Last Updated on January 31, 2023 by Ossian Muscad
Privacy Impact Assessments (PIAs) are essential to privacy and data protection. They help organizations identify, assess, and mitigate privacy risks associated with a particular system or process. In addition, PIAs can evaluate the privacy implications of any change to existing systems or processes and new projects involving personal information.
In this guide, we’ll explore privacy impact assessments and how they work—including when an organization should perform one and how it can do so effectively. By understanding these critical elements of privacy compliance, your organization can ensure that its operations meet all relevant privacy requirements while still achieving its goals.
What is a Privacy Impact Assessment?
A privacy impact assessment, or PIA, is a comprehensive review of how an organization collects, uses, stores, and discloses personal information. It includes an extensive analysis of privacy-related risks associated with changes to existing systems or processes or proposed new ones. A PIA aims to identify privacy risks and determine appropriate ways to mitigate them.
By conducting a privacy impact assessment, organizations can ensure that their data privacy practices align with applicable privacy laws and regulations. This is especially important as privacy regulations become increasingly stringent around the world.
How Does a Privacy Impact Assessment Work?
A privacy impact assessment typically involves three steps: 1) assessing privacy risks, 2) identifying mitigation measures, and 3) implementing privacy safeguards. Let’s look at each step in more detail:
- Assessing privacy risks: This is the first step in a PIA and involves evaluating the privacy risks associated with a particular system or process. To do this, organizations must consider how personal information is collected, used, stored, and disclosed and the privacy-related risks associated with each stage.
- Identifying mitigation measures: Once privacy risks have been identified, organizations should determine what measures need to be taken to mitigate them. This could include implementing additional privacy safeguards or controls, revising existing policies and procedures, or conducting privacy training for staff.
- Implementing privacy safeguards: Once privacy risks have been identified and mitigation measures established, organizations should implement the necessary privacy safeguards or controls. This could involve implementing other privacy technologies or tools, revising existing processes and procedures, or conducting privacy training for staff.
When Should an Organization Conduct a Privacy Impact Assessment?
Organizations should conduct privacy impact assessments whenever they make changes to existing systems or processes that involve personal information, as well as for any new projects that involve collecting, using, storing, and disclosing personal data.
Organizations should also consider conducting privacy impact assessments if privacy-related complaints are received from users or customers; when a privacy breach occurs; or when privacy laws, regulations, or standards change.
Privacy Impact Assessment Vs. Data Protection Impact Assessment: What’s the Difference?
Often, privacy impact assessments and data protection impact assessments (DPIAs) are used interchangeably, but there is a clear difference between the two:
Privacy Impact Assessments (PIAs) are focused explicitly on privacy-related risks, while DPIAs take a broader look at all types of data protection-related risks. When launching a new business, introducing a product, or acquiring an existing one, PIA gives organizations the power to prioritize and secure privacy from the very start.
Conversely, Data Protection Impact Assessments (DPIAs) must be performed continuously. It is mandated by the European Union General Data Protection Regulation (GDPR) that all organizations, no matter their size or sector, must conduct privacy assessments and privacy impact assessments regularly.
So while privacy impact assessments and data protection impact assessments are essential tools for organizations to understand privacy-related risks, privacy impact assessments focus more on privacy specifically.
Examples of Privacy Impact Assessment
The following are some examples of privacy risks that organizations should consider when conducting privacy impact assessments:
- Data privacy compliance: Organizations should use privacy impact assessments to evaluate the privacy risks associated with new systems or processes and ensure that they comply with privacy laws, regulations, and standards.
- Data privacy safeguards: Organizations should use privacy impact assessments to identify privacy risks and determine what safeguards need to be implemented to mitigate them.
- Data privacy training: Organizations should use privacy impact assessments to identify privacy risks and determine if privacy training should be conducted for staff.
- Data privacy policies: Organizations should use privacy impact assessments to evaluate privacy risks and determine if existing privacy policies need to be revised.
How To Conduct a Privacy Impact Assessment
Organizations should take the following steps when conducting privacy impact assessments:
Conduct a Threshold Assessment
Organizations should conduct a privacy threshold assessment to determine if a privacy impact assessment is necessary. When conducting the privacy threshold assessment, organizations should consider privacy-related risks and benefits of the project or system.
Identify Privacy Risks
After conducting the privacy threshold assessment, organizations should identify privacy-related risks associated with the project or system. This includes examining privacy laws, regulations, and standards, reviewing privacy policies and notices, and conducting privacy impact assessments for existing systems.
Develop a Risk Mitigation Plan
Organizations should develop privacy risk mitigation plans to reduce privacy risks. This can include privacy training for staff, implementing privacy safeguards, revising privacy policies and privacy notices, and monitoring compliance.
Monitor Compliance
Organizations should monitor privacy compliance on an ongoing basis. This can include conducting privacy impact assessments at regular intervals, issuing privacy notices and privacy policies when necessary, and ensuring privacy safeguards are in place. That way, privacy-related risks are identified and addressed in a timely manner.
Review and Update
Organizations should review privacy policies, notices, safeguards, and risk mitigation plans regularly to ensure they are up-to-date. This can ensure privacy remains a top priority and that any privacy-related risks are identified and addressed. At the same time, privacy policies and notices should be revised.
Conduct PIAs Using a Low-Code Solution
If your organization wants to make privacy impact assessments easier and faster, it’s worth considering a low-code privacy assessment solution. These solutions enable organizations to quickly, easily and accurately build privacy impact assessment plans.
Low-code privacy assessment solutions provide tools for creating privacy impact assessment templates without the hardship of coding other complicated processes. DATAMYTE is a quality management platform with low-code capabilities.
The DataMyte Digital Clipboard, in particular, is a low-code workflow automation software that lets you create and implement privacy impact assessment templates. With its intuitive drag-and-drop interface and powerful privacy impact assessment features, DataMyte can help you streamline privacy compliance processes.
With DATAMYTE, you have an all-in-one solution for creating and implementing Privacy Impact Assessment templates. Book a demo today to learn more about how our privacy impact assessment solution can help you streamline privacy compliance processes.
Conclusion
Whatever business you are engauged in, privacy will always be a priority. Privacy impact assessments are essential to ensure privacy risks are identified and addressed in a timely manner. This guide should give you an idea of how privacy impact assessments work and how to conduct them. And with the help of DATAMYTE’s low-code solutions, you can be sure that your privacy compliance processes are efficient and effective.
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