Do you need GDPR in your company?
Since the introduction of GDPR in May 2018, more than six years have passed, yet many companies still struggle to fully comply with its requirements. Although personal data protection rules have become the standard across the European Union, interpretation issues continue to arise in practice, and penalties for violations keep increasing. What are the key GDPR requirements for businesses, how can they be effectively implemented, and what consequences can result from non-compliance?
Why is GDPR Important?
GDPR, i.e. Regulation (EU) 2016/679, was introduced in response to the growing amount of data companies collect about their customers. It requires businesses to protect personal data and imposes obligations designed to safeguard individuals' privacy.
Main objectives of GDPR:
- Protect the fundamental rights and freedoms of individuals regarding the processing of personal data;
- Increase individuals' control over the information that companies collect and process;
- Harmonize data protection regulations across the European Union.
What Obligations Does GDPR Impose on Companies?
Any company that processes personal data—from names and surnames to email addresses—must meet specific requirements:
- Record data processing activities – Many organizations are required to maintain documentation regarding the purposes, scope, and methods of data processing;
- Ensure legal compliance – Companies must process personal data in accordance with GDPR and only when they have an appropriate legal basis for doing so;
- Respect individuals' rights – Data subjects have specific rights that companies must honor;
- Report data breaches – In certain cases, companies must notify the relevant supervisory authority of a personal data breach within 72 hours;
- Conduct Data Protection Impact Assessments (DPIAs) – In high-risk situations, companies are required to assess the potential negative consequences of data processing activities.
What Penalties Can Be Imposed for Non-Compliance?
Failure to comply with GDPR can result in substantial financial penalties. The maximum fines can reach up to €20 million or 4% of a company's annual global turnover, whichever is higher.
In 2019, the French supervisory authority (CNIL) fined Google €50 million for improper management of users' personal data.
GDPR Violation – Google Fined €50 Million. Source: kancelarierp.pl/rodo-google-ukarany-50-mln-euro-za-naruszenie-danych-osobowych/
Does Every Company Need to Implement GDPR?
Any company that processes personal data must comply with GDPR. This applies to both small businesses and multinational corporations. Even companies that are not based in the EU must comply if they offer services to EU citizens.
"Operating without complying with GDPR is not only a financial risk but, above all, a loss of customer trust. The way you manage data directly affects your company's reputation." – Paweł Radecki, Compliance Expert at ODO 24.
How to Implement GDPR in a Company
Implementing GDPR is a process that requires careful planning and execution of the following elements:
- Data audit – Identify and analyze the personal data being processed;
- Privacy policy – Create a document informing customers about how the company manages their personal data;
- Employee training – Educate staff on GDPR principles, data protection procedures, and solutions such as DPO outsourcing from the client's perspective;
- Appoint a Data Protection Officer (DPO) – Required for organizations that process large volumes of personal data.
