Several data-driven startups have gained rapid growth in the past few years. Their business development, innovation and thrive to hustle in the commercial space has made them significant technology vendors in the market. However, being a data-oriented firm, it is mandatory for them to look after their data protection policies and regulations as well.
As the incidents of social media manipulation by foreign governments, unethical data gathering and the growing impact of technology in daily life are increasing day by day, companies must incorporate protective measures since the beginning, especially startups.
However, experts believe that regulation can be particularly hard on startups, but they need to take such steps today to benefit their businesses as they grow. They need to be prepared with the following practices that can totally make sense to their early regulation adoption initiative.
For better regulation, there is an utmost need for security updates. Specifically, the businesses that develop apps and release through app stores, should be already working on this area. Updating the system is beneficial for both customers and vendors to deliver ongoing value to customers and provide a reason to maintain contact.
For a better system update, businesses need to think ahead of the possibilities and provide their customers with a simple and effective means for updating apps and devices through internet device “inspection” standards. This will make it simple and easy for customers to see that what they’re updated with. This will subsequently make the relationship between a business and customers healthier and build brand loyalty that is necessary for start-ups in particular.
The regulations put forward by GDPR and others have almost guaranteed the wide implementation of regulatory norms that can actually benefit businesses. Through this, start-ups can provide their customers the ability to see their data and delete it which can make the organizations more responsive to this regulatory push and serve their customers better.
Any startups’ inability to curb data breach and a botched response can truly destroy the company. Therefore, in case of being a victim of a data breach, as the regulations suggest, fast notification is required. This means looking ahead for future regulation, growing companies should stay prepared accordingly.
Christopher Budd, former Microsoft employee, in one of his articles, cited that, “Outside of the current and likely future direction of regulation, I can attest that speed of response, especially around communication, is the single most important factor in how the total situation ultimately plays out. If you don’t have a data breach response plan already, now is the time to start building it. Especially since. If/when you need it, you can’t build it.”
He further said that for startups it is quite easy to follow the old path of hostility to regulation but today it won’t work: it’s already happening. He believes that by accepting the inevitability of regulation and working towards smarter, more reasonable regulation, startups and the technology industry can be a partner to shape better outcomes.
According to him, instead of looking at regulation as a hindrance, startups can look at it as a floor that governs everyone, and use that as a way to pull past and shine in contrast to their competitors.