The Privacy Meter and Privacy Possibilities

How your feelings about privacy affect your company How your company may profit from privacy

Stephen Cobb, CISSP Cobb Associates

Whats Your Privacy Rating?

May share some of their data sometimes Want tight controls over their personal data at all times Will share most of their data most of the time Dont ever care who has access to their personal data

Closed

Open

The Privacy Meter

(Note: There is no correct rating)
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Problems with privacy ratings

If you are too open you may under-estimate the legitimate privacy concerns of customers Just because you are open does not mean that others should be. Need to respect the privacy preferences of customers and applicable legaws, regulations
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If you are too closed you seek restrictions that negatively impact business data Just because you are closed does not mean that others should be. Need to respect the privacy preferences of customers and applicable laws, regulations

Copyright 2007 Stephen Cobb

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Personally Identifiable Information

Information that relates Which one or two of to an individual who can the following are your be identified, directly or greatest concerns over indirectly, from the data, the next century? Loss of privacy 29% particularly by reference Overpopulation 23% to an identification Terrorist acts 23% number or aspects of his Racial tensions 17% or her physical, mental, World War 16% economic, cultural, or Global warming 14% social identity.
NBC News/ WSJ - Sept. 1999

Economic depression 13%

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Copyright 2007 Stephen Cobb

Cost of A Privacy Blowout

- Forrester Research, Feb 2001 Report (www.forrester.com) Cobb Associates cobbassociates.com Copyright 2007 Stephen Cobb Slide 5 of 8

Millions of Dollars Are at Stake

>$44K for a small business >$1M+ for a big firm In 2006, data breaches cost an average of $182 per compromised record - Ponemon Institute Royal Bank of Canada re-engineered its IT systems to track customer privacy preferences, Determined that privacy drives 7% of demand for the banks consumer/retail business. Total value of that business = $9 billion Business value of privacy = $630 million!
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Try our 3-step privacy program

Target
Find current privacy exposures and prioritize Talk to department heads, map data flows, ask questions, especially of marketing

Treat
Make necessary changes and then institute policies and procedures to prevent recurrence

Train
Make sure all employees at all levels understand the importance of privacy, especially anyone who touches PII This goes a lot further than customer service, e.g. contracts, programming, product development, shipping department
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Thank you!
Stephen Cobb @zcobb email scobb @ scobb dot net scobbs.blogspot.com

Cobb Associates cobbassociates.com

Copyright 2007 Stephen Cobb

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