How to ensure data security in IT outsourcing?

Here are some important steps that you can take to safeguard your information from potential threats.
Infolet
24.01.2024

IT outsourcing has become an essential part of modern business. Outsourcing allows companies to focus on their core competencies and increase operational efficiency. However, with the benefits of delegating IT tasks also come new challenges, especially data security-related ones.

In this article, we will discuss the following:

  • Why data protection is essential,
  • Key steps you can take to ensure information security when using the services of an outsourcing company,
  • Several data encryption tools.

Why is data security essential?

Data protection should be a critical issue for companies. Its importance is constantly growing due to technological progress and emerging threats.

Companies protect data because:

  • They care about the privacy of customers and business partners,
  • They want to stay competitive,
  • Data security is enforced by law (e.g. personal data protection – GDPR in the European Union),
  • They want to prevent reputational damage,
  • Data is a company asset,
  • They want to meet industry standards.

How to keep your company's data safe?

  1. Choosing a reliable service provider

Choosing a service provider is crucial to ensure data security when outsourcing IT. Before making a decision, it is worth conducting an in-depth analysis of the outsourcing company’s reputation. Check references from other customers and experience in the market. Choosing a reputable partner with solid security practices provides a solid foundation for data protection.

  1. Signing a contract with clearly defined security clauses

The outsourcing agreement should include detailed regulations regarding data security.

The key is to define:

  • What steps will the supplier take to protect your information?
  • What are the supplier’s obligations in the event of a security breach?
  • What penalties are provided for failure to comply with the provisions of the contract?
  1. Data encryption

When transmitting and storing sensitive data, it is worth using encryption technology. Data encryption significantly hinders access by unauthorized persons, even if the data ends up in the wrong hands. The outsourcing service provider should use current encryption standards to increase information security.

  1. Data access monitoring

It is crucial to systematically monitor data access and follow the “least privilege” principle. The “least privilege” principle states that the users, including the outsourcing company employees, should have access only to the data necessary to perform their duties. Regular reviews and updates of eligibility are vital to minimizing risk.

  1. Regular security audits

Security audits are an effective tool for assessing the effectiveness of security measures. Especially in the case of cooperation between an outsourcing company and a client, it is vital to implement and regularly check all procedures related to data security. Audits verify whether procedures work and whether they comply with applicable standards.

  1. Employee education

The most crucial element in ensuring data security is people. Employees should be aware of the importance of ensuring data security. Regular cybersecurity training, keeping a clean desk and changing passwords help minimize the risk.

What tools can ensure data security?

Data encryption is a crucial element of privacy and information security. There are many tools available on the market today that offer effective encryption solutions. These tools are suitable for both businesses and individuals who are looking for an efficient solution.

What should you consider before choosing a specific data protection tool?

  • Individual company needs
  • Operating systems used in the company
  • Additional organizational requirements

Companies working with large amounts of sensitive data should use professional solutions offered by security providers.

What are the essential components that should be included in an outsourcing agreement?

The outsourcing agreement should define both parties’ conditions, rights and obligations. Customizing the contract according to our company’s specific needs and conditions is essential. When signing a cooperation agreement with an outsourcing company, in addition to standard elements such as introduction, scope of the contract or financial conditions, it is also worth taking into account:

  • scope of liability for possible damage resulting from incorrect performance of the task,
  • information confidentiality clause,
  • data security procedures,
  • the right to monitor and check the quality of services provided.

The outsourcing agreement should be clear, precise and fair. Before signing it:

  1. Read all provisions carefully and consult a lawyer if necessary.
  2. Ask about anything that worries you.
  3. Ensure you understand the contract’s terms, as does the outsourcing company.

 

Tools to help keep your data safe

Below are some suggestions for tools you might consider.

  • VeraCrypt:

For individual users and companies. VeraCrypt is free and open-source software that allows you to encrypt disks and partitions and create encrypted data containers. It is available for various platforms, including Windows, macOS and Linux.

  • BitLocker:

For Windows users. BitLocker is a tool built into Windows that provides full disk encryption. It is easy to use and available in Professional and Enterprise versions.

  • FileVault:

For macOS users. FileVault is a tool built into macOS that enables full-disk encryption. Provides adequate data protection on M. computers

  • Symantec Endpoint Encryption:

For companies. Symantec Endpoint Encryption is a comprehensive enterprise encryption solution. This tool provides advanced management features, including remote data deletion and activity auditing.

  • AxCrypt:

For individual users and small businesses. AxCrypt is a file encryption tool that allows you to share encrypted files with other users easily. It is available for Windows, macOS, Android and iOS platforms.

  • GNU Privacy Guard (GPG):

For individual users and developers. GPG is a free tool for encrypting emails, files and communications. It is widely used in programming because it works well with many email clients.

Summary

IT outsourcing is a strategic tool for many companies, but effective data security management requires careful preparation and preventive actions. Data security threats are fundamental in today’s dynamically changing world of technology. A policy of changing passwords is a minimum that, in many cases, is needed. Choosing the right supplier, clear contracts, effective technologies and employee awareness are the key elements that help maintain high data security in the IT outsourcing environment. At Infolet, we have developed several solutions that affect our services’ security and high quality. A thoughtful information protection approach will benefit the client and the outsourcing service provider.

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