- Advertisement -
Home Business What Is Data Protection And Why It Is Important For Business?

What Is Data Protection And Why It Is Important For Business?

- Advertisement -

Introduction:

Data protection, known as information privacy, is a process of securing data from the loss, corruption, or compromise. Data Protection Act of 1998 and 2018 was followed until the General Data Protection Regulation came into effect on the 25th of May, 2018. Presently, GDPR rules the data protection activities of the businesses.

Related Post: Top Five Cybersecurity Trends of 2020

What Data Need To Be Protected?

Business Data Protection

There are key pieces of information that need to be protected and stored by businesses. The data includes customer details, transaction details, data collection, loyalty schemes, and employee records. The data is protected from the third party who may interfere or misuse the data.

The data that is commonly stored include:

  • Names
  • Telephone Numbers
  • Bank details
  • Credit card Details
  • Health Information
  • Addresses

Also Read: Increasing Your Visibility at Work

Why Is It Important for Business?

Data protection has become essential because of a variety of reasons. If the data is compromised, it will end in the financial losses of the organization and the users. So, the following are the top reasons for which data protection has become important:

1. Minimization of Financial Loss

Hackers can access the data, and compromise the security of data, demanding a ransom for the release of the data. Third parties carry out fraudulent activities such as identity theft and phishing scams. Identity theft means people acquire credit card pins, passwords, and personal details for financial gains. The phishing scams are also financial loss wherein people post as legitimate institutions and lure people to disclose their financial details. Thus, data protection minimizes the financial loss. When the data is protected, these threats are reduced to a greater extent.

2. Regulatory Requirements

There are many acts that the business must follow while dealing with the information of the users. Data Protection Act requires businesses to comply with their regulations. So, it has become necessary for the business to comply with the businesses.

Benefits of Data Protection

The following are the top benefits of data protection:

1. Trusted Relationship with Consumer

GDPR

Also Read: 5 Tips to Protect Your Business Data on Your Work Laptop

If you comply with the GDPR rules and regulations, your organization ensures the consumers that it is a good custodian of the data. With the data protection officer (DPO), regular auditing of the data is carried out. Besides this, the organizations also ensure compliance with the data protection principles under the GDPR. So, the organization builds a trusted relationship with the customer.

So, customers provide data to the organization and work with them exuding great trust and confidence.

2. Enhanced Data Security

In the UK, cybersecurity breaches are looming on the enterprises. 68% of large firms have been attacked by hackers. The sophistication of the cyber-attacks is increasing day by day, so the businesses are taking more steps to secure the data.

When the organizations use the privileged and identity access management mandated by the GDPR, only a few professionals are allowed to work with the critical data in your organization. Thus, a GDPR-compliant framework extends the cybersecurity practices and improves the overall data security of the organization.

3. Reduced costs of Data Maintenance

As the organizations align with the regulations mandated by the GDPR, the data security breaches are averted. The overall costs of the data are reduced as the information is consolidated on a single platform. Thus, data protection is beneficial for organizations.

Also Read: How to Become A Project Manager?

Conclusion

Businesses follow essential principles of data protection, which are related to fairness, legal issues, and human rights. Businesses must fair lawfully and fairly, take into account all the essential people’s rights and data protection policies. Thus, data protection is undertaken by businesses all around the world.

As the organization ensures compliance with GDPR, it goes towards the improvement of network, application, and endpoint security.

- Advertisement -
- Advertisement -

Must Read

Duffl: The Delivery Service You Didn’t Know You Needed

If there was ever a time when fast and no-contact delivery was needed, a global pandemic would definitely hit the mark. However, when UCLA...
- Advertisement -

Are CBD Oil Pet Products Legit?

Having a pet is a responsibility that many people don’t give a lot of thought about. It might seem strange given the trend that...

High-Paying Government Bank Jobs for Graduates

Government jobs especially the bank jobs are quickly becoming the fad again especially with a lot of uncertainty in the air with the widespread...

How to become a business mentor

It could be that you have had an excellent career & achieved many milestones. You may now use your knowledge & expertise acquired to...

Related Category Posts

Start Your Own Business: List of Things You’ll Need to Do

With Covid-19 being declared a pandemic, the world has witnessed tremendous change in the business scenario. Many companies have shut down & millions of...

Are CBD Oil Pet Products Legit?

Having a pet is a responsibility that many people don’t give a lot of thought about. It might seem strange given the trend that...

Capital in Economics: Definition, Characteristics and Importance

You may be eager to know what is capital, especially in economic terms. The definition of Capital is “All man-made goods used to produce...

How to make a great first impression at work

You may perhaps want to know the secret to achieve sure success at work. Creating good first impressions is very much important especially if...

Duffl: The Delivery Service You Didn’t Know You Needed

If there was ever a time when fast and no-contact delivery was needed, a global pandemic would definitely hit the mark. However, when UCLA...
- Advertisement -

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Select Language »