Global competitiveness and why Nigerian coys must embrace DPOs

Let’s start with a fictitious case of NairaNet, a prominent Nigerian online payment platform. They experienced a significant data breach where the personal and transactional data of thousands of users were exposed. While the immediate financial loss was considerable, the damage to their reputation was even more significant. Users became wary of using their platform, leading to a decline in transactions over the subsequent months. Analysts estimated that with a proactive Data Protection Officer (DPO) in place, such an incident could have been pre-empted or, at the very least, its impact significantly mitigated.

Another example was HealthData, a healthcare start-up that aimed to digitalise patient records in Nigeria. Their noble mission faced a setback when they fell victim to a ransomware attack. Critical patient data was held hostage, causing not only operational chaos but also raising serious concerns about patient confidentiality. A DPO, with global and local expertise, could have advised on robust security measures, reducing the vulnerability of such critical infrastructure.

The role of data in business is undeniable. As companies in Nigeria rapidly expand and innovate, data has become not just an asset, but the very backbone of business operations. With this surge in digital transformation comes a heightened responsibility to protect that data. Enter the Data Protection Officer (DPO).

The Nigerian digital landscape is burgeoning with start-ups and established corporations alike, embracing technology. From e-commerce giants like Jumia to emerging FinTech platforms, data is being processed on an unprecedented scale. However, with greater digital integration comes increased risks. Local examples abound, from breaches compromising user financial data to leaks of sensitive personal information.

As Nigerian companies’ eye global markets, they’re not just competing on products or services but on trust. Globally, companies like Apple and Microsoft leverage their data protection strategies as selling points. To resonate on such a global scale, Nigerian enterprises must prioritise data protection.

Role of a DPO: Beyond compliance

While it’s tempting to view a DPO’s role as solely about compliance, their value proposition is multidimensional:

• Strategic Advisory: They provide insight into global data protection trends, ensuring companies are ahead of the curve.
• Operational Excellence: By streamlining data handling processes, DPOs ensure efficiency and reduce risks.
• Education & Training: They play a pivotal role in sensitising staff, reducing the chances of breaches caused by human errors.

The Nigerian gap: A dearth of expertise

While there’s a growing acknowledgment of the DPO’s importance, there’s a palpable gap in the Nigerian market. Few DPOs possess the blend of local knowledge and global expertise to elevate Nigerian companies to world-class data protection standards. This presents both a challenge and an opportunity.

Building robust privacy teams: The next frontier

Rather than relying on a single DPO, forward-thinking companies globally are establishing dedicated privacy teams. These teams, armed with diverse skill sets, ensure a holistic approach to data protection.

Local case study: The consequences of neglect

Consider the recent data breach at a gambling company in Nigeria just last year. A minor oversight in their data storage protocols led to significant financial repercussions and a tarnished brand image. Situations like this underscore the importance of having a DPO on board.

The road ahead: Collaborative growth

Engaging a DPO or building a privacy team isn’t just an operational decision; it’s a strategic one. It signifies a company’s commitment to its customers, stakeholders, and its vision of global prominence.

The call to action

For Nigerian companies aiming to be not just leaders in Africa but dominant players on the global stage, data protection cannot be an afterthought. It’s a clarion call to integrate world-class data protection practices. The first step? Engaging a DPO and considering the establishment of dedicated privacy teams.

While the road might seem challenging given the current expertise gap, it’s also an opportunity for Nigerian companies to lead, innovate, and set benchmarks not just for Africa but globally.

Remember, in today’s digital world, data protection isn’t just about guarding information; it’s about safeguarding trust, reputation, and future growth.

• business a.m. commits to publishing a diversity of views, opinions and comments. It, therefore, welcomes your reaction to this and any of our articles via email: comment@businessamlive.com