The Benefits of Data Audits: Ensuring Security and Compliance for Small Businesses
As a small business, you may have heard about Data Audits and may wonder what benefits it can bring to your organisation. Let’s delve into why completing a data audit is a crucial step towards enhancing your data security and achieving compliance with regulations like GDPR.
Understanding Data Audits
What is a Data Audit?
A data audit is a record of the data your business collects, processes, stores, and shares. It involves identifying the types of data you hold, the reason for storing it, lawful basis for processing, where it is stored, who it is shared with and how long it will be retained.
Benefits of a Data Audit
Understanding what data you have
Completing a data audit helps to understand the data you have throughout the organisation. It should include the type of information you are collecting and whether any of it is special category information. You’ll also be able to identify your lawful basis and if you are not clear, you can make a decision about the most appropriate lawful basis. This part of the data audit usually highlights data that is being collected in the organisation which not everyone was aware of previously. Remember to include information such as customer details, financial records, and employee data.
Understanding how data is shared
One of the columns in your data audit should be who the data is shared with, this will help you ensure that any data sharing is recognised and you have the relevant written agreements in place. Think about all the places your data might be stored such as Office 365 or Google Drive, accounts packages, payroll, CRM’s etc as well as any companies and advisors it could be shared with.
Retention Practices
The data audit will provide a retention period for each piece of data that the organisation, it will highlight records which you do not currently have a retention period for. This means that the organisation will not be holding information for longer than necessary.
Identification of Risks
By knowing what data the organisation holds, you can assess potential risks and vulnerabilities, enabling you to implement targeted security measures. Understanding where your data is held and who has access to it allows the organisation to implement controls to prevent unauthorised access or data breaches.
Ensures Compliance with Legislation
Conducting a data audit is a fundamental step towards GDPR compliance. It helps you ensure that personal data is processed lawfully and transparently, and then held securely. It ensures that the organisation knows where data is held and ensures that any silos of data are identified.
Develops Operational Efficiency
A data audit enables the organisation to streamline data management processes, eliminate redundant data, and optimise storage resources. It also ensures appropriate written agreements are in place to protect the data. Additionally, knowing the data that is held can make strategic decision easier by analysing the information.
Conclusion
In conclusion, a data audit is not just a compliance requirement; it is a strategic tool that empowers organisations to protect their data assets, enhance operational efficiency, and build trust with customers. By conducting a data audit, you can stay ahead of evolving data protection challenges, minimise risks, and demonstrate your commitment to data security.
If you haven’t performed a data audit for your business yet, now is the perfect time to start. Embrace the opportunity to gain a deeper understanding of your data, strengthen your security measures, and pave the way towards a more secure and compliant future for your business.
Remember, data security starts with awareness and action. Take the first step today towards a more secure tomorrow! If you need some help with a data audit, please contact us, we’ll be happy to help you get started.