Offshore outsourcing can pose many risks to sensitive data and
information. A significant risk is reduced monitoring of data access
which could potentially result in theft and abuse of this information
(One Neck IT Solutions, 2016). If this occurs, an organization's
reputation could likely be impacted in some capacity. Extreme data
breaches could potentially threaten the future of the organization.
Another possible risk is the data stored offshore will be subject to the
laws and governance of the provider's country. Differences in
regulations may result in security/privacy compliance issues. HIPAA
violations could result in hefty fines or even jail time. This could be
devastating to the entity and jeopardize its future as well.
I believe that an organization's responsibility to protect its customers'
personal information should be placed at high priority. The
organization must be vigilant in placing safeguards in place to protect
this sensitive information. Specific policies regarding accessed
personal data must be in place and enforced. Whenever necessary,
these policies should be updated to be up to par with advances in
technology and law changes.
Reference
One Neck IT Solutions. (2016). Risks of Offshore IT Outsourcing.
Retrieved December 8, 2002, from
https://www.oneneck.com/blog/cloud/the-risks-of-offshore-it-
outsourcing-keep-your-friends-close-and-your-data-closer/
