Three ways the California Consumer Privacy Act (CCPA) can help bolster your customer satisfaction
Data has grown exponentially over the last decade, to the extent where it is often referred to as a “natural resource,” and its rapid and uncontrolled growth has resulted in its poor management. This exploitation is a result of the theft or breach of data, as well as the limited controls and rights that people associated with this data can exercise. However, this has changed over the last few years. Now the data collected and used by organizations has become subject to laws that grant people permission to access the information being collected on them, as well as the right to a timely response regarding the lawful use of this information. Thanks to the General Data Protection Regulation (GDPR), this movement of consumer rights advocacy and awareness has gained more prominence.
Inspired by the GDPR, the California Consumer Privacy Act (CCPA) is a consumer protection and data privacy law that went into effect on January 1, 2020 and will be enforceable through July 1, 2020. This law offers companies an opportunity to gain customer trust and satisfaction which can lead to better organizational performance. This can be achieved using three steps:
1. Laying a foundation for the responsible user of data through building a Chief Data Office - With the CCPA going into effect, customers should have more in-depth understanding on how their data is being managed. Compliance with the CCPA is part of building a trusted analytics foundation that exceeds discovery and mapping of personal data. An organization needs to be able to understand, trust and use its data. True governance is an ongoing journey weaved into the daily activities of an organization to make it sustainable. With a strong, scalable platform in place, an organization is poised for success across many business needs. By defining responsible use of data in terms of ownership and privacy led by a Chief Data Officer (CDO), you can execute enterprise-wide data governance and management systems that can position your organization as a trusted steward of customer data.
2. Leveraging the power of Artificial Intelligence (AI) through the ethical use of data - Customer expectations are driving the demand for faster paced personalized experiences from organizations. With the expansion of AI, organizations are undergoing a digital transformation to help achieve these demands. However, the use of AI can present ethical implications, some of which may may be addressed by implementing a unified data platform. Some examples of these consequences include sourcing data in a compliant way, as well as understanding and maintaining lineage while anonymizing personal data and training models that are devoid of bias. With a focus on cataloging and reusing fundamental AI-related models and algorithms, the platform can serve as a powerful accelerator for the infusion of AI across all business workflows and the proliferation of AI throughout your organization. Such a platform can help streamline the use of AI for consistent, complete and trusted data flow, instilling confidence in its ethical use.
3. Achieving and sustaining ongoing compliance
The foundation for a valuable client relationship includes cultivating and maintaining trust. Compliance with the CCPA doesn’t translate to reaching and crossing a finish line. Instead, it represents a journey towards maintaining compliance on an ongoing basis. An important aspect of this ongoing process is the ability to demonstrate compliance when audited by the California Attorney General’s Office. Organizations are turning to new and innovative ways to be audit ready by relying on methodologies such as DataOps to create a business-ready analytics foundation with a centralized catalog that provides continuous, high-quality data across the business. A DataOps approach also indicates that compliance readiness is not just a responsibility of the privacy function or a CDO within an organization, but rather a shared responsibility amongst all data citizens. Lastly, the journey to compliance readiness for your organization will differ from where you stand today and how data moves within your business. Start today by taking inventory of which processes, risks, and existing gaps are in place and how you plan to address them in order to accelerate your readiness for the CCPA. Teaming up with a partner such as IBM, which offers modular solution building blocks can help in your readiness journey. Join IBM for a readiness assessment workshop to see how these building blocks map to your current state of readiness.
Remember, the CCPA is not just a regulation requirement for California residents’ personal data, but a comprehensive and thoughtful approach to help expand your business through a customer and data-centric transformation, no matter which privacy regulations apply.