Data regulation and ticking the right compliance boxes
Your business faces an increasingly complex regulatory landscape when it comes to data privacy, consumer protection and industry-specific compliance requirements.
Keeping on top of these compliance requirements is a complex task. Failing to meet your requirements can have serious implications, with non-compliance (whether intentional or accidental) resulting in legal repercussions and possible reputational damage for the company.
Taking excellent care of your customer data
We live in a digital world, where your organisation collects huge amounts of data from your customers. This includes contact details, financial information, credit card details and detailed breakdowns of their spending habits and buying preferences.
In an effort to protect this data and preserve customer privacy, there are various data regulations that you must comply with.
A sample of these global data privacy laws include:
- General Data Protection Regulation (GDPR) in the EU
- The Data Protection Act 2018 in the UK
- The Privacy Act 2020 in Australia
- The Privacy Act 2020 in New Zealand
- The Federal Trade Commission (FTC) Act in the USA
Depending on your organisation's home territory, and where you trade, there may well be international, national and local data regulations to comply with. That’s a lot to get your head around, especially if you’re new to business and not familiar with the legal framework.
So, what can you do to make your compliance journey simpler and as effective as possible?
Here are five simple steps to enhance your compliance:
Work closely with legal advisers
Navigating compliance can be complex without legal expertise. Consulting legal professionals provides clarity on specific obligations relevant to your industry and region. They can guide you through the intricacies of laws such as GDPR, ensuring you understand how these regulations affect your business operations.
Run regular compliance audits
It’s important to conduct regular risk assessments of your in-house data compliance. These audits help your organisation stay in line with all relevant regulations and industry standards. They also keep you abreast of any changes in compliance laws. By regularly reviewing your processes, you can identify potential risks and take steps to mitigate them before they become issues.
Protect your customer data
Your customers expect you to take good care of their data, both personal and financial. Secure your customer and business data through end-to-end encryption and use of the best data privacy practices. Implementing robust security measures like end-to-end encryption and following best data privacy practices is crucial. This involves more than just securing data against external threats; it also includes internal policies to prevent data misuse.
Deliver regular training and keep your employees up to speed
Your team needs to know the latest rules around compliance and what’s required of them. This means running frequent compliance training, so there’s a culture of compliance awareness. By keeping your employees updated, you minimise the risk of inadvertent non-compliance and empower your staff to handle data responsibly.
Use the latest data storage solutions
With so much customer data being generated, it’s important to use up-to-date documentation management and data storage software. These solutions keep your records and data secure, organised, and readily accessible. They also facilitate compliance by ensuring data is stored and managed according to legal requirements.
A team effort
Getting a grip on data compliance is a team effort. It’s important to work with legal, IT and data security professionals to ensure your organisation is ticking all the correct compliance boxes.
By following these steps, your business is more likely to not only comply with current regulations but is also prepared for future changes in the legal landscape. It's about safeguarding your business from legal repercussions and strengthening your reputation as a trustworthy and responsible operator in the eyes of your customers and industry peers.
As your bookkeeper and payroll service providers we can connect you with experts in all the relevant compliance areas, so you get the advice, support and training you need as an organisation. Get in touch.