8 months ago
CEOs Must Prioritize Data Protection for Customer Confidence
Sachin Tayal, a leader at Protiviti, says that CEOs should take data protection very seriously.
This is because new laws in India make companies responsible for how they handle data.
If they don't follow these rules, they can get big fines and hurt their reputation.
Tayal says that CEOs should talk to their employees about data protection, use the right tools to manage data, and be ready to act quickly if there's a data breach.
He also mentions that companies might need to hire a special person, called a Chief Data Officer, to manage all data-related issues.
Small businesses might not need this, but they should still make sure they follow the rules.
Tayal believes that protecting data is especially important because it's used in things like AI, and companies should make sure they're doing this right to keep their customers happy and trust them.
CEOs must actively engage in data protection efforts to ensure customer confidence and comply with India's DPDP Act.
A survey found that 82% of respondents distrust company data handling, indicating growing client seriousness about data privacy.
CEOs should budget for data protection tools, train employees, and establish quick response protocols for data breaches.
Large companies may need to appoint a Chief Data Officer to manage data programs and compliance, while SMBs can assign this responsibility to existing executives.
Protecting data is crucial for AI development, requiring proper policies, employee training, and data mapping processes.
- Who
- Sachin Tayal, Managing Director at Protiviti
- What
- The importance of CEOs prioritizing data protection and compliance with the Digital Personal Data Protection (DPDP) Act
- Where
- India
- When
- With the enforcement of data and privacy protection laws in India
- Why
- To ensure customer confidence, avoid fines, and protect company reputation
Key facts
- Key Speaker
- Sachin Tayal, Managing Director, Protiviti
- Survey Finding
- 82% of respondents distrust company data handling
- Impact of Data Breach
- 30% share price drop for US credit bureau
- CEO Responsibilities
- Monthly reviews, employee training, policy implementation
- Structural Change
- Appointment of Chief Data Officer in large companies
- SMB Compliance
- Executives may handle data protection responsibilities
- AI and Data
- Protect data during collection, processing, and storage
- Consent Application
- CEOs' names published in consent applications
Quotes
Sachin Tayal
Managing Director at Protiviti
“It is extremely important for leaders to actively change workplace culture and to think in terms of data privacy. How do we protect the data and how to use that data? Employees need to be trained on that, which means every leader has to make it part of the leadership discussions. There are tools and technologies to manage such data and also such information. The whole process and workflow is becoming complex. CEOs must budget accordingly. Lastly, the response time when a breach or leak occurs, even if it is small in nature. How you address that will be very important. One of the credit bureaus in the US lost some 40 million users’ data, including credit card information. Thirty per cent of the share price dropped. Moreover, they did not didn’t have a policy or data officers.”
thehindubusinessline.com
“AI is based on data. It is very important to think about protecting data when collating and processing it. We must have a digital ambition, but it has to be built on the foundation of a proper data protection process of when such models are being built. They don’t have to slow down AI usage, but make sure all policies and frameworks exist, train every employee and ensure proper mapping of how data is collected, processed, stored and forgotten. Consent application needs to be applied, and the consent has to be graded. Lastly, CEOs need to make sure that any data leakages, escalations reach their desk. That is going to be very, very critical. In the next one year, they need to carve out time for having a monthly review on this issue.”
thehindubusinessline.com
