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Advantages of Data Protection | disadvantages of Data Protection

This page covers advantages and disadvantages of Data Protection and its basics. It mentions benefits or advantages of Data Protection and drawbacks or disadvantages of Data Protection.

What is Data Protection?

Data protection refers to safeguarding of our fundamental rights of privacy which is defined in international and regional laws and conventions. Protecting data and privacy rights of users is a major challenge for policy makers.

Data Protection Principles

Data protection is related to online trade of goods and services in a digital economy. Insufficient or poor protection leads to negative effects which reduces confidence of the consumers. Moreover overly stringent protection can unduly restrict businesses with adverse effects on the economy.

Advancement in Information and Communication Technologies (ICT) such as cloud computing, IoT (Internet of Things) and big data analytics are evolving everyday. As a result, the data protection which relies on these technologies is dynamic in nature.

Following are the eight core principles of data protection.
➨ Openness: Organizations must be open about their personal data practices.
➨ Collection limitation: Collection of personal data must be limited, lawful and fair, usually with knowledge and/or consent.
➨ Purpose specification: The purpose of collection and disclosure must be specified at the time of collection.
➨ Use limitation: Use or disclosure must be limited to specific purposes or closely related purposes.
➨ Security: Personal data must be subject to appropriate security safeguards.
➨ Data quality: Personal data must be relevant, accurate and up-to-date.
➨ Access and correction: Data subjects must have appropriate rights to access and correct their personal data.
➨ Accountability: Data controllers must take responsibility for ensuring compliance with the data protection principles.

Benefits or advantages of Data Protection

Following are the benefits or advantages of Data Protection:
➨The data protection helps to keep personal data secure and protected.
➨It protects valuable information such as business transactions and financial statements. Hence it increases confidence in consumers to purchase items or things online. Hence it increases revenue of the businesses both offline and online.
➨It increases quality of stored data as well data during transaction.
➨It does not depends on any particular technology. It can be applied to all.
➨It reduces risk of financial loss.
➨It prevents company recipes, project/product documents and software being stolen by competitor companies.

Drawbacks or disadvantages of Data Protection

Following are the challenges or drawbacks or disadvantages of Data Protection during its implementation:
➨Poor data protection processes or procedures lead to lack of confidence in consumers. Moreover stringent protection of data leads to adverse effects on the digital economy. Hence data protection should be optimum.
➨There is no single global agreement on data protection.
➨Data protection is challenged and influenced by advances in technologies and business practices. The relationship between data protection and online activities changes all the time.
➨It is costly and time consuming to maintain data protection principles.
➨Employees and stake holders of business establishments are required to be trained by providing appropriate training courses.
➨It is essential to use appropriate technical and organisational measures in order to protect unauthorised or unlawful processing of personal data. This is very difficult to manage.
➨Personal data shall not be transferred to a country or territory outside from where it has originated. Doing so will breach the data protection laws unless the country ensures adequate level of protection to the data and processing of the data.

Conclusion: In order to understand advantages of data protection and disadvantages of data protection one has to understand data protection core principles and key challenges involved in its implementation in respective country.

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