Business Ethics in the Digital Age

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General Data Protection Regulation (GDPR)

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Business Ethics in the Digital Age

Definition

The General Data Protection Regulation (GDPR) is a comprehensive data protection law in the European Union that was enforced on May 25, 2018. It sets strict guidelines for the collection and processing of personal information of individuals within the EU, emphasizing transparency, accountability, and the rights of data subjects. GDPR impacts various sectors by promoting corporate accountability in data handling, and it influences how technology interacts with privacy, security, and environmental concerns.

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5 Must Know Facts For Your Next Test

  1. GDPR applies to all organizations operating within the EU, as well as those outside the EU that offer goods or services to EU residents.
  2. Organizations must appoint a Data Protection Officer (DPO) if they process large amounts of personal data or sensitive data.
  3. Under GDPR, individuals have the right to access their data, request corrections, and demand deletion under certain circumstances.
  4. Violations of GDPR can result in hefty fines of up to €20 million or 4% of the annual global turnover, whichever is higher.
  5. GDPR mandates that organizations implement appropriate technical and organizational measures to ensure data protection by design and by default.

Review Questions

  • How does GDPR promote corporate transparency and accountability in data handling?
    • GDPR promotes corporate transparency by requiring organizations to clearly inform individuals about how their personal data is collected, used, and stored. Companies must also demonstrate accountability by keeping detailed records of their processing activities and ensuring compliance with data protection principles. This heightened level of transparency fosters trust between businesses and consumers, ultimately leading to better business practices.
  • Discuss how GDPR impacts the use of keylogging and screen capture software in organizations.
    • The use of keylogging and screen capture software is significantly impacted by GDPR since these tools can collect sensitive personal data without proper consent. Organizations must ensure that any monitoring software complies with GDPR's regulations regarding data collection and user consent. This means implementing strict guidelines on how such software is deployed, ensuring users are informed about its use, and obtaining explicit consent when necessary to protect individual privacy rights.
  • Evaluate the challenges organizations face in balancing security measures with privacy rights under GDPR.
    • Organizations often struggle to balance robust security measures with individual privacy rights mandated by GDPR. While implementing strong security protocols is essential for protecting data from breaches, excessive surveillance or intrusive security practices can infringe upon user privacy. Organizations must navigate this tension by adopting a risk-based approach that respects individual rights while safeguarding sensitive information. This requires ongoing assessment and adjustments to security strategies to ensure compliance while effectively managing risks associated with data processing.

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