- August 20, 2021
The increasing levels of cyber-attack worldwide have prompted various nations worldwide to establish stringent cybersecurity compliance programs to ensure the confidentiality, integrity, availability, and privacy of citizens’ data are protected. Some examples of popular cybersecurity-focused compliance regulations are the European Union’s General Data Protection Regulation (EU-GDPR) and the California Consumer Protection Act (CCPA). Companies conducting businesses within a particular jurisdiction must abide by these specific standards and regulations to enjoy continued credibility and avoid expensive penalties.
Cyber threats and data breaches can have far-reaching implications for any organization; therefore, cybersecurity compliance programs are a security control measure that reduces security incidents associated with human factors.
In today’s digital transformative world, an effective way to improve an organization’s cyber resiliency is to increase collaboration between privacy and cybersecurity teams, thus permitting allowing compliance measures to flow organically. This article will describe the benefits of establishing and maintaining cybersecurity compliance programs and their correlation to financial risks.
The Significance and Challenges of Cybersecurity Compliance Programs
Cybersecurity compliance programs refer to the set of regulatory guidelines and protocols. To ensure confidentiality and protect the integrity and availability of data, organizations must abide by these guidelines. Although the purpose of a compliance program is multi-faceted, its most significant value is its ability to build trust with existing and potential customers. In addition, cybersecurity compliance is also an effective way of generating revenue while demonstrating the stability of the executive leaders of an organization.
Furthermore, it is essential to educate all employees about new compliance regulations because understanding the best practices associated with them fosters a robust cybersecurity ecosystem. This resilient cybersecurity ecosystem would not only protect any sensitive information but also help to mitigate cyber risks.
Below are the three types of data that fall under the cybersecurity compliance guidelines:
- Personally identifiable information (PII)
- Protected health information (PHI).
- Financial information.
One of the prime challenges organizations face is compliance management because of the differences between data protection laws, including jurisdiction, industry specification, and affected parties. As a result, there is no “one-size-fits-all” approach when implementing cybersecurity compliance. Therefore, having a corporate compliance program helps standardize, track, and document compliance requirements comprehensively. Above all, compliance programs streamline the risk identification and remediation processes.
Organizational Benefits of Cybersecurity Compliance Programs
Cybersecurity laws are pivotal to protecting the privacy and security of consumer data. In addition, compliance with privacy laws helps to enhance the reputation of organizations. Thus, the additional credibility garners trust during new client acquisition operations.
Below are some of the top benefits of cybersecurity compliance programs:
- Adds business credibility – Data breaches can cause wide-ranging damage to the reputation of an organization. It adversely affects the relationship between the company and its consumers. Compliance with data security standards helps companies to streamline available information. An organization that prioritizes data security builds consumer trust and maintains its business reputation.
- Attracts new business ventures – Organizations that adhere to security compliances are often reluctant to work with those who do not have any data security guidelines. There are reports of companies losing business deals as a result of incomplete compliance certifications. Security compliance establishes an organization as a trustworthy partner and a prominent industry leader.
- Avoid penalties and fines – Legislations are now being imposed in different countries for the protection and privacy of consumer data collected by organizations. Any violation of these laws would incur heavy fines. Adherence to compliance programs helps organizations to avoid any fines or penalties.
- Better security controls – Increased security measures comprising a higher framework, a streamlined process, and decreased vulnerabilities help organizations reduce the chances of cyberattacks. In addition, with tighter security and well-trained employees, having a compliance program results in enhanced cybersecurity as threat landscapes continue to evolve.
- Improves data management capabilities – Companies must keep track of all the data collected from consumers and know where that data is stored. In addition, with new data protection laws across the globe, customers now have the right to ask companies to delete all the data associated with their identity. Therefore, organizations today are currently revamping their data management practices to comply with the new data protection laws globally. Thus, helping to increase operational efficiency.
With the advent of sophisticated cyber-attack techniques, security concerns are rising. Therefore, organizations must continue to improve their security measures. Cybersecurity compliance programs are monumental in maintaining consumer trust and building company reputation. It ensures the safety and security of the customer’s sensitive information, thereby enhancing customer loyalty. Although cybersecurity compliance programs are beneficial for both customers and organizations, adapting to cybersecurity compliance requirements may seem tedious at the initial stages. However, small to midsize businesses can collaborate with reputable managed security service providers (MSSPs) to ensure a smooth and painless compliance program that aligns with specific business goals and security objectives.