Have you taken steps to prevent data breaches at your club? Failing to take steps to protect confidential customer and employee information could lead to significant – and even crippling – financial and legal problems. In a world where even government agencies and big corporations are being hacked, it may seem daunting for a small business to reduce the risk of data theft. But you can make some changes right away that will help protect your club. Here are some great places to start:
Use firewalls and encrypt any data that leaves your club. In the event of a data breach, failing to take steps such as using firewalls and encrypting data could make your club appear to be neglecting its responsibility to protect private customer and employee data. The good news? These two steps aren’t quite as involved and expensive as they used to be.
Consider storing only the information about employees or customers that you truly need. Data is an important asset to many clubs. So, they tend to keep lots of it around. After all, you never know when you might need it, right? Unfortunately, it’s also a liability. If someone gains access to your customer or employee data, the more information you have stored, the easier it will be for hackers to use it to commit data theft. And your club is more likely to be held liable for any information that ends up in the wrong hands.
Your own employees could steal or misuse data – be ready to act accordingly. Sure, hackers can cause a lot of damage. But there is plenty of data theft committed by employees. That’s why it’s important to train your employees on the rules of handling sensitive data and consider limiting access to databases or files with private information only to trusted employees or those who need access to the information.
Know who you’re doing business with. Does your club outsource payroll processing? How about payment processing? Most clubs rely on a number of other companies for a variety of services. You may have taken the right steps to prevent data breaches. But are the companies your club contracts with taking the right steps – and making enough of an effort – to protect your company’s data?
For more information about the problem of data breaches check out this story.