As consumer purse strings tighten and physical commerce becomes increasingly unreliable, organizations are striving to emerge successful in the new reality and not fall behind their competitors. There’s a growing need to become data-led and manage the exploding volume, depth and accessibility of data in the most cost-effective way.
The answer may lie with building the right ‘data compound.’ But, what does the perfect ‘data compound’ look like? It’s a question more organizations are grappling with today. Their goal? To ‘formulate’ a precise ‘mix’ of personal data assets that will unlock new opportunities for insight-based decision-making, innovation and growth — while ensuring that privacy, security, ethics and compliance concerns are effectively managed.
In A balancing act: Privacy, security and ethics, we explore how organizations are using consumer data and data-led decision-making to build the right ‘data compound’ to help drive growth. However, if the wrong blend of data ‘elements’ are used, it can prove ‘combustible’ — even ‘toxic’ — to an already fine balancing act between consumer privacy and regulatory scrutiny regarding the appropriate use of personal data.
This article was originally published on kpmg.com (https://home.kpmg/xx/en/home/insights/2020/11/a-balancing-act-privacy-security-and-ethics.html) by Mark Thompson, Global Privacy Lead, KPMG in the UK.
As today's data ecosystem expands exponentially, organizations have plenty to gain in their pursuit of data-driven business models. With the proliferation of cloud computing, the globalization of business processes and supply chains, and the ubiquity of mobile devices and social media, valuable consumer data is being collected, analyzed and shared at unprecedented levels. At the same time, the rapid emergence of digital labor, artificial intelligence and predictive capabilities is increasing the potential of data-driven organizations to embrace digital disruption, deliver new value to customers and reshape business for the digital world.
But set against the backdrop of growing privacy, security, ethics and compliance concerns, using your consumer data wisely is critical. The work of KPMG firms with clients reveals that many businesses are recognizing the challenges in designing a balanced data compound — and many still remain unsure about how to strategically manage data assets, mitigate liabilities and take decisive action.
KPMG believes that placing trust at the center of every initiative involving personal data use is vital to turning potential risks into historic new opportunities for differentiation and growth. Trust in the digital era goes beyond the quality of an organization's brand, products, services and people. It's also about the trustworthiness of data use and management. The challenge ahead is to prove that businesses are truly protecting the customer data they are amassing to create value and drive success.
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