All consumers hope that their personal data is completely secure when handling it over to companies. The problem is that with businesses collecting so much information from so many people, cracks can form in even the strongest data collection systems.
That's why it is so important for companies to take steps to improve data privacy management whenever they can.
Those who are too lax with their processes and records could face serious consequences.
The Risks To Consumer Data Privacy
Effective data privacy management is essential when building trust with clients and consumers. One bad move or lapse in judgment and you could put their data and identities, at serious risk. There are risks to data privacy that are completely out of your control. The difference comes in how you prepare and respond to these situations. Companies that have a strong data framework in place and know they are in full compliance with data protection laws can come out relatively unscathed. The same goes for all those who handle unexpected breaches swiftly and professionally with full transparency.
Sadly, there's no guarantee your company won't experience a breach at some point. You may fall prey to insiders and employees looking to physically steal customer information. A more common issue is the risk of malware and viruses, such as trojan horses. This sophisticated software can infiltrate systems and steal large data banks to sell on to the highest bidder. Then there's ransomware, which has made headlines recently following cyber attacks on major institutions. This is a scarier approach where attackers shut down whole systems and threaten operations unless companies hand over data. The worst cases are in hospitals, where lives are at stake.
You may not be able to do much in a ransomware attack other than give in to demands. That's why it is so important to improve your data privacy management systems now. The following steps can help and the right software, such as data privacy management from Privacy Engine, can help.
5 Ways To Improve Data Privacy Management
1) Conduct an audit and complete risk assessment
The first thing to do is be honest about how much you don't know right now. If someone asked you about all the data collection processes or to find specific data on a client, would you know where to look? An audit and full risk assessment lets you analyze your current system and find the faults. There are going to be areas in need of improvement, so why delay? Look at the security measures you have in place and all the potential weak points. Your reports can then help you create a strategy moving forward and a clearer registry of data, which leads to point two.
2) Know everything there is on file
Nothing should come as a surprise when it comes to the collection and control of personal data. You should know what is kept and where. If not, you need a clear framework to map it all out. Personal data comes in so many forms that you might not be aware of everything you have on file. This could be a problem if you are storing sensitive information that shouldn't really be there. The more you have on file and the more structure you have, the better. Who collects the data? What are they collecting from consumers, and why? What happens to that data after it's handed over? Could you locate it easily and remove it on request?
3) Hire a data protection officer
If you already have a data protection officer working with your company and overseeing matters, great. You can make sure their work is up to GDPR standards and move on. If not, you need to get one. You might think that it isn't necessary because of the size of your company and the lack of data processed. The rule is that they are necessary for large-scale data collection on personal data. However, there is no specific definition of what large scale means. So, it's better to be safe than sorry. There's also the fact that you may have more sensitive data on file than you realize. This includes profiling data and recorded preferences used for your market research.
4) Giving users more control over their actions
This is an important way to build trust with consumers while also improving your data privacy systems. Because your clients and website users are the ones giving away personal data, they should have the final say on what you collect. This goes beyond the right to view and remove data from systems. Cookies are useful tools for data collection, but users need to retain the right to opt out. This means providing detailed consent forms with clear guidance on data use. Ideally, you want to give them the option of allowing all cookies, manually selecting options, or going with the necessary ones. You also have to be careful when providing forms that give consent for subscriptions and data collection. You can't have a box where the option is pre-ticked in case users don't see it. You can also use a double opt-in system on email subscriptions to make sure everyone wants to sign up.
5) Use the right management software for greater efficiency
Finally, this all becomes a lot easier to manage when you have the right management software. Effective data privacy software can make it much easier to create those data registries, handle all the information, and deal with any data requests. Remember that the more effort you put into managing and regulating data privacy now, the fewer problems you'll have in the future. So, invest in quality programs and the right team members to handle them.
Data breaches are a company's worst nightmare, especially when there are high volumes of sensitive data involved. Rather than continue as normal and hope it never happens, it pays to be proactive. Put in the work to run a full audit and create that effective data register. Stay on top of regulations and practices and always give consumers complete control over consent. The more you do now to soften the blow following a data breach, the better.
