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Navigating Data Compliance and Privacy in Managed It Services

Navigating Data Compliance and Privacy

You might be surprised to learn that the average data breach costs businesses approximately $4.5 million. Situations like these can arise at any time, which is why it’s so important to protect your company’s sensitive information.

Many people choose to leverage managed IT services to do so. However, data compliance security isn’t the only benefit.

You can also maintain data compliance and privacy by working with professionals. We’ve written a brief guide with the key details you need to keep in mind when moving forward with data compliance. Let’s explore what you should know.

Tailored Solutions

Reputable service providers will offer data compliance solutions tailored to your business that can help you overcome the data issues you face. To clarify, they can assess your company’s areas of concern and determine the appropriate course of action. This is important to keep in mind, as handling privacy and data compliance often don’t have universal approaches.

Active Monitoring

IT services will continually monitor your network for anomalies. As soon as issues arise, your provider can handle them before the problems evolve into something far worse. In many cases, they’ll leverage automated tools to expedite the process.

Active Data Monitoring

Active monitoring can often dictate whether you’re able to prevent cyber attacks. For example, let’s assume that a hacker breached your network defenses. If you didn’t have a system in place that checked for abnormal activity, you might not notice this situation until it’s far too late.

Auditing and Reporting

IT services will audit and report on your network’s status and performance. This provides valuable insight into key details that can help you make adjustments to your strategies and policies. Your service provider will review this information with you and help you understand the necessary course of action.

Your reports can illuminate how well you adhere to industry data compliance standards. The same can be said about your data privacy.

Data Encryption

Without proper encryption, your information will be at significant risk. Encryption functions by using an algorithm to scramble data so it’s illegible to other users. The result is known as “ciphertext.”

Encrypted information can only be decrypted with a specific key that “solves” the algorithm. The data can then be read normally. Your managed IT provider will ensure your data stays properly encrypted and protected from unauthorized parties.

24/7 Support

Having access to ongoing support is crucial for your organization’s safety. Problems will eventually arise as time passes, and dealing with them on your own can be difficult or even impossible.

It’s customary for service providers to offer 24/7 support in some form. This is often offered through outsourced employees or chatbots.

This type of support also extends to emergency incident response. Without access to it, you risk extended downtime that can lead to major complications.

For instance, let’s assume you pay a team of 10 employees $40/hour each. Your company’s systems are down for an entire workday (eight hours).

This would cost your company $3,200 in lost productivity (10 x $40 x 8). However, this doesn’t consider the many other nuances that could arise.

To clarify, imagine the blow to your company’s reputation if people weren’t able to receive the service they expected. They’d likely choose a competitor for data compliance instead. In situations like these, it’d be unlikely for them to return to your business in the future.

Employee Training

Your team will likely need guidance on how to use the software and equipment you implement. The issue with this obligation is many companies don’t have the knowledge or resources to handle it.

Training Employees on Data Compliance

Your IT provider will have streamlined training programs that make this process as simple as possible. Part of employee training also ensures they’re aware of the most common threats your organization will face.


As your company grows, so will its data compliance needs. Without a scalable architecture in place, you risk falling short of your data compliance and privacy requirements. Some IT providers can scale their technology up or down as needed so you always have access to the necessary resources.

It’s worth noting that not all data compliance providers can scale with large organizations. The last thing you want is to be held back by a lack of resources.

This could cause major problems with your company’s data compliance performance, as it will leave you in a sort of limbo. Your company will be large enough to have a strong market presence, but it won’t have the capabilities to handle what you expect of it.

Consequences of Noncompliance

Noncompliance comes with a handful of consequences you can’t ignore. It’s imperative to avoid these under all circumstances. Listed below are key details to keep in mind.


A single data compliance lawsuit has the potential to completely derail your operations. There’s also a chance the judge will order you to pay the plaintiff a settlement.

The 2017 Equifax data breach is a great example of what could occur. In some cases, the judge’s ruling could also impact your future performance.

You can avoid situations like these by adhering to all industry data compliance standards. Lawsuits can cost you tens of thousands in legal fees alone. They can also take years to resolve, leading to unnecessary stress.


Fines and fees are often substantial and can quickly add up. In some situations, your organization might not be able to afford the financial penalties. Sometimes, these are combined with a judge-ordered settlement.

It’s not uncommon for major financial problems to occur once you infringe on industry standards. Fines and fees tend to increase for multiple infractions, and these can quickly get out of hand.

Reputational Damage

Noncompliance can easily lead to reputational damage. This is especially true regarding standards that dictate how data should be stored. If word gets out that your company doesn’t follow industry rules, you’ll lose consumer trust.

As previously mentioned, this will lead to your audience working with your competitors. Scenarios like these can take years to recover from, and it can sometimes be impossible.

Cyber Threats That Impact Data Compliance

There’s no shortage of threats that can affect your company’s ability to stay compliant. Understanding these will help you navigate the future. Let’s explore them in detail below.

Poorly-Trained Employees

Without the proper training, your workers will be one of your company’s greatest risks. They won’t know how to keep an eye out for threats, and they could mismanage your data.

To clarify, imagine an employee was unaware of your company’s standards regarding how they send information. This could make it far more likely that your business suffers from a data breach. This behavior could include poor password creation/management, improper device storage, and access to unauthorized users.

The good news is this risk is one of the easiest to mitigate. You can do so by holding regular training and audits.

Outdated Software

Hackers thrive off outdated software. Even a version that’s slightly behind the current one can post major security risks. There’s also something to be said about the improved performance you’ll experience.

More often than not, developers patch software to resolve security flaws. This means you should keep automatic updates on so you don’t have to worry about remembering.

Lax Security Policies

The policies you implement at your company will heavily dictate how well you can protect your information. These should be comprehensive and your employees must be able to access them whenever necessary. There should also be a plan for responding to infractions.

Security Policies

For instance, how would you handle an employee who gave their account’s password to an unauthorized user? What would happen if they tampered with data they shouldn’t have access to? The answers to questions like these will help implement additional layers of protection.

Finding a Service Provider

Not all service providers are created equal, and it’s essential to research your options thoroughly before moving forward. Check their past reputation to see what other people have to say about their experiences. There should be no shortage of positive feedback from previous clients.

Do they have a strong customer support policy? Dealing with issues on your own is often difficult, and it can even be impossible. Assess how enthusiastic they are about your project, as well.

If they don’t seem interested in helping you reach your goals, it’s essential to look elsewhere. You can gauge this by paying attention to how many questions they ask about your needs.

Don’t be afraid to explore other options if they aren’t meeting your needs. Stellar options are abundant out there, and it’s never worth settling without looking. With enough due diligence, you shouldn’t have a problem finding the right choice for your needs.

Never Overlook Data Compliance

Even a single data compliance incident can have catastrophic consequences. The information in this guide will help ensure you hit the ground running and make the best decision for your needs. From here, you should have no trouble avoiding obstacles you would have otherwise had to face.

At Vertical IT Solutions, we own our IT infrastructure, which allows us to create customized plans for our clients. We pride ourselves on striving to exceed all expectations and achieve the best results. You’ll learn more about how we can help when you schedule a consultation today.