GDPR: How does it affect your business?

Introduction

The GDPR came into effect in the EU region on 25th May 2018, replacing the previous Data Protection Act 1998 in the UK. The EU legislation implemented it with one objective in mind: To give more power to the data owners, the general public, whose personal data is being collected by businesses. Following GDPR, companies have to be more accountable with how customer data is collected, stored, and used.

This legislation is mandated across all EU and EEA regions, including companies that sell and store personal data of citizens in Europe. Hence the GDPR affects not just companies in the EU but all companies across the globe that collect data of EU citizens.

In this purview, companies with EU consumers must understand the concept of GDPR.

What is meant by personal data under GDPR?

The GDPR applies to all personal data relating to a customer. How can we determine whether information should be classified as personal data or not?

GDPR Article 4 defines personal data as:“  ‘Personal data’ means any information relating to an identified or identifiable natural person (‘data subject’)”

The information identifiable to a data subject may include but is not limited to:

• Biographical information such as date of birth, phone number, and email address.

• Physical attributes 

• Health and genetic information

• Private and subjective data that includes religion and political ideologies

Handling and processing of personal data

Companies will now have to become accountable for how their client’s information is being handled and processed. To achieve GDPR compliance, companies must adhere to these six data protection principles:

• Lawfulness, Fairness, and Transparency

Personal data that is attributed to a data subject must be processed lawfully. The data subject should be informed of the reasons for processing their personal data and its intent. This ensures that transparency is maintained at all times.

• Purpose limitations

The collected data can only be used for the specified purpose and that too with the  consent of the data subject

• Data Minimisation

Collect only the data necessary for business

• Accuracy

Personal data should be accurate and updated. If errors exist, it should be corrected as soon as it is detected.

• Storage limitations

If your business no longer requires the data, then it has to be reviewed and removed. Under the GDPR, companies are required to remove all personal data that has served its purpose.

• Integrity and confidentiality

The data must be protected with proper encryption techniques to ensure that confidentiality and integrity are always maintained.

How to ensure GDPR compliance

Becoming GDPR compliant encompasses all parts of your organization. From the HR department to the marketing team, all your business units that interact with customer data need to be aware of GDPR.

Here are some of the preliminary steps that can be undertaken:

• Create a Data Map

The first step of action involves creating a Data Map for your business. A data map ensures the documentation of the data flow within and allows a more straightforward analysis of the source of data, the reason for collection, and how it will be handled.

• Update the company’s privacy policy as this is the first place people will check to see if you are GDPR Compliant. Ensure transparency to the customer.

• Inform and provide training to all the employees on the importance of GDPR  compliance and it’s basic principles.

•  Implement appropriate data breach reporting mechanisms

• Appoint a Data Protection Officer (DPO)

It can be an employee within the organization who has expertise in the processing of data. Their primary responsibility lies in monitoring compliance and raising awareness of GDPR within the workplace.

Benefits of becoming GDPR compliant 

• Enhance your Brand Image– GDPR compliance translates to keeping a promise. A promise that your client’s data will be safe, secure, and confidential in your company’s hands. This will, in turn, build the companies brand image.

• Data Security– As a part of being GDPR compliant comes improved data security. GDPR mandate that any data breach that occurs has to be disclosed within 72 hours of its occurrence.

• Improve Data transparency- By becoming more accountable with your client’s data at every stage of data processing, you can gain insights on its underlying value. This will, in turn, improve the business’s relationship with its customers.

• Secure your business from fines– Not adhering to the rules and regulations of GDPR will lead to hefty penalties and taxes imposed upon your business. Your company will be fined either 20 million euros or up to 4% of your annual revenues, whichever is the more significant amount.

GDPR has resulted in a broader awareness of data protection and the privacy of consumers. Data is the new oil, and the corporate world has realized this.

GDPR is a step in the right direction to enable a business to leverage the power of data and align its data management framework with the best practices. Initially, it may seem like an impossible task to fulfill, but being GDPR compliant will strengthen your ties with your clients and will be worth investing in the long run.

FAQS

Who all needs to be GDPR compliant?

If your business has clients in the EU region, it is imperative that the business is GDPR compliant. Though it may seem like being GDPR Compliant is a herculean task, the benefits that come along with it are numerous.

How to get GDPR certified?

GDPR certification refers to becoming legally compliant with the EU’s GDPR.

For your organization to get GDPR certified, an accredited standards body that should be a competent supervisory authority needs to audit your organization. On passing this audit, the organization can get certified.

What should I do to get GDPR compliance?

The process involves:

• Apply to an Independent Standards Body
• Book a time for the audit process
• Pass the audit and receive the certification

It is essential to get certified by an independent standards body that it is trustworthy.

Several Examples of acceptable standards body includes EuroPriSe, TRUSTe, ISO 27001 Information Security Management Systems, and Cyber Essentials, Cyber Essentials, to name a few.

GDPR Compliance is a necessary step to privacy for the EU citizens and NDZ makes sure that we help firms come under those guidelines with our GDPR Compliance Consulting.

To learn more about GDPR Compliance Consulting, reach out to us at sales@ndz.co