Why Preventing Data Theft Should be The Main Focus of Every Company

As technology evolves, businesses need to be more vigilant on data breaches that might significantly affect their operations or harm their reputation. In today’s times, one of the greatest concerns for every business is data security. Many businesses are investing more into security infrastructures that can keep their information safe by preventing cyberattacks.

Government organizations and big companies worldwide have reported major data breaches that threatened or actually crippled their systems. In every modern business, data theft prevention should be a top priority due to various reasons.

Data breaches are a common occurrence

A few years back, data breaches involving massive data were not common. The trend has recently changed as more companies become victims of data breaches. It happens at different levels of handling data.

It might happen in the cloud, when moving data from one endpoint to the next, or when there is a loophole in the IT system. Businesses should take greater precautions when sharing or transferring data from one point to the next and use secure transfer methods.

One of the best methods is to use Globalscape managed file transfer solutions when moving data. It is a platform that uses the latest technology such as HTTPS, FTPS, administrative controls, and automation to enable businesses to migrate data securely. The platform can migrate high volumes of data, sensitive data, or compliance-protected data.

Breaches prove to be expensive

An entrepreneur might think it is too expensive to put in place data security infrastructure in a business. The cost the business might incur due to a data breach can be a thousand times more than the cost of installing the systems. Data hacks, theft, and breaches can cause losses in a business and permanently damage its reputation. The company loses trust and might spend millions of money reimbursing clients.

Might cause permanent damage to brand image

Data breaches could lead to mistrust and a massive number of clients moving to the business’s competitors. Due to loss of trust, clients might stop buying the company products leading to huge losses.

It takes many years for a business to build its brand but once destroyed, it might never be the same again. Available data shows that the 2017 Equifax breach cost the company $87.5 million. It took over two years for the company to stand again.

Workers lose jobs

A major data breach could cost a company too much money such that it crumbles. If such a scenario happens, the jobs of its workers will be lost. Most workers cannot afford to lose a job at this time when everything seems tough.

The high-profile managers heading departments where major data breaches occur could also lose their jobs. It has happened before when top managers at Uber, Target, Equifax, and Yahoo lost jobs following major data breaches.

Expensive lawsuits

Court battles involving data breaches can lag for many years. Affected customers might decide to solve the matter through courts, while some might want to take advantage of the situation to demand compensation through court.

If the case is ruled in favor of the affected clients, the company pays legal fees plus damages. It would be in the best interest of a business to put in place every good measure that prevents data breaches.

Some downtimes can bring a business to a standstill

Ransomware attacks are common with hacking a business system so that it fails to operate until the hacker is paid. If there were no countermeasures in place, the business would remain at the mercy of the hacker until they receive their ransom. Downtime recovery can be a costly affair that businesses should avoid at all costs.