companies must follow privacy and security rules for protection

companies must follow privacy and security rules for protection

In the modern environment, where computers have become integral in the processing, storage, and distribution of data, companies must follow privacy and security rules for protection. Companies must ensure their data security, which involves the integrity, confidentiality, and availability of data through processes that ensure data is not accessed or used by unauthorized parties or individuals. Companies must also maintain data privacy by ensuring that when entrusted or provided with personal data or information, it is used for the agreed purposes. A data security plan is inclusive of aspects required to keep information safe, including collecting only the information that is required, keeping it safe, and destroying information after it is no longer needed.

Data to be protected include employee and client data. Employee personal data include social security numbers, job performance, pay, benefits, and health information. Client personal data include passwords, social security numbers, bank account information, and in industries such as healthcare include health status, which is very sensitive. Companies have employed effective security plans that entail how their data is gathered, used, and disclosed. There are different privacy and security frameworks utilized in different industries; for instance, HIPPA is used in the healthcare industry, while GLB is used in financial services companies.

There are numerous federal and even more state laws that address privacy and data security, which creates the need for third-party contractors who are mainly a team of people who are fully educated on the relevant laws and apply them to complicated businesses dealing with important consumer information. However, there are security issues that virtually affect all companies and FTC has a framework that applies to every company. They demand a focus on security practices that range from access, disposal, to physical security for information networks.

According to FTC, the first step in a security plan is risk assessment where risks are identified, and the means of mitigating them are identified. Secondly, it provides employee training on information security issues since employees have proven to be responsible for most of the stolen or lost personal data. The security plan should then limit access to employees with a legitimate need who are trained on proper security procedures. It should also include disposal procedures for the data since data should not be retained longer than is necessary.

The security plan should also be monitored and updated regularly since security technology and threats change over time. Security plans should be updated periodically in anticipation of threats and technology changes. Lastly, the security plan should also address plans to respond to, manage, and report security incidents. It should detail what happens when data is misused, stolen, or lost. A comprehensive data program should also address policies in hiring third party contractors to aid in mitigating personal data theft or loss.

In summation, it is critical that companies are informed and proactive on issues related to data security and privacy. Maintaining data security ensures that data is reliable, accurate and available when needed by the authorized parties. Upholding data privacy strengthens the clients’ trust in a company since data is used appropriately, ethically, and as required and agreed upon by involved parties.