In this interview, we take a look into the dynamic world of data privacy and third-party risk management with Vivek Kumar Agarwal, a seasoned expert with over 12 years of experience in the field. As a privacy program manager who has successfully architected comprehensive privacy programs and driven privacy-by-design initiatives, Vivek offers a unique perspective on the rapidly evolving regulatory landscape and its impact on organizations worldwide.
Drawing from his extensive experience, Vivek shares valuable insights on enhancing compliance and privacy programs. He discusses the challenges organizations face in managing third-party risks and offers practical strategies for mitigation. With his expertise in global privacy regulations such as GDPR and CCPA, Vivek provides guidance on navigating the complexities of multi-jurisdictional compliance.
Vivek also explores the transformative role of AI in data privacy and cybersecurity, sharing his experiences implementing AI-driven compliance and risk management solutions. He offers strategies for creating a culture of data privacy and security awareness across organizations and provides a forward-looking perspective on emerging trends and risks in the privacy and third-party risk management landscape.
Vivek provides a comprehensive view of the current state and future trajectory of data privacy and third-party risk management, offering valuable guidance for companies looking to navigate this evolving landscape.
Vivek Kumar Agarwal
With over 12 years of experience in privacy and third-party risk management, what changes have you observed in the regulatory landscape, and how have these changes impacted your approach to data privacy?
Data privacy and compliance were afterthought when I started my career. During the 2008 financial crisis, banks had to build risk management programs. The regulatory landscape has changed as programs have matured. Now, consumers expect privacy and are more aware of their rights. Regulators have become more knowledgeable and aligned with technology. Regulatory bodies have developed a keen sense to understand and stay ahead of the curve, especially with innovations like AI increasing complexity.
Consider the EU AI Act, which was introduced as AI started gaining traction, unlike GDPR, which took time to implement. Regulatory bodies are now more structured and knowledgeable.
Scrutiny of big tech companies continues to grow as digital lives become increasingly complex. However, the regulatory patchwork in the USA creates challenging scenarios, even for large companies. There is an urgent need to create comprehensive federal regulations that can preempt state regulations, similar to GDPR and the EU AI Act implemented in Europe.
Further efforts should be made to establish a singular law governing international data transfers. A single law will set clear expectations for companies, improve adherence, and enforce fines for non-adherence. Consumers will also better understand their rights.
Can you share some insights on how you’ve successfully collaborated with regulators like the FTC and OCC to enhance compliance and privacy programs within organizations?
Regulators such as the FTC and OCC periodically issue guidance on privacy and third-party risk programs. With numerous enforcement actions and consent orders serving as examples, understanding regulatory expectations and industry standards like NIST and CSF is vital. Companies must develop programs that meet these requirements.
Collaboration and transparency with regulators are essential. I’ve always considered them partners in program development, seeking early input to ensure alignment with requirements. Typically, programs are built and then audited, but engaging auditors early enhances the likelihood of passing regulatory scrutiny.
Providing process walkthroughs, planned enhancements and self-identified issues demonstrates program maturity and fosters trust with assessors, a critical component of successful compliance.
You’ve been involved in driving privacy-by-design initiatives. How do you ensure privacy principles are embedded into product development from the ground up, especially in today’s fast-paced tech environment?
I have been driving privacy by design initiatives for a while now, and I firmly believe that embedding privacy principles into product development from the ground up is vital, especially in today’s fast paced tech environment. To achieve this, we need to make privacy a core part of our company culture’s DNA.
First, we establish clear guidelines and frameworks for our product teams to follow. Then, we provide training and resources to help them understand the importance of privacy and how to implement it in the design phase.
We also conduct regular reviews and audits to ensure compliance. However, I believe we should view privacy as a competitive advantage rather than just a compliance requirement. Our teams should consider privacy as a key product feature, not just a regulatory checkbox.
To achieve this, we need to strike a balance between ensuring privacy and avoiding unnecessary red tape. Our review process should be efficient and streamlined. If a product hasn’t undergone significant changes since its previous privacy design approval, we should allow business teams to self-certify. Certification should only be required when there’s a new type of user data sharing involved.
In your experience, what are some of the biggest challenges organizations face when managing third-party risks, and how do you recommend mitigating these challenges?
In my experience, organizations face several challenges when managing third-party risks. One of the biggest issues is the diverse range of third-party types, each requiring a different level of risk assessment. For instance, co-brand partners for a credit card company may not pose the same level of risk as a merchant payment processor.
Another challenge is managing fourth-party risks, which can be particularly difficult. To mitigate this, we need to rely on robust third-party controls for our third-party vendors.
Business unit involvement and support are also critical in managing third-party risks. Ensuring timely support from third parties on monitoring risk is essential, but can be a challenge.
Data breaches in third-party vendors are a major concern, and constant monitoring of their infrastructure using various tools is necessary.
With your deep expertise in global privacy regulations such as GDPR and CCPA, how do you advise businesses to navigate the complexity of complying with multiple privacy laws across different regions?
Navigating global privacy regulations like GDPR and CCPA requires a structured approach. I start by understanding the specific requirements of each regulation and identifying commonalities and differences. Next, I conduct a data mapping exercise to classify data and determine its flow across regions.
I establish a global privacy framework, including a unified policy and data protection by design. Regional compliance measures follow, such as appointing a DPO for EU operations and implementing data transfer mechanisms.
Ongoing compliance is ensured through regular audits, risk assessments and training programs. Leveraging technology, like data discovery tools and compliance software, also supports our efforts.
By taking this approach, businesses can effectively navigate the complexity of global privacy regulations and ensure robust compliance.
You’ve implemented AI-driven compliance and risk management solutions. How do you see the role of AI evolving in the future of data privacy and cybersecurity?
I have implemented AI-driven compliance and risk management solutions, and I’m excited to share my thoughts on AI’s future role in data privacy and cybersecurity.
AI is already making a significant impact. I’ve worked with a company that used AI-powered tools to identify and classify sensitive data, improving accuracy and reducing time and resources. Another project used AI driven systems to detect anomalies and threats in real-time, enabling quick responses to potential security incidents.
Looking ahead, I see AI playing a critical role in predictive analytics, enabling organizations to predict potential security threats and vulnerabilities. AI will also create personalized data protection plans, tailored to individual users’ needs and behaviors.
However, there are challenges to consider, such as bias and fairness in AI systems. To address this, transparency and accountability in AI driven decision making are crucial.
Overall, I’m optimistic about AI’s role in data privacy and cybersecurity. With the right approach, AI can be a powerful tool for improving data protection and reducing the risk of breaches and cyber attacks.
What strategies do you believe are most effective in creating a culture of data privacy and security awareness across different teams and functions within an organization?
Creating a culture of data privacy and security awareness is crucial. I’ve seen it firsthand – when everyone’s on the same page, you can significantly reduce the risk of breaches and cyber attacks.
First and foremost, leadership sets the tone. Executives and leaders must prioritize data privacy and security, demonstrating their commitment through actions and words. This trickles down to the rest of the organization.
Regular training and education are also essential. You can’t just assume employees know what to do. Provide engaging sessions that cover best practices, regulations, and industry standards. Collaboration between teams is vital too. IT, legal, and compliance need to work together to ensure a unified approach. And let’s not forget gamification and incentives – recognizing employees who prioritize data privacy and security can go a long way.
Clear policies and procedures are a must, as well as continuous monitoring and feedback. You need to regularly assess your practices and provide constructive feedback.
Incident response planning is critical too. Develop and test plans to ensure preparedness in case of a breach.
Lastly, stay up-to-date with evolving regulations, threats, and best practices. Incorporate new knowledge into training and awareness programs.
Looking ahead, what key trends or emerging risks do you foresee in the privacy and third-party risk management landscape, and how should companies prepare for them?
Looking ahead, I foresee several key trends and emerging risks in the privacy and third-party risk management landscape. One major trend is the increasing scrutiny of third-party vendors and suppliers. Regulators and consumers are holding companies accountable for their vendors’ actions, making robust third-party risk management crucial.
AI and machine learning are also transforming the landscape, introducing new risks like algorithmic bias and data quality issues. The Internet of Things continues to expand, creating new data collection points and potential vulnerabilities.
To prepare for these emerging risks, companies should invest in robust third-party risk management programs, implement AI and ML responsibly, prioritize IoT security, and develop comprehensive supply chain risk management strategies.
Staying informed about evolving regulations and adapting privacy and risk management strategies accordingly is also vital. By being proactive, companies can minimize potential impacts and maintain trust with customers and stakeholders.