Data is the most essential part of day-to-day operations in organisations. It contains lots of valuable and sensitive information that needs to be protected under regulations.
If companies don’t follow the regulations, it leads to unintended data breaches and loss of a company’s reputation.
Companies are now relying on data compliance solutions to ensure that data is stored, collected and protected with standard rules and regulations.
So, if you’re a CEO, top-level manager or key decision maker in an IT environments responsible for day-to-day data company operations, ensure your company follows standard laws and regulations and ensures data compliance.
This article will explain everything about data compliance, why it’s necessary for every organisation, the standard regulations and how businesses can ensure data compliance.
Let’s dive in!
What is Data Compliance?
Data Compliance is a process of following standards, rules, and regulations to store, collect and secure an organisation’s data from unauthorised access and data breaches. It’s an ongoing process of protecting data with privacy regulations and implementing security policies in the organisation.
Why is it Necessary for IT Companies to Maintain Data Compliance?
Data is a central part of day-to-day organisation operations and will continuously grow. So it’s essential to keep the data protected from cyber attacks by implementing security measures.
Here are some significant reasons why IT companies need to focus on data compliance solutions:
Third-Parties are a Common Source of Data Breaches
When it comes to data breaches in IT companies, one of the familiar sources is third-parties sharing. Sometimes these third parties can become weak or easy points for malware attacks because of fewer security measures. To ensure data compliance, IT Companies should implement robust security measures to share data with complete protection.
Legal and Regulatory Requirements
Implementing security measures is not an option in the IT industry; it’s a law for all IT organisations. Companies must implement data security measures to securely transfer sensitive information that complies with HIPAA’s privacy rules. Those companies that are not following the regulations can face stiff penalties.
Customers Retention
When an organisation follows security measures, it builds a strong reputation for the brand and client trust. Nowadays, people know the value of information and want to keep it secure. Prioritising an organisation’s data can drive customer retention.
Operational Efficiency
Implementing data security measures also enhances the organisation’s operations. By following data compliance strategies, organisations can store, collect and protect the data and mitigate risks more effectively.
Competitive Advantage
Those organisations prioritising data security measures are safer from cyber attacks and stand out from their competitors.
What are the Data Compliance Regulations?
Some of the most well-known data compliance regulations are:
General Data Protection Regulation (GDPR)
GDPR is the most far-reaching data privacy regulation enforced in the European Union to collect, store and handle personal data of EU citizens.
California Consumer Privacy Act (CCPA)
CCPA is a security law that applies to California businesses. It gives certain rights to California residents over their details and imposes obligations to protect consumers’ privacy.
Health Insurance Portability and Accountability Act
HIPAA is a US law that specifically addresses the protection of patient health information and healthcare-related data.
International Organisation for Standardization (ISO 27001)
ISO is a globally recognised privacy regulation for Information Security Management Systems (ISMS) to manage and protect an organisation’s sensitive information.
Wrapping Up!
In today’s digitalised world with growing technologies, cyber-attacks are also increasing rapidly. So it’s important to implement standard security regulations for IT Companies to ensure data privacy at all levels.
Data Compliance is the foundation for organisations to protect their sensitive data by following standards and regulations.
