In GDPR compliance, data classification can be quite beneficial for businesses. If you are not yet aware of the importance of data classification in relation to GDPR, then this article is quite important for you.
Usually, data classification is ignored by many; however it can be a right answer of GDPR needs of businesses. In this article, we will highlight all about data classification to meet various requirements of General Data Protection Regulation and also, reasons why it is mandatory for everyone.
An Overview To New GDPR Update
It is imperative to be familiar with the upcoming GDPR requirements if you are into a business which stores, transfers and process data of citizens of the European Union. So, if you are still unaware about GDPR and how it affects businesses, then it is high time to be prepared and speeds up your learning for it. The latest regulation releases on May 25th, 2018 which brings some critical implications with huge fines.
The reality is, for many businesses, managing customer data had always been a big issue, but with GDPR, this thing has completely worsened. So, if you still do not have any clue about the data of EU citizens, then it is certainly a big issue for you. Now, it is not enough to only concentrate on PII or PI; however, they should be taken as a part of the broader initiative.
What Is Data Classification
The concept of data classification is not new, but it is there for a long time. Came in the 19th century in the UK, it became an integral part of 1889 Official Secrets Act. Though it is an old concept dated back for more than a century, it is still implemented by only big financial institutions and government bodies. No doubt, there are several companies available that also follow it rightly, yet many are there doing it wrong and many are just ignoring it.
So, if you are into a business who should be compiled to the regulation of GDPR and still not have an implemented policy for data classification, then start by knowing the reason to do it and from where you should begin.
Why Implement Data Classification
Stats show that around 70% of overall unstructured data over a network can be referred to as Redundant, Obsolete, Trivial ten data. So, storing only relevant data for the time you need it may reduce the cost of storage for you that is actually a considerable thing in GDPR. Dumping data that is not required can lead to effective indexing, faster recovery time and easier access. Minimizing stored data can also lessen the risk because without having data with you, there is no chance of it to be stolen.
Another great reason to classify your data is to learn the important or non-important data. Visible labeling of a document can encourage people to think again about how to handle that data. It is a way to make people more aware of data and make them more concerned about data security. This way, it enhances business security. It also affects to improve the document management.
After deciding on data classification for GDPR, the next step is to take an action for data classification by considering GDPR requirements. To learn the whole transition for perfect data classification, read on our next post.
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