Connect with us

Business

71 PERCENT OF ORGANISATIONS PLAN BOLD STEPS IN CREATING A CULTURE OF GDPR-COMPLIANCE: REWARDING EMPLOYEES WHO FOLLOW POLICIES, PENALISING THOSE WHO DON’T

Published

on

1 PERCENT OF ORGANISATIONS PLAN BOLD STEPS IN CREATING A CULTURE OF GDPR-COMPLIANCE: REWARDING EMPLOYEES WHO FOLLOW POLICIES, PENALISING THOSE WHO DON’T

The risk of losing benefits—including bonuses—for failure to comply with GDPR policies is a real possibility for employees at one in four organisations worldwide according to a study

 A study from Veritas Technologies, a leader in multi-cloud data management, has found that the General Data Protection Regulation (GDPR) has the potential to drive major cultural changes in businesses worldwide. Nearly three in four respondents plan to incentivise employees to improve data hygiene and take accountability for data compliance.

According to The Veritas 2017 GDPR Report, 88 percent of organisations around the world plan to drive employee GDPR behavioural changes through training, rewards, penalties and contracts. Almost half (47 percent) of businesses will go so far as to add mandatory GDPR policy adherences into employment agreements.

Failure to adhere to contractual guidelines could have significant implications. Nearly half (41 percent) of respondents also plan to implement employee disciplinary procedures if GDPR policies are violated.  A quarter of businesses (25 percent) would consider withholding benefits—including bonuses—from employees found to be non-compliant. At the same time, 34 percent say they will reward employees for complying with GDPR policies, as those employees are helping to promote proper data governance within their organisations, which can lead to better business outcomes. 

GDPR Driving Cultural Changes 

The report found that the vast majority of respondents (91 percent) admit that their organisation does not currently hold a culture of good data governance or GDPR compliance. However, as indicated above, companies understand that training is critical to driving cultural changes within their organisations.

The majority (63 percent of companies believe all employees must receive mandatory training on GDPR policies. However, respondents were also quick to identify the types of employees that should be trained: 86% believe the IT department must be prioritised, closely followed by business direction and strategy employees (85 per cent), business development/sales/channel employees (84 per cent), legal employees (82 per cent) and finance employees (82 percent).

“Data is one of the most critical assets within an organisation, yet many businesses are struggling to implement good data hygiene practices—and that often starts with employees,” said Mike Palmer, executive vice president and chief product officer, Veritas. “However, our research shows that businesses are getting serious about driving cultural change within their organisations.”

“As businesses consider deploying new processes and policies including training, rewards and updated contracts in support of GDPR compliance, more employees will understand the role they play in protecting their organisation’s data.  And, for employees that fail to take matters seriously, their bonuses and benefits may be negatively impacted.” 

Business Benefits of GDPR Compliance

While avoiding stringent regulatory penalties and fines is clearly a driver for improving an organisation’s compliance posture, many companies also see major business benefits that go well beyond avoiding such sanctions. The research shows that almost all businesses (95 percent) see substantial business benefits to achieving GDPR compliance, including better data management across the entire organisation.

Specifically, organisations believe that once they have advanced their compliance standing, they are able to reap the following benefits:

  • Improve data hygiene: 92 percent of respondents believe that their organisation will benefit from good data hygiene, which helps drive trust in the data and improve data quality, accuracy and policy enforcement
  • Generate more insights: 68 percent believe that they will gather stronger data insights about their businesses through GDPR compliance, which can play a key role in delivering better customer experiences
  • Save money: 68 percent think that their organisation will save money
  • Build brand reputation: 59 percent believe that data compliance will also strengthen their reputation or relationships with their customers
  • Protect data: 51 percent of organisations believe they will be able to protect data more efficiently
  • Increase revenues: 45 percent expect to reduce costs, increase revenue or market share with better data management. One in five (22 per cent) think it will ultimately help their organisations have more disposable cash, which can be used to invest in research and development (R&D) or to deploy additional resources to drive innovation 
  • Hire more people: A quarter (25 percent) say enhanced data compliance will allow the organisation to employ more staff to provide better customer service

“The GDPR will take effect on May 25, 2018 and will apply to any organisation—inside or outside the EU—that offers goods or services to EU residents, or monitors their behaviour,” added Palmer. “Companies that adhere to compliance not only reduce their risks of fines, but have an opportunity to offer customers better experiences through proper data management, which can impact customer loyalty, revenues and brand reputation.”

Veritas will also announce today significant technology advancements that can help companies comply with the GDPR. Specifically, Veritas announced a key integration between its Classification Engine and its eDiscovery Platform that will help customers quickly scan and tag data, using a pre-designed set of classification policies, to ensure that sensitive or risky information is properly managed and protected.

And, for information on how Veritas can help your organisation become GDPR compliant visit https://www.veritas.com/gdpr 

Methodology

Veritas commissioned independent technology market research specialist Vanson Bourne to undertake the research upon which this report is based.

A total of 900 business decision makers were interviewed in February and March across the US, the UK, France, Germany, Australia, Singapore, Japan and the Republic of Korea. The respondents were from organisations with at least 1,000 employees and could be from any sector. To qualify for the research, respondents had to be from organisations that do at least some business with the EU.

Interviews were conducted online using a rigorous multi-level screening process to ensure that only suitable candidates had the opportunity to participate.

Business

Euro zone business activity shrank in January as lockdowns hit services

Published

on

Euro zone business activity shrank in January as lockdowns hit services 1

By Jonathan Cable

LONDON (Reuters) – Economic activity in the euro zone shrank markedly in January as lockdown restrictions to contain the coronavirus pandemic hit the bloc’s dominant service industry hard, a survey showed.

With hospitality and entertainment venues forced to remain closed across much of the continent the survey highlighted a sharp contraction in the services industry but also showed manufacturing remained strong as factories largely remained open.

IHS Markit’s flash composite PMI, seen as a good guide to economic health, fell further below the 50 mark separating growth from contraction to 47.5 in January from December’s 49.1. A Reuters poll had predicted a fall to 47.6.

“A double-dip recession for the euro zone economy is looking increasingly inevitable as tighter COVID-19 restrictions took a further toll on businesses in January,” said Chris Williamson, chief business economist at IHS Markit.

“Some encouragement comes from the downturn being less severe than in the spring of last year, reflecting the ongoing relative resilience of manufacturing, rising demand for exported goods and the lockdown measures having been less stringent on average than last year.”

The bloc’s economy was expected to grow 0.6% this quarter, a Reuters poll showed earlier this week, and will return to its pre-COVID-19 level within two years on hopes the rollout of vaccines will allow a return to some form of normality. [ECILT/EU]

A PMI covering the bloc’s dominant service industry dropped to 45.0 from 46.4, exceeding expectations in a Reuters poll that had predicted a steeper fall to 44.5 and still a long way from historic lows at the start of the pandemic.

With activity still in decline and restrictions likely to be in place for some time yet, services firms were forced to chop their charges. The output price index fell to 46.9 from 48.4, its lowest reading since June.

That will be disappointing for policymakers at the European Central Bank – who on Thursday left policy unchanged – as uncomfortably low inflation has been a thorn in the ECB’s side for years.

Factory activity remained strong and the manufacturing PMI held well above breakeven at 54.7, albeit weaker than December’s 55.2. The Reuters poll had predicted a drop to 54.5.

An index measuring output which feeds into the composite PMI fell to 54.5 from 56.3.

But despite strong demand factories again cut headcount, as they have every month since May 2019. The employment index fell to 48.9 from 49.2.

As immunisation programmes are being ramped up after a slow start in Europe optimism about the coming year remained strong. The composite future output index dipped to 63.6 from December’s near three-year high of 64.5.

“The roll out of vaccines has meanwhile helped sustain a strong degree of confidence about prospects for the year ahead, though the recent rise in virus case numbers has caused some pull-back in optimism,” Williamson said.

(Reporting by Jonathan Cable; Editing by Toby Chopra)

Continue Reading

Business

Volkswagen’s profit halves, but deliveries recovering

Published

on

Volkswagen's profit halves, but deliveries recovering 2

BERLIN (Reuters) – Volkswagen reported a nearly 50% drop in its 2020 adjusted operating profit on Friday but said car deliveries had recovered strongly in the fourth quarter, lifting its shares.

The world’s largest carmaker said full-year operating profit, excluding costs related to its diesel emissions scandal, came in at 10 billion euros ($12.2 billion), compared with 19.3 billion in 2019.

Net cash flow at its automotive division was around 6 billion euros and car deliveries picked up towards the end of the year, the German group said in a statement.

“The deliveries to customers of the Volkswagen Group continued to recover strongly in the fourth quarter and even exceeded the deliveries of the third quarter 2020,” it said.

Volkswagen’s shares, which had been down as much as 2%, turned positive and were up 1.5% at 164.32 euros by 1158 GMT.

Sales at the automaker rose 1.7% in December, at a time when new car registrations in Europe dropped nearly 4%, data from the European Automobile Manufacturers’ Association showed.

Like its rivals, Volkswagen is facing several challenges due to the coronavirus pandemic as well as a global shortage of chips needed for production.

It also sees tough competition in developing electrified and self-driving cars. The merger of Fiat Chrysler and Peugeot-owner PSA to create the world’s fourth-biggest automaker Stellantis adds to the pressure.

Volkswagen said on Thursday it missed EU targets on carbon dioxide (CO2) emissions from its passenger car fleet last year and faces a fine of more than 100 million euros.

The group is expected to release detailed 2020 figures on March 16.

($1 = 0.8215 euros)

(Reporting by Kirsti Knolle; Editing by Maria Sheahan and Mark Potter)

Continue Reading

Business

Global chip shortage hits China’s bitcoin mining sector

Published

on

Global chip shortage hits China's bitcoin mining sector 3

By Samuel Shen and Alun John

SHANGHAI/HONG KONG (Reuters) – A global chip shortage is choking the production of machines used to “mine” bitcoin, a sector dominated by China, sending prices of the computer equipment soaring as a surge in the cryptocurrency drives demand.

The scramble is pricing out smaller miners and accelerating an industry consolidation that could see deep-pocketed players, many outside China, profit from the bitcoin bull run.

Bitcoin mining is closely watched by traders and users of the world’s largest cryptocurrency, as the amount of bitcoin they make and sell into the market affects its supply and price.

Trading around $32,000 on Friday, bitcoin is down 20% from the record highs it struck two weeks ago but still up some 700% from its March low of $3,850.

“There are not enough chips to support the production of mining rigs,” said Alex Ao, vice president of Innosilicon, a chip designer and major provider of mining equipment.

Bitcoin miners use increasingly powerful, specially-designed computer equipment, or rigs, to verify bitcoin transactions in a process which produces newly minted bitcoins.

Taiwan Semiconductor Manufacturing Co and Samsung Electronics Co, the main producers of specially designed chips used in mining rigs, would also prioritise supplies to sectors such as consumer electronics, whose chip demand is seen as more stable, Ao said.

The global chip shortage is disrupting production across a global array of products, including automobiles, laptops and mobile phones. [L1N2JP2MY]

Mining’s profitability depends on bitcoin’s price, the cost of the electricity used to power the rig, the rig’s efficiency, and how much computing power is needed to mine a bitcoin.

Demand for rigs has boomed as bitcoin prices soared, said Gordon Chen, co-founder of cryptocurrency asset manager and miner GMR.

“When gold prices jump, you need more shovels. When milk prices rise, you want more cows.”

CONSOLIDATION

Lei Tong, managing director of financial services at Babel Finance, which lends to miners, said that “almost all major miners are scouring the market for rigs, and they are willing to pay high prices for second-hand machines.”

“Purchase volumes from North America have been huge, squeezing supply in China,” he said, adding that many miners are placing orders for products that can only be delivered in August and September.

Most of the products of Bitmain, one of the biggest rig makers in China, are sold out, according the company’s website.

A sales manager at Jiangsu Haifanxin Technology, a rig merchant, said prices on the second-hand market have jumped 50% to 60% over the past year, while prices of new equipment more than doubled. High-end, second-hand mining machines were quoted around $5,000.

“It’s natural if you look at how much bitcoin has risen,” said the manager, who identified himself on by his surname Li.

The cryptocurrency surge is affecting who is able to mine.

The increasing cost of investment is eliminating smaller players, said Raymond Yuan, founder of Atlas Mining, which owns one of China’s biggest mining business.

“Institutional investors benefit from both large scale and proficiency in management whereas retail investors who couldn’t keep up will be weeded out,” said Yuan, whose company has invested over $500 million in cryptocurrency mining and plans to keep investing heavily.

Many of the larger players growing their mining operations are based outside of China, often in North America and the Middle East, said Wayne Zhao, chief operating officer of crypto research company TokenInsight.

“China used to have low electricity costs as one core advantage, but as the bitcoin price rises now, that has gone,” he said.

Zhao said that while previously bitcoin mining in China used to account for as much as 80% of the world’s total, it now accounted for around 50%.

(Reporting by Samuel Shen and Alun John; Editing by Vidya Ranganathan and William Mallard)

Continue Reading
Editorial & Advertiser disclosureOur website provides you with information, news, press releases, Opinion and advertorials on various financial products and services. This is not to be considered as financial advice and should be considered only for information purposes. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third party websites, affiliate sales networks, and may link to our advertising partners websites. Though we are tied up with various advertising and affiliate networks, this does not affect our analysis or opinion. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you, or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish sponsored articles or links, you may consider all articles or links hosted on our site as a partner endorsed link.

Call For Entries

Global Banking and Finance Review Awards Nominations 2021
2021 Awards now open. Click Here to Nominate

Latest Articles

Top 8 Tax Scams to Watch Out For 4 Top 8 Tax Scams to Watch Out For 5
Finance10 hours ago

Top 8 Tax Scams to Watch Out For

It is tax time and that means finding the best way to file your taxes and to get a refund...

CEO Hisham Itani and Resource Group Recognized in the 2020 Global Banking & Finance Awards® 6 CEO Hisham Itani and Resource Group Recognized in the 2020 Global Banking & Finance Awards® 7
Technology10 hours ago

CEO Hisham Itani and Resource Group Recognized in the 2020 Global Banking & Finance Awards®

Global Banking & Finance Review has awarded Hisham Itani the Chairman and CEO of Resource Group, Technology CEO of the...

Euro zone business activity shrank in January as lockdowns hit services 9 Euro zone business activity shrank in January as lockdowns hit services 10
Business13 hours ago

Euro zone business activity shrank in January as lockdowns hit services

By Jonathan Cable LONDON (Reuters) – Economic activity in the euro zone shrank markedly in January as lockdown restrictions to...

Volkswagen's profit halves, but deliveries recovering 11 Volkswagen's profit halves, but deliveries recovering 12
Business14 hours ago

Volkswagen’s profit halves, but deliveries recovering

BERLIN (Reuters) – Volkswagen reported a nearly 50% drop in its 2020 adjusted operating profit on Friday but said car...

Global chip shortage hits China's bitcoin mining sector 13 Global chip shortage hits China's bitcoin mining sector 14
Business14 hours ago

Global chip shortage hits China’s bitcoin mining sector

By Samuel Shen and Alun John SHANGHAI/HONG KONG (Reuters) – A global chip shortage is choking the production of machines...

Iran's oil exports rise 'significantly' despite sanctions, minister says 15 Iran's oil exports rise 'significantly' despite sanctions, minister says 16
Business15 hours ago

Iran’s oil exports rise ‘significantly’ despite sanctions, minister says

DUBAI/LONDON (Reuters) – Iran’s oil exports have climbed in recent months and its sales of petroleum products to foreign buyers...

Nissan to source more UK batteries as part of Brexit deal 'opportunity' 17 Nissan to source more UK batteries as part of Brexit deal 'opportunity' 18
Business15 hours ago

Nissan to source more UK batteries as part of Brexit deal ‘opportunity’

By Costas Pitas LONDON (Reuters) – Nissan will source more batteries from Britain to avoid tariffs on electric cars after...

Muted recovery for UK retailers in December ends worst year on record 19 Muted recovery for UK retailers in December ends worst year on record 20
Business15 hours ago

Muted recovery for UK retailers in December ends worst year on record

By David Milliken and Andy Bruce LONDON (Reuters) – British retailers struggled to recover in December from a partial coronavirus...

Chinese phone maker Honor partners with key chip suppliers after Huawei split 21 Chinese phone maker Honor partners with key chip suppliers after Huawei split 22
Business15 hours ago

Chinese phone maker Honor partners with key chip suppliers after Huawei split

By David Kirton SHENZHEN, China (Reuters) – Chinese budget phone maker Honor said on Friday it had signed partnerships with...

Oil down $1 as China COVID-19 cases trigger clampdowns 23 Oil down $1 as China COVID-19 cases trigger clampdowns 24
Business15 hours ago

Oil down $1 as China COVID-19 cases trigger clampdowns

By Noah Browning LONDON (Reuters) – Oil prices fell on Friday, retreating further from 11-month highs hit last week, weighed...

Newsletters with Secrets & Analysis. Subscribe Now