All organizations need to be moving toward Privacy by Design
Organizations should think about privacy the same way they think about innovation, R&D, and other major organizational processes. Privacy isn’t a one-time compliance check; it’s an integral element to an organization’s functioning.
What is Privacy By Design?
Privacy by design (PbD) was developed in the 1990’s to complement the increasing need for privacy assurance (see here). PbD is a proactive approach to managing and preventing invasive events by making privacy an organization’s default operating system. This is achieved through privacy operations management, where IT systems, business practices, and networked data systems are built with privacy in mind from step one.
Why Should Organizations Implement PbD?
Automatically embedding privacy into your organization’s processes provides many benefits: strengthening customer trust, reducing the likelihood of future breaches, and cost savings.
Strengthening Customer Trust
- The seventh foundational principle of PbD emphasizes respect for user privacy. This translates into a privacy system that is completely customer-centric. Communicating to stakeholders about taking privacy seriously; treating personal information with utmost care; and committing to an alliance with the Fair Information Practices (FIP) principles all increases customer trust in an organization. PoB makes it easy to demonstrate and prove how customers’ personal data is automatically safeguarded from privacy and security related threats. This approach signals organizational maturity, allowing for a competitive edge.
Reducing Future Breaches
- Neglecting privacy and categorizing it as a function that should be managed only when new or amended data privacy laws are enforced or when a data breach occurs is detrimental to an organization’s growth and increases risk. There will always be an element of organizational privacy risk, but that risk can be tremendously reduced by implementing a default privacy system. Such a system provides several benefits such as preventing privacy invasions before they happen, and allowing for seamless delivery of data privacy.
- The average cost of a data breach is $8.9 million USD. That’s a lump sum of funds that could have been allocated to more critical organizational needs, rather than a breach that could have been prevented. PbD can eliminate all unnecessary incident response costs while simultaneously circumventing penalties associated with data privacy law noncompliances. PbD is scalable and applicable to a wide variety of privacy frameworks (FIP, GAPP, APEC) and global privacy laws (GDPR, CCPA). By embedding PbD into an organization’s IT and networked data systems, privacy and compliance teams can rest assured that the risk of data breach is minimized, privacy laws are adhered to, and expenses are reduced.
PbD is a dire necessity that is critical to the future success of an organization. Understanding this, privacy risk prevention should be a top goal of all organizations and PbD is a proactive way to achieve it.
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