In 2021, data has become a major business asset. Many third-party businesses are highly interested in retrieving sensitive, personal, or even private data from businesses. They do this so that they can target their customers with advertising, commercials, goods, or fraudulent proposals. Data protection ensures that a business’s important information is safeguarded and cannot be compromised. The more data a business has, the more important data protection becomes.
During 2020, we saw a huge increase in the amount of data being shared and stored online. One of the main reasons for this was because of the coronavirus. Thanks to this deadly bug, people were now working from home instead of travelling to an office. This meant that they were much more likely to share and store sensitive information online. Not only that, but they were also shopping online, browsing the web, communicating electronically, and using apps. This led to businesses handling more data than they had ever handled before.
The outlook for 2021 is remarkably similar. This means that businesses will need to make sure they have adequate data protection in place if they want to succeed this year. Here are some of the main reasons why businesses need data protection in 2021:
To Meet Compliance Rules
All organisations, no matter how big or small, need to comply with the data protection laws, standards and security notices of their country. Businesses who do not put in place privacy protection may end up facing huge fines or civil suits.
One example of a data protection rule that all businesses need to follow is the GDPR. The GDPR (General Data Protection Regulation) is the toughest security and privacy law in the world. This rule was drafted and passed by the EU, but it applies to organisations everywhere, so long as they target or collect data from EU customers.
Although the UK left the EU on 31st December 2020, the GDPR has been preserved in UK law and will continue to be applied alongside the Data Protection Act 2018. However, there have been a few technical alterations to ensure the GDPR can function in the UK. Firms will need to audit their data protection framework to ensure that they remain compliant with the GDPR changes.
If you’re concerned that your data protection policies don’t comply with the GDPR changes, then contact a professional like Scott Robert. Their team will help you to ensure that you have the correct data protection policies and procedures in place. Not only that, but they can also help businesses navigate other complex regulatory requirements. This company has been in operation since 2008 and they work with businesses of all sizes, from Blue-chip businesses with decades of experience to SMEs.
To Keep a Customer’s Trust
Businesses who experience data breaches on a regular basis may find that they lose their customers’ trust. Not only that, but they will also have to face the effects of breaches such as fines or civil suits.
Support Business Reputation
One of the most important policies in an organisation is the ethics policy. These policies state that any data that is collected from an employee or customer will only be used for business purposes. Because of this, an ethics policy can build a business’s reputation.
To Improve Brand Value
Having a good brand image is more important than ever before. Research has shown that a privacy breach can damage a business’s brand image. In contrast, businesses who do everything they can to protect the privacy of their customers and staff are much more likely to have a good brand image. This is because customers know they are safe, and that the organisation cares about them.
The importance of data protection rises as the quantity of data produced and stored continues to grow at unprecedented rates. No matter how large or small a business may be, every business has information that needs to be kept private and secure, such as customer transactions and customer details. When data from businesses is accessed by unauthorised personnel, it can be corrupted or misused. Making sure your data is protected is extremely important. Not only will it help improve your brand image, but it can also improve your business’s reputation.