Transparency around data privacy is not optional. A year after GDPR became a law, ten other countries strengthened data privacy legislation to increase protection of employee and customer data. With 58% of cyber-attacks targeting Midsize Enterprises (MSEs) and the average cost of a data breach rising to $3.86 million per data breach, MSEs are expected to strengthen data privacy capabilities to maintain customer trust.
The most common misconception around data privacy, however, is that the CIO is always accountable. Although the CIO plays a vital role in data privacy, it is an enterprise-wide concern that needs the support of other risk functions. Privacy and security are the foundational components of building trust and require IT and Legal leader to work together toward this goal.
The following three components are essential foundational steps for the success of data privacy initiatives:
Anchor collaboration between IT and risk functions on shared objectives. The evolving regulatory landscape has resulted in a shared objective for information security, privacy, and compliance – trust. IT and risk functions need to work together to establish credibility, demonstrate transparency regarding their use of customer data and give customers more control over their data. Establish ashared agenda with the General Counsel to manage privacy in the digital business.
Embed privacy awareness in existing awareness training programs. As more employees handle sensitive customer data, CIOs at midsized companies should pay attention to the privacy implications of greater customer data exposure. CIOs and GCs should work to embed privacy training and awareness language into existing training that promotes the application of key privacy concepts and keeps employees aware of new and upcoming privacy laws. An effective way to start is to create simple privacy posters that highlight the key elements of the privacy practices.
Data privacy is not the sole responsibility of the CIO; it is a shared responsibility. IT and risk leaders should follow a structured approach based on shared objectives, clear communication between risk functions and increased awareness on privacy to eliminate duplication of effort while ensuring compliance.
Access additional midsize enterprise guidance on data privacy on Gartner.com
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