Data has become an invaluable asset for individuals, businesses, and governments in today’s digital age. However, with the increasing reliance on digital information comes a growing threat: data leaks. Such incidents, where sensitive information is exposed to unauthorized parties, can have harmful consequences.
Data leaks can take many forms, from small accidents to coordinated cyber attacks. Such loss of information can be categorized in:
- Personal Identifiable Information (PII)
- Financial records (bank balance, stocks etc)
- Health data (diseases)
- Corporate data (salary info)
- Government classified information (laws, criminal office information)
- Personal chats, images, and reputation-damaging information (Whats App chats and emails)
How does it happen?
The causes of data leaks vary.
Human error is a common one, with employees accidentally sharing sensitive information or falling victim to phishing schemes which could be done via emails or clicking on links.
Outdated software, misconfigured databases, and weak security protocols can leave data exposed to cyber criminals. Insider threats pose another risk, whether from disgruntled employees seeking revenge or individuals selling data or business secrets.
The consequences:
For businesses, the immediate financial impact can be severe, which includes costs related to investigation, remediation, and potential legal fees. However, the long-term reputational damage can be even more long-lasting and costly.
Loss of customer trust, negative media coverage, and a tarnished brand image can lead to decreased market share and difficulty attracting new clients or partners.
For example, back in 2021, Domino’s data was leaked. This led to 18 crore orders’ information being leaked on the dark web. This included customer details such as phone numbers, addresses, modes of payment, and much more sensitive information exposed on the internet.
A similar data leak also happened for Boat India, in 2024. Customer information was leaked for scammers to use in incriminating ways.
For individuals, identity theft is a common outcome, with leaked personal information used to open fraudulent accounts or conduct unauthorized transactions. The repercussions can be immediate financial losses, affecting credit scores and more. Moreover, the emotional toll of having one’s privacy violated is stressful and anxiety-inducing.
How can it be prevented?
For businesses, a comprehensive approach to data security is essential, starting with robust technical measures. This includes implementing strong encryption protocols, regularly updating and patching systems, and employing firewalls and cyber attack detection systems.
Additionally, employee training and awareness programs are important. Organizations must train employees to protect sensitive information and not fall prey to phishing attempts. Additionally, they should:
- Implement security measures
- Conduct regular security checks
- Provide employee training
- Enforce strict access control policies
- Manage third-party risks and data sharing
- Develop and test incident response plans
Access control is another critical aspect of data leak prevention. It should be ensured that individuals only have access to the data necessary for their specific roles. Access control and removal of access from all areas of ex-employees is an effective practice for data security. For example, a junior employee doesn’t necessarily need access to the organization’s spending and financial goals.
Lastly, third-party risk management is crucial. Many businesses deal with vendors, agencies, and freelancers. Such partners should be carefully vetted, ensuring they adhere to stringent security standards. This extends to cloud service providers, who often handle vast amounts of sensitive data on behalf of their clients.
If data leaks happen:
Despite best efforts, no system is immune to breaches. Even large corporations and governments face them, for example, Apple, Indian railway, etc. Therefore, having a well-defined incident response plan is crucial. Outline clear procedures for detecting, and mitigating data leaks when they occur. Also include protocols for communicating with affected parties, regulatory bodies, and the public, as transparency and swift action can help mitigate damage in the aftermath of a leak. For such incidents, press releases work best and keep everyone involved informed.
Conclusion
Organizations must stay informed about emerging threats and continuously update their security practices to stay ahead of potential attackers. By practicing good cyber security habits, such as using strong passwords, being cautious about sharing personal information online, and staying alert to potential phishing attempts, we can all contribute to a more secure digital ecosystem. Another great practice is to safeguard your emails and documents. Opt for software that’s secure and breach-free.
Our recommendation is Contacto and DocuVault, systems built on the Salesforce platform and hence are easy to use and have top-notch security measures in place as well.
