Sensitive data missteps that cost companies millions

A lot of companies lose millions when they don't use good measures when handling sensitive data. Customers won't trust you if they discover you failed to train your employees or allowed everyone to access their critical information. Using old software is another major mistake you should avoid.

According to Vectra AI, 72% of security decision makers think there's a chance they may have been breached without even noticing. Not every hacker who steals information will leak it to the public or use it to blackmail you into paying ransom, which is why you may not notice all the incidents.

Knowing about the mistakes many companies make is a good way to learn better sensitive information management.

What Are Examples of Sensitive Data?

Your systems may have some sensitive data, even if you are just a small business owner in Kalispell, Montana. Many people think only large corporations hold essential information. Sensitive data includes:

• Social security numbers
• Addresses
• Bank account and credit card details
• Health records

Any internal business document you use to run your company also counts as sensitive data. You should protect it because some of your rivals would be willing to pay to get it.

How Can Sensitive Data Be Protected?

It's possible to use the best data protection strategies even if you aren't a pro in tech. Building good habits and using simple tools can offer protection, making more customers trust you.

Using Strong Passwords

When you use passwords that people can't guess by just gathering a few details about you, you're protecting your company. Combining random letters, numbers, and symbols works better. You should be updating your company's passwords every few months in case some of them have leaked.

Limiting Access

Corporate data handling becomes easier once you only allow employees to access the files they need for their work. Not everyone who works at your company needs to access every document. By limiting access, you'll be able to tell when there's unusual activity and track the source.

Securing Old Devices

The laptops and phones you used at your company years ago, when your business was starting, may still have some sensitive data. Wipe everything if you plan to get rid of them by selling or donating. It's better to be cautious since you may have hidden files with data.

Getting Certified

Don't just settle for basic data protection methods when you can learn advanced ones by getting certified. Getting an ISO 27001 information security certification helps you earn the trust of stakeholders. It has other benefits like reducing errors and speeding up how you respond to incidents.

Sensitive Data Mistakes Hurting Companies Most

Mistakes around business data security can happen at any time if you aren't careful and looking out for them. Your employees will be able to avoid losses if they have enough knowledge.

Rushed Sharing

A lot of workers send documents to the wrong person or even leak sensitive information when doing things in a rush. Trying to meet tight deadlines can lead to such mistakes.

If your employees can double-check things before sending, you'll be able to avoid leaking sensitive information. Protect your brand from legal issues and save millions with this simple precaution.

Using Public Folders

It's often more convenient to just share a folder drive with all employees instead of sending a copy to each of them. You may end up storing sensitive information there, such as:

• Payroll spreadsheets
• Customer lists
• Internal plans

No public folder should have any of these documents if you're trying to achieve data breach prevention.

Poor Training

Your employees may already have training on how to protect sensitive information, but you should ask yourself if it's enough in a world of evolving cyberthreats. Many companies just train their employees once a year.

Workers may forget what they learned and sometimes not even know how it applies to the work they do every day. Offer the following:

• Regular refresher courses to remind your team
• Small exercises so they can develop better habits
• Simulated attacks for testing how each employee reacts

Good training will help your employees watch out for potential risks and know how to act when they come across them.

Trusting Vendors Blindly

As a business owner, you may work with different companies to make your work easier and give them access to sensitive data. It's a mistake to just trust your vendors to follow data protection rules without asking them about the measures they have in place. Be careful when choosing:

• IT consultants
• Payroll companies
• Freelance contractors

You can ask the vendors you're working with to audit their systems. Learning about the security practices they use is a safety measure you should never skip.

Frequently Asked Questions

What Do Companies Need to Prevent Major Data Loss?

The culture at your company should make employees feel free to ask questions when they're unsure about something, like a suspicious email. Use these measures to avoid major data loss:

• Keep up with trends in cybersecurity
• Update your policies frequently
• Partner with auditors to ensure your systems are working well

Why Do Hackers Target Smaller Organizations?

One attack can lead them to a bigger brand. Small businesses may be easier to hack due to:

• Limited budgets
• Using old devices
• Inconsistent employee training

Once you figure out why your business may have a larger risk, it'll be easier to know the measures you can take to defend it.

Are Employees Usually Responsible for Breaches?

You might find out that one of your employees played a part in a breach by making a mistake. Instead of blaming them, focus on ways you can use them to defend your company's data in the future.

Stress and burnout can cause your workers to make errors. You'll be building a better workplace culture while avoiding data breaches if you offer them support.

Avoid Losses With Better Data Protection Measures

Sensitive data can quickly get into the wrong hands when an employee shares something in a hurry or when you allow too many people to access a document.

All the vendors you work with should have measures in place to keep hackers from stealing information. Wiping data from the devices you no longer use is also a smart way to protect yourself.

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This article was prepared by an independent contributor and helps us continue to deliver quality news and information.