What organizations need to know about new data privacy trends
The Wild West of data is over, brought to heel by Europe’s GDPR, California’s CCPA and countless other impending data privacy laws. Now, many organizations are playing a frantic game of catch up to navigate this new era.
In particular, hardware and software companies have a lot at stake and are scrambling to get it right. As we embrace this new decade, they’ll start tightening data control offerings and supplying more secure options to adhere to increased data privacy laws and mitigate noncompliance.
How organizations act in the next few years will lay the groundwork for all future data management and analysis. In 2020, we’ll start seeing these changes as companies begin shifting their data management strategies, and vendors will begin modifying their data policies so they can follow.
Consolidating and protecting data ownership
An organizzation’s data defines them: It can inform them about ROI, provide insight into successes, collects and pays the bills, and so much more. Many organizations migrated to the cloud to streamline these processes and minimize costs, onboarding with a suite of SaaS providers from Concur to Oracle NetSuite.
However, after making the move, it becomes significantly harder to control data — SaaS companies control or own the majority of their customers’ data, putting many of their customers in a precarious position because of the new data regulations.
To ease concerns, many organizations have ended contracts with certain controlling SaaS companies and gravitated toward ones that have stronger data protection and governance policies. The big takeaway is that there needs to be better options and processes in place to ensure that organizations can keep data protected and compliant, while also reaping the value of it to drive business forward.
As data policies become more convoluted, fluctuating between regions, even more organizations will shift architecture and SaaS partners to tighten privacy controls on data in 2020. This, in turn, will lead to a whole new set of vendor offerings.
Both hardware and software providers will evolve to govern data traffic
Think of some of your SaaS providers, such as Salesforce, Workday or Zendesk. They all operate by housing data, so it’s almost impossible to take back data ownership without impacting day-to-day operations or severely cutting back on data benefits.
However, what's the bigger risk; losing out on a few data benefits or being fined by the government? Most C-suite executives are more concerned with the latter. This means that, if hardware and software providers want to keep users and meet their demands, SaaS apps will have to evolve their architecture and policies.
As part of this move, software and hardware companies will begin developing new solutions to support the increased need to tightly govern traffic. If they aren’t able to meet these new industry needs, SaaS providers must find complementary avenues to protect their customers with data compliance.
Data challenges will only continue to increase. With wider adoption of IoT and edge computing, data will move ever further from a central source, but no matter how far away it travels in 2020, organizations are still responsible for their data.
Navigating the future of data privacy laws
Every state could adopt CCPA-like regulations in the next few years—it’s a time-consuming, tedious and resource-heavy process to define and policy privacy acts. Even if states invest in developing their own law, it will likely be modeled after California’s.
However, it’s unlikely we’ll see a convergence of privacy in the U.S. Rather, companies will simply adopt a high standard. It ultimately costs more to adhere to inconsistent standards than a single stringent one.
From AI to IoT to 5G, companies will rely even more heavily on data in the coming years. The already important asset is becoming even more critical for businesses. Data regulations have begun forcing companies to revise their master data management plans and how they use these technologies. Alongside this shift are software and hardware manufacturers developing new technologies meant for better data governance.
While we’re still in the early stages of new data ownership best practices, smart organizations will use the new year to get ahead of the curve, planning for 2021 and beyond.