–2025) and continuous validation against official frameworks. See comparative methodology on the Data Accuracy Benchmarks page.

Governance, Transparency & Change Control

  • Versioned assignments: Every classification carries a timestamp and version ID.
  • Rationale & confidence: Explanatory tags improve auditability in regulated environments.
  • Change logs: Delta files allow reproducible analytics and dashboard stability.
  • Integrity controls: Optional seed records, checksums, and lineage assets for enterprise licensing.

Full policy details: Data Verification Policy.

Licensing & Compliance

Our datasets are licensed for internal organizational use. Enterprise and regulated-industry clients may request enhanced verification records and lineage artifacts.

  • Internal-use licensing for analytics, marketing, risk, and research teams.
  • Enterprise licensing includes compliance-ready datasets, lineage documentation, and audit logs. See: Enterprise Licensing & Governance.

Frequently Asked Questions

How do you determine a primary code?
Using revenue-dominant activity (or production/employment when ambiguous), validated through multi-signal evidence and expert review.

Do you maintain extended 6-digit precision?
Yes. Extended hierarchies enable modern segmentation while preserving compatibility with official SIC/NAICS structures. See SIC 6-Digit Codes.

Can classification changes be tracked over time?
Yes. Versioned datasets and change logs are available to enterprise licensees for audit, modeling, and reproducible analytics.

About SICCODE.com

SICCODE.com is the Center for NAICS & SIC Codes. We provide verified classification datasets, crosswalk systems, and industry intelligence used by compliance, analytics, marketing, academic, and investment teams nationwide.

Related pages: About Our Business Data · Privacy Policy · How It Works