Data security is extremely important for HR software systems to ensure that there is no data theft or data breach with the sensitive information shared on the software.
The HR software contains a lot of information about the employees including their bank details, home address, family details which if gone to the wrong person can be used in negative ways.
What is data security?
Data security is the process of securing the data stored. When sensitive information is stored in an app or website, it is the user and the service provider’s responsibility to maintain the security of the data stored.
It is the practice to protect the personal information of the user stored digitally on any platform. There could be any type of interruption in the data such as unauthorized access, corrupting the software and the list goes on.
Why do we need data security in HR software?
Anything that contains our information needs to be protected.
Why do you think we have an OTP system for transactions? Or why do we have passwords in our phones? Or why do we have a separate passcode system in our e-mail apps? These are provided to protect the users’ information.
Similarly, HR software contains all the necessary information about the employees of the company. It has,
- Bank details.
- Family details.
- Educational certificates.
- Identifications proofs.
- Digital signature.
- Attendance record.
- Previous employer details.
- Passport details.
Now, imagine a hacker getting access to this information. Sounds horrifying, right? Okay, don’t imagine!
Therefore, safeguarding sensitive employee information from unauthorized access is crucial. Robust data security measures within HR software are essential to ensure the complete protection of this confidential data.
Types of data disturbances in HR software.
With data disturbance, here we refer disturbance with the factors that disturb the data on a smooth journey. These factors can affect the HR software in tons of ways.
The data can be disturbed in various ways, including:
- Unauthorized access: Unauthorized access happens when a person gains unauthorized access to the HR software and databases where all the information is stored. It allows them to retrieve, modify and update the data in any manner they want.
- Phishing: Phishing, in general term, means that the scammer poses themselves as a legit company or personal contact or even a public institution. With respect to the HR software, the attacker can pose themselves in an unauthorized manner to get their hands on the login credentials of the employees enabling them to gain access to their portal.
- Data leakage: This situation occurs when the users’ data is leaked due to some software issues such as misconfiguration, server issues, software vulnerabilities. This can be considered as an unintentional attack because this happens entirely on the technical side.
- Insider threats: The attacker has not to be the outsider necessarily, they could within the organization. This is called insider threats where the security breach is committed by a person having full access to the credentials of the HR software.
How can we ensure data security in HR software?
Now that we know what can happen if the data is not protected, let us see the measure that can help you to do so. I know you are as eager to know as I am to throw a light on them.
- Encryption: Encryption is the process of encoding data. This method ensures the highest security. The sensitive data, in transit or at rest, is encoded to make sure that only the authorized person has access to the data. A key (SSL Keys, for example) is given to the authorized person to decode the data when needed.
- Regular monitoring and audit: The data security methods used for the HR software should be monitored and audited regularly. This ensures its effectiveness and helps developers to identify even a minor disturbance that could become a major problem in future.
- Authentication: A proper authentication system should be installed to make sure that the authorized person is logging in to the application and there is no other person trying to get in. Fingerprint, face recognition, OTP generation can be used to identify the user.
- Authorization: To prevent internal threats, access to the level of availability of the data should be given only to the authorized people of the organization. This ensures lowering the rate of internal threats to the HR software.
- Software updates: Make sure that the software is up to date and all the necessary updates are installed. Software developers, at times, update the software with increased security. Having an updated version of the software minimizes the risk of lack in security.
- Data backups: Regular data backups are important for HR software. In case of data loss or any such circumstances, if the data is not backed up regularly, it can cause severe problems. Data backup ensures that all the necessary information stored by the user is safe and sound.
Case study of data breach in HR based software.
Let’s see a real-life incident where the HR system was hacked by an attacker to gain access to the employers’ data.
On March 2, 2023, the high street retailer WH Smith was hit by a major cyber-attack. This attack was big in one of a kind that gave access to its workers’ data to the hackers. Data including names, addresses, National Insurance numbers and dates of birth of the firm’s current and former employees was accessed by the attackers. However, as stated by WH Smith the customer data is secured.
Conclusion
Today, data is like a wallet. You keep your personal and confidential information in that wallet of data which needs protection and security more than your real wallet (p.s. don’t take this seriously). Securing user data is the HR software service provider’s responsibility. HR software contains a lot of crucial information about the employees.
World Economic Forum states that in 2024, the world is going to witness a record-breaking data breach. A survey conducted by PwC presents the numerical data of security breaches faced by different organizations.
Attackers are ready to get into your system and retrieve what you have.
Now as a responsible HR leader, are you ready to safeguard the data you own. The data that belongs to your loyal users? If not, then you should reconsider your thoughts as it can hurt not just your people but organization too.
I hope we presented our knowledge descriptively to you. We’ll keep bringing in more for you. Till then keep reading, keep thinking and keep HRing!