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BUI Modern Work Specialist Dirk Prinsloo explains why it’s imperative to know where your cloud data resides – for the sake of security and compliance.
The rapid advances in cloud computing have made it easier than ever for businesses to store their data almost anywhere in the world – but this convenience has also raised a number of questions for enterprise stakeholders… Where, precisely, is digital information kept? How is it secured? And are there legal, regulatory, or privacy issues to consider when it comes to data in the cloud?
“Data residency and data sovereignty can be tricky topics to navigate,” says Dirk Prinsloo, Modern Work Specialist at BUI South Africa. “There’s a lot of confusion about these terms because they’re used so interchangeably. They are related, but they don’t mean the same thing. It’s important for the public – and for cloud customers in particular – to understand each concept so that sound decisions can be made regarding data processing and data storage.”
Data residency refers to the defined geographic territory where a company stores its data. The actual location may be stipulated in local, regional, or national legislation; in sector regulations or industry standards; or even in the terms and conditions of a business contract.
“It’s about boundary lines,” observes Prinsloo. “It’s about the specific place where data is housed and retained. For a South African company serving South African customers within South African borders, the parameters are pretty clear. But for an international brand with offices across the globe, it can be a complex landscape.”
Data residency requirements vary from country to country. They typically apply to all business and customer data, but they can also be limited to certain types of information – including personal data (like someone’s name or gender), medical or healthcare data (like patient records from hospitals), or financial data (like a buyer’s credit card number or a company’s accounting statements)…
