Five Benefits of GDPR Compliance

What are the benefits of GDPR compliance? The GDPR (general data protection regulation) has been with us for many years now. Yet organisations still struggle to meet their data protection and data security duties. Worse, others wonder whether GDPR compliance is worth bothering with and their business has other priorities and they cannot see the benefit to their brand compared to the costs.

However, the benefits of making the compliance effort are very real, and offer genuine advantages of any business, large or small.

What are they? Here we discuss five key benefits of GDPR compliance:

Reduced risk

Getting your data processing and data management right can proactively protect your business from harm. You can do all the marketing in the world but the damage to the reputation of any organisation from a data breach is real and long lasting. The cost of complying with GDPR need not be high, but whatever it may be it is nothing compared to the cost of losing customer loyalty (and that of your employees and suppliers for that matter). By being proactive and avoiding data breaches you can stop your data getting into the wrong hands, and reduce the risk to your brand, and the financial health of your business. The effect of a data breach cannot be understated so the right data protection practices and processes will produce real benefits by avoiding problems in the first place.

There are a number of ways to get this right. Of course you need the right kind of cybersecurity to protect your electronic records, but also the right kind of training for employees to help them understand the principles of data protection and data privacy. Effective data protection practices reduce breaches. That is an absolute benefit for all businesses.

An example of why more than technical solutions are needed to comply with the law can be seen here.

Greater Trust

Consumers need to trust the organisations and businesses they share their personal data with. Data subjects are people too, and you want them to use your product or services. Being able to reassure people that you one of the most mature organisations when it comes to personal information can help build and maintain customer relationships, giving you an edge over the competition. This is particularly true if you process sensitive information like health related personal data, or you handle financial data. By being able to showcase the way you ensure the privacy and security of personal data the greater the confidence people will have in your company, and the more likely they are to become your clients.

There are relatively simple ways to do this. For example, you have to publish a privacy statement as part of your transparency duties. There is no reason why you can’t use that to build customer trust. How includes highlighting the approach you take to information and cybersecurity and the level of control you put on the management and use of personal information.

This is also true of a business to business relationship. Companies will be more willing to partner with you if they can be assured of the data protection mindset in your organisation and the data protection practices you employ. If you can show data you hold will not get into the wrong hands potential partners will be more willing to share the personal data they have with you.

This report discusses the impact GDPR has had on consumer views and expectations when it comes to privacy and security.

Getting this right means more than complying with people’s rights, like the right of access. Examples of how companies can be considered reliable when it comes to GDPR include engaging with consumers about how they want their data used, or using your privacy statement as a way to build relationships.

Improved Efficiency

Data protection can pay for itself if you use GDPR as an opportunity to get your data processing right. There are costs involved in collecting, storing and processing personal information. If you can work out what data you no longer need, then you can not only free up physical and electronic space, you may also free up employee time for other activities and reduce the expense of technology like particular software that comes at a premium.

A simple audit of your use of personal data will show areas where you can benefit from making savings. You can then use this for marketing. innovation, or reinvesting in compliance.

For many enterprises, and especially those in the public and charity sectors, a ruthless war on costs is as important as enhancing revenues. A good example over the last few years has been the wholesale move to cloud computing, without any meaningful reduction in information security. You should look for things you do not need any more and a data audit is a good way to start. In our experience organisations often hold on to personal data for much longer than they should. Tackling this might be a priority for you.

We can help you improve your GDPR systems with audits, training and our DPO services. Find out more here:

• Consultancy
• Training
• DPO Services

Greater innovation

As we emphasise in our information governance training, data is an asset. Like all assets it must be exploited to maximum effect. Assets have value, and personal data is the same. While you must of course be mindful of data security and privacy the key thing about the GDPR is that is sets out the framework within which a business must operate to the benefit of that organisation.

At its core GDPR compliance is about how you use data. There are legitimate uses of personal data to identify and provide enhanced services to the “data subject” (the customer!). If your data protection practices don’t involve new technology, enhancing services to customers, or changes to your processes you are missing a huge opportunity.

Data subjects understand the value the use of data for research can bring. However, their level of comfort will depend on the amount of trust your customers have. That depends on the effort you put in to building it. Remember one of the key principles of the GDPR is transparency by businesses in the use of data.

Better Culture

A further component of success for any company is its culture. A culture that values privacy, effective data management and GDPR compliance is one that will reap all the other benefits listed above. Clients, customers and employees all value businesses that have the right culture, and the right culture is self-reinforcing.

One of the core principles of the general data protection regulation is a culture of privacy by default and by design. Companies that get their data protection practices right will see rewards from their compliance effort that go beyond GDPR compliance. When people understand your organisation values privacy it will enhance their relationship with it. This can make them more receptive to marketing, and make them more likely to look at your services over the competition. This as always is all the more true if you process sensitive information.

Conclusion

There are a number of benefits to GDPR compliance that go beyond complying with the law, keeping data secure, or meeting a regulatory requirement. By having a firm grip on privacy any company can reap rewards that go far beyond any compliance effort. Clients and customers will value you more. Your new business culture will make employees understand the role of data in customer relationships and customer trust. You will be more efficient and agile as a business.

Getting GDPR right will therefore be a worthwhile investment for any company. Building the right GDPR framework is more than meeting a legal requirement. It means realising the very real benefits GDPR compliance can bring.