Compliance has well and truly come to the forefront on Contact Centre Managers' concerns. Costs of security breaches doubled in 2014, more stringent regulation came into play and there was an 81% increase in the number of large firms offending. How can contact centre's keep away the threat of big compliance fines and what are the key statistics they need to be aware of?
1. 58% of large organisations suffered staff related security breaches.
This is big problem for contact centres when so much of their work is reliant on staff. No matter how much self-service, automation or virtualisation exists a call centre still consists of employees dealing with customers everyday providing ample opportunity for compliance breaches.
How to fight this off:
Make security issues a top-of-mind concern for agents by incorporating compliance into quality monitoring scorecards, as seen in Scorebuddy’s Compliance Component.
2. By 2014 10% of organisations that suffered breaches were so badly damaged that they had to change the nature of their business.
Having to change the nature of your business is an immense task. If a contact centre hasn’t got a culture of awareness and preventative measures for breaches as well as continuous monitoring inevitably some will fall through the cracks.
Here's how to stay out of the 10%:
Create an environment of awareness in your contact centre; through compliance monitoring, action plans for breaches and focused training on security breach knowledge gaps.
3. 81% increase in the number of large organisations having security breaches.
Large organisations and particularly growing organisations are vulnerable to security breaches. As employee numbers increase the quality is at risk because poorly performed tasks can slip under the radar unnoticed due to increased volume. Large businesses need to get to grips with potential risks and set up procedures to monitor compliance breaches in detail to protect their brand.
Something as simple as email alerts to line managers can nip compliances breaches in the butt before they get out of control.
4. The largest data breach reported in 2014 affected more than 695,000 customers.
695,000 is not a number to be sniffed at. A number like this does serious damage to a business’s reputation. Customers become disloyal and scared of doing business with an organisation, especially the information is particularly sensitive. How many customers does your average call centre agent deal with each day? More than 100? Imagine the implication of a whole team (let’s say 15) misinterpreting a security briefing on data breaches and for this to go unnoticed for a month. That means that 45,000 customer interactions were at risk of breaches. The numbers can snowball quickly if continuous compliance monitoring isn’t in place. Read more about Scorebuddy compliance monitoring solution here.
5. Cost of breaches nearly doubled in the last 12 months.
Nobody likes to be responsible for making a significant dent in the budget, especially when it’s in the form of fines or penalties. With the costs of breaches doubling in the space of a year companies need to allocate some budget for preventative action. What's even scarier than the doubling of costs is that preventing breaches or acting appropriately upon breaches is often only a tiny fraction of the cost - yet still organisations fail to protect themselves... WHY?
6. 31% of security breaches were caused by inadvertent human error.
To clarify ‘inadvertent’ means not resulting from or achieved through deliberate planning i.e. inadvertent human error in a call centre environment would mean that staff made a mistake without realising. To combat this training on security breaches is essential as well as reminders. In Scorebuddy’s Compliance Component any compliance fails are tracked and immediately tagged with a red flag and an associated reason for failure. This means that when an agent views their quality score they are instantly made aware of compliance fails and the exact reason for failure. Agents can learn from their mistakes implement changes immediately.
7. The average cost of a data breach for a large organisation was in between £600K-£1.15m.
What would you do if your budget was increased by anything from £600K and £1.15m? After celebrating you would probably rethink all your current plans to optimize the new found funding. Of course if the situation was reversed there would be an equal and opposite reaction; tears and axing of plans, perhaps jobs even. It's a heavy chunk of change for any organisation and will definitely put the responsible departments in the Accountants bad books for carelessness. A deficit of this amount would have significant consequences and wouldn't get smoothened out over night.
8. The average cost of a data breach for a small business was in between £65K-£115K.
For a small business these amounts could stifle progress and in many cases shut the business down. In one high profile case in the UK recently, the oursoucing operation was completely shut down because they couldn't pay fines that were imposed on them. Failing to comply and failing to notice security breaches is a big deal so the next time you think about your audit think how you're reporting on security breaches and what steps you have in place for compliance.
To learn more about what Scorebuddy can do to help you meet compliance needs contact us today or read about the Compliance feature included in the Core Features of our platform at no extra charge..