Securing Data in Outsourced Technical Operations for Cleveland Businesses

When outsourcing technical processes, you entrust a third-party vendor with access to your information technology (IT) systems and sensitive data. With Forest City’s booming tech scene, local businesses have become attractive targets for cybercriminals and fraudsters.

Thus, your Cleveland business must ensure strict data privacy and security measures when outsourcing technical support.

This article explores how you can protect sensitive business and IT data when engaging in this practice. It also offers tips for assessing a call center service provider in Cleveland, Ohio, implementing effective measures, and handling data breaches.

Data privacy in the context of technical support outsourcing

Business process outsourcing (BPO) for technical support means delegating sector-related tasks to a third-party provider. Some outsourcing firms offer contact center as a service (CCaaS) solutions inclusive of IT support.

In this context, data privacy refers to the protection of sensitive and confidential information, including:

• Customer information – names, addresses, contact details, and purchase history
• Financial data – credit card numbers, bank account details, billing information
• Intellectual property – trade secrets, source code, proprietary designs
• Internal data – network configurations, server logs, employee information

Strong data privacy ensures this information is collected, stored, and disclosed responsibly. It encourages respecting individual and business privacy rights and complying with relevant regulations.

Data privacy regulations in Cleveland

While Cleveland does not have specific data privacy laws, several regulations still apply to local businesses outsourcing tech support. Some of the federal and state codes Cleveland organizations must comply with include:

• Federal Trade Commission (FTC) rules
• Children’s Online Privacy Protection Act (COPPA)
• Ohio Data Security Breach Notification Act
• Ohio Financial Institution Law
• Ohio Revised Code, Chapter 137
• Other laws from the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA)

International data transfer laws, such as the General Data Protection Regulation (GDPR),  also apply to Cleveland-based businesses that outsource technical support to providers outside of the U.S. 

Data privacy concerns in technical support outsourcing

Offloading the IT help desk and other processes to an external provider entails transferring a portion of your business’s data and its control. Sharing sensitive information with your BPO provider and its team introduces several risks, including:

• Data breaches
• Data loss
• Vendor lock-in
• Insider threats
• Unauthorized access
• Further subcontracting of data
• Loss of control and oversight
• Non-compliance with regulations
• Mishandling of data due to cultural differences

Negative impacts of non-compliance and data privacy violations

Failure to comply with relevant data privacy laws puts customers’ sensitive information at risk and has severe and multifaceted implications. Non-compliance can impact your Cleveland business financially, reputationally, operationally, or legally. 

Here are examples of negative impacts:

• Financial damages. Regulatory bodies can impose hefty fines for data breaches and non-compliance. Depending on the law and the severity of the violation, penalties can range from thousands to millions of dollars. Compensation costs, legal fees, and remedial measures are also expensive, adding to your financial burden.
• Reputational impact. Your Cleveland business’s brand, profitability, and employee morale may suffer due to data breaches and privacy concerns. Whether you outsource technical support or not, its impact is severe. Negative media coverage can lead to the erosion of customer and employee trust and a loss of market share.
• Operational disruptions. There is no doubt that data breaches and investigations can disrupt business operations, leading to lost productivity. Your internal team might also develop a fear of future cyberattacks and compliance burdens, which can stifle innovation and initiatives involving data collection and sharing.
• Legal consequences. Customers and shareholders affected by data breaches may file lawsuits against your company, seeking compensation. Company members can face criminal charges depending on which law they violate and the severity of their offense. Regulatory bodies might even suspend or revoke your business’s license.

Cleveland businesses’ outsourced technical support data privacy guide

As Cleveland grows into a tech hub, more cybercriminals target local businesses in various sectors. Ohio experienced numerous data breaches in 2022, affecting over 275,000 locals. Another example is when the cashing systems and user accounts of the Ohio Lottery in Cleveland were compromised in December 2023.  

Thus, robust data privacy measures are crucial. Effective implementation is critical for local businesses, especially with outsourced technical support, since they entrust data to their provider.

The next section discusses the standard steps for ensuring data security when outsourcing technical support.

1. Thoroughly assess your provider’s data privacy policies

With the growing popularity of artificial intelligence (AI), cybercriminals are finding new and creative ways to steal data. They can now easily avoid typical misspellings and grammatical errors found in phishing schemes with AI.

While most IT outsourcing providers have security measures, your chosen partner must employ sophisticated strategies to match increasingly complex threats. This is a preventative step to protect your Cleveland business against evolving data breaches and cybercrimes. 

Your Cleveland business should assess the provider’s data privacy policies before outsourcing technical support. Asking a BPO provider these key questions can help you spot potential red flags and avoid data security risks:

• What security certifications does the provider hold?
• How do they conduct employee training on data security and privacy?
• How well do their teams understand relevant regulations?
• What data encryption methods do they use?
• What are their data, network, and endpoint security measures?
• What are their data breach notification and incident response plans?
• What is their data retention policy?
• What are their transparency and communication strategies?
• How do they dispose of data securely?
• How will they monitor and audit your data?
• What protection clauses are included in their standard contract?

2. Implement effective data privacy measures and best practices

Outsourcing is a partnership, so you must also have robust data privacy strategies. After choosing a provider, create a service-level agreement (SLA) that specifies your data security requirements and protects your best interests. Learning how to write an SLA is crucial, as the contract can make or break your initiative.

Your Cleveland business must specify data privacy terms in the SLA for the outsourced technical support provider to follow. When integrating IT BPO teams, work with your provider to develop and establish sophisticated security measures, such as:

• Data encryption. Using shared encryption keys with strong key management practices prevents unauthorized access while maintaining control over decryption capabilities.
• Access controls. Monitoring access logs and user activity within the outsourcing environment helps detect suspicious behavior and potential breaches.
  
• Data transfer. Use secure file transfer protocols (SFTP) or virtual private networks (VPNs) to transfer data securely to the BPO provider. These tools reduce the risk of identification in the event of a breach or cyberattack.
  
• Regular audits. Regular penetration testing of your internal systems and the BPO team’s environment allows you to identify and address vulnerabilities.
• Data privacy training. Instruct internal and BPO teams on privacy policies, procedures, and incident response protocols. Ensure BPO teams receive thorough training in handling your sensitive data securely and responsibly.

Your Cleveland business should also build a culture of accountability while implementing these data privacy measures for outsourced technical support. You can foster this environment by specifying certain terms in your SLA, including data protection clauses that outline responsibilities, liabilities, and notification procedures for data breaches.

3. Handle data breaches with accountability

Data breaches, cyberattacks, and cyber threats are complex and require immediate action. An effective response can minimize their impact and hold responsible parties accountable while rebuilding trust and protecting your reputation.

When faced with a data privacy issue, follow these steps:

• Contain the breach. Identify the source and scope of the attack as quickly as possible. Then, isolate affected systems and data to prevent further exposure and securely store compromised assets while preserving evidence.
  
• Assess the impact. Determine the type of data breached and the number of individuals affected. Evaluate the potential harm it caused, including financial losses, identity theft, or reputational damage.
  
• Notify individuals. Following relevant data privacy regulations, keep affected parties informed, whether customers, employees, or shareholders. Provide clear instructions on how they can protect themselves, such as changing passwords.
  
• Engage necessary parties. Involve your BPO provider in the investigation and remediation process. Inform law enforcement agencies, if required, and engage legal counsel to understand your obligations and liabilities.
  
• Report the breach. Inform relevant regulatory bodies, such as those in charge of data protection, finance, or healthcare, in accordance with applicable laws. This step builds transparency and trust with customers and stakeholders.

At the same time, consider legal and public relations factors to ensure your and your provider’s accountability. These include regulatory compliance, legal liabilities, and communication transparency. 

The bottom line

Despite its many benefits, including data security, technical support outsourcing poses data privacy risks. These issues can easily tarnish the reputation of Cleveland businesses, especially with their growing focus on technology.

Fortunately, you can easily mitigate these risks and avoid violations that cause financial, legal, operational, and reputational harm. Assessing your BPO providers’ policies, developing and implementing robust measures, and handling data breaches with accountability are keys.

Are you a Cleveland business looking for a reliable partner? Let’s connect to discuss your data privacy and outsourced tech support needs. Unity Communications prioritizes its clients’ data privacy and security.