By Sameer Danave, Senior Director Marketing, MSys Technologies
By developing and implementing a strong data security policy, organisations can achieve a sustainable competitive edge over rivals besides fulfilling the regulatory and statutory requirements on this front.
In a world of increasing digitalisation, the safety and security of data have become an issue of strategic significance. From ransomware and fishing attacks to malware and social engineering, organisations are constantly threatened by hacking attacks and data thefts. Remember, any data breach can significantly damage the credibility of organisations, and if hackers get their hands on customers’ data, such as their personal information, credit card details, or social security numbers, firms become liable to fines, penalties, and lawsuits. In the wake of all these potential threats, it is no surprise that companies are putting serious efforts to keep the data safe from data breaches and hacking attempts.
Safeguarding Data: With more sensitive information being stored and exchanged online, the need to safeguard the data couldn’t be overemphasised today. Any potential data leak can prove damaging and land businesses in many problems. Data breaches strip companies of their reputations and subject them to costly lawsuits running into millions of dollars of claims. Hence, securing sensitive data and information must become a priority, and by committing to the cause, firms can win trust and forge long-term relationships with stakeholders across their business ecosystems.
Meeting Compliance and Frameworks: Keeping in mind the need to safeguard sensitive information, several regulatory frameworks are related to data security across the globe. Prominent among these are the General Data Protection Regulation (GDPR), Health Insurance Portability and Accountability Act (HIPAA), and California Consumer Privacy Act (CCPA). Now, despite the same underlying philosophy, firms need to meet specific requirements in the country of their operations. This entails a thorough understanding of the data laws to maintain proper compliance with the applicable framework. This compliance will ensure that an organisation won’t face legal repercussions that might arise in case of a breach of regulations in a specific country regarding the collection, storage, sharing, and maintenance of the data.
Achieving Competitive Advantage: A robust data security policy can be leveraged to create, communicate, and deliver better experiences to the target market. Organisations can promote their powerful data-safety mechanisms to attract new customers while keeping the existing ones longer. Given the strong appeal of robust measures among privacy-concerned customers, firms can leverage data policy to their advantage and achieve a competitive edge over their rivals.
Using Cyber Vigilance: One sure-shot method to keep systems foolproof against hacking attempts is to remain vigilant. This can be done by using new-age technologies to identify vulnerabilities, conduct risk analyses, and deploy safety measures to stop any hacking attempt proactively. AI and ML can prove immensely beneficial as they can analyse large volumes of data and offer real-time information on threat perceptions and potential data breaches that a system can face. These tools can also suggest remedial measures and quick recovery mechanisms to minimise the damage in case hackers break into the safety networks. In addition, organisations can adopt best practices such as multi-factor authentication, regular security audits, and robust encryption protocols to stay one step ahead of hackers. Combining new-age technology and robust security protocols can help organisations keep their data safe from any unauthorised breach.
Exchanging Data Globally: With increasing levels of data exchange happening globally, organisations need to comply with varied data safety frameworks and security protocols applicable in different jurisdictions. This presents a unique challenge as differing laws mandate organisations to fulfill diverse requirements set by various regulators. Organisations, therefore, need to navigate carefully through the complex and diversified web of data laws to maintain compliance while keeping the information safe from the prying eyes of hackers. Data localisation is one useful measure that can help firms address the challenge of exchanging data across borders. By storing data in a particular country, it becomes easy for the organisation to comply with data laws and adhere to the regulations of the respective country. In addition, fulfilling the requirements of internationally recognised frameworks such as Binding Corporate Rules or EU-US Privacy Shield can also help firms remain on the right side of the law while facilitating the exchange of data globally.
In today’s business environment, organisations must understand the data threat landscape and offer comprehensive security mechanisms to respond and recover from hacking attempts. Further, complying with data regulations is a legal requirement, failing which firms can be subjected to financial penalties following provisions of the respective country. Hence, firms need to prioritise data safety as one of their core business objectives to safeguard data, build customer loyalty, and achieve a competitive edge to ensure the long-term sustainability of the business.