Although data privacy and data security work together, they are two entirely different practices.
Data privacy is all about trust. Customers need to trust organizations if they’re going to hand over their private data. Organizations that want consumers to trust them must take data privacy seriously. They do this by making it a primary focus of their approach to customer service and data management. The stakes are high. After a data breach, loss of trust is often the biggest reason that organizations lose revenue. When customers lose trust in an organization, they take their business elsewhere.
Data privacy is a concept, while data security is all about action. It takes a lot of technology and IT team effort to keep data secure. Data security is a combination of procedures, tools, software, auditing and monitoring—all working together. It’s important to keep all these actions private so that threat actors don’t know the best way to attack. In contrast, data privacy assumes a level of transparency. Organizations need to tell people how they’re keeping their data safe—because openness builds trust. Fundamentally, there’s a tension between data privacy and data security.
Here are some key differences:
Data Privacy
- Data privacy focuses on the proper handling, collection, retention, deletion, and storage of data.
- It is about ensuring that individuals have control over their personal information and how it is used, accessed, or shared.
- Data privacy is concerned with protecting the confidentiality and appropriate use of personal data, giving individuals the right to determine how their data is processed.
- It involves compliance with privacy regulations and respecting individuals’ privacy preferences.
Data Security
- Data security, on the other hand, is about protecting data from unauthorized access, use, disclosure, alteration, or destruction.
- Data security involves the actions used to preserve data privacy, such as procedures, tools, software, authorization, auditing, and user information monitoring.
- It involves implementing policies, methods, and other means to secure personal data and prevent security breaches or unauthorized access to sensitive information.
- Data security focuses on protecting the availability, integrity, and confidentiality of data.
- It includes measures such as encryption, access controls, firewalls, intrusion detection systems, and other security technologies.
In short, data privacy requires data security, but data security does not always mean that data privacy is a concern for the organization.
While data privacy and data security are distinct, they are closely related and often work together to protect sensitive information. Data privacy ensures that personal data is handled appropriately, while data security provides the technical and operational safeguards to protect that data from unauthorized access or misuse.
Compliance is also a key part of data privacy and security. Compliance laws often lay out how organizations should protect data. For example, HIPAA (Health Insurance Portability and Accountability Act) requires an audit trail for every time someone asks to access patient data. If an organization doesn’t have an audit trail, there are hefty fines. Another example is GDPR. This law says that organizations must have the tools to remove data from their system whenever a user asks.