Do You Know the Costs of Non-Compliance?

Do You Know the Costs of Non-Compliance?

What comes to mind when you read the words “regulation” and “compliance?” Complex? Costly? Endless? Burdensome? Perhaps, and especially so to your IT team.

Regulatory compliance is a responsibility that depends on your key providers as much as your own practices. Before organizations started regularly partnering with cloud and co-location providers, IT leaders were not certain that they could maintain security, privacy, and compliance if they relied on outside providers for their critical technology operations.

The cost of noncompliance can be significant, if not crippling and for businesses in healthcare, financial, and retail industries especially, ensuring the compliance practices of their key partners is instrumental.

What are the most important compliance standards related to data centers, how does noncompliance affect your organization, and what are all of the costs associated with such a failure?

The Standards of Data Center Regulatory Compliance

The two most important compliance standards that impact data centers are Service Organization Control (SOC) 2 and Statements on Standards for Attestation Engagements (SSAE) 18. Data centers with these certifications are known to meet the highest standards of information security.

Payment Card Industry Data Security Standards (PCI DSS) and HIPAA too is an incredibly important compliance measure. Data centers that pay close attention to the highest standards and offer top level compliance should be favored to protect your company.

The Importance of Compliance

Beyond the cost of noncompliance, a key factor for any business is ensuring your compliance has many other key benefits.

For starters, maintaining compliance is a product of keeping up with changes and innovation. It creates an opportunity to re-evaluate your systems and internal innovation. That process, which should include compliance audits, will give you valuable insight and analytics that empower you to make informed decisions regarding your security, systems integrations, and current and future needs. With more informed decision making, you’ll be able to grow while maintaining stability.

The total costs of a breach or leak stem from a number of different sources, of course. Breaches often incur attorney’s fees and accumulate costs related to the investigation, response, notifications to regulatory organizations, victim identification, public response, victim outreach, and internal and external communication campaigns.

Some of the most critical costs of noncompliance are the indirect expenses – from downtime and the operational and productivity loss to the reputational damage and loss of future business.

Is Your Data Center Compliant?

According to Cisco’s 2019 Data Privacy Benchmark Study, those companies that moved to being compliant, benefited from privacy process, as well, good data center hygiene habits. 

Choose a data center provider that will safeguard your assets, at rest and in transmission.

Learn how to take inventory of your data centers resources to stay ahead of compliance in 2019 with the Correlata CorreAssess platform now.