It took 7 years for the European Commission to set up a regulation that applies to every company but have hit the hardest to companies that deals in large amount of consumer data: marketeers, technology firms, and data brokers.
Nowadays, if you are indulged in online business, whether you have an ecommerce website, or you are connecting with your customers through a mobile, or in any way you are dealing with a software application development company or taking the services of data brokers to gain consumer insight, GDPR regulation applies to you.
Since most businesses are not aware about the GDPR regulation, it is mostly dreaded upon by the companies. However, at this point of time, companies can create effective GDPR strategy to increase the speed of IT processes. And to do that it is essential that you understand the nitty and gritty of the regulation, which is fairly straightforward.
Let’s Begin with Understanding GDPR Regulation.
What is GDPR?
GDPR stands for General Data Protection Regulation.
The 1995 Data Protection Directive sets the minimum standards for processing data in the EU. In 2012, the European Commission moved ahead for data protection reforms across all the countries in European Union, with an objective to make the countries fit for the digital age.
Almost after 4 years, a new EU framework came into existence that applies to all the member-states, and so had implications on any businesses dealing with EU.
The reform was lauded by many as it heralded the belief that a digital future can be built only on trust, while also indicated the widespread adoption of digital technologies throughout the EU.
The reform was also essential to boost the trust of consumers on companies that they have control over their personal information. Besides, the standard set through regulation also push companies using consumer data in any manner to practice restraints on the use of data and take measures to prevent data breaches.
Being GDPR Compliant
Facebook’s Cambridge Analytica scandal revealed the ugly side of the data misuse, and how and on what scale it can had implications.
A gentle refreshment to memory-Tech giant Facebook and data analytics firm Cambridge Analytica were allegedly involved in the harvesting and use of personal data to influence the outcome of US 2016 and UK Brexit referendum.
Data breaches inevitably happen, in some cases accidently too. For an example, Fitness tracking app Strava released a map in November 2017, exhibited every single activity uploaded to Strava, covering around 3 trillion individual GPS data points. Over the weekend, military analysts noticed that the map has given away potential data, extensively sensitive in nature: military personnel on active service.
In the light of these moments, being GDPR compliant is the most necessary thing any online firm can do for now to prevent the embarrassment caused due to third-party or to maintain data security.
Under the GDPR terms, organizations that are collecting the data and those who are managing the data are obliged to protect it from any kind of misuse and also respect the right of data owners.
This means all the parties in entire data collection, storage, analysis, and usage chain, right from the software development company or the owner of the application that collect data to third-parties that use the data or the data brokers that sell the data are responsible and obliged to maintain data security.
In case of failure to do so can lead to a maximum fine of €20m (£17.5m) or 4% of the company’s global turnover.
The Crucial GDPR Compliance Checklist
The full set of compliance list is hard to interpret, but we have gathered here some important chunks. The list goes as this:
- Data Privacy Impact Assessment (DPIA)
It is a risk management process that map and analyze the posed by the data related operations, so that organizations can come out with a strong plan. The critical elements are:
- Identify the Privacy Risks and Evaluate Privacy Solutions
- Record the DPIA results and Integrate into the Project Plan
- Collaborate with Internal and External Stakeholders
- Policy and Procedures
Here, enterprises need to create the list of data processors and ensure that data being processed is in compliance with the GDPR values, which include the following:
- Personal Data Protection Policy
- Privacy Notice
- Data Retention Schedule
- Data Retention Policy
- Data Subject Consent Form
- Parental Consent Form
- DPIA Register
- Notices and Consent: This requires users consent to collect personal data.
- Employee Training: Create a GDPR awareness programs to avoid staff-related incidents.
- Data Retention Policy: It includes storage limitation principle and also ensuring that third-party vendors are encrypting the data after and before providing it to the fourth vendor.
- Personal Data Collecting and Processing: Assign a DPO to collect and process the data having the responsibility to monitor the activities of data processing from legal standpoint.
Creating GDPR Strategy to Keep Up the Speed of IT processes
Complying to the GDPR regulation does not necessarily mean that you have to slow down your crucial IT process. Effective GDPR strategy can help you maintain or instead improve the speed of IT processes.
According to a survey conducted by Dimensional Research on behalf of TrustArc, it was found that 53% of companies are still at the implementation phase of becoming GDPR compliant and 27% of firms had not even started yet.
Here are important elements that need to be a part of your GDPR strategy to make it work for your IT processes:
- Managing Data Inventory: Create a data flow diagrams to understand where, when, and how your data is moving from one party to another party. Take help of your software development company to know how they are working on data models and what data will be collected by the company.
- Automate Processes Crucial for GDPR and other Regulatory Mandates: Companies that have successfully managed to achieve GDPR compliance has been able to gain the trust of their customers. So, consider it as an investment that will ultimately address the regulatory and data management risks. If you have been newly engaged into creating mobile apps or websites, make sure your software application development company efficiently automates the processes that required attention on the elements of GDPR mandates.
Strategic Considerations at The End
According to Janalyn Schreiber, a privacy consultant based in Washington, D.C., “Technology is an opportunity for the organization to establish and manage the repeatable, defensible workflows that we need to have a sustainable compliance program,”. So, whether you are social media company, government agency, bank, retailer, or any operating firm that collect, store and analyze consumer data by any means, take help of technology to make your business GDPR compliant.