In recent years, organizations have collected more and more of their client’s personal data. This has led to the need for stricter laws and regulations governing the use of this data, with the GDPR Importance being paramount. It was passed to protect the personal data of European Union (EU) residents and has become one of the most important laws.
What is the GDPR?
It is important to outline what the term stands for, and when it came into effect. The General Data Protection Regulation (GDPR) is EU legislation that was adopted in April 2016. It is designed to give individuals more control over their personal data, as well as to unify data protection laws across Europe. The GDPR applies to any organization, regardless of location, that handles the personal data of EU residents.
How Does the GDPR Protect Personal Data?
The GDPR requires organizations to take certain steps to protect the data of their customers. One of the requirements is to make sure the data is secure by encrypting it and putting measures in place to stop people from accessing it without permission. Additionally, the GDPR requires organizations to be transparent about how they use personal data and to allow customers to access and delete their data upon request. Furthermore, organizations must obtain consent from customers before collecting their data.
Consequences of Not Following GDPR Guidelines
Organizations that do not comply with the GDPR can face a number of consequences, including:
Hefty fines
Non-compliance with the GDPR can result in significant financial penalties. Fines can be up to 4% of a company’s annual global turnover or €20 million (whichever is greater).

The overview of fines and penalties that data protection authorities within the EU have imposed under the EU General Data Protection Regulation (GDPR, DSGVO) you can find here.
Reputational damage
A data breach or failure to comply with the GDPR can damage an organization’s reputation and lead to a loss of customer trust.
Legal action
Individuals have the right to take legal action against organizations that fail to protect their personal data in accordance with the GDPR.
Regulatory action
Regulators, such as data protection authorities, can take enforcement action against organizations that fail to comply with the GDPR. This can include ordering the organization to make changes to its data protection practices or suspending its data processing activities.
Loss of business
A failure to comply with the GDPR can lead to a loss of business, as customers may choose to do business with organizations that have a good track record of protecting personal data.
Therefore, it is absolutely essential for organizations to ensure that they are following all of the GDPR guidelines to the letter in order to avoid undesired costly repercussions.