NTT ICT – Hitachi Data Systems white paper reveals Australian business lack of awareness of changes to the Australian Privacy Laws

Sydney, 12 August 2014: NTT Communications ICT Solutions (NTT ICT) and Hitachi Data Systems have released a White Paper that reveals how organisations in Australia are uncertain of how they should be managing their data without risk, four months after the changes to the Australian Privacy Principles were introduced.

Despite claiming to be aware of the changes, over 70% of IT Decision makers seek third party guidance on management of their data.

This has resulted in irregularities in the disposal of personal data by third party services, which leaves Australian organisations vulnerable to non-compliance with the revised principles. They have little insight into the management of their data during its lifecycle and the terms of their consequent liability.

These findings are based on research carried out by IDC Australia into 150 organisations in Australia, regarding their concerns surrounding data privacy and what the changes to Australian Privacy Principles mean to them.

The White Paper, titled The Increasing Value of Data in Australia: Privacy, Security and Compliance, also reveals that attitudes towards privacy and data management have been significantly influenced by recent developments in mobile, social and cloud technologies.

“The changes to the Australian Privacy Principles on 12th March, 2014 will have significant implications for how businesses manage their data. NTT ICT and Hitachi Data Systems wanted to investigate the changing attitudes, practices and impact of these changes on organisations” said Julian Badell, Director of Project Services for NTT ICT.

Andrew McGee, Chief Technology Officer and Presales Director for Hitachi Data Systems, adds: “As the need to manage and store large amounts of data increases, many businesses are not equipped to tackle the changing regulatory landscape associated with data management. In this new, and continually evolving regulatory environment, compliance strategies need to be addressed in order to protect the business from risks around where data is housed and how it can be efficiently managed and retained, even when core enterprise applications are phased out”.

Key findings from the white paper include:

Uncertainty remains about principles regarding disposal of data
Awareness of changes to the Australian Privacy Law is relatively high, however awareness of the individual principles is much lower – according to the survey 20% of Australian Organisations remain unaware or uncertain of the implications relating to changes to the Australian Privacy Principles.

Sally Parker, Research Director for IDC Australia said “The research uncovered broad awareness of the principles within IT around protection of personal information before it is disclosed overseas, disclosure of breaches to all relevant parties and civil penalties in the case of a serious privacy breach. However, notably absent is awareness of principles regarding the proper disposal of personal data once it is no longer required for the purpose for which consent was provided.”

Organisations are putting themselves at risk regarding data collection
IDC noted 20% uplift in the perceived risk associated with data since the introduction of the revised Australian Privacy Principles. Despite this, individual retailers are still putting themselves at risk – only 50% of retailers surveyed have a formal governance process managing ‘give to get’ data.

Uncertainty of the changes to Australian Privacy Principles is linked to dependence on third party services
It has been revealed that 72% of Australian Organisations look to third parties for guidance on risk, security and compliance - yet 20% of those surveyed lack confidence in their knowledge of how third parties deal with the disposal of data. Of those organisations entrusting a third party with their personal data, few mandate requirements around the physical location of data, total number of copies, deletion process, or impose restrictions regarding access to the data.

Data is the new currency for Australian Organisations
The market for Big Data is set to reach $16.1 billion in 2014, growing six times faster than the overall IT market. Government agencies alone installed an additional 93,000 terabytes of storage during 2008-2012.

The advent of new technologies is dictating how Australian Organisations handle their data
Australian Organisations are able to source more valuable consumer information than ever before, due to new social, cloud and mobile technologies. These mediums have fostered a borderless IT environment that dictates a fresh approach to data management and risk policies – 93.7% of organisations surveyed shared that Public Cloud had changed how they approach risk and security.

Privacy can now be used as a competitive differentiator
Organisations that are perceived to be putting their customers first when it comes to privacy can gain leverage over their competitors. The Electronic Frontier Foundation and Online Trust Alliance annually recognise the top companies for consumer privacy and data protection.
As a result of the survey, IDC predicts that within the next three years, smaller more agile organisations will capitalise on the opportunity to leverage insights gained from data analysis without the baggage of the larger established competitors.
For the full version of the whitepaper please go to https://www.nttict.com/privacywhitepaper
ENDS

Australia Media contact:
Australia Marketing
NTT Communications ICT Solutions
Tel: +61 2 9270 3400
About NTT Communications Corporation 

About NTT Com ICT Solutions
NTT Com ICT Solutions (Australia) Pty Ltd is a wholly owned subsidiary company of NTT Communications, the global data and IP services arm of Fortune Global 500 telecom leader, Nippon Telegraph & Telephone Corporation (NTT). The NTT Communications ICT Solutions (NTT ICT) brand was launched in 2013 and comprises of NTT Communications' Australian entities NTT Australia, Frontline Systems Australia, and Harbour MSP.
NTT Com ICT Solutions (Australia) Pty Ltd (NTT ICT) is a fully integrated, one-stop hub for IT services. The company delivers end-to-end information and communication technology solutions supported with professional services, managed services, and ever-ready technical support working with enterprise-size Australian organisations that want to re-imagine IT through infrastructure innovation. Services include a world-class Tier-1 Internet backbone, secure closed networks, security, system integration, network and application management, managed hosting, infrastructure resale, and global content delivery services. In addition, NTT ICT is a data centre service provider, specialising in fully integrated colocation, private cloud, and managed IT services.
For more information regarding the NTT & HDS Partnership visit: http://www.nttict.com/services/infrastructure/our-partners/hitachi-data-systems-infrastructure-reseller/

About HDS
Hitachi Data Systems provides information technologies, services and solutions that help companies improve IT costs and agility, and innovate with information to make a difference in the world. Our customers gain compelling return on investment (ROI), unmatched return on assets (ROA), and demonstrable business impact. With approximately 6,300 employees worldwide, Hitachi Data Systems does business in more than 100 countries and regions. Our products, services and solutions are trusted by the world's leading enterprises, including more than 70% of the Fortune 100 and more than 80% of the Fortune Global 100. Visit us at http://www.hds.com/anz/.

About IDC
International Data Corporation (IDC) is the premiere global provider of market intelligence, advisory services, and events for the information technology, telecommunications and consumer technology markets. IDC helps IT professionals, business executives, and the investment community make fact-based decisions on technology purchases and business strategy. More than 1,100 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries worldwide. For 50 years, IDC has provided strategic insights to help our clients achieve their key business object